
AI analyzes, makes recommendations, and helps make decisions. But who bears the consequences if it’s wrong? KPMG Law experts Nikolaus Vincent Manthey and Sabrina Riesenbeck explain what the Business Judgment Rule has to do with artificial intelligence, why documentation is vital, and when the attitude of “IT will take care of it” becomes dangerous.
“The business judgment rule is enshrined in the German Stock Corporation Act and essentially states that management is not personally liable if it acted in good faith, based on adequate information, and in the best interests of the company when making a business decision.”
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