How Fortune 500s Use Procurement to Negotiate Vendor AI Liability

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How Fortune 500s Use Procurement to Negotiate Vendor AI Liability

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Episode 73 of Enterprise Tech with Fexingo: Lucas and Luna dive into how Fortune 500 procurement teams are tackling AI liability in enterprise software contracts. With no established case law, companies are shifting from traditional indemnity clauses to shared-risk frameworks. The hosts break down the specific clause changes—like capping liability at 2x annual contract value and defining 'material modification'—and explain why the market is moving away from uncapped vendor liability. They walk through a real negotiation between a large retailer and a CRM vendor, showing how the retailer secured a 12-month period to remediate AI-generated outputs before any liability kicks in. Also: how procurement teams are using model cards and audit rights to get ahead of regulatory uncertainty. A focused look at one of the trickiest contract terms in enterprise software today. #EnterpriseTech #Fortune500 #Procurement #AILiability #ContractNegotiation #VendorRisk #SoftwareProcurement #BusinessPodcast #FexingoBusiness #AIGovernance #IndemnityClauses #ModelCards #LLM #EnterpriseSoftware #TechLaw #RiskManagement #BusinessAndTechnology #PodcastEpisode Keep every episode free: buymeacoffee.com/fexingo

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