software liability
Do individual programmers expose themselves to liability risks when they make their programs available to the public?
<p>There are numerous useful apps, software programs, web applications, browser plug-ins, etc., that have been produced by individual programmers.  Are these programmers exposing themselves to personal liability risks by making their tools available to the public?  </p>

<p>For example, consider a hypothetical case where an individual programmer in the US has developed a web-based service that is used for business.  Unbeknownst to the programmer, there is a bug in the code.  The bug surfaces when a user attempts to use the service, costing the user a large sum of money because the service failed due to the bug.  How likely would it be for the developer of the service to be found liable for the damages that the user of the service incurred, if the user of the service attempted to sue the developer?  Does the answer depend on whether or not the developer charges for the use of the service?</p>

<h2>Yes</h2>

<p><strong>Contract</strong></p>

<p>If a developer charges for a program they have a contract. Common law implies terms into contracts that the goods and services provided will be merchantable (that is suitable for sale) and fit for purpose (that is they do what the provider says they do or that the customer specified). Depending on local consumer protection law these may or may not be excludable by explicit terms.</p>

<p><strong>Negligence</strong></p>

<p>Notwithstanding the existence of a contract, there may be a claim in the tort of negligence. To prove negligence the recipient must show:</p>

<ol>
<li>The developer owed a duty of care to the user</li>
<li>They failed in that duty</li>
<li>As a result of that failure the user suffered harm that was reasonably foreseeable to the owners.</li>
</ol>

<p>All of these are fact dependent. Things that are all relevant would be if there is a contract, the specificity of the tool, any disclaimers etc.</p>

<p><strong>Consumer Protection Law</strong></p>

<p>These vary by jurisdiction. In many cases they imply non-excludable warranties on “suppliers” - so they encompass people who supply goods and services without charging for them.</p>

<p><strong>Health and Safety Law</strong></p>

<p>If the app has direct safety implications (e.g. if it modified a car’s computer control system) then the supplier is obliged to ensure that it is safe.</p>
