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AI and contract generators for GTC - An opportunity for standard contracts or a risk for your company?

AI and contract generators – the future of T&C creation?

In today’s digital world, artificial intelligence (AI) and automated processes are increasingly present. In the area of contract creation, AI and contract generators are already an attractive option for companies to save time and money. General terms and conditions are essential for every company in order to clearly regulate legal relationships with customers and partners. The question now is whether these technologies are also suitable for drafting GTCs and whether they can replace the traditional role of experienced lawyers, such as Marian Härtel.

The advantages of AI and contract generators for GTCs

AI and contract generators offer some advantages when creating T&Cs. One of the main benefits is efficiency, as they speed up the process of contract creation, saving time and money for companies. They also allow for a certain degree of standardization, as they are based on a variety of templates that can be adapted to individual needs. This leads to greater consistency and facilitates readability for customers and partners. In addition, AI generators and templates can serve as the basis for creating T&Cs, providing a solid foundation on which companies can build.

By using AI generators and templates, companies can create their own T&Cs using proven structures and wording. This approach allows the focus to be placed on the individual requirements and specific regulations that are relevant to the company in question. In this context, AI generators and templates can also be considered as a tool for editing and customizing T&Cs by providing a flexible and adaptable framework that can be easily updated and modified as needed. As a result, companies benefit from a combination of efficiency, standardization, and flexibility enabled by the use of AI generators and templates.

The limits of AI and contract generators in the creation of GTCs

Despite the benefits offered by AI and contract generators, there are also limitations and risks. Technology has not yet advanced to the point where it can fully capture and adequately address complex and specific legal issues. Therefore, when using AI and contract generators for T&Cs, there is a risk that important legal aspects are overlooked or not sufficiently considered.

Another problem is the timeliness of the underlying data. Laws and regulations are constantly changing, and AI systems are only as good as the information available to them. If the AI is not informed about the latest legal changes, this can lead to outdated or even incorrect T&Cs.

The role of the experienced lawyer, like Marian Härtel

An experienced lawyer, such as Marian Härtel, has the advantage over AI and contract generators that he or she can individually address a company’s specific needs and requirements. In doing so, the attorney can provide comprehensive legal review and advice to ensure that all relevant issues are considered.

Marian Härtel and other experienced colleagues have extensive expertise and years of experience in drafting customized GTCs tailored to the specifics of a company. You are always up to date with the latest legislation and can ensure that the GTC comply with the current legal requirements. They can also provide valuable support and expertise in legal disputes.

When should you use AI and contract generators and when should you hire a lawyer?

For smaller companies or standard contracts, AI and contract generators may well be a cost-effective and time-saving option. In such cases, they provide a solid basis for GTCs that can be adapted to the specific needs of the company. However, it is important to be aware that these technologies have their limitations and cannot cover all legal requirements.

In more complex cases, where there are specific industry requirements or uncertainties regarding the legal framework, it is advisable to seek the expertise of an experienced lawyer. A lawyer can respond individually to the needs of the company, provide comprehensive legal advice and ensure that the GTC meet all requirements. It is understandable that startups and young companies are often under cost pressure and try to keep initial investments as low as possible. However, saving money on a good lawyer can be expensive later.

Reasons for this are, for example, inadequately formulated or faulty GTCs, which can cause legal problems and disputes. This can lead to costly legal proceedings, claims for damages or penalties that threaten the existence of the company. In addition, a bad reputation resulting from such legal problems can undermine the trust of customers and partners in the company and thus affect business success in the long term. An experienced lawyer, on the other hand, ensures that the GTC comply with current legal requirements, potential liability risks are minimized and the company can build on solid legal foundations. Therefore, it is important to weigh the long-term benefits of professional legal advice against the short-term cost savings.

Conclusion: AI and contract generators as a complement, but not a substitute for lawyers

AI and contract generators are a promising technology that has the potential to simplify and speed up the T&C creation process. In many cases, especially with standard contracts, they can be a valuable addition for companies. However, it is important to understand their limitations and risks and to rely on the expertise and experience of lawyers, such as Marian Härtel, in more complex cases. In this way, companies can ensure that they are legally protected and that their T&Cs comply with current requirements.

Marian Härtel

Marian Härtel

Marian Härtel is a lawyer and entrepreneur specializing in copyright law, competition law and IT/IP law, with a focus on games, esports, media and blockchain.

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03322 5078053

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info@rahaertel.com