Companies may be held liable when AI harms their clients and customers
When an AI a business is using makes a mistake, the business tends to be on the hook, not the AI toolmaker.
Artificial intelligence has quickly transitioned from novelty to a common tool in the workplace. According to recent surveys, 52% of U.S. employees and 68% of professionals in the professional services sector were utilizing AI by February 2026. The widespread adoption of AI has simplified tasks such as research, summarizing complex information, and aiding in writing and communication.
However, this rapid integration also presents significant risks. AI can generate seemingly authoritative and polished information, yet it often proves to be incorrect. When AI produces errors, the responsibility for these mistakes lies with the professionals or businesses relying on the AI output, not the companies that develop the AI systems themselves.
This has led to lawsuits, court fines, financial consequences, and public embarrassment due to fabricated citations, nonexistent sources, and inaccurate AI-generated information. These cases highlight an important question: How can professionals harness the benefits of AI without being solely dependent on the judgment required for their work?
Written by urgent.news from The Conversation's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.