Managing Legal Issues Arising From Use of ChatGPT and Generative AI: E.U. and U.S. Privacy Law Considerations

The AI application ChatGPT quickly became a household name, but already is morphing into a more advanced version of generative AI. At the same time, Microsoft’s redesigned Bing search engine will soon run on a new, next-generation OpenAI large language model. While these tools have demonstrated that generative AI has tremendous operational and business potential, already a visible constellation of legal and regulatory risks – privacy, data security and intellectual property, among others – are likely to arise with their use. In this two-part guest article series, Ballard Spahr attorneys explore these issues. This first article covers AI collection and use issues under U.S. and E.U privacy laws and regulations. Part two will address product liability, healthcare and employment risks, issues under wiretapping laws, and practical compliance measures. See “AI Compliance Playbook: Traditional Risk Controls for Cutting-Edge Algorithms,” (Jun. 23, 2021), “AI Compliance Playbook: Seven Questions to Ask Before Regulators or Reporters Do,” (Jul. 21, 2021), and “AI Compliance Playbook: Adapting the Three Lines Framework for AI Innovations” (Aug. 4, 2021).

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