{"id":133253,"date":"2025-09-15T09:14:11","date_gmt":"2025-09-15T17:14:11","guid":{"rendered":"https:\/\/xira.com\/p\/2025\/09\/15\/ai-governance-starts-with-contract-governance-says-christine-uri\/"},"modified":"2025-09-15T09:14:11","modified_gmt":"2025-09-15T17:14:11","slug":"ai-governance-starts-with-contract-governance-says-christine-uri","status":"publish","type":"post","link":"https:\/\/xira.com\/p\/2025\/09\/15\/ai-governance-starts-with-contract-governance-says-christine-uri\/","title":{"rendered":"AI Governance Starts With Contract Governance, Says Christine Uri"},"content":{"rendered":"
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Generative AI might be the shiny new object in legal departments right now, but Christine Uri wants in-house counsel to slow down. Not because she\u2019s skeptical of the technology, but because she\u2019s seen what happens when legal teams rush to implement tools before they\u2019ve addressed the most foundational risk: governance.<\/p>\n

And governance doesn\u2019t start with AI. It starts with contracts.<\/p>\n

In a recent episode of \u201cNotes to My (Legal) Self,\u201d Christine, former chief legal and sustainability officer at ENGIE Impact and a leading voice in ESG and AI strategy, laid out a clear message for legal leaders. AI will change everything, but only if Legal is prepared to guide that change responsibly.<\/p>\n

Watch the episode here:<\/p>\n

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Contracts Are The First AI Risk You Already Signed For<\/strong><\/h6>\n

Uri made one point that should hit close to home for in-house teams: AI is already in your systems. It is embedded in software tools, layered into services, and working behind the scenes in platforms your business uses every day. Most of that came through the door via contracts, vendor agreements, procurement deals, license terms, and partner relationships.<\/p>\n

If you don\u2019t know what you\u2019ve agreed to, you can\u2019t govern it.<\/p>\n

\u201cYou have to watch the regulations,\u201d Uri said. \u201cThere\u2019s a lot of regulatory uncertainty. But you also have to understand your own internal use. What AI is already in your company? What have you already exposed yourself to?\u201d<\/p>\n

That\u2019s not just a procurement problem. It\u2019s a legal risk. Terms around data use, liability, privacy, and intellectual property are often buried deep in vendor contracts. The question isn\u2019t whether you\u2019re exposed. It\u2019s whether you know where the exposure lives.<\/p>\n

Good Governance Means Knowing What\u2019s In Your Stack<\/strong><\/p>\n

Uri pointed out that the EU AI Act and other emerging regulations are pushing companies to be more transparent about how AI is used internally. That starts with mapping out your AI footprint. But mapping only works if you can see the landscape.<\/p>\n

Many companies can\u2019t.<\/p>\n

\u201cIf you\u2019ve said nothing about AI to your employees, they are already uploading your confidential information into ChatGPT,\u201d Uri warned. \u201cThey\u2019re not trying to cause harm. They just don\u2019t know it\u2019s dangerous.\u201d<\/p>\n

This lack of visibility is a contracting issue at its core. Who owns the data? Who can audit the outputs? Who is liable if the model makes a bad decision?<\/p>\n

Legal teams need the ability to answer those questions without spending weeks parsing redlines. If your contracts aren\u2019t searchable, comparable, and structured, you\u2019re not ready for AI.<\/p>\n

Risk Isn\u2019t New. Business Models Are.<\/strong><\/p>\n

One of Uri\u2019s most insightful observations came when she reframed AI risk not as a legal novelty, but as a business shift.<\/p>\n

\u201cThe legal issues aren\u2019t new,\u201d she said. \u201cWhat\u2019s new are the business models, the liability theories, the risk patterns. We\u2019ve seen privacy and IP disputes before. But now we have use cases we haven\u2019t seen before.\u201d<\/p>\n

In other words, the playbook needs an update. And that update starts with contracting. AI-related risks are rarely addressed in standalone policies. They live in clauses, side letters, vendor terms, SLAs, and partnership agreements. Knowing what your company has agreed to is no longer optional. It is governance. <\/p>\n

ESG And AI: A Common Language Of Responsibility<\/strong><\/p>\n

Uri, who has long worked at the intersection of ESG and legal strategy, sees AI governance as a natural evolution of the same principles: transparency, responsibility, and resilience.<\/p>\n

She draws clear lines between environmental risk and digital risk. Both require long-term thinking. Both demand clear oversight. And both must be translated into actual business behavior, not just high-level policy.<\/p>\n

That\u2019s where contracts come in. They\u2019re the most concrete way to operationalize governance. Whether it\u2019s carbon reporting or data security, the commitments a company makes on paper define how seriously it takes its responsibilities.<\/p>\n

\u201cGovernance is how we bring those risks under control and create human-centric systems,\u201d Uri said. \u201cIt\u2019s not just compliance. It\u2019s about doing the right thing.\u201d<\/p>\n

