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ARTICLE · 03 MARCH 2026

The EU's Approach To AI Liability: From Liability-centric Reform To Risk-Based Regulation

The European Union's approach to governing artificial intelligence (AI) has undergone a significant inversion, shifting from a liability-focused stance to an ex ante compliance form of regulation.

European UnionTechnology

The European Union's approach to governing artificial intelligence (AI) has undergone a significant inversion, shifting from a liability-focused stance to an ex ante compliance form of regulation.

Initially, the focus was firmly placed on civil liability reform. In 2017, the European Parliament's Resolution on Civil Law Rules on Robotics had already highlighted the shortcomings of ordinary liability rules in dealing with damages caused by autonomous robots learning from their own variable experience and interacting with their environment in a unique and unforeseeable manner.

The expectation in 2022 was that these gaps were to be filled by the AI Liability Directive (AILD). However, this law never made it past the proposal stage and the draft AILD was formally withdrawn by the European Commission in the latter half of 2025, amongst a soul-searching exercise in relation to over-regulation that followed the United States' stance towards de-regulation

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