AI Agent MSA - Software License Agreement
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This Autonomous Assistant Service Agreement, including an AI Addendum, governs the licensing and use of AI agent software and related services. It details the terms for software licensing, AI services such as automated meeting booking and code generation, fees, payment, intellectual property, liability, and data handling. The agreement emphasizes the customer's responsibility for AI agent outputs and the necessity of human oversight for AI-informed decisions, while also outlining provisions for model training and data privacy specific to AI systems. It is designed for a provider offering AI-powered automation solutions to a customer for internal business purposes, with a focus on ethical AI use and compliance with data protection laws like GDPR and CCPA. The document is structured with an Order Form for business terms, Key Terms for legal specifics, and comprehensive Standard Terms, along with a dedicated AI Addendum to address the unique aspects of AI services, including ownership of inputs and outputs, training data, and disclaimers regarding AI accuracy and third-party dependencies. It also includes detailed clauses on warranties, indemnification, confidentiality, and general contractual provisions, making it a robust framework for AI service engagements. The template allows for customization of key variables such as subscription period, fees, and governing law, ensuring adaptability to specific client needs. It also outlines procedures for license compliance verification and the handling of open-source software components. The agreement is designed to be comprehensive, covering various aspects of a modern software and AI service relationship, including export controls and anti-bribery measures. It also addresses the potential for changes in applicable laws and provides a mechanism for renegotiation or termination in such events. The document is suitable for businesses looking to formalize their use of advanced AI technologies, ensuring clarity on responsibilities, limitations, and intellectual property rights in the context of autonomous systems. It is a detailed and adaptable legal instrument for managing the complexities of AI service provision and consumption. The agreement also includes specific provisions for ethical AI considerations, requiring the customer to use AI services in an ethical manner, avoiding bias, ensuring transparency, and taking responsibility for actions taken by AI agents. This highlights a forward-looking approach to AI governance within commercial contracts. The document also clarifies the intellectual property rights for generated code, granting the customer a perpetual, irrevocable, worldwide, royalty-free license to use, modify, and distribute any code generated by the services, with the customer owning all outputs subject to the provider's underlying IP in the services. This is a critical aspect for clients utilizing AI for content or code generation. The agreement also includes specific service level agreements (SLAs) for automated services, guaranteeing uptime and response times, with remedies for breaches, which is important for operational reliability. Overall, this template is a comprehensive and modern legal document for AI-driven service agreements, addressing both traditional software licensing aspects and the emerging complexities of artificial intelligence. It provides a solid foundation for commercial relationships involving autonomous systems, with a strong emphasis on legal compliance, risk management, and ethical considerations. The document's structure, with its various sections and addenda, allows for a modular approach to contract drafting, enabling parties to tailor the agreement to their specific needs while maintaining a consistent legal framework. The inclusion of detailed definitions further enhances clarity and reduces ambiguity in the interpretation of terms. This template is particularly well-suited for technology companies providing AI solutions and their enterprise clients. The document also covers important aspects like data privacy and security, ensuring that client data is handled in accordance with applicable data protection laws, with details to be provided in an attached Data Processing Agreement (DPA). This demonstrates a commitment to data governance and compliance. The template also addresses the potential for third-party API dependencies in AI services, acknowledging that the availability, quality, and functionality of such services are outside the provider's control, and that customer's use of AI services may be subject to additional terms from third-party providers. This is a realistic and necessary provision in the context of modern AI development, which often relies on external models and platforms. The document's emphasis on human oversight for AI decision-making is a crucial ethical and practical consideration, ensuring that AI services augment rather than replace human responsibility. This reflects a balanced approach to the deployment of autonomous systems. The template also includes specific limitations of liability for issues related to autonomous systems, typically capped at the fees paid in the preceding 12 months, which is a standard practice in software and service agreements. The inclusion of a regulatory cure period for changes in applicable laws affecting AI services demonstrates foresight and adaptability to the evolving legal landscape of artificial intelligence. This allows for renegotiation or termination if legal changes materially impact the parties' obligations or liability exposure. The document also addresses the use of beta products, providing disclaimers for their experimental nature and lack of warranty, which is important for managing expectations when new AI features are introduced. The comprehensive nature of this agreement, covering everything from licensing and service delivery to intellectual property, data privacy, liability, and ethical considerations, makes it a robust and essential legal tool for businesses operating in the AI space. It provides a clear framework for managing the complex relationship between AI providers and customers, ensuring that both parties understand their rights, responsibilities, and limitations. The document's attention to detail and its forward-thinking provisions for AI-specific challenges make it a valuable resource for navigating the legal landscape of artificial intelligence. The template also includes provisions for export controls and anti-bribery, reflecting a global perspective on compliance and ethical business practices. This ensures that the agreement is robust enough to handle international engagements and regulatory requirements. The document's clear definitions of key terms, including