How to Choose the Right AI Disclaimer for Your Business

Last Updated 3/5/25

As a small business owner, you’ve probably seen that AI can be a game-changer in your everyday work! AI tools generate content through machine learning algorithms, without any direct human input. This can save you hours of work editing images, writing captions, creating graphics, and more. As exciting as this is, you don’t want to make your clients uncomfortable about you using AI or run into legal troubles. A simple solution is to use an AI disclaimer clause. 

An AI disclaimer explains how you use AI in your work. This is important for transparency with your clients. Even though there aren’t specific nationwide laws about AI, there’s a good chance they’re coming. The general consensus with the U.S. Copyright Office and the government is that it’s important to disclose AI use to consumers. The U.S. Copyright Office has released detailed reports and a policy statement on this issue.

I’m Paige Griffith, an attorney for small business owners. I founded The Legal Paige to offer creatives and service providers easy access to legal tools and education. I know how important AI is in our modern lives as business owners. Let’s look at why an AI disclaimer is so important and which type of AI disclaimer might be right for you.

Do you have to disclose the use of AI?

Laws related to AI are quickly evolving. So far, no nationwide law requires an AI disclaimer, but that could change soon. There have been several bills that have been presented to Congress to try to limit or restrict AI including No Fakes Act, Take it Down Act, and the Generative AI Copyright Disclosure Act.  None of these bills have passed, but we of course will keep you updated on all legislation surrounding AI. With that being said, even if the law doesn’t require it yet, it’s better to be prepared than to have an issue with compliance later. 

Besides legal requirements for AI disclaimers, here are two reasons you need to implement them right away.

1. An AI disclaimer builds clarity and fosters trust with your clients.

Your clients are at least somewhat aware that AI is out there. Some might be all about it, while others are more skeptical. Either way, your clients have a right to know that you are not the only contributor to your work. 

Transparency is important for building trust with your clients. If you’re clear and upfront with your client, you can avoid misunderstandings later on. You wouldn’t want your client to be surprised if your work was flagged by an AI detector.

An AI disclaimer should tell your clients how you use AI in your work for them. Because you're a responsible service provider, you use AI as a tool to enhance your quality of work, not to distract from it. You should only use AI to supplement, edit, improve, or find ideas for your work product. AI should not be taking over your entire job.

Your AI disclaimer clause can be a tool to reassure clients that your output is primarily human-made. Explaining how you use AI in your disclaimer can alleviate confusion or misunderstandings. This can boost their trust in you as a business owner. That way you can feel more comfortable and your clients don't have to wonder why you’re using it. 

An AI disclaimer also shows professionalism and that you're on the cutting edge of technology and legal standards.

That’s why we HIGHLY recommend having an AI disclaimer in your client service contracts. And if you use AI on your business website, you should also add an AI disclaimer to your Website Terms & Conditions. This shows that you are professional and proactive about covering your legal bases.

2. For copyright purposes, your clients need to know what’s AI-generated

An AI disclaimer is very important when you provide work like photographs, videos, website designs, copy, or social media content for a client. They need that information to register works with the U.S. Copyright Office. 

In March 2023, the U.S. Copyright Office announced that it would review AI-generated content and only allow copyrights if the majority of the work was human-made. A completely AI-generated work is not eligible for copyright protection, so anyone can use it without legal consequences. [3]

Your AI disclaimer lets clients know that they may need to disclose the AI technology when they register. They have the right to know that there may be an extra step if they ever go to the U.S. Copyright Office and submit an application.

The good news is that you do not have to write an AI disclaimer to add to your client contracts yourself! We have ready-made disclaimers specifically designed for your business that you can easily copy and paste into your client contracts and service contracts. Get your AI Disclaimer Clause HERE! 

How do I add an AI disclaimer to my contracts?

To add an AI disclaimer, clearly explain how you use AI tools in your business. (Clarify that the majority of your work comes from you, not AI.) Also, explain your limited liability for using those tools. 

