22 Jun 2026

The risks of buying and selling  AI-enabled services

When acquiring or providing AI-enabled services, it is crucial for the contract and commercial managers ensure that their contracts cover:

Ownership of outputs

Training-data usage

Confidentiality

Accuracy warranties

Liability caps

Regulatory compliance

The allocation of AI risk is becoming a standard point of negotiation, akin to cybersecurity clauses from a decade ago. I think Sales teams are running risks by making promises regarding accuracy, automation, compliance, and outcomes unless these are supported by contractual language.