Can Boards Rely on AI-Assisted Management Reports?

This piece argues that directors must preserve a clear, reviewable basis for decisions even as AI shapes management reporting, defining defensibility as the ability to explain why a decision was reasonable given the information, alternatives, and uncertainties at the time. It warns that state corporate law has not yet set standards for board oversight of AI deployment, leaving directors exposed to emerging liability. For SEA boards adopting AI tools, it underscores the need for disciplined inquiry and documented decision rationale.