A case study on AI warranty

AI-based real-time fact-checking platform guarantees that it will identify at least 98% of erroneous statements in live events or speeches

Disclaimer: This is an illustrative, simplified version of an AI Performance warranty contract for a fictitious company named Acme AI.

About the Company

Acme AI offers comprehensive risk intelligence from narrative-driven threats that could cause financial and reputational damage to organizations. Their platform detects and analyzes emerging narratives across various languages, platforms, and modes of communication to mitigate the spread of disinformation, misinformation, and harmful narratives across digital media.

AI Use Case

Acme AI’s real-time fact-checking platform is used by media organizations to quickly verify the accuracy of statements in live events or speeches. This platform help journalists and editors ensure that the content they report and publish is free from misinformation.

AI Warranty Contract

Scope of warranty

Acme promises that its AI fact-checking platform will identify at least 98% of erroneous statements every quarter.

Payout Structure

If Acme fails to meet the defined Scope of Warranty, Acme’s customer will be compensated as follows:

Payout per missed erroneous statement = 5 * Service fee charged by Acme to its customer


The guarantee does not apply if:

  • The inaccurate statement was a subjective statement, opinion, or interpretation.
  • The narrative originates from a content channel that falls outside the scope of the AI's monitoring capabilities, such as private messaging platforms or encrypted communication channels.
  • Cybersecurity breaches of credible sources compromised data integrity. Since these sources are generally considered credible, the AI platform is not programmed to scrutinize their content as heavily.

Claims Process

In the event of underperformance, Acme’s customer shall notify either Adri AI or the AI provider, no later than 30 days after the interview was conducted. This notification should be accompanied by sufficient supporting evidence.

A good faith judgment will be made to decide if the warranty applies to the submitted claim. If the claim is validated, the customer will be compensated as defined in the Payout structure.

Obligations of AI vendor's customer

Acme’s customer must use the AI fact-checking platform in standard settings and only for the use cases stipulated in the service contract.


  • "Customer" refers to the organization that has purchased Acme’s Enterprise service plan.
  • “Underperformance” is said to have occurred if the Scope of Warranty is not fulfilled.
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