With the development of artificial intelligence (AI) technologies in the world and in Ukraine in particular, there is an increasing need for legal regulation of its use: from copyright to liability for decisions made by AI systems or using them. In this publication, we will analyze the key legal aspects of using AI and how to protect your interests in the context of dynamically changing legislation.
Please note that this publication is from March 2025, so for up-to-date information on the legal aspects of using AI in Ukraine, we recommend contacting our lawyers.
1. Legislative framework: what regulates AI in Ukraine?
To date, there is no special law in Ukraine that would directly regulate the use of artificial intelligence. However, even without special legislation, certain aspects of the use of AI are partially regulated, for example, by such regulatory legal acts:
- Civil Code of Ukraine: intellectual property rights, liability for damages, etc.
- Law of Ukraine “On the Protection of Personal Data”: regardless of whether a person or AI uses personal data, it must be protected in accordance with the law.
- Law “On Information”: regulates access and protection of data.
- The Law “On the Basic Principles of Ensuring Cybersecurity of Ukraine”: establishes the rules for protecting information systems.
- The Law of Ukraine “On Copyright and Related Rights”: regulates the emergence, use and disposal of intellectual property rights (including those related to AI).
- Law of Ukraine “On Electronic Commerce”: If AI is used in online business, for example, for chatbots or automated sales, the relevant regulations apply.
Ukraine also focuses on EU standards, including the EU Regulation on Artificial Intelligence (AI Act), which sets requirements for the use of AI depending on the level of risk. Therefore, in law enforcement practice, lawyers will refer to this regulation until a national analogue of this regulatory legal act is adopted.
2. Intellectual Property and AI
One of the most important legal issues in the use of AI is determining the owner of the rights to the results created by AI. The answers to this controversial issue are usually limited to the following options:
- To the person using AI (sets the prompt for AI).
- To the company that owns the AI.
- Mixed option.
- AI, if the AI is recognized as a subject of legal relations or acquires a special status as a participant in legal relations.
In Ukrainian legislation, only an individual can be an author, which excludes AI from the list of authors. However, intellectual property rights may belong not only to an individual. Therefore, intellectual property rights (property rights) to content created by AI will belong to:
- The person who developed or configured the algorithm.
- The company that owns the AI system.
To avoid conflicts related to the definition of intellectual property rights to products created by AI, Zilver lawyers recommend that property rights to the results of AI work be recorded in advance in contracts with AI owners, developers, contractors and users.
3. Responsibility for AI decisions
As with attribution, the question of responsibility for decisions made or created by AI remains open, shall it be:
- Developer or owner of the AI-system?
- The user who applied the AI-system?
- AI as an autonomous legal entity (not yet recognized)?
At the moment, there is no concept of “AI liability” as an independent subject in Ukrainian law. Therefore, the issue will be resolved based on the general principles of civil, administrative and criminal law, depending on which of them will be applied. Accordingly, depending on the circumstances of the case, the following may be held liable:
- The developer, if it is proven that the error is related to a defect in the algorithm.
- Operator if the system has been used improperly.
- User, if the AI was a tool for committing an offense.
To minimize risks, companies are advised to clearly spell out the terms of AI use in contracts, develop internal company policies on the use of AI, and implement systems for monitoring and controlling the operation of AI.
4. Personal data, privacy and AI
AI systems often process personal data or sensitive information that is protected by law and internal company regulations. Therefore, unregulated use of AI may result in violation of the law and liability for the company. As a result, it is extremely important to control and properly document access to and processing of personal data and sensitive information by AI.
5. Legal risks of using AI
Due to the lack of proper legal regulation of AI, the following risks exist:
- Disputes (including legal ones) over copyright/intellectual property rights to the results of AI work.
- Property claims regarding the results of using AI.
- Responsibility in the field of consumer protection.
- Responsibility for violation of user rights, including discrimination, violation of privacy rights .
- Responsibility for violation of public order, norms of public conduct, etc.
6. Recommendations from lawyers on the use of AI
Each individual business must develop its own rules for working with AI. In this publication, we will only provide general recommendations:
- Legal audit and consultation: lawyers will help determine the necessary legal measures to protect your business: development of internal documentation, changes in business processes, registration of intellectual property rights, conclusion or amendment of contracts, etc.
- AI Policy (Act): the development and use of internal regulations (policy) on working with AI is important for establishing rules for working with AI in a specific business, including for the purpose of holding accountable for violating such rules. A sample Regulation on the Use of AI (AI Act) from the law firm “Zilver” can be found at the link.
- Conclusion of contracts: fixing rights and obligations in contracts will protect the business from the uncertainty that exists at the legislative level.
- Choosing subscriptions wisely: Since AI services offer different terms of use for AI, it is important to thoroughly familiarize yourself (possibly with the help of a lawyer) with the terms of use and the rules for the emergence/transfer of intellectual property rights to AI-created products.
- Protecting confidential information: Entering into an NDA and implementing internal policies to protect confidential information will help keep such information safe.
- Registration of intellectual property rights: Registration of TM, patenting of inventions and utility models will help protect your rights from claims of third parties.
- Obtaining consent for data use: If AI uses third-party data, ensure consent for such use.
- Control over data use: If your AI architecture includes third-party services that access other people’s data, this issue needs to be regulated.
- Compliance with and respect for consumer rights: since legislation does not yet regulate the protection of consumer rights and AI, it is recommended that regulatory acts (policies, regulations) on this topic be adopted at the company level, which will provide for: labeling, limiting the use of AI, etc.
By staying in touch with lawyers, businesses will be prepared to promptly adapt their processes to new AI regulations.
7. Prospects for the development of the legal system in relation to AI
The following trends in the development of the legal system in relation to AI can be identified:
- Creation of a state system for certification and licensing of certain AI products.
- Setting limits on the use of AI.
- Creating industry rules, establishing ethical standards for the use of AI.
- Developing a relationship between the use of AI and the public interest of society/state.
- Giving special legal status to AI (especially in terms of robotics).
- Expansion of liability standards (civil, administrative, criminal) for acts related to AI.
8. Zilver Law Firm help with AI?
Zilver Law Firm is ready to help your business in solving issues related to the implementation of AI. We provide consultations, conduct legal audits of the use of AI in the enterprise, provide legal support for the implementation and use of AI in business, develop contracts and policies, and protect the interests of clients in courts and before regulatory authorities. Our assistance may concern both the work of AI in Ukraine and abroad.
You can contact us by phone +380 50 140 95 60 or by email info@zilver.com.ua .
Don’t leave AI legal issues for later! Contact the professionals.
Zilver is your reliable partner in the world of law and technology!
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