AI IN FASHION & RETAIL
Creative + Compliant

In this special edition of Fixer Focus, our Founder & CEO, Nicole Marra, partners with Perkins Coie lawyers Miriam Farhi and Grace Han Stanton to explore how AI is reshaping the retail landscape — and what brands need to know to stay protected. From copyright and publicity risks to evolving privacy laws and practical compliance strategies, we break down the key legal challenges and opportunities AI presents for the retail and luxury industry. Whether you're experimenting with AI-driven design or integrating customer-facing tools, this is your guide to future-forward, responsible innovation.
 

We’ll also be discussing all of this and taking your questions in an upcoming live webinar: AI in Fashion & Retail: Creative + Compliant, on Tuesday, June 24, 2025 at 12pm EDT. 

See below to register!

Artificial intelligence is no longer a buzzword, it’s a business imperative. From backend operations to product design, marketing, and customer engagement, AI is giving retailers new ways to operate smarter, faster, and more creatively. But with all that potential comes a new layer of complexity: legal risk, privacy concerns, and IP questions that demand strategic attention. Staying ahead means staying informed.
 

WHERE AI IS SHOWING UP IN RETAIL

AI is moving quickly across every part of the retail ecosystem:

• Design & Product Development: Tools that spot emerging trends, support design ideation, and model sustainability.

• Marketing & Content Creation: Generative AI that drafts copy, personalizes campaigns, and creates digital models — cutting costs and unlocking creative agility.

• Customer Experience: Virtual try-ons, personalized recommendations, and AI-powered chat are reshaping how customers interact with brands.

• Back-End Operations: Smarter forecasting, inventory optimization, and logistics automation are driving efficiency behind the scenes.

Each of these use cases brings a wave of opportunity and a new set of questions around ownership, privacy, and compliance.

IP & PUBLICITY RISKS:
WHAT YOU USE MATTERS - AND SO DOES WHO OWNS IT

AI tools are only as good as the data behind them. If you're using copyrighted images, text, or third-party materials to train your AI, you could be stepping into legal gray zones, especially when outputs compete with or mimic original content.

At the same time, it's important to understand the limits of protection.  Works created entirely by AI may not be eligible for copyright or design patents. The good news? Outputs that involve meaningful human input may still be protectable — but documentation and strategy matter.

PRIVACY RISKS: AI STILL HAS TO PLAY BY THE RULES

AI thrives on data. But when that data includes personal information — which it often does — privacy rules come into play fast. Consumers expect transparency and control, and regulators are ramping up enforcement.

Retailers must comply not only with comprehensive privacy laws like the GDPR and CCPA, but also with new AI-specific rules that are emerging globally. Top priorities include:

• Clear, upfront disclosures

• Data minimization and secure storage

• Honoring consumer rights

• Performing impact assessments on high-risk tools

• Strong vendor agreements that lock in compliance

The risk isn’t just regulatory, it’s reputational. Missteps with AI and data can quickly erode trust.
 

WHAT RETAILERS SHOULD BE DOING NOW

To make the most of AI while staying protected, here are six moves to prioritize:

1. Know What You're Using

• Audit your AI tools and how they’re being used across the business.

• Understand what data is used to train the AI, and what datasets can be included in inputs and outputs.

2. Get Clear on the Rules

• AI laws are changing fast. Track legislation in your key markets, especially California, New York, and the EU.

3. Review Your IP Strategy

• Check how your vendors train their tools.

• Secure rights for content you use and clarify what you can protect coming out.

4. Vet Your Vendors

• Push for transparency on training data and AI behavior.

• Lock in solid terms around ownership, warranties, and indemnities.

5. Be Transparent

• Make sure customers understand how AI is used.

• Offer opt-outs and audit for bias or unintended outcomes.

6. Train Your Team

• Equip employees with the basics of AI compliance.

• Build policies for ethical and aligned use across functions.

FINAL THOUGHTS

AI is no longer a future concept — it’s here, and it's changing the game for brands across every corner of the retail industry. From accelerating design to reinventing the customer journey, the most forward-thinking retailers are already leveraging AI to move faster, think smarter, and connect more deeply with their audiences.

The opportunity is massive, but so is the need for clarity, strategy, and smart guardrails. By approaching AI with both curiosity and intention, brands can unlock powerful new capabilities while staying in control of their IP, their data, and their reputation.
 

WE'D LOVE TO CONTINUE THE CONVERSATION

Don’t miss our upcoming webinar, AI in Fashion & Retail: Creative + Compliant, with Fixer CEO Nicole Marra, Perkins Coie partners Miriam Farhi and Grace Han Stanton and special guest Carmelo Fontana, Senior Counsel at Google, on Tuesday, June 24, 2025 at 12pm EDT.   

We’ll break down real-world scenarios, offer tactical legal advice, and answer your questions live.  Please join us!