Flag AI claims in adviser marketing against the 2024-36 release
Key facts
- Human involvement
- YellowClose supervision
- How AI is used
- Highlight a sentence that says the adviser uses artificial intelligence or machine learning, and quote the page. Write no replacement sentence and no new advertisement.
- What the lawyer must review
- SEC press release 2024-36, dated 18 March 2024, describes settled charges against two investment advisers for false and misleading statements about their use of artificial intelligence, including statements in filings, on a website, and on social media. The release says the Marketing Rule prohibits a registered investment adviser from disseminating an advertisement that includes an untrue statement of a material fact. The Marketing Rule text was not opened, so no subsection is cited. Formal Opinion 512 requires verification before a sentence is used. The lawyer decides whether a sentence is false.
- Written for / version
- United States versionUS
Who does what
| Role | What they do |
|---|---|
| Assistance | Do not begin AI assistance until the responsible lawyer has defined and confirmed its permitted scope. |
| Lawyer | Set the scope, supervise the work closely, verify every part relied on, resolve omissions and exceptions, and approve the exact output. |
Checklist
- Open each relied-on authority independently. Confirm its existence, current status, proposition and any quotation or pinpoint reference.
- Check the current court or regulator requirements, prescribed form and attachments for the intended document and filing.
- Review operative clauses in the complete document, including definitions, cross-references, schedules and inconsistencies with the instructions.
- Obtain and inspect the relevant current official register or search result. Confirm identities, interests and the date and scope of the search.
- Confirm the output against the client’s instructions and the complete relevant source material, including omissions or contradictions.
- Resolve exceptions and record the responsible lawyer’s approval of the exact output and intended use.