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  5. Contract Guidelines on Utilization of AI and Data Version 1.1 Formulated

Contract Guidelines on Utilization of AI and Data Version 1.1 Formulated

December 9, 2019

The Ministry of Economy, Trade and Industry (METI) hereby announces that in line with the revision of related laws and regulations, it has updated the data section of the Contract Guidelines on Utilization of AI and Data, which was formulated in June 2018, and has released the updated version as Version 1.1.

1. Background

In June 2018, METI formulated the Contract Guidelines on Utilization of AI and Data (hereinafter referred to as the “guidelines”), a well-organized reference for businesses that explains approaches to concluding [i] contracts for utilization of data or [ii] contracts for the development and utilization of software using AI technology. In particular, this compilation provides: main challenges, unresolved issues, model contract clauses, elements to be considered in the preparation of contract clauses, and other key points. The guidelines have been referred to by many domestic businesses and research institutions in taking practical steps towards formulating contracts for data utilization or development of AI technology.

Aiming to continuously assess the details of the guidelines and improve the user-friendliness thereof, in December 2018, METI inaugurated a working group under the AI/Data Contract Guidance Committee (Chair: Mr. Watanabe Toshiya, professor, University of Tokyo) and, since then, the working group has been holding discussions on potential future challenges, demand from practitioners for concrete solutions to current problems and other issues. METI hereby releases the discussion results as below.

2. Formulation of the Contract Guidelines on Utilization of AI and Data Version 1.1

Under the revised Unfair Competition Prevention Act of 2018, which came into force in July 2019, Japan newly established civil measures for unauthorized acquisition or unauthorized use of “data provided for limited business purposes.” Prior to this, in January 2019, METI released the Guidelines on Data Provided for Limited Business Purposes. In line with these measures, METI held discussions on matters to be included in the data section of the Contract Guidelines on Utilization of AI and Data. Based on the results of these discussion, METI updated the section of the guidelines and hereby releases the updated version as the Contract Guidelines on Utilization of AI and Data Version 1.1.

3. Other remaining issues

In addition to the abovementioned points, the working group discussed and studied the following currently remaining issues.

METI considers it necessary to continue to hold discussions on these remaining issues based on new practical experience that businesses accumulate in advancing their implementation. It has not published the current results of these discussions and will continue to examine these remaining issues in the discussions on future revision of the guidelines.

4. Related materials

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Information Economy Division, Commerce and Information Policy Bureau

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