When Systems Decide: Consumer Law Risks In AI‑driven Decisions

When Systems Decide: Consumer law risks in AI‑driven decisions

AI enabled decision making systems are being increasingly used to determine dynamic pricing, assess credit eligibility, prioritise search results, and moderate content (among other decisions). While these systems may offer unprecedented speed, scale and cost savings, they also introduce legal risks where they produce inconsistent, biased, misleading or opaque outcomes. For in house lawyers, the question is no longer whether AI should be used, but whether the organisation can explain, monitor and defend what the system does in practice, particularly where it may affect vulnerable consumers or essential services. This article highlights three consumer law pressure points that legal teams should be stress testing now to mitigate risk associated with AI systems.