Contract Architecture — Core AI Clauses for Vendor Agreements

Short summary

AI vendor contracts require specialized clauses addressing model ownership, training rights, and data use beyond standard SaaS terms. Critical provisions include explicit opt-in for training on customer data, clear ownership of outputs and fine-tuned models, and elevated confidentiality for prompts and interaction metadata. Contracts should define high-risk AI system classifications and prohibit unauthorized data ingestion.

• •Define AI services, models, inputs, outputs, and training data with precision
• •Restrict vendor use of customer data for model training unless explicitly authorized
• •Establish ownership of customer inputs, outputs, and fine-tuned models
• •Treat interaction metadata and prompts as confidential information
• •Address high-risk AI system classifications and regulatory updates

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