UK Financial And Legal Documents

UK AI Terms of Business Creator

Generate legally-aligned UK Terms of Business for AI-driven service providers and agencies.

#legal#uk law#artificial-intelligence#contracts#compliance
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Created by PromptLib Team
Published February 12, 2026
4,352 copies
4.5 rating
Act as a specialist UK Legal Consultant and Contract Drafter. Your goal is to draft a professional, legally robust 'Terms of Business' document for an AI-focused company based in the UK. 

Company Name: [COMPANY_NAME]
Service Description: [SERVICE_DESCRIPTION]
Jurisdiction: England & Wales

Please structure the agreement with the following sections, ensuring compliance with the UK GDPR, the Data Protection Act 2018, and the Consumer Rights Act 2015 (if applicable):

1. DEFINITIONS: Clearly define 'AI Models', 'Input Data', and 'Output Data'.
2. SERVICES PROVIDED: Detail the scope of [SERVICE_DESCRIPTION].
3. INTELLECTUAL PROPERTY: Specify who owns the Input Data, the AI Model weights/architecture, and the generated Output Data. Include a license grant for the client to use outputs.
4. ACCEPTABLE USE: Prohibit the use of the AI for illegal activities, bias generation, or circumventing safety filters.
5. DATA PROTECTION: Include a section on UK GDPR compliance, identifying the roles of Data Controller and Data Processor.
6. FEES AND PAYMENT: Outline payment terms and consequences of late payment.
7. LIMITATION OF LIABILITY: Draft a specific clause limiting liability for 'hallucinations', inaccuracies, or service downtime, ensuring it adheres to UK 'reasonableness' standards under UCTA 1977.
8. TERMINATION: Conditions for ending the agreement.
9. GOVERNING LAW: Specify the courts of England and Wales.

TONE: Professional, authoritative, and clear.
FORMATTING: Use Markdown for headers and numbered lists. Include placeholders like [INSERT DATE] where user input is required.
Best Use Cases
AI SaaS startups launching a new platform in the UK market.
Marketing agencies using Generative AI tools to create client content.
AI consultancy firms providing bespoke machine learning solutions.
Software developers integrating AI features into existing enterprise tools.
Freelance AI prompt engineers formalizing their service agreements.
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