Legal

AI Terms

Last updated: 16 June 2026

These AI Terms govern your use of the artificial-intelligence features of ReguAlly, including Axon (our conversational compliance assistant) and the AI that maps your business to regulations, analyses gaps, and generates documents and action plans (together, “AI Features”). They supplement the Terms of Service, EULA and Privacy Policy. If there is a conflict, the Terms prevail.

We build AI into a compliance product, so we hold ourselves to a high standard of transparency about what our AI does, what it does not do, and how we handle your data. Please read this carefully.

1. You are interacting with an AI system

Axon and the AI Features are automated systems, not humans. Where you interact with Axon or receive AI-generated content, you are interacting with an AI system. We disclose this in line with the transparency expectations of the EU AI Act (Article 50). AI-generated documents and analyses are produced by automated means.

2. What the AI Features do — and the standard they meet

2.1 Operational intelligence, grounded in sources. The AI Features detect patterns against an indexed corpus of regulatory sources and surface them with citations to the underlying material. Their purpose is to help you organise, understand and document your compliance position efficiently. Our outputs are designed to help you reach an audit-ready position — an organised, cited, defensible record.

2.3 Not legal advice. No AI Feature, output or Axon response constitutes legal advice, creates a lawyer–client relationship, or substitutes for professional judgment. Citations point you to sources; they are not a legal opinion that an obligation does or does not apply to you.

3. Limits, accuracy and your responsibility to review

3.1 AI can be wrong. AI Features can produce output that is inaccurate, incomplete, outdated, or that misapplies a rule to your situation.

3.2 Human review is required. You must review every output before relying on it, acting on it, filing it, or sharing it as your own. For anything with legal or financial consequence, have it reviewed by a qualified professional. You remain responsible for your decisions, filings and omissions (see Terms clauses 5.3 and 11.2).

3.3 Inputs drive outputs. Output quality depends on the accuracy and completeness of the information you provide. Defaults and placeholders we insert (for example, jurisdiction-aware retention placeholders) must be verified by you.

3.4 Law changes. Regulatory sources change. While we update our corpus, we do not warrant that any output reflects the law in force at the moment you rely on it.

4. Your data and AI

4.1 We do not train on your data. We do not use your Customer Data (including your inputs, uploaded documents and generated documents) to train, fine-tune or improve our own or any third party’s foundation models.

4.2 How your data reaches the models. To provide the AI Features, relevant Customer Data is sent to our AI model subprocessors in real time and the result is returned to you. Document generation uses a third-party large-language-model provider; retrieval over your content uses a third-party embeddings provider. Both are engaged under commercial terms that do not permit using your inputs or outputs to train their foundation models by default. The providers, their processing locations and the applicable transfer safeguards are listed in the DPA & Subprocessors document. Where EU data residency is required, these models can be routed through EU regional endpoints so that processing stays within the EEA.

4.3 Confidentiality. Customer Data processed by AI Features is handled under the confidentiality and security commitments in the Terms and the DPA.

5. Acceptable use of AI Features

You must not use AI Features to:

(a) generate unlawful, deceptive or infringing content;

(b) present automated output to third parties as qualified professional or legal advice without appropriate review;

(c) attempt to extract, reconstruct or reverse engineer the underlying models, prompts, corpus or weights;

(d) input data you have no lawful right to process, or special-category or other sensitive data beyond what the Service is designed to handle and you are entitled to provide;

(e) use the output in a way that misleads regulators, investors, auditors or customers about your actual compliance status;

(f) attempt to make the AI Features produce harmful, discriminatory or otherwise prohibited content, or to circumvent their safety constraints.

6. Our AI Act position (for transparency)

6.1 ReguAlly provides an AI-assisted information and productivity tool for businesses. We consider that the AI Features do not fall within the high-risk categories of Annex III of the EU AI Act; they are subject principally to the transparency obligations of Article 50, which we address in clause 1.

6.2 We are a deployer and downstream user of general-purpose AI models supplied by third-party providers; we are not the provider of those foundation models. Our use of those models is governed by the providers’ terms, including the no-training commitments referenced in clause 4.2.

6.3 This clause is a transparency statement about how we view the Services. It is not a legal opinion about your own obligations under the AI Act or any other law; assess those with your advisers.

7. Ownership of AI output

Ownership and your licence to use AI-generated documents are governed by clause 2 of the EULA.

8. Changes to AI Features

We may change, retrain, replace or withdraw the underlying models and AI Features, including our model subprocessor, to improve quality, safety or compliance. Material changes affecting how your data is processed will be reflected in the DPA and notified as required.

9. Warranty and liability

The warranty disclaimers (Terms clause 10) and the limitation of liability (Terms clause 11) apply to the AI Features and all AI output and are incorporated by reference. In particular, we are not liable for decisions you make in reliance on AI output that you did not have reviewed by a qualified professional.