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Artificial Intelligence and Algorithms in Contract Development: New FTC Guidance and European Commission Regulations

Overcoming Bias and Discrimination in Computer-Generated Contracts

Recording of a 90-minute CLE video webinar with Q&A

This program is included with the Strafford CLE Pass. Click for more information.
This program is included with the Strafford All-Access Pass. Click for more information.

Conducted on Tuesday, August 17, 2021

Recorded event now available

or call 1-800-926-7926

This CLE course will advise counsel on the use of artificial intelligence (AI) and related algorithms in contract development and how the Federal Trade Commission (FTC) and the European Commission (EC) intend to regulate AI in contracts to mitigate bias and discrimination claims.


AI and related algorithms can improve contract drafting efficiency, making counsel more competitive by shrinking the knowledge gap across years and silos, providing lawyers with proactive rather than reactive tools.

The FTC issued guidance earlier this year due to many cases alleging violations of FTC regulations regarding AI and automated decision-making. The FTC emphasized the importance of ensuring data sets are representative of the population, testing outcomes to avoid bias and unfair discrimination, and being transparent about what an algorithm can and cannot do with business customers and consumers.

Likewise, the EC has proposed expansive regulation and global AI standards, including the establishment of a European Artificial Intelligence Board to oversee regulatory implementation. The EC's proposed AI Regulation bans certain practices that create an unacceptable risk; outlines strict safeguards for "high-risk" AI systems (outlined in Annex III in the Annexes to the Proposal); places lesser restrictions on and creates voluntary "codes of conduct" for "limited-risk" AI systems; and includes weighty fines for violations (noncompliance at up to 30 million euros or six percent of worldwide turnover, whichever is greater).

Listen as our expert panel discusses the status of contract development using AI and algorithms, current FTC guidance, and the state of proposed EC regulations on future use.



  1. AI and algorithms
    1. Status of use in contract development
    2. Efficiency
    3. Decreased costs
  2. FTC guidance
    1. Bias
    2. Discrimination
  3. EC proposed regulations
    1. Prohibited activities
    2. Implementation and enforcement agency
    3. Recordkeeping requirements


The panel will review these and other key issues:

  • How can counsel address the pros and cons of the use of AI in contract development?
  • What is the FTC guidance on the use of AI in contract development?
  • What AI regulations has the EC proposed?


Giblin, Annmarie
Annmarie Giblin

Founding Attorney and Principal
Giblin Law

Ms. Giblin practices cyber and privacy law, related legal consultant work, and all types of general litigation. She is...  |  Read More

Sherer, James
James A. Sherer


Mr. Sherer is Chair of the firm’s Information Governance practice team and also serves as a member of the...  |  Read More

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