b'YOUR TOOLKIT FOR BUILDING EXCELLENCEdeveloper. However, the construction company could stillAnother challenge is the patentability of AI-assisted be liable under the principle of strict liability if it deployedinventions. AI tools can identify efficiencies in construction the system without conducting sufficient testing or failedtechniques or generate new building materials and to follow usage guidelines. This creates an urgent need formethods. If these innovations meet the criteria for patent clear contracts with technology vendors that define roles,protectionnovelty, non-obviousness, and utilitya responsibilities, warranties, and indemnities. company may be able to secure exclusive rights. However, The use of agentic AIautonomous systems capable ofquestions about inventorship can complicate the application making decisions and acting independentlyintroducesprocess, especially if the invention stems primarily from its own distinct liability challenges. These systems, suchthe AI system rather than human input. The U.S. Patent as self-navigating construction vehicles, automated safetyand Trademark Office currently requires that a human monitoring tools, and design-generating algorithms,inventor be named, which could disqualify some AI-operate with minimal human intervention. When these AIderived inventions or lead to disputes over who contributed systems make errors that result in harm, such as personalthe inventive step.injury, property damage, or project delays, it becomesAdditionally, construction companies must be mindful difficult to assign fault. Traditional legal frameworks areof copyright infringement and trade secret protection. built around human accountability, making it unclearAI systems trained on vast datasets may inadvertently how liability should be distributed when a machine actsreproduce elements of copyrighted works, leading to independently. infringement claims. Similarly, if proprietary algorithms, Agentic AI poses many of the same negligence-relateddata models, or AI-driven methodologies give a risks that predictive or generative AI tools do. However,construction company a competitive advantage, the there is an additional concern with the use of agenticcompany must take steps to protect these trade secrets AI. Companies may face vicarious liability if agentic AIthrough non-disclosure agreements and cybersecurity is considered to act as an agent of the business. Justprotocols. Failure to do so could result in the loss of as employers can be held liable for the actions of theirvaluable IP or exposure to litigation.employees, courts may extend similar reasoning tocontinued on page: 14autonomous systems operating under the direction or benefit of a company.Intellectual Property ConcernsThe use of AI in the construction industry introduces several novel and complex issues related to intellectual property (IP) law. As AI becomes more capable of generating original contentsuch as architectural designs, engineering solutions, or construction methodsquestions arise about who owns these AI-generated outputs. Traditional IP laws are based on human authorship, which creates ambiguity when the creator is a machine. For construction companies using AI for design or innovation, this uncertainty can lead to disputes over ownership, use rights, and the commercialization of AI-created works.One major issue is the ownership of AI-generated content. If a construction company uses an AI tool to produce a novel building design, it is not immediately clear whether the resulting design would even be protected under existing copyright or patent law. Furthermore, assuming that it is protected, it is unclear whether the rights belong to the company using the AI or the software developer. Without clear legal definitions, courts may turn to contracts and user agreements to determine ownership. This makes it critical for construction companies to establish explicit terms in contracts with AI vendors, addressing who retains rights to AI-generated works and under what conditions they can be used, licensed, or sold. Irigidply.comNMANUFACTURERS of C. 717.866.6581 LAMINATED TIMBERSand WOOD TRUSSES FRAME BUILDER - VOL6 4 / 13'