On 14 November 2024, the European Commission released the draft General-Purpose AI Code of Practice (the “AI Code”) – a significant step towards the implementation of the EU AI Act rules governing general-purpose AI (set to become effective in August 2025). This framework aims to champion ethical AI use across various sectors, including arbitration. However, it prompts critical questions about technology’s impact on our decision-making processes.
A call for reflection on fairness and transparency
As the discourse surrounding AI bias intensifies, the AI Code underscores an urgent call for transparency in these applications. Are we risking our commitment to fairness through excessive reliance on technology? Practitioners must critically evaluate the tools they deploy, asking themselves: how does AI align with our foundational values of fairness and justice?
Harmonisation of global standards
In our interconnected world, inconsistent AI practices can lead to confusion. The AI Code seeks to establish uniform standards, but will this genuinely support international cooperation, or will it complicate arbitration on a global scale? Consider an AI system that projects case outcomes based on historical data – while the promise of efficiency is appealing, it risks entrenching existing biases embedded within that very data. The primary challenge lies in manoeuvring through these intricacies to ensure equitable and consistent outcomes across jurisdictions.
Rethinking Accountability
As AI’s footprint expands, accountability is more important than ever. The AI Code emphasises the need for human oversight in AI-assisted decisions. But in a data-driven age, where does the true authority lie? It is essential for practitioners to set clear boundaries to ensure human judgment remains central to the decision-making process.
Fostering ethical innovation
The AI Code encourages innovation, urging professionals to explore new avenues without compromising ethical standards. Are we ready to adapt to new technologies while holding firm to our core principles? This presents both an opportunity and a challenge for our field. Aligning with established ethical guidelines is vital as we navigate AI’s complexities.
The road ahead
The AI Code will be an important turning point for arbitration.
With a diverse array of stakeholders engaged, the AI Code is set to lay the groundwork for responsible governance of AI models, influencing AI safety far beyond the EU. Its implications could reverberate globally, particularly as they pertain to arbitration: how might this framework affect the choice of the arbitration seat? Also, how will the use of AI applications by parties across different jurisdictions redefine established legal practices? The intersections of technology, regulation, and arbitration are ripe for exploration, urging us to consider how we navigate these complex challenges on a global scale. We can anticipate a future where hybrid arbitration models merge AI’s analytical prowess with human oversight in decision-making. By using AI judiciously, we can enhance our practices without undermining the fundamental principles that underpin our field.
For further insights, learn more about the draft AI code here, and the EU AI Act here.