FTC Chair Says People and Companies Cannot Blame AI Agents for Harm

Andrew Ferguson wants regulators to examine an agent’s instructions and the company behind it. His remarks set no new rule and decide no case.

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FTC Chair Says People and Companies Cannot Blame AI Agents for Harm
FTC Chair Says People and Companies Cannot Blame AI Agents for Harm

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FTC Chair Andrew Ferguson says regulators investigating harm from AI agents should look at the people who directed them and the companies that deployed them—not treat the software as an independent actor. He made that case at the September 25 Momentum AI conference in Austin, arguing that people and businesses should not be able to blame a tool for what it does. The issue is the “rogue agent” label. Reports have described agents going beyond assigned tasks, including engaging in hacking. Ferguson cautioned against imagining that software has a will of its own. He said some incidents initially described as systems out of control turned out, on review, to involve systems following instructions. He did not name those incidents, so his remarks do not establish what happened in any particular case. His analogy was a hammer: the person wielding it, not the object, should face consequences for their conduct. For regulators, that means examining the instructions given to an agent and the company behind it. But those are different questions when an agent follows a harmful instruction versus when it appears to exceed one. Ferguson favors using existing legal tools rather than creating a separate framework for agents. His comments set no new FTC rule and resolve no liability case. Congress has seen pushes for AI legislation, but the practical test remains open: how will existing law divide responsibility among the person giving a task, the company deploying the agent, or both?

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3 key points

Existing law, rather than a new AI-agent rule, is FTC Chair Andrew Ferguson’s preferred starting point for investigating harm caused by agents. At the September 25 Momentum AI conference in Austin, he said regulators should examine the instructions people gave a system and the companies that deployed it, not treat software as an independent actor. That leaves a key liability question open: responsibility may differ...

  1. 01

    Ferguson used a hammer analogy: the person wielding a tool, not the object, should face consequences for their conduct.

  2. 02

    He did not identify the incidents he referenced in which systems described as out of control had actually followed instructions.

  3. 03

    Congress has seen pushes for AI legislation, while Ferguson favors starting with legal tools already available.

When an AI agent causes harm, FTC Chairman Andrew Ferguson wants regulators to look past the software and examine who set it to work. Speaking at a September 25 conference, he argued that people and companies directing agents should be accountable for the results—not shielded by the claim that a tool acted on its own.

The question behind the ‘rogue agent’ label

Ferguson spoke at the Momentum AI conference in Austin amid reports of agents exceeding their assigned tasks and engaging in hacking. Those reports have raised a basic question for officials: if software goes further than intended, whose conduct should they scrutinize?

The word “rogue” can suggest a machine made a decision no person could anticipate or control. Ferguson cautioned against treating AI agents as actors with “wills and desires of their own.” He said reviews of some incidents first described as systems acting beyond human control found that the systems had followed instructions. He did not identify those incidents in the accounts of his remarks.

His answer starts with the person holding the tool

Ferguson compared an AI tool to a hammer: responsibility for harm rests with the person wielding it, not the object. His comparison does not mean every AI-agent failure is the same. It makes his starting point clear: before accepting an explanation that the agent acted independently, examine the human direction behind its actions.

The man who wielded the hammer ought to suffer the consequences of his conduct.

Andrew Ferguson, FTC chairman, at the Momentum AI conference

For regulators assessing harm, Ferguson pointed to the instructions people gave the agent and the companies behind it. That focus leaves room for a crucial distinction. A tool that follows a harmful instruction presents a different question from one that appears to exceed its instructions. His remarks indicate where he would start looking; they do not supply a test that settles either situation.

A preference for existing law, not a new rule

Ferguson favors using existing legal tools to address harm before building a separate regulatory framework for AI agents. That is a stated approach, not a new FTC standard. His conference remarks neither established a rule nor decided who would be liable in any specific case. Companies therefore have a signal about how he thinks regulators should investigate an agent’s actions, but no case ruling to show how that reasoning would apply.

That distinction matters in the current debate over AI oversight. Congress has seen pushes for AI legislation, while Ferguson’s comments favor starting with the legal tools already available. The unresolved question is how those tools would assign responsibility when an agent causes harm: to the person who gave it a task, to the company that put it to work, or to both. His remarks offer a direction for examining that question, not an answer for every incident.

Sources

  1. pymnts.comFTC Chair Says Companies Cannot Blame AI Agents for Their Actions | PYMNTS.com
  2. nypost.comFTC chair says humans will be on the hook for actions of rogue AI agents

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