Fiduciary Duty Considerations For Boards Of Cos. Using AI

In an era of rapid development and deployment of artificial intelligence technologies, we stand witness to new, reactive regulation of key elements of these technologies, such as the California Consumer Privacy Act, or CCPA, effective this month. This comes in parallel with assertions by many corporate leaders that the proper focus of corporate purpose is the interests of employees, customers, suppliers, shareholders and society in general, rather than sole primacy of current shareholder interests.¹

Companies' increasingly omnipresent use of AI technologies² as part of a product or service offering, or as a means to optimize operations, has correspondingly increased AI's importance to corporate strategic planning and governance.³