AI stands for Artificial Intelligence. It refers to the development of computer systems which perform tasks that typically require human intelligence. These tasks include problem-solving, learning, speech recognition, perception, and decision-making. AI aims to create machines that can mimic cognitive functions such as reasoning, problem-solving, learning from experience, and understanding natural language.

We come across AI in our day to day lives through smart speakers - which use AI to understand natural language and perform tasks based on voice commands. We also see AI in social media platforms as they use AI algorithms to analyse your preferences, interactions, and content engagement. This information is then used to suggest relevant content, friends, or ads in your feed. Many companies employ AI-powered chatbots on their websites to provide instant customer support. These bots can answer frequently asked questions, guide users through processes, and even resolve certain issues without human intervention. We also see the use of AI in navigation apps to analyse real-time data, historical traffic patterns, and user inputs to predict and provide the fastest route to a destination. They can also offer alternative routes based on current traffic conditions.

What do you need to consider as an AI developer or service provider?

When entering into contracts with customers or users as an AI service provider, it's crucial to explicitly address several key aspects to ensure clarity, transparency, and legal compliance. A key consideration should be to outline how user data will be handled, stored, and protected. This will likely involve specifying security measures in place to safeguard sensitive information.  You will also want to state any limitations of your liability and define circumstances under which each party is responsible for indemnifying the other. Clarify the extent of financial responsibility in case of data breaches, system failures, or other issues. Your contracts should also specify the ownership and usage rights of intellectual property, including any pre-existing technology or proprietary algorithms. Clarify whether the customer retains any rights over the data generated through the use of the AI service.

What do you need to consider when engaging an AI provider?

When incorporating AI into your own product as a business customer, it's essential to address various contractual considerations to protect your interests, ensure clarity, and establish a strong partnership with the AI service provider. Make sure that your contract with the provider clearly defines the scope of AI services being provided. Ensure that the scope aligns with your business requirements and objectives and specify the features, functionalities, and deliverables to be included in the product. The contract should include provisions for confidentiality to protect sensitive information exchanged during the collaboration, and ensure that the AI service provider commits to compliance with relevant laws, regulations, and industry standards. Specify any specific regulatory requirements applicable to your industry or jurisdiction.

You should also look to address the ownership and licensing of intellectual property, including any customisations or enhancements made to the AI service. Clarify whether the AI service provider retains any rights over proprietary algorithms or technologies.

How can we help?

Engaging legal professionals experienced in technology and AI contracts is advisable to ensure that the contract accurately reflects your business needs and protects your interests in the dynamic field of AI technology. We can help you clear your path to success.

In need of support from commercial or technology contract lawyers in the UK? Get in touch with our team.

How to get started

Don't take our word for it

speech mark red

Real world legal advice from real people. No stuffy posh nonsense or complicated legal speak for the sake of it, just great value legal advice. Making the switch to Plume was easy and has saved us a lot of money compared to our previous subscription legal service.

Chris Lake, Ops Director. Glendining Signs
speech mark red

Rachael is a diamond and very intelligent. She has a lovely style and an efficient, commercial & more collaborative approach to advising clients. It's also reassuring to know that Rachael is a former litigator so you know you are getting all-round excellent commercially sound advice. Highly recommended!

Lesley Wan, GC
speech mark red

Having negotiated against Alice personally, we were confident of her legal skills and commercial acumen. They immediately submersed themselves into our business, acting as an extension of our legal team. They worked incredibly hard, are friendly, approachable and above all could always be counted on to retain a sense of humour.”

Jen Kitson, GC, BlueYonder
speech mark red

Rachael is commercially focussed, and her investment in taking the time to get to know our business means she takes a pragmatic, human-centric approach to negotiations. She proactively gets her head around the particular priorities and constraints on each engagement, meaning she hits the ground running adding value while being able to move at pace.

Eleanor Kearon, VP Legal, Onfido
speech mark red

“Plume is anything but your traditional law firm. We found the lawyers to not only be experts in their fields, but dedicated to understanding our business, which is so important to finding innovative solutions to the problems that we bring to them. Every single person I’ve met at Plume has been a delight to work with, and that just makes all the difference. I really do feel in very good hands working with Plume.”

Tara Haig, GC, Multiverse
speech mark red

Our favourite thing about working with Plume is it doesn’t feel like we’re working with a law firm but rather an extension of our own team. The lawyers have become so embedded in our business, so commercially focussed and so tuned to our risk appetite and way of working

Francesca Porter, General Counsel, Onfido
speech mark red

The best thing about working with the Employment team is the prompt guidance and support they have given with sensitive and complex issues. They offer professional and diligent advice as well as being incredibly genuine and encouraging. It is reassuring to know they are on hand to help at all times.

Katie Whitfield, M2A
speech mark red

Everyone internally has been incredibly impressed with your work and I'm sure we will want to continue working together long-term.

speech mark red

Plume is quite clearly the best law firm in the history of the universe. With trademark protections bestowed upon us by your godly lawyers, we'll be able to focus on what we do best.... developing awesome medical technology for the blind community.

LinkedIn follower
speech mark red

Quickly understood my requirements, carried out a thorough review of the facts and produced a user-friendly reference document tailored to my business which demonstrated a strong grasp of the commercials. Take on was pain-free and everyone was friendly and responsive. Would recommend.

Charlotte Ashton, founder director, The Implicit
speech mark red

Excellent firm. Professional and ideal for start-ups.

Joe Lines, co-founder, Nook
speech mark red

The team have supported us with day-to-day and strategic legal advice throughout the year. We're grateful to them for stepping up to support us through this important milestone in MyTutor’s development and for their commitment in getting the deal over the line.

speech mark red

We currently use Plume for our small business and have had a great experience! They are knowledgeable, professional and answer in a timely fashion. Would recommend!

Angie Allgood, CMO, SmashCo
speech mark red

Great working with the folks at Plume. The quality of their work was top notch, their communication was effective and overall happy with the services provided.

Jimi Daodu, founder and CEO, Vault Hill
speech mark red

You are without a doubt the COOLEST law firm ever, and we love working with you! <3

Katy Hamilton Jennings on LinkedIn
speech mark red

They're doing amazing stuff on social media and standing out from the crowd. This is a gold standard in disruption.

Sian Thomas (@IntegrowSales) on Twitter
speech mark red

You are continuing to shape the legal industry to be more creative, compassionate, and (most significantly) human. Keep breaking down barriers - your reach is further than you may realize 🦩

Tiffany Sanchez, Sustainable Wealth Lawyer on LinkedIn
speech mark red

The team have come on board to support MyTutor, a fast growing EdTech business which previously had no in-house legal resource. The team have made a hugely positive difference in a short space of time and we feel incredibly supported by the team, who offer a commercial, low fuss and highly responsive service

Manisha Chana, CFO, MyTutor
speech mark red

Plume are a wonderful, professional and caring law firm. The communication and attention to detail we received by them in dealing with our case was brilliant. I will definitely be using them again for future needs.

Frances Lucraft, CEO/founder, Grace and Green
speech mark red

The team provided excellent leadership and support throughout our funding process. In particular, they provided comprehensive ownership and management of the close process for AccelerComm, providing excellent, professional guidance from start to finish and enabling AccelerComm to focus on growing core business growth


Dig deeper