These AI terms of service templates are tailored specifically for generative artificial intelligence (AI) systems offered as cloud-based or hosted services. There are three terms of service documents to choose from: a business-to-business (B2B) version, a business-to-consumer (B2C) version, and a combined/comprehensive version.
What is generative AI?
Generative AI systems have the capability to produce text, videos, images, and other innovative outputs. Users interact with these systems by providing inputs, typically in the form of natural language prompts, and the AI generates corresponding outputs. These systems, which appear to possess intelligence, rely on intricate algorithmic models embedded in software and are trained with extensive datasets.
What rights to use the service are granted under the GenAI T&Cs?
The services provider grants to the customer a non-exclusive licence to use the AI services. This licence may be restricted based on users, interfaces, purposes, and duration. Licensing rules may include a range of prohibitions, such as restrictions on user-initiated penetration or load testing.
How is copyright in outputs treated under the AI terms of service?
A crucial aspect of any terms and conditions governing a generative AI system is the handling of copyright and other intellectual property rights related to system outputs.
These templates provide two options. Under one option, the customer owns "novel" rights AI outputs; whereas under the other option, the services provider is the owner of these rights and grants to the customer a right to use the outputs.
In either case, the service provider retains rights under the underlying technology.
Whichever option is selected, careful consideration needs to be given to the requirement under UK copyright law that assignments of copyright be in writing and assigned by or on behalf of the assignor.
Consumer protection
The versions of the AI terms of service covering B2C relationships include consumer protection provisions, most notably a distance selling clause.
Acceptable use
The AI terms of service templates are accompanied by an AI-specific acceptable use policy (AUP), which governs the content submitted to the service, the purposes for using the service, and the utilisation of generated outputs.
The AUP primarily addresses the provider-user relationship rather than the provider-customer relationship, which is particularly beneficial if the user is not (or is not always) the customer.
Some provisions in the AUP mirror those in the main terms of service. Depending on the nature of the services provided, specific usage rules may be included in the terms of service, the AUP, both, or neither.
SLA and beta access
The versions of these GenAI terms of service covering B2B relationships offer an optional service level agreement (SLA) that addresses availability and support service levels.
Additionally, there is an optional clause for early or beta access, which limits the provider's responsibilities and liabilities concerning early access services and modules.
Other types of AI service
These particular AI terms and conditions templates are not suitable for AI systems intended for installation on customer or user machines, nor are they appropriate without significant modification for discriminative or predictive AI systems or traditional expert systems.