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Regarding your statement on AI, the use of AI for decision-making by directors is not explicitly addressed in the CA 1993 however the Act has
Regarding your statement on AI, the use of AI for decision-making by directors is not explicitly addressed in the CA 1993 however the Act has specific provisions regarding the duties and responsibilities of directors. The CA 1993 states that the business and affairs of the company must be managed by, or under the direction or supervision of, the board of the company . They cannot delegate this responsibility entirely to an AI system. This implies that the directors of GNZL, as a subsidiary of Granda Corp in New Zealand, are legally required to actively manage the company and make decisions in its best interest. It is crucial for the directors of a company to maintain responsible control, even when Artificial Intelligence (AI) is used as a tool to aid decision-making processes. They must ensure that they not only agree with but also fully comprehend any decisions that have been provided by AI. This is further emphasized in the Act which requires directors to act in good faith and in the best interests of the company. This suggests that while AI can be used as a tool, it cannot replace the role of the directors in decision-making and fiduciary duties of human directors. If Granda Corp were to implement AI for all decision-making in GNZL, it could be a violation of the Act. Therefore, while Granda Corp's desire to use the latest technology is understandable, it's important to ensure that the use of such technology complies with the legal obligations of directors under NZ
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