Delaware, home to about two-thirds of the Fortune 500, is drafting a new entity called an Artificial Intelligence Company, run day to day by AI agents. A human or corporate “member” funds it and keeps the profits. The draft says that member isn’t liable for what the AIC does, with exceptions for fraud and willful violations. Rep. James Comer has already asked for documents, calling it cover for reckless AI.
In-house lawyers, think about the other side of the table. Your next vendor, licensee or litigant could be an entity with AI agents for management and one member behind it. Who signs the indemnity? Who sits for the deposition? Add it to the list of reasons the job keeps changing, and to our notes on future-proofing in-house counsel.
“The draft bill says, “The member is not liable for any act or omission that the AIC takes or fails to take, or that another person takes or fails to take at the direction of the AIC.””
Read: “No human at the helm”: Delaware plan would let AI agents run entire businesses at Ars Technica