Thailand AI liability civil courts

Thailand's Draft AI Act Borrows a Product-Liability Model for a Technology That Is Not a Product

ETDA's draft makes AI providers and deployers jointly liable regardless of fault, with three narrow defences. Thai law's existing strict-liability regime shows why that design needs limits.

Thailand's Draft AI Act at a Glance People of Internet Research · Thailand 3 Permitted liability defences Force majeure, victim's own act, o… THB 5M Maximum administrative fine Fines run THB 1M to 5M by severity… 4 Risk tiers in draft Prohibited, high-risk, licensed, t… 10 yrs Product-liability long-stop Under the 2008 Act, from date of s… peopleofinternet.com
Thailand's Draft AI Act at a Glance People of Internet Research · Thailand 3 Permitted liability defenc… THB 5M Maximum administrative f… 4 Risk tiers in draft 10 yrs Product-liability long-stop peopleofinternet.com

Key Takeaways

Thailand's public hearing on the Electronic Transactions Development Agency's (ETDA) draft Artificial Intelligence Act closed on 14 August 2026. The most consequential provision is the liability clause. It makes providers and deployers jointly liable for AI-related damage "regardless of willful act or negligence," and leaves only three defences: force majeure, the victim's own act or omission, and compliance with an official order, as summarised by Tilleke & Gibbins and Baker McKenzie. Industry groups objected that unlimited strict liability would deter deployment. ETDA has signalled the clause may change. As of early October, no Cabinet or Parliament stage has been reported.

The strongest case for strict liability

Regulators have a serious argument. AI systems are opaque, and a injured person usually cannot see the training data, the model weights or the deployment choices that caused the harm. Requiring a claimant to prove negligence against a foreign developer, in a Thai court, may mean no remedy at all. Joint liability also lets the victim sue whichever party is easiest to reach, and leaves the provider and deployer to apportion fault between themselves. Thailand has also accepted this logic before.

Thailand already has a strict-liability regime, and it has limits

The Product Liability Act B.E. 2551 (2008), which took effect in February 2009, introduced strict liability into Thai law for unsafe goods. Before it, injured consumers had to prove wilful or negligent conduct under the Civil and Commercial Code. An unofficial English translation of the Act was prepared by officials of the Office of the Consumer Protection Board. According to Price Sanond's analysis, the claimant must show only that the damage came from a product in ordinary use or storage. The defendant then has to show the product was not unsafe, that the claimant knew of the danger, or that the claimant ignored instructions.

The AI draft goes further than that model in three ways.

What the draft risks

The draft is broad. It applies to developers, providers, deployers and platform operators, including offshore entities, and sorts systems into four tiers: prohibited, high-risk, licensed, and transparency-only (deepfakes, chatbots, generative AI), per Baker McKenzie. Tilleke reports administrative fines of THB 1 million to THB 5 million, plus enforcement powers that escalate to blocking AI systems in Thailand. Foreign providers must appoint local representatives who may carry wide liability exposure.

Stacked together, these create a cost that cannot be priced. Fines are capped, but civil liability under the draft is not. An insurer cannot underwrite a risk with no ceiling, no fault standard and no time limit. The likely result is rational withdrawal. Foreign model providers would geo-fence Thai users or decline to offer enterprise features, and local start-ups would be reluctant to build on any foundation model. The policy would then fail its own aim, because Thai victims would be protected from AI by not having access to it. Hospitals, banks and small businesses that would benefit from deployment bear that cost.

There is also an enforcement mismatch. The same draft already gives ETDA recall, suspension and blocking powers, and a licensing tier for the riskiest systems. Where a regulator controls market entry, ex-ante controls do the work of deterrence. Layering uncapped no-fault liability on top of them punishes compliant firms twice.

A proportionate alternative

The goal of making victims whole can be met without the same design. Four changes would do most of the work:

The broader lesson matches what EFF argued this August in the copyright context: legal systems should avoid rewriting settled doctrine out of panic over a new technology. Thailand has a tested strict-liability regime and a regulator with real powers. The draft should use both, in proportion.

What to watch

ETDA has not published a revised text. Whether the final bill keeps the "regardless of intent or negligence" language, adds a compliance defence, or caps exposure will decide whether Thailand becomes a place where AI is deployed under clear rules or one where the largest providers quietly stay out. ETDA has run AI-governance consultations since at least 2022, per its emerging-technologies page, so it knows how to fold in feedback. The Cabinet and Parliament stages are still ahead.

Sources & Citations

  1. ETDA – emerging technologies governance and public hearings
  2. ETDA – public hearing page (2022 AI governance consultation)
  3. Product Liability Act B.E. 2551 (OCPB translation)
  4. Baker McKenzie – Thailand Draft AI Act: seven key implications
  5. Tilleke & Gibbins – Thailand releases new draft AI Act
  6. Price Sanond – Thailand's Product Liability Law
  7. EFF – Don't Rewrite Copyright Over AI Hype