Safeguarding AI-Generated Code: Evolving Legal Challenges in the Modern Workplace

The concept of Artificial Intelligence (AI) in modern workplaces has presented lawyers and legal departments with a unique set of challenges. One of these is the issue of safeguarding source code that is generated with AI assistance. For a long time, the universally accepted view has been that an employer owns all rights in software code created by its employees while in their line of work. This general view often applies even in cases of independent contractors, so long as this term is included in a formal written contract. Bradley Arant Boult Cummings LLP delves deeper into this issue.

Interestingly, this general principle of employer ownership of code appears to hold even when an employee deploys generative AI (“GenAI”) in their work process. This strategy could involve using GenAI to create an entire set of code or to review an existing code for errors. In both scenarios, typical practice maintains that the employer is the rightful owner of the code.

However, this distinct shift from traditional code creation to AI-assisted or AI-generated code raises critical legal considerations worth examining. How the inclusion of AI in the code creation process affects the ownership and copyright of such code is a rapidly evolving field that requires constant attention from legal professionals. Yet, the liability aspects coupled with potential challenges in enforcing contractual terms and aspects of intellectual property also need significant consideration.

To carry on conversations about this pertinent issue, we must evaluate the implications of AI in the workplace and develop a robust legal framework that can adapt to this progressing environment.