Five AI Questions Every Business Has to Ask

Going through the TIPPER checklist can put you ahead of 90% of your competition

You’re eager to find out how AI can transform your business, but at the same time, you’re cautious. Cautious about lawsuits, bad PR, ever-changing regulations, and hostile regulators. Where to even start thinking about the legal risks? 

Think “⭐ TIPPER” and focus first on these five issues: 🎯

Why It Matters:

• AI brings new legal risks. Everyone knows this but nobody is sure what to do. Everything's changing fast. New lawsuits, new laws, new regulatory actions. 🚧

• We can’t eliminate all risks, of course, but most issues fall into 5 categories: transparency, IP, privacy, ethics, risk management & liability (“⭐ TIPPER”). 5️⃣

• You have to start somewhere, so start with these. Focus on, and figure out how to manage these ⭐ TIPPER issues, and you will have a plan to manage 80-90% of your ☔legal risk.

Zoom In: 🧐

• 🔍 Transparency: Misunderstandings abound regarding AI data practices, making clear communication essential. Effective transparency policies foster trust, whereas obscurity can alienate stakeholders.

• 📖 IP (Intellectual Property): Navigating ownership in AI—from data to models—is tricky. Using public data without proper licensing can breach copyrights. It's still debated if AI-created content warrants copyright, so proactive contractual clarity is vital.

• 🔒 Privacy: AI systems often process large data volumes without comprehensive user consent, stirring significant privacy worries. Keeping pace with ever-shifting data privacy laws is a must for businesses.

• ⚖️ Ethics: AI, left unchecked, might inadvertently uphold biases or make questionable choices. Implementing human oversight and routine algorithm checks is crucial to ensure ethical AI operations.

• 🛡️ Risk Management: Harnessing AI's power means grappling with its risks—potential regulatory pitfalls, customer trust erosion, and liability issues. Continuous risk assessments and dynamic strategies are essential for safe AI integration.

Go Deeper: For more on the ⭐ TIPPER framework, see our AI and the Law: An Executive’s Guide to Navigating Risks and Opportunities. We are working on an online course and an ebook and would love your feedback!