Want To Govern AI Responsibly? Start With Your Contracts<\/strong><\/p>\n

Uri offered a practical checklist for general counsel:<\/p>\n

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  1. Join or establish an AI oversight council that includes legal, IT, product, and business stakeholders.<\/li>\n
  2. Build rules of the road, internal policies that clarify what is allowed, what is not, and how employees should use AI safely.<\/li>\n
  3. Audit existing contracts to identify how AI-related terms are handled today and where gaps exist.<\/li>\n
  4. Train your workforce. Not just lawyers, but everyone who might interact with or be affected by AI tools.<\/li>\n<\/ol>\n

    That third step is where many legal teams falter. It is also where contract governance shows its true value.<\/p>\n

    If legal wants a seat at the table in AI strategy, and it should, the price of that seat is knowing what\u2019s already in the drawer. Contracts reflect the reality of how AI is used, what\u2019s been promised, and where the risks are.<\/p>\n

    Without that understanding, AI governance is just theory.<\/p>\n

    Watch the full interview with Christine Uri here<\/a>.<\/p>\n

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    Olga V. Mack<\/em><\/strong><\/a>\u00a0is the CEO of\u00a0<\/em><\/strong>TermScout<\/em><\/strong><\/a>, an AI-powered contract certification platform that accelerates revenue and eliminates friction by certifying contracts as fair, balanced, and market-ready. A serial CEO and legal tech executive, she previously led a company through a successful acquisition by LexisNexis. Olga is also a\u00a0<\/em><\/strong>Fellow at CodeX, The Stanford Center for Legal Informatics<\/em><\/strong><\/a>, and the Generative AI Editor at law.MIT. She is a visionary executive reshaping how we law\u2014how legal systems are built, experienced, and trusted. Olga\u00a0<\/em><\/strong>teaches at Berkeley Law<\/em><\/strong><\/a>, lectures widely, and advises companies of all sizes, as well as boards and institutions. An award-winning general counsel turned builder, she also leads early-stage ventures including\u00a0<\/em><\/strong>Virtual Gabby (Better Parenting Plan)<\/em><\/strong><\/a>,\u00a0<\/em><\/strong>Product Law Hub<\/em><\/strong><\/a>,\u00a0<\/em><\/strong>ESI Flow<\/em><\/strong><\/a>, and\u00a0<\/em><\/strong>Notes to My (Legal) Self<\/em><\/strong><\/a>, each rethinking the practice and business of law through technology, data, and human-centered design. She has authored\u00a0<\/em><\/strong>The Rise of Product Lawyers<\/em><\/strong><\/a>,\u00a0<\/em><\/strong>Legal Operations in the Age of AI and Data<\/em><\/strong><\/a>,\u00a0<\/em><\/strong>Blockchain Value<\/em><\/strong><\/a>, and\u00a0<\/em><\/strong>Get on Board<\/em><\/strong><\/a>, with\u00a0Visual IQ for Lawyers\u00a0(ABA) forthcoming. Olga is a 6x TEDx speaker and has been recognized as a Silicon Valley Woman of Influence and an ABA Woman in Legal Tech. Her work reimagines people\u2019s relationship with law\u2014making it more accessible, inclusive, data-driven, and aligned with how the world actually works. She is also the host of the Notes to My (Legal) Self podcast (streaming on\u00a0<\/em><\/strong>Spotify<\/em><\/strong><\/a>,\u00a0<\/em><\/strong>Apple Podcasts<\/em><\/strong><\/a>, and\u00a0<\/em><\/strong>YouTube<\/em><\/strong><\/a>), and her insights regularly appear in Forbes, Bloomberg Law, Newsweek, VentureBeat, ACC Docket, and Above the Law. She earned her B.A. and J.D. from UC Berkeley. Follow her on\u00a0<\/em><\/strong>LinkedIn<\/em><\/strong><\/a>\u00a0and X @olgavmack.<\/em><\/strong><\/em><\/strong><\/em><\/strong><\/em><\/strong><\/p>\n<\/p>\n

    <\/p>\n

    The post AI Governance Starts With Contract Governance, Says Christine Uri<\/a> appeared first on Above the Law<\/a>.<\/p>\n

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    <\/figcaption><\/figure>\n

    Generative AI might be the shiny new object in legal departments right now, but Christine Uri wants in-house counsel to slow down. Not because she\u2019s skeptical of the technology, but because she\u2019s seen what happens when legal teams rush to implement tools before they\u2019ve addressed the most foundational risk: governance.<\/p>\n

    And governance doesn\u2019t start with AI. It starts with contracts.<\/p>\n

    In a recent episode of \u201cNotes to My (Legal) Self,\u201d Christine, former chief legal and sustainability officer at ENGIE Impact and a leading voice in ESG and AI strategy, laid out a clear message for legal leaders. AI will change everything, but only if Legal is prepared to guide that change responsibly.<\/p>\n

    Watch the episode here:<\/p>\n