German Higher Regional Courts issue key rulings on AI, liability, and consumer rights

Several German Higher Regional Courts (Oberlandesgerichte) have issued significant rulings affecting various sectors including technology, corporate governance, and consumer protection.

In a notable decision regarding artificial intelligence, the OLG Frankfurt ruled that song lyrics processed with AI can still be protected by copyright. The court determined that as long as a human can demonstrate original creative work in the initial version and those elements are preserved in the final product, the use of AI systems like Suno does not automatically result in a loss of copyright protection.

Regarding corporate governance, the OLG Frankfurt addressed board member liability. The court ruled that a corporation may, under certain conditions, seek reimbursement from a former board member for administrative fines imposed on the company. This case originated from a fine levied due to a missing balance sheet oath in a semi-annual financial report.

Additionally, the OLG Schleswig dealt with consumer rights concerning contracts concluded outside of business premises. The dispute involved the installation of a heat pump and centered on the validity of a contract revocation and the adequacy of information provided to the consumer.