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Replay: AI Risk in Architecture: Where the Real Risk Lies

AI is already part of architectural practice. Firms use it to draft project specifications, create renderings, conduct research, review contracts, and handle administrative work. The central question is no longer whether firms will use AI. It is how they will review its output, document their decisions, and manage the related risks.

In the AIA Trust Week webinar, “AI in Practice: Where the Real Risk Lies,” AIA Contract Documents Chief Legal Officer Nate Budde explained where exposure appears in daily practice and what firms can do now. His message was practical: AI may accelerate the work, but it does not replace professional judgment or accountability.

 

Watch the Webinar Replay

Where AI Risk Enters Architectural Practice

AI-related exposure does not begin with futuristic scenarios. Nate discussed familiar uses, including drafting specifications, generating concept renderings, and using general-purpose AI to summarize contract language. Each tool can produce a plausible result quickly. Risk enters when that result influences a professional deliverable or contract decision without appropriate review.

A firm may use AI for early exploration and internal drafting. The stakes rise when the output becomes part of a drawing, specification, client recommendation, or signed agreement. A polished answer is not necessarily an accurate or verified answer.

“The real question is whether you or the people in charge of your firm know how it’s being used.”

Nate Budde, Chief Legal Officer, ACD

The Standard of Care Still Applies

Nate described AI as a new production method, not an exception to an architect’s professional obligations. If a dispute arises, reviewers may examine the project record long after someone entered the prompt. That record should show what the firm checked, who reviewed the work, and why the final result was reasonable.

“The tool may change how much time you have, but it doesn’t change the expected result.”

The responsible professional must still be able to explain and defend the final work. Speed and convenience do not establish that a deliverable meets the standard of care.

Pro Tip Assign a qualified reviewer before AI-assisted work enters a project deliverable. Record the review in the project file so the firm can demonstrate its process later.

Review AI-Related Contract Language Before Signing

Risk can enter through contract terms as well as design work. AI-specific clauses may address disclosure, permitted use, confidentiality, ownership, indemnification, limitations of liability, and insurance. Terms that promise error-free outcomes or raise the firm’s ordinary professional obligations can create exposure beyond the underlying agreement.

Pay particular attention to provisions that turn a duty to exercise professional care into a guarantee of results. Confirm that the contract’s expectations align with the firm’s review process and available insurance coverage. Ask legal and insurance advisers to evaluate project-specific language when appropriate.

Quick Decision Guide: AI Tasks and Review Controls

Use the level of review that matches how the AI-assisted work could affect the project, the client, or the firm’s contractual obligations.

AI-assisted task

Primary question

Practical control

Drafting specifications

Are references, requirements, and coordination correct?

Technical review by the responsible professional

Concept renderings

Could the image create an inaccurate client expectation?

Check the image against design intent and identify it as conceptual

Contract summaries

Did the summary omit critical exceptions or obligations?

Compare it with the full agreement and obtain legal review as needed

Client-facing deliverables

Can the firm explain and defend the final output?

Assign a named reviewer and retain the approval record

Pro Tip Use an AI-generated contract summary only as a starting point. Check the full agreement for exceptions, risk transfers, and provisions that could affect professional liability.

Build a Written AI Use Policy Your Team Can Follow

Staff may already be using AI in ways the firm’s existing policies do not address. Nate explained why that gap is emerging.

“It’s because adoption at the individual level is outpacing the firm’s governance and controls at the group level.”

An initial AI policy does not need to be long. A clear one- or two-page policy can establish useful guardrails if staff understand and follow it. Identify approved tools and the person responsible for maintaining that list. Define permitted tasks, information-handling rules, review responsibilities, and the evidence that belongs in the project record.

The policy should also explain how staff requests approval for new tools, when they should escalate questions, and how the firm communicates AI use to clients. The goal is a repeatable process that fits existing project workflows.

Pro Tip Add AI review and documentation steps to existing quality-control checklists. Integrating the steps into a familiar workflow makes them easier to follow consistently.

Discuss AI Expectations With Clients Early

Address AI use during proposal and contract discussions, before an unexpected disclosure undermines trust. Align expectations about where the firm may use AI, how qualified professionals will review the work, and how the firm will protect client and project information. The conversation should reflect practices the firm can follow consistently.

What Architecture Firms Can Do Next

Start with the AI use already happening inside the firm, then add controls that match the risk of each task.

  • Identify where staff use AI in project and administrative workflows.
  • Separate low-stakes drafting assistance from work that affects project deliverables or contract decisions.
  • Name qualified reviewers and define the verification the project record must show.
  • Review AI-related contract terms for changes to the standard of care, liability, and insurance expectations.
  • Adopt a concise written policy, train the team, and update the policy as tools and practices change.

Nate’s message was not to stop using AI. It was to make AI use visible, reviewable, and defensible. Firms that establish practical controls now will be better prepared to use these tools while maintaining professional responsibility and client trust.

Watch AI in Practice: Where the Real Risk Lies

Hear Nate’s full discussion of practical AI exposure, professional standards, contract provisions, and the controls architecture firms can put in place now.

Disclaimer: The information contained in this article is for general informational purposes only, and the views contained herein are the author’s own. It is not legal advice or legal opinion; it does not create any attorney-client relationship; and it may not be used to indicate any intent or to inform any interpretation of ACD’s documents or services, which the AIA Documents Committee separately creates. If you need advice, seek the help of an attorney or other qualified professional who can help you make decisions based on the specifics of your situation.