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Chapter 5 provides an overview regarding contracts relating to AI development, offerings, and use. It provides suggestions on how to separate commercial and compliance-related clauses in documents, negotiations, and internal review processes. It also presents sample clauses and commentary on topics that warrant particular attention in the context of AI-related business transactions. It offers options on how to contractually define and describe how AI should function and suggests reasonable limitations on representations, warranties, and indemnification. It discusses in detail considerations as to why AI providers should seek instructions to process personal data as opposed to rights to use data for the provider’s own purposes and how this topic could be addressed in the B2B and B2C contexts. Chapter 5 also offers recommendations for miscellaneous clauses, including choice of law, dispute resolution, and force majeure.

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