Clause · Construction & Infrastructure

Contract clause: AI-generated design, BIM data and practitioner responsibility

Clause for consultant appointments and design and construct contracts governing the use of AI in design and BIM: disclosure, practitioner verification, compliance declarations, records, data use, IP in AI-assisted outputs and liability.

Kind
Clause. Wording to drop into a longer document.
Where it applies
New South Wales, Australia
AI use
Yellow AI can help in set ways. A lawyer checks specific points before use.
Law stated as at
17 October 2026
Status
Maintained. Checked against the cited sources on 17 October 2026.
Version
1
Source
Written for this library

When to use it

Use in design consultant appointments, design and construct contracts and subcontracts where designers or contractors may use AI tools (generative design, code-checking, BIM automation). Adapt the IP clause to the contract's existing IP regime.

How AI may be used

AI may draft clause variants for lawyer selection and compare them with the contract's IP, design and insurance clauses; the lawyer settles the allocation of risk and checks consistency with statutory duties that cannot be excluded.

AI may

  • Draft alternative versions of the clause for principal-friendly and consultant-friendly positions.
  • Check the clause against the contract's definitions, IP, confidentiality and insurance clauses and list inconsistencies.
  • Summarise a designer's AI tool terms (data use, ownership of outputs) for the lawyer.

AI must not

  • Must not suggest that contract terms can exclude or limit the statutory duty of care under the Design and Building Practitioners Act.
  • Must not assume an AI tool's output terms allow the IP allocation in the clause; check the tool terms.
  • Must not upload design data subject to confidentiality or security restrictions to an unapproved tool.

The lawyer checks

  • The clause works with the existing IP and moral rights regime and any novation.
  • Professional indemnity insurance responds to AI-assisted design work.
  • Design compliance declaration obligations remain with the registered practitioner.

Method: how the Green, Yellow and Red levels are decided. This is guidance for planning, not legal advice.

Authorities

Read the full text

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