Who Owns AI-Generated Code Created by ChatGPT? Legal Experts Weigh In
When ChatGPT generates code for your app, a key question arises: who owns that code?
The answer isn’t straightforward. To untangle this complex issue, we consulted legal experts to provide clarity in this two-part series. In Part I, we’ll explore the copyright implications of using AI-generated code.
In a previous article about ChatGPT’s capabilities in improving existing code, a reader posed an intriguing question:
“If AI writes part of your code, who owns it? And if the code contains sensitive business data, have you shared it with providers like OpenAI, Google, or Microsoft?”
This thought-provoking question highlights a growing concern in the AI era. Over the last two weeks, we’ve sought expert insights to provide answers.
The Legal Complexity of AI-Generated Code
Attorney Colleen Clark from Schmidt & Clark LLP explains:
“Until legal precedents are established, the ownership and copyright of AI-generated code remain uncertain.”
Opinions on this issue are plentiful. Below, we break down the key considerations:
Copyright and Ownership: A Closer Look
Imagine you’re developing an application. You’ve written most of the code, but a few modules were generated by ChatGPT. Does this impact your ownership rights over the entire app?
Attorney Richard Santalesa of SmartEdgeLaw Group highlights two key legal perspectives:
- Contract Law: Most companies claim ownership of all intellectual property created using their tools, including AI-generated content.
- Copyright Law: OpenAI explicitly states in their terms of service that they do not claim ownership of generated content, assigning all rights to the user.
Despite these provisions, developers must carefully review ownership claims, especially when combining AI-generated code with their own work.
Global Perspectives on AI Code Ownership
Ownership laws differ across jurisdictions. Here’s a quick overview:
United States
In the U.S., copyright law generally applies only to works created by humans, raising questions about whether AI-generated code qualifies for copyright protection.
Canada
Robert Piasentin of McMillan LLP explains that Canada has proposed three potential frameworks:
- Ownership belongs to the individual who commissions the AI-generated work.
- AI-generated works are ineligible for copyright protection.
- A new category of rights may be created for non-human authors.
United Kingdom
The UK’s Copyright Designs and Patents Act states that for computer-generated works, the author is the person who arranged for the work’s creation. This principle was upheld in video game litigation, suggesting similar rulings could apply to AI-generated code.
Unresolved Questions
While OpenAI assigns ownership of outputs to users, other factors complicate the matter. For example, the authors of training data used by AI could potentially have claims over generated outputs.
Until more case law emerges, the ownership of AI-generated works remains a gray area.
Next in the Series:
What are your liability risks when using AI-generated code?
Stay tuned for Part II, where we’ll examine the legal risks and responsibilities associated with AI-generated software development.
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