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Legal warning to small businesses after spate of AI Anthony Albanese memes


The government announced sweeping reforms in the budget that removed a discount on the CGT, meaning those running small businesses could pay up to 47 per cent in taxes to the government if they sell their business.

It has been met with condemnation, with owners around the country criticising the changes, jokingly calling the prime minister a ‘shareholder’ of the business and using AI images of him “working” for the company.

Business owners taking part in an AI meme trend mocking Prime Minister Anthony Albanese over capital gains tax changes could risk legal action. (Facebook)

While the stunt went viral on social media, legal experts warn that business owners could risk legal action.

“Using an AI-generated image of a politician or celebrity is not automatically illegal in Australia, because there is no broad standalone ‘image right’ that gives a person complete control over every commercial use of their likeness,” lawyer Charlotte Hale from LegalVision said.

“The legal risk starts when a post creates the impression that the person endorsed, approved, sponsored or attended the business.”

The posts claim Albanese is a 47 per cent partner in the business, a reference to the larger tax small business owners may have to pay if they sell their business after CGT changes. (Facebook)

Hale warns businesses could still be at risk, even if their intent wasn’t to mislead customers.

“Images, social media posts and testimonials can all be misleading if they create a false overall impression, regardless of whether the business intended to mislead,” Hale said.

“The safer side is obvious parody, political commentary or clearly labelled AI-generated content that does not imply endorsement or promote a commercial product.”

She said businesses can distance themselves from legal problems if they leave a clear disclaimer that the post is parody or that the images of Albanese have been generated by AI.

Luke said he never intended to mislead anyone with this AI photo, he's just trying to keep up in tough times.
The warning comes after some small businesses fell into hot water over similar posts about the visit of Prince Harry and Meghan Markle. (Instagram/@thisisninascucina)
However, it may not be enough, referencing how some small businesses may have breached Australian consumer law by creating fake images of Prince Harry and Meghan Markle ‘visiting’ their stores during their visit to Australia last month.

“A disclaimer helps, but it is not a cure if the overall impression is still misleading,” she said.

“Even if intended as a joke, some viewers may believe the visit happened.”

“The line is crossed more quickly when the image is commercial, realistic, undisclosed, or tied to a false claim.”



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