Most businesses these days rely on good online reviews for promotion. Good reviews are reassuring to potential customers and encourage the purchase of goods or services from the business. Poor online reviews can have the opposite effect.
Businesses invest large amounts of time and capital in promoting their online presence, maximising their SEO and encouraging favourable customer reviews. A single unfavourable review can very quickly undermine the reputation of a business and may cause financial damage to the business as customers become discouraged from purchasing from it.
So, what happens when an AI-generated overview of a business contains false and disparaging information about a business?
This is precisely the question that a German regional court had to grapple with recently. In what may be seen as a landmark European decision, Google was found liable for the damage caused to two businesses.
Disclaimer: This publication is provided by Laytons LLP for informational purposes only. The information contained in this publication should not be construed as legal advice. Any questions or further information regarding the matters discussed in this publication can be directed to John Abbott.
