• TECHNOLOGY
GERMANY
MY ADVICE...
Processes and technology for fair and efficient resolutions
Incorporate Liability Clauses: Include specific liability clauses in AI-related contracts, defining responsibilities and limiting liability for unforeseen AI decisions. Ensure Transparency & Documentation: Document all AI decisions and processes thoroughly to clearly assign responsibility and minimise risks.
Advantages of German Jurisdiction Germany is an exemplary choice for ADR due to its strong legal system and commitment to upholding international standards. German courts are supportive of ADR, and the DIS provides extensive resources and expertise. Germany’s central location in Europe, combined with a stable political environment, makes it an attractive option for international parties. Recent reforms further solidify its reputation as a progressive and innovative jurisdiction for ADR. Key examples include the Federal Digital Strategy , which mandates fully digital civil proceedings by 2025 and introduces
on May 21, 2024. This Act establishes a unified regulatory framework for AI across Europe and is the world’s first comprehensive set of rules for AI. With the AI Act, the EU has laid a strong foundation for AI regulation that fosters trust and acceptance of the technology while enabling innovation “made in Europe.” The AI Act now needs to be transposed into national law. At the national level, Germany has for example already enacted specific regulations for the use of AI in autonomous driving through the Road Traffic Act (StVG). The law addresses, among other things, liability and safety requirements for autonomous vehicles. Additionally, Germany adheres to the EU General Data Protection Regulation (GDPR), which governs data-intensive AI systems, with ongoing discussions about more tailored data protection rules for AI. The German government has also set up ethics commissions to provide guidance on the societal and legal implications of AI, feeding into the national AI strategy. Other areas under consideration include contract law, particularly regarding liability for AI-driven decisions, and labour law, focusing on the use of AI in employee monitoring and decision-making.
Provide Training & Awareness: Train employees on AI-related risks and liabilities to
Florian Wettner Partner METIS Rechtsanwälte PartG mbB
prevent errors and avoid potential liabilities.
Q1 How should parties seek and agree a seat for ADR, and what advantages does your jurisdiction offer? Selecting the right seat for ADR is a critical decision that can significantly influence the outcome of the process. To ensure a fair, efficient, and successful resolution, parties should consider several important factors when agreeing on a jurisdiction.
a video portal for online hearings. Additionally, new laws promoting
contract clauses, and FRISS, which detects fraudulent insurance claims, exemplify this trend. By leveraging these AI-driven solutions, businesses are better equipped to proactively mitigate risks, thereby enhancing their overall legal strategy. Improved Efficiency AI enhances efficiency in administrative tasks by processing vast amounts of data and generating chronological overviews. Its application in internal processes is particularly beneficial, reducing the likelihood of human error. Q3 What questions does AI pose for liability – who is accountable for the actions of AI and has your jurisdiction prepared for the question? Current legal frameworks are primarily designed to regulate human behavior. AI challenges these frameworks because it can act independently without direct human intervention. Germany is still at the beginning of this process, but recent legislative initiatives demonstrate a commitment to establishing clear and equitable liability rules for the use of AI. Germany is actively engaging with the legal challenges posed by AI through a combination of national initiatives and the implementation of EU regulations. A key focus is the EU AI Act, which was adopted by the Council of the 27 EU Member States
Legal Framework and Enforceability A strong legal framework is vital for effective arbitration. Jurisdictions that have ratified the New York Convention are preferred, as they ensure international enforceability of awards, providing parties with reliable and globally recognised outcomes. Cost and Procedural Efficiency Jurisdictions known for their cost- effective arbitration processes and expedient proceedings can be advantageous, particularly in
high-stakes disputes where time and resource management are paramount.
videoconferencing in courts, expanding the use of video evidence, and the reform of arbitration law, all contribute to this forward-thinking approach. Q2 Have you seen or do you expect to see a rise in the use of AI to discover infringements and actionable matters? The use of AI tools to detect legal infringements has significantly increased. In the field of intellectual property rights, tools like Copyscape and TrademarkNow are instrumental in identifying plagiarism and trademark violations. In competition law, platforms such as Rivada monitor market transactions and assess the impacts of mergers. For regulatory compliance, solutions like Ascent RegTech and ComplyAdvantage manage regulatory reporting and detect fraud. AI’s capacity to process extensive datasets enables it to uncover patterns and potential violations that might evade human detection. Predictive Analytics The growing use of AI in predictive analytics is revolutionising risk management in legal contexts, offering preemptive insights into potential disputes before they escalate. Advanced tools such as Lex Machina, which forecasts case outcomes, Kira Systems, which identifies high-risk
Cultural and Linguistic Compatibility In international disputes, the cultural and linguistic context of the arbitral seat can significantly influence the arbitration process. Selecting a jurisdiction where the language and cultural norms are familiar to the parties can reduce the risk of misunderstandings and contribute to a more seamless and effective arbitration process. This consideration is particularly important when parties hail from different legal traditions and linguistic backgrounds. Flexibility and Neutrality The neutrality and flexibility of the chosen jurisdiction are vital to the integrity of the arbitration process. Jurisdictions with a strong tradition of upholding arbitration agreements and enforcing awards are more likely to provide a fair and unbiased forum. Additionally, a legal framework that adapts to the specific needs of the dispute ensures that the arbitration process remains both effective and responsive. Legal Infrastructure and Institutional Support Jurisdictions with well-established legal systems, experienced arbitrators, and courts familiar with ADR procedures offer a reliable foundation for complex disputes. The presence of reputable arbitration institutions, such as the ICC or DIS, further enhances the jurisdiction’s ability to manage disputes with professionalism and expertise.
Florian Wettner specialises in domestic and international litigation and arbitration with an emphasis on disputes in capital markets and corporate matters. Furthermore, he focuses on advising companies on compliance issues and internal investigations. Florian also has extensive experience in handling complex claims and liability cases related to insurance law (particularly in the area of D&O and other indemnity insurance). Florian Wettner studied at the universities of Freiburg, Florence and Heidelberg. After obtaining his doctorate, he spent seven years with one of the leading German corporate law firms. From 2007 to 2008 he worked for an international corporate law firm in London in internal investigations. In 2011 he was seconded to the compliance department of a DAX-listed company. He advises clients in German and English and speaks Italian. The current ranking list published by leading German business newspaper Handelsblatt and U.S. publisher ‘Best Lawyers’ ranks Florian Wettner as one of the Best Lawyers in Germany for Litigation.
About us...
www.metis-legal.de/en
METIS offers legal consultancy services. Metis is a quality partner for strategic planning and assisting clients in key decisions and complex transactions. Their practice includes domestic and cross-border transactions, as well as representing clients in commercial negotiations and before the German courts. They focus on the following key areas: Mergers & Acquisitions, Corporate Law, Employment Law and Dispute Resolution METIS has links to several prestigious law firms in Germany and abroad. This network enables them to provide our clients with comprehensive legal advice across all practice areas and most jurisdictions.
+49 69 271 38 89 0 Florian.Wettner@metis-legal.de irglobal.com/advisor/florian-wettner
28 | irglobal
irglobal | 29
Made with FlippingBook. PDF to flipbook with ease