At the 5th Udo Udoma & Belo-Osagie Annual I.C.E. Summit held in Lagos, Nigeria, a panel of legal and tech experts emphasized the importance of responsible AI deployment to avoid potential violations of data protection laws, which could result in litigation and penalties.

The summit, themed “Responsible Business Practices for Accelerating the Development of Fair Markets,” was organized by the law firm Udo Udoma & Bello-Osagie.

The experts highlighted that AI relies on data to function effectively and raised concerns about businesses using illegally obtained data to train their AI models. Tolu Osindero, Head of the Legal Team at Branch, a digital lending company, pointed out that many companies have been using data acquired without consent to train AI models. She noted that OpenAI, the organization behind ChatGPT, is currently facing two class-action lawsuits related to data access for training ChatGPT.

As AI continues to advance, organizations, including banks and fintechs, are increasingly incorporating AI technology to improve customer service and marketing. However, experts warn that this may pose risks as customers are becoming more aware of their data rights under the Nigeria Data Protection Act.

To legally deploy AI, Osindero emphasized the importance of obtaining data legally and ethically. She urged businesses to question the sources of their data, whether it comes from individuals, research firms, or public databases. Moreover, she stressed the need to ensure that data subjects have provided their consent for data sharing or usage.

Amina Ibrahim, a Partner at Udo Udoma & Bello-Osagie, highlighted the complexity of data protection laws in different jurisdictions, especially for multinational companies. She noted that the definition of sensitive personal information and data subject varies from one jurisdiction to another, making it essential for businesses to understand these nuances.

Bashira Hassan, the Lead for Programmes, Partnerships, and Policies at the National Information Technology Development Agency (NITDA), emphasized the challenge of staying compliant with different jurisdictional laws. She urged businesses to stay informed about the legal requirements in each jurisdiction where they operate and develop compliance plans accordingly.

In addition to data protection, the panel discussed the importance of transparency in disclosing beneficial ownership information by Nigerian businesses, particularly financial institutions. They stressed that accurate filings with the Corporate Affairs Commission (CAC) would enhance investor confidence and attract foreign investments.

Adeola Sunmola, Partner at Udo Udoma & Bello-Osagie, explained that the annual Investigations, Compliance, and Ethics Summit aims to promote capacity building and knowledge sharing within the community. She emphasized that compliance should not be a mere formality but an integral part of an organization’s culture and daily operations.

The 2023 edition of the summit held special significance as it coincided with the law firm’s 40th-anniversary celebration.