AI vs. Attorney: Who Drafts Contracts Better?

Table of Contents

1. Introduction
2. Understanding the Limitations of Artificial Intelligence
3. Protecting Your Creative Works
4. Drafting Contracts with AI
5. Reviewing Contracts with AI
6. Explaining Contract Clauses with AI
7. Tips for Using AI in Your Online Business
8. Conclusion

Introduction

Understanding the Limitations of Artificial Intelligence

Protecting Your Creative Works

Drafting Contracts with AI

Reviewing Contracts with AI

Explaining Contract Clauses with AI

Tips for Using AI in Your Online Business

Conclusion

How Artificial Intelligence Can Assist and Impact Your Online Business

In today's digital age, artificial intelligence (AI) has become increasingly prominent in various industries, including online business. As an online business owner, You might be Wondering how AI can benefit your business and whether it is safe, professional, and legally permissible to utilize AI Tools in your promotional and sales efforts. In this article, we will explore some popular AI tools, such as Chatty GPT, Mid-Journey Dali, Canva, and Bard, and Delve into the insights and secrets from an online business attorney's perspective on how to use AI effectively, while ensuring legal compliance.

Understanding the Limitations of Artificial Intelligence

Before delving into the practical applications of AI in your online business, it is crucial to understand and acknowledge the limitations of AI. While AI, particularly ChatGPT, has gained significant popularity, it is essential to view AI as a tool rather than a complete replacement for human involvement, especially when it comes to creative work. Under U.S copyright law, any work that is not created by a human cannot be protected by copyright. Therefore, it is important to add a human touch to the AI-generated work, especially if you intend to monetize it. Additionally, when using AI for branding or logo development, it is vital to be cautious about the influences on the AI database. Using scraped images from the internet without proper licensing can potentially lead to copyright or trademark infringement issues.

Protecting Your Creative Works

To safeguard your creative works, it is crucial to ensure that they are created by humans rather than AI. While AI can assist in various aspects of your online business, creative works protected under copyright law must have human Creators. A real-life example highlights the importance of human involvement in copyright protection. In an attempted copyright registration for a graphic Novel, which was mostly created using AI, the copyright office rejected the registration as non-human creations are not eligible for copyright protection. Therefore, when incorporating AI into your business, it is essential to strike a balance between AI assistance and human creativity to adhere to copyright laws.

Drafting Contracts with AI

One area where AI can be particularly useful in your online business is contract drafting. For relatively simple agreements that can be found for free on the internet, AI tools like ChatGPT can provide decent results. By providing specific Prompts, such as drafting a contract between two parties in a certain jurisdiction, AI can generate initial drafts to serve as a base for further refinement. However, it is important to remember that the more specific information and inputs you provide to the AI, the better the results will be. Consulting with an attorney and utilizing their expertise in reviewing and enhancing the AI-generated contract can further improve its accuracy and legality.

Reviewing Contracts with AI

If you receive a contract in your online business and require assistance in understanding its terms and implications, AI can be employed for contract review. By copying and pasting the entire text of the contract into an AI Tool, you can obtain insights and information about the purpose, important terms, duration, consideration, and negotiate key terms. However, it is important to note that the complexity or industry-specific nature of a contract might limit the AI's ability to provide comprehensive guidance. In such cases, consulting with an attorney can ensure a more thorough analysis of the contract.

Explaining Contract Clauses with AI

Understanding complex contract clauses can be challenging, both for yourself and when explaining them to others involved in your business. Here, AI can assist in simplifying and clarifying contract language. By inputting a specific clause into an AI tool and requesting an explanation, you can receive a more digestible explanation suitable for sharing with clients or customers. Additionally, by specifying whether you want the explanation to be authoritative, playful, casual, or understandable to a five-year-old, you can personalize the output to match your needs.

Tips for Using AI in Your Online Business

While the possibilities and benefits of AI in your online business are vast, these tips will help you navigate its usage effectively:

1. View AI as a tool, not a complete replacement for human involvement.
2. Protect your creative works by ensuring human creation.
3. Use AI for drafting contracts, but consult with an attorney for expert review and refinement.
4. Utilize AI for contract review, but consider the complexity and consult an attorney for complex or industry-specific contracts.
5. Leverage AI to simplify and explain contract clauses, ensuring a clearer understanding for yourself and others.

Conclusion

Artificial intelligence offers significant potential to enhance and streamline various aspects of your online business. By understanding AI's limitations, protecting your creative works, and utilizing AI tools for tasks such as contract drafting, review, and clause explanation, you can harness the power of AI while ensuring legal compliance. Remember to consider the unique human element in your business and consult with an attorney when necessary to maximize the benefits of AI while protecting your interests.

Highlights

• Artificial intelligence can benefit online businesses, but it has limitations and requires human involvement.
• Copyright protection only applies to works created by humans, not AI.
• AI can assist in drafting contracts and reviewing them, but legal review is essential for accuracy and compliance.
• AI can simplify and explain complex contract clauses in a more digestible manner.
• Using AI in your online business requires careful consideration and consultation when necessary.

FAQ

Q: Can AI-generated works be protected by copyright? A: No, under U.S copyright law, copyright protection only applies to works created by humans.

Q: Is it advisable to rely solely on AI for legal advice or document creation? A: No, AI should be viewed as a tool and not a substitute for human expertise. Legal advice should be sought from an attorney.

Q: Can AI accurately review complex contracts? A: AI can provide insights and basic analysis of contracts but might struggle with industry-specific or complex contracts. Consulting with an attorney is recommended for comprehensive contract review.

Q: How can AI help simplify complex contract clauses? A: AI can be used to generate more understandable explanations of contract clauses, making them easier to comprehend and share with others involved in your business.