An advisory from the law firm Mayer Brown suggests that as managed service providers (MSPs) add artificial intelligence (AI) agents to their workflows, they will, to one degree or another, need to revisit the terms and conditions of their existing contracts.
Agentic AI introduces new contract considerations
MSPs, for example, may be required to disclose the amount of training an AI agent has received and the level of human oversight provided, including how much time might pass before an issue is escalated to a human administrator.
Additionally, clients are likely to want more visibility into, and approval over, the AI models, orchestration tools, monitoring platforms, system integrations, and agent configurations being used.
In addition to defining expected outcomes, MSPs should address oversight requirements along with the guardrails and controls applied to AI agents, advises Mayer Brown.
Defining liability when AI agents make mistakes
At the moment, AI agents generally do not fall under the legal boilerplate in a services contract. Theoretically, a client that allows an MSP to use AI agents is accepting the associated risks. However, both parties will need to revisit indemnities ...