There are two places I recommend using an AI disclaimer as a small business owner:

1. On your website's terms and conditions page. Simply copy and paste the text of an AI disclaimer to your website terms and conditions page. It should be visible to users who come to your site. 

2. In the service contracts you sent to your clients. You can edit your contracts to add an AI disclaimer section. Make adjustments to individual contracts if you use AI differently for separate clients.

If you're not sure how to put all that into clear, legal terms, don't worry! We’ve got you covered with attorney-drafted AI disclaimer templates. Find the right option(s) for you below.

3 Common Types of AI Disclaimers for Small Businesses

The type of AI disclaimer you need depends on your services. For example, the AI tools photographers use are different from those of a social media manager or copywriter. You may also need to tailor your AI disclaimer to your clients.

Here are three common types of AI disclaimers (plus links to easy-to-use legal templates we’ve created):

1. AI disclaimer for Website Terms & Conditions. 

The first AI disclaimer we recommend is an AI Disclaimer for Website Terms and Conditions. This is a must if you’ve used ChatGPT or other AI tools on your website. For example, if you’ve used AI to:

- generate website copy or blog posts,
- create digital products listed on your website, or
- edit stock photos. 

An AI disclaimer clause on your Website Terms and Conditions makes visitors aware of AI-enhanced content. But it should also clarify when most of the thoughts, ideas, opinions, and/or expertise are yours. This lets visitors know that you still have copyright ownership of your work.

This AI Disclaimer for Website Terms & Conditions for you! It’s drafted and reviewed by attorneys for small business owners! 

All you need to do is download, edit, and paste this clause into your website’s Terms & Conditions page. It comes with access to any future updates as this area of the law changes.

Note: You may need BOTH a disclaimer for your website, and one of the disclaimers below for your client contracts.

2. AI Disclaimer for Photographers and Videographers

It’s more and more common for photographers and videographers to use AI in their workflow. AI can save you time and money by streamlining the editing or culling process.

If you use AI (think Photoshop Generative Fill or Imagen), we recommend an AI disclaimer.

The key is balancing AI with your unique artistic work. A disclaimer tells your clients that you use AI as a tool rather than a replacement for your services. That means you can maintain your copyright rights over your photos and videos.

3. AI Disclaimer for Designers, Social Media Managers, Copywriters, or Other Service Providers 

Service providers such as copywriters, website designers, and social media managers are using ChatGPT to enhance their work process. 

ChatGPT can help you:

- Brainstorm and get the creative juices flowing
- Draft bits of copy for websites
- Generate ideas for social media posts
- Structure job listings
- And more!

These AI programs can help you level up your business, and save you loads of time. However, you should let clients know that YOU are still the brains behind the operations. 

This disclaimer for using ChatGPT reassures clients that while AI may play a supportive role, most of the final product comes from your human ability or expertise. 

The Legal Paige Take: Using an AI Disclaimer for Your Business 

AI is a hot topic right now. The law is still developing, but we HIGHLY recommend that you go make AI disclaimers part of your legally legit business. 

First, you include an AI disclaimer in your website terms and conditions. If you use tools like ChatGPT or image AI on your website, this makes it so you are open and transparent with your visitors.

Next, add an AI disclaimer inside your client contracts. (Your photography contract, social media manager contract, etc.) This is important if AI contributes to the work you hand over to clients. These disclaimers promote trust and professionalism in your work. They can also help you and your clients avoid copyright issues down the line.

AI disclaimers help you use AI confidently to save time and enhance your work. You can make sure your clients are comfortable with how you’re using AI, so there’s no mistrust or potential legal issues.

Ready to use an AI disclaimer? Don’t second-guess yourself — download our AI disclaimer templates, already written and reviewed by attorneys. You get the legal language ready for you to edit and personalize.

Resources

[1] H.R.3831 - AI Disclosure Act of 2023 

[2] Utah Code Ann. § 13-59-201; Artificial Intelligence Legislation Summary, NCSL. 

[3] United States Copyright Office, “Copyright Registration Guidance: Works Containing Material Generated by Artificial Intelligence” March 16, 2023.