Critical Issues in Supplier Contracts for Connected and Autonomous Vehicles

Contracting for vehicle equipment is becoming more complex with the growth of safety and cybersecurity risks related to connected and autonomous vehicle technology and with increasingly interconnected systems. The sourcing of technology and software to build connected and autonomous vehicles thus requires a diligent, thoughtful and creative approach to documenting contract requirements and specifications, allocating responsibilities and rights, and adopting ongoing governance to manage risks in this new landscape. This Legal Update discusses the related critical issues that vehicle manufacturers and information technology providers need to address in supplier contracts for connected and autonomous vehicles.