Sec. 7. Liability
182 words·~1 min read·
/bill/118/s/3554/is/section-7·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
The Securities Exchange Act of 1934 ( 15 U.S.C. 78a et seq. ) is amended by adding at the end the following: Any person who, directly or indirectly, deploys or causes to be deployed, an artificial intelligence model shall be deemed to satisfy the scienter, other state of mind, or negligence requirements of the Federal securities laws with regard to any and all acts, practices or conduct engaged in by such model, and any outcome resulting from the use of such model, and shall be liable to the same extent as if such person had committed such acts, practices or conduct directly, unless such person took reasonable steps to prevent such acts, practices, conduct and outcome, which may include but are not limited to establishing, maintaining and enforcing written policies and procedures reasonably designed to prevent violations of the Federal securities laws.
Civil liability of a developer of an artificial intelligence model for design defects or breaches of implied warranties with respect to such a model out of which arise a violation of the Federal securities laws may not be waived. .
Connectionstraces to 1
Traces to 1 document
U.S. Code