AI legal challenges

Addressing Legal Challenges on AI Development and Use

The recent lawsuit by Asian News International against OpenAI in the Delhi High Court mirrors global trends involving allegations that large language models (“LLMs”) are being trained on copyrighted material without authorization or licenses, leading to copyright infringement. For the purpose of balancing innovation with compliance, artificial intelligence (“AI”) developers in India must take proactive measures to navigate the complex interplay of copyright, data protection and liability issues. By securing licensing agreements, clarifying the scope of ‘fair use’ under copyright law, offering indemnities to users, and preparing for court-directed compliance actions, AI developers can mitigate risks and build legally compliant AI systems.


AI in India

Investing in AI in India (Part 1): Key Considerations

While investments in the AI sector in India present significant opportunities, they also present a unique set of risks within an evolving legal and regulatory landscape.
Before making an investment decision, investors should consider IP issues, data-related rights and compliance, any industry-specific concerns, the then-applicable regulatory framework as well as potential developments in AI regulation. In addition, investors should evaluate operational and contractual arrangements, undertake a technical due diligence, and assess potential liabilities and risks. Such risks include product and professional liability, algorithmic bias and discrimination, cybersecurity and data breaches, market and reputational risks, along with concerns related to transparency and explainability.
 


AI-Generated Inventions

AI-Generated Inventions: New Questions for Patent Regimes

Since patent regimes around the world are primarily designed to reward “human” innovation, such norms may need to be revisited for the purpose of protecting inventions that are generated by artificial intelligence (“AI”).
In most jurisdictions, existing patent laws contemplate an “inventor” to (only) mean a natural person. Further, recent authoritative interpretations have been reluctant to extend the concept of inventorship to AI systems.
However, with the growing use of AI, modern technology has arrived at an inflection point where an AI algorithm can play a determinative role in the inventive process. Accordingly, the question of granting patents to AI-generated inventions has assumed additional importance, including in terms of incentivizing innovation and investments into future AI models.
Subject to new developments and priorities, legislators may want to consider options such as amending extant patent regimes, introducing a bespoke framework especially for AI-generated inventions, allowing human beings to be named as inventors to the extent of their involvement in the use or development of the AI system concerned, or even doing away with the requirement of naming an inventor for AI-generated inventions.