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Practice Area

Artificial Intelligence and New Technologies

Advice on the responsible adoption of artificial intelligence in the company, covering governance and usage policies, risk assessment, vendor contracts, automated decisions, data protection and preparation for the forthcoming AI law now before Congress.

Artificial intelligence is already part of the operations of many companies: customer service, human resources, information analysis and process automation. Along with its value, it introduces concrete legal risks that are best managed from the outset. We advise organizations on adopting these tools responsibly and in accordance with the law.

What does Chilean law currently require for the use of AI?

Chile does not yet have a specific artificial intelligence law; the bill that would regulate it is still moving through Congress (see below). That does not mean there are no rules: AI is already subject to obligations that are currently in force.

  • Data protection. Law No. 21,719 (Ley N° 21.719) recognizes the right of individuals not to be subject to decisions based solely on automated processing that significantly affects them, and it requires lawful bases and safeguards when a system processes personal data.
  • Intellectual property over training data and generated content (Law No. 17,336, Ley N° 17.336).
  • Consumer protection and information duties when AI interacts with customers (Law No. 19,496, Ley N° 19.496).
  • Confidentiality and trade secrets, especially when using generative AI tools with sensitive company information.

The forthcoming AI law in Chile

The bill regulating artificial intelligence systems (Bill No. 16,821-19, Boletín 16.821-19) was approved in detail by the Chamber of Deputies (Cámara de Diputadas y Diputados) in October 2025 and continues through the Senate. It follows a risk-based approach, similar to the European model:

  • Unacceptable risk: prohibited uses (subliminal manipulation, social scoring, real-time remote biometric identification, inference of emotions in the workplace or in education).
  • High risk: obligations for risk management, data governance, documentation, record-keeping, human oversight and cybersecurity.
  • Transparency: labeling AI-generated content and giving notice when someone is interacting with an automated system.

The bill provides for fines of up to 20,000 UTM (Chile’s inflation-indexed monthly tax unit) and the creation of a supervisory authority. This is pending legislation and subject to change, so it is worth preparing ahead. You can follow its progress on the official bill-tracking page (in Spanish).

Chile also has a National Artificial Intelligence Policy (in Spanish), updated by the Ministry of Science, which guides the ethical and strategic development of the technology in the country.

How we help you

  • AI governance and usage policy: clear internal rules for using these tools, focused on data, confidentiality and human oversight.
  • Risk assessment by use case (classification according to impact and applicable obligations).
  • Contracts and clauses with AI and software providers: liability, data, ownership and service levels.
  • Automated decisions: review of processes to comply with Law No. 21,719 and safeguard individuals’ rights.
  • Training for teams and preparation for the forthcoming law.

Adopting artificial intelligence on a solid legal footing makes it possible to harness the technology while reducing exposure to penalties, disputes and reputational harm.

We handle artificial intelligence and new technologies matters in Temuco and across the Araucanía Region, with in-person and remote representation throughout Chile.

Frequently asked questions

Can I use artificial intelligence in my company in Chile today?

Yes. There is currently no specific artificial intelligence law in force, but that does not mean its use is free of rules. Already applicable are, among others, Law No. 21,719 (Ley N° 21.719) on personal data protection (relevant when AI processes information about individuals), the consumer protection rules of Law No. 19,496 (Ley N° 19.496), and the intellectual property regime of Law No. 17,336 (Ley N° 17.336). In addition, a bill is under discussion in Congress. The sensible course is therefore not to wait for the new law, but to use AI under a clear internal policy that defines what data may be uploaded, what the AI is used for, and who supervises the results.

Why should a company have an internal AI use policy?

Many companies already use generative AI tools without clear rules, which creates risks: leaks of confidential information or personal data, erroneous outputs used in decision-making, and intellectual property problems. An internal AI use policy defines which tools are permitted, what information may or may not be uploaded, how outputs are reviewed before being used, and who is responsible for each use. This helps comply with Law No. 21,719 (Ley N° 21.719) on data protection and anticipate the requirements of the future AI law. It is a simple governance measure that prevents bigger problems and brings order to the adoption of these technologies.

What is coming with the future artificial intelligence law?

A bill regulating artificial intelligence systems is currently before Congress (Bulletin 16.821-19). Its approach is risk-based: it distinguishes systems of unacceptable risk (prohibited), high risk (with reinforced obligations such as risk management, human oversight, and documentation), limited risk (with transparency duties), and no evident risk. It also addresses the transparency of AI-generated content and provides for penalties. Because it is still a bill, its content may change during the legislative process, but it is worth following closely and preparing the organization for its requirements.

What happens to personal data I upload to an AI tool?

Uploading personal data of clients, employees, or third parties to an AI tool is a form of data processing and is subject to Law No. 21,719 (Ley N° 21.719). This requires having a lawful basis, informing the data subjects, limiting use to the declared purpose, and making sure the tool’s provider offers adequate safeguards, especially if the information is processed abroad. Uploading sensitive or confidential data to services without a contract or controls can create liability and leaks that are difficult to reverse. Before adopting a tool, it is advisable to review its terms, where the data is stored, and what the provider does with it.

Who owns the intellectual property of AI-generated content?

This is an open and evolving question. Law No. 17,336 (Ley N° 17.336) on intellectual property protects works of human creation, so the authorship of content generated entirely automatically by an AI can be debatable. Added to this are the terms of use of each tool, which govern who owns the outputs and under what limitations they may be used commercially, and the risk that the content may reproduce third-party works. In practice, it is advisable to review the provider’s terms, keep a traceable record of human involvement in the creation, and avoid using outputs that could infringe the rights of others.

Can I use AI to automate decisions that affect customers or employees?

With caution. Law No. 21,719 (Ley N° 21.719) grants individuals rights with respect to automated decisions that significantly affect them, including profiling, which may entail the right to human intervention and to know the logic involved. Using AI for decisions on credit, hiring, dismissal, or customer service therefore requires transparency, genuine human oversight, and the ability to review and correct the outcomes. The AI bill under discussion aims to reinforce these requirements for higher-risk uses. Before automating a sensitive decision, it is advisable to assess its impact and always keep effective human control in place.

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