Artificial Intelligence (AI) is expected to become commonplace in shipping contract drafting within the next three to five years, according to a survey of BIMCO’s Documentary Committee members, although respondents believe human oversight will remain essential.
A BIMCO survey found that while only 20% of respondents currently use AI tools for contractual work, 70% expect their organisations to adopt the technology over the next three to five years.
The study also showed that 25% of those surveyed had already encountered AI-generated contractual clauses rather than established contractual wording.
Respondents identified document review, clause comparison and drafting assistance as areas where AI could improve efficiency, particularly for routine contractual tasks.
However, the survey found broad agreement that human legal and commercial expertise remains necessary when reviewing AI-generated text. Respondents highlighted concerns about over-reliance on AI, inaccuracies and the possibility that contractual wording could overlook important legal or commercial nuances.
Several respondents also warned that users may accept AI-generated clauses without fully understanding their implications or confirming that they reflect the intended commercial agreement.
BIMCO notes that AI-generated wording may appear convincing while unintentionally allocating risk, omitting operational triggers or failing to capture the parties’ intended contractual position.
The organisation also pointed to growing concerns over the authenticity of standard contracts as AI-generated clauses become more widespread. In that regard, BIMCO has recently introduced a Contract Authenticity Clause, requiring the issuing party to warrant that the agreement is based on an authentic BIMCO template and that any amendments are clearly visible.
To support this, a SmartCon verification tool has been launched allowing users to upload SmartCon PDF contracts and confirm that they originate from an authentic BIMCO template.
