Learning to Read Terms of Use

One of the most important steps that you need to take when evaluating whether to buy or use an AI product is to read the terms of use. Here we're going to go through a terms of use step-by-step to see which clauses you should watch out for the most.

Here's what you are looking for:

1) What is the privacy policy of the GAI tool's owner/creator? Does that privacy policy protect your company's staff?

2) What is the policy concerning intellectual property? Does your company own work created collaboratively with the GAI tool or does the GAI tools company own it?

3) Does the GAI company have any language about your output being potentially the same as someone else's output? How might that affect your company?

4) How does the company use the data that you put in? Is it used to train the model? If it is, can your company opt out?

5) If the GAI company does something that breaches their contract with your company, what remedies do you have under the user agreement?

6) What does the GAI company say that you can't do with their software? Do those prohibited uses affect your company?

7) Does the GAI tool do anything to prevent hallucinations?

8) What does the GAI tool company do to make sure that they are complying with all applicable laws?

If needed, run the confusing parts through Microsoft CoPilot asking for a Plain English translation.

While you wouldn't exclusively rely on what AI says for this when you are a practicing compliance officer, it can be useful while you're learning how to read an agreement.

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