Glossary · Privacy & data
Indemnification
Also said as
IP indemnityIP indemnificationlegal liability
Indemnification is contract language that says who pays if using the product gets you sued — for AI tools, that usually means disputes over who owns the output.
Why it matters to your business
If AI-generated art or copy lands you in a copyright dispute, indemnification decides whether the vendor shares the legal bill or watches from the sideline.
The catch · what vendors don't say
The protection often starts at high seat counts or enterprise contracts — at one design platform, IP indemnification kicks in at 100 seats.
