Online Exclusive

What Every Director Needs to Know About AI Records 

By Mary Lee Sharp

03/31/2026

Artificial Intelligence Board Operations Member-Only
Key Points
  • Consumer artificial intelligence tools and unencrypted messaging platforms lack privilege protections, making their records and interaction history fully discoverable in legal proceedings.
  • Boards should implement a formal acceptable AI use policy that mandates using enterprise-grade platforms and strictly prohibits the input of trade secrets or privileged information.
  • Utilizing secure board portals and establishing clear litigation-hold protocols are essential steps to protect candid deliberations and fulfill fiduciary oversight responsibilities.

This AI-generated summary, based on content on this page, was reviewed by NACD editors for accuracy.

As courts strip legal privilege from consumer artificial intelligence interactions, boards should transition to enterprise-grade tools and rigorous acceptable AI use policies to mitigate discovery risks.

That ChatGPT conversation you deleted last month? It still exists. The WhatsApp thread where your board discussed a sensitive personnel matter? It is backed up, unencrypted, and one subpoena away from the opposing counsel’s desk. Every artificial intelligence prompt, chat log, and message that a board member sends through a consumer platform leaves a trail that outlives ...

Thank you for your interest in this page.

Member-Only Content

For full access, please log in, or explore membership options.

Mary Lee Sharp

 

Mary Lee Sharp, NACD.DC®, is a human capital strategist, global chief human resources officer, and board advisor with deep experience at the intersection of law, governance, and people strategy. She is the founder of People First Advisors, a board member of Public Glass, and a board advisor of LunaGen.

This article was informative.

No