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AI & Law
Investing in AI companies: the key diligence questions
When investing in AI firms, data provenance, model ownership, and compliance may be the biggest hidden variables.
Diligence on AI companies increasingly needs to cover, beyond finance and technology, the legality of data sources, ownership of models and training data, and regulatory compliance.
Copyright and privacy defects in training data, and open-source license contagion, can become major post-deal liabilities.
Fold AI-specific diligence into the deal process, allocate risk via representations and special indemnities, and set pre-closing remediation for key compliance gaps.