Define permitted uses and contractually restrict them: Which governance action most directly reduces the risk
Restricting permitted uses contractually and monitoring for out-of-scope deployment directly curbs secondary and unintended uses.
The question
A company builds an AI resume-screening tool for its own hiring but worries a business partner could repurpose it to rank loan applicants, a context it was never validated for. Which governance action most directly reduces the risk of secondary or unintended uses?
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- Improve the model's predictive accuracy on hiring data so its outputs are more reliable when partners choose to reuse it.Plausible but wrong: higher accuracy on hiring does not prevent misuse in an unrelated lending context and may even encourage risky reuse.
- Expand the training dataset with more diverse candidate records so the system generalizes better across additional populations.Plausible but wrong: broader data improves generalization but does nothing to constrain who reuses the tool or for what purpose.
- Publish a detailed model card so downstream users can read about the system's intended use and its documented limitations.Plausible but wrong: a model card informs but does not restrict; transparency alone will not stop a partner from repurposing the tool.
- Define permitted uses and contractually restrict them, with acceptable-use terms and monitoring for out-of-scope deployment. ✓Correct: explicitly bounding permitted uses and enforcing them contractually directly targets the risk of the tool being repurposed for unvalidated contexts.
The trap
Believing improving the model or documenting it prevents downstream repurposing. How to remember it
Restricting permitted uses contractually and monitoring for out-of-scope deployment directly curbs secondary and unintended uses.
How many of these would you get right?
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Every answer, right and wrong, comes with its own explanation.
