EU AI Act Compliance

Last updated: March 3, 2026

Executive Summary

faktry is committed to compliance with the European Union Artificial Intelligence Act (Regulation (EU) 2024/1689). This document provides a comprehensive risk assessment of our AI systems, our compliance measures, and transparency obligations under the EU AI Act.

1. About the EU AI Act

The EU AI Act (Regulation (EU) 2024/1689) is the world's first comprehensive legal framework for artificial intelligence. It establishes a risk-based approach to AI regulation, categorizing AI systems into four risk levels:

• Unacceptable Risk: Banned AI practices (e.g., social scoring, real-time biometric identification in public spaces)
• High Risk: AI systems with significant potential harm, requiring strict compliance (e.g., medical devices, recruitment tools)
• Limited Risk: AI systems requiring transparency (e.g., chatbots, content generation)
• Minimal Risk: AI systems with no specific obligations (e.g., spam filters, games)

2. AI Systems Inventory

faktry utilizes the following AI systems in its platform:

2.1 Image Generation

2.2 Video Generation

2.3 Audio Processing

2.4 Text & Content Generation

3. Detailed Risk Assessment

3.1 Limited Risk Systems

The following AI systems are classified as "limited risk" under Article 50 of the EU AI Act:

3.2 High-Risk Assessment

We have evaluated our AI systems against the high-risk criteria in Annex III of the EU AI Act:

3.3 Prohibited Practices

Under Article 5 of the EU AI Act, certain AI practices are prohibited. We confirm that faktry does not engage in any of the following prohibited practices:

• Social scoring by governments or on their behalf
• Exploitation of vulnerabilities of vulnerable groups
• Biometric categorization based on sensitive attributes
• Real-time remote biometric identification in public spaces (with limited exceptions)
• Scraping of facial images from the internet or CCTV footage
• Emotion recognition in workplace and education contexts
• Indiscriminate scraping of biometric data

4. Transparency Obligations

4.1 AI-Generated Content Disclosure

In compliance with Article 50, we implement the following transparency measures:

• Content Labels: All AI-generated content is clearly labeled as such in our interface
• Export Disclosure: Downloaded content includes metadata indicating AI generation
• API Responses: API responses include headers indicating AI-generated content
• Public Gallery: Content in the Prompt Gallery displays AI model attribution

4.2 Deep Fake Disclosure

Under Article 50(4), when our AI systems generate or manipulate content that constitutes a "deep fake" (image, audio, or video content that appreciably resembles an existing person, object, place, or event), we ensure:

• Clear disclosure that the content has been artificially generated or manipulated
• Technical means to detect that the content is AI-generated
• User acknowledgment of disclosure requirements before generating content

4.3 Copyright Disclosure

Under Article 50(5), we maintain records and make available to rightsholders information about whether our AI systems have been trained on copyright-protected works. We rely on AI providers who maintain compliance with the EU AI Act and copyright regulations.

5. AI Governance Framework

5.1 Human Oversight

Our AI systems include human oversight measures:

• All AI outputs are reviewed by users before use
• Users can reject, modify, or regenerate AI outputs
• Content moderation policies with human review for public content
• Ability to flag inappropriate or harmful AI outputs
• Regular human review of AI system performance

5.2 Data Governance

We implement robust data governance practices:

• Training data for our AI systems is sourced from reputable providers with proper licensing
• We do not train foundation models on user data
• User content is processed only for service provision, not AI training (without consent)
• Data quality controls and bias mitigation measures
• Regular audits of data practices

5.3 Technical Documentation

We maintain documentation for our AI systems including:

• System purpose and intended use cases
• Model specifications and capabilities
• Training methodologies and data sources (where applicable)
• Performance metrics and limitations
• Risk mitigation measures
• Human oversight mechanisms

5.4 Quality Management System

Our quality management system for AI includes:

• Regular testing and validation of AI outputs
• Performance monitoring and incident logging
• User feedback integration
• Continuous improvement processes
• Version control and change management

6. Risk Mitigation Measures

6.1 Content Moderation

We implement content moderation to prevent harmful outputs:

• Input filtering to prevent generation of illegal or harmful content
• Output filtering for inappropriate content
• Prohibited content categories enforced (violence, CSAM, hate speech, etc.)
• User reporting mechanisms
• Human review of flagged content

6.2 Bias Mitigation

We work to mitigate bias in AI outputs:

• Selection of AI providers with bias mitigation measures
• Regular evaluation of AI outputs for biased patterns
• User controls to report biased outputs
• Diverse model options to reduce single-provider bias

6.3 Security Measures

Our AI systems are secured against attacks:

• Input validation and sanitization
• Prompt injection protection
• Rate limiting and abuse prevention
• Secure API key management
• Regular security assessments

7. User Obligations

Users of faktry have certain obligations under the EU AI Act:

• Transparency: When deploying AI-generated content, users must disclose its artificial origin as required by Article 50
• Deep Fake Disclosure: Content that resembles real persons must include clear disclosure of AI generation
• High-Risk Use Cases: Users deploying our tools in high-risk contexts must conduct their own conformity assessment
• Legal Compliance: Users are responsible for ensuring their use of AI complies with applicable laws
• Content Responsibility: Users are responsible for the content they create and how it is used

8. Third-Party AI Providers

faktry uses AI services from third-party providers. We select providers who:

• Are committed to EU AI Act compliance
• Provide transparency about their AI models
• Implement appropriate safety measures
• Have robust data governance practices

Key AI providers we use:

9. Incident Management

We maintain an incident management system for AI-related issues:

• Incident Logging: All AI-related incidents are logged and tracked
• Response Procedures: Defined processes for addressing incidents
• User Reporting: Users can report AI incidents via support channels
• Authority Notification: Serious incidents are reported to competent authorities as required
• Corrective Actions: Post-incident reviews and improvements

10. Contact & Compliance

For questions about our EU AI Act compliance or to report AI-related incidents:

11. Updates to This Statement

This EU AI Act compliance statement will be updated as:

• Our AI systems evolve or new systems are deployed
• New guidance on EU AI Act implementation is published
• Regulatory requirements change
• Our risk assessment identifies new considerations