Product Liability in the Internet of Things
Summary
Beginning next January, the new law will require manufacturers of IoT devices sold in California to implement reasonable security features that protect the software, data, and information contained within them. It allows for real-time observation by medical professionals, which makes patients safer and reduces the need for long visits to the doctor’s office. Additionally, a software defect could potentially misread data, corrupt information, or even cause the device to malfunction. The California Legislature may have placed the burden on an IoT device’s physical manufacturer to ensure safety when it comes to data stored inside the device. But physical device manufacturers may yet argue that the software was a component product when it comes to strict liability issues.