Abstract
This paper critically examines the allocation of liability when autonomous artificial intelligence (AI) systems cause accidents. Problems of applying existing principles of legal liability in AI environment are addressed. This paper argues that the sharing of risk as a basis for proportionate liability should be a basis for a new liability regime to govern future autonomous machines. It is argued that this approach favors the reality of parties' consent to taking the risk of unpredictable AI behavior over the technicality of existing principles of legal liability. The suggested approach also encourages transparency and responsible decisions of developers and owners of AI systems. A flowchart to clarify possible outcomes of applying the suggested approach is provided. The paper also discusses the need for harmonization of national laws and international cooperation regarding AI incidents crossing national borders to ensure predictability of legal rules governing the liability ensuing from AI applications.