Faculty of Law Faculty Professuren Prof. Dr. Dornis News
Just published: „Artificial Intelligence and Choice-of-Law in International Contracts“ (RabelsZ)

Just published: „Artificial Intelligence and Choice-of-Law in International Contracts“ (RabelsZ)

New article by Professor Dornis on the topic of „Artificial Intelligence and Choice-of-Law in International Contracts“ was published in Rabels Zeitschrift für ausländisches und internationales Privatrecht (RabelsZ) 2023, 306-325

Recently, the debate on the law applicable to a contract concluded by means of an AI system has begun to evolve. Until now it has been suggested that the applicable law as regards the “legal capacity” and the “representative capacity” of AI systems should be determined separately and, thus, that these are not issues falling under the lex causae governing the contract. This approach builds upon the conception that AI systems are personally autonomous actors – akin to humans. Yet, as unveiled by a closer look at the techno-philosophical foundations of AI theory and practice, algorithmic systems are only technically autonomous. This means they can act only within the framework and the limitations set by their human users. Therefore, when it comes to concluding a contract, AI systems can fulfill only an instrumental function. They have legal capacity neither to contract nor to act as agents of their users. In terms of private international law, this implies that the utilization of an algorithmic system must be an issue of contract conclusion under art. 10 Rome I Regulation. Since AI utilization is fully subject to the lex causae, there can be no separate determination of the applicable law as regards the “legal capacity” or “representative capacity” of such systems.