Automakers Should Not Be Held Strictly Liable For V2V Hacks

Law360, New York (October 29, 2014, 6:04 PM EDT) -- In an effort to increase safety, the National Highway Traffic Safety Administration is proposing a rule that will require new cars to have vehicle-to-vehicle ("V2V") communication systems that warn about collisions.[1] Because the V2V system will wirelessly link all cars, it presents unique security and liability concerns. Hackers may be able to use V2V to remotely control vehicles. This is different from the attacks that have been litigated to date, such as hackers stealing credit card information from large retail stores. Hacking into networked cars can injure people and destroy property. Thus, auto manufacturers could be the first defendants to be held strictly liable for such criminal attacks, under a theory that "defects" in the car allowed the hacker to gain access. This would not be an appropriate application of strict liability, because it would require manufacturers to do the impossible: create a complex system of wirelessly networked computers that cannot be hacked. As NHTSA correctly suggests, federal preemption of strict liability would be appropriate in such instances....

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