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Abstract This article examines the evolving role of legal frameworks in shaping ethical artificial intelligence (AI) use in corporate governance. As AI systems become increasingly prevalent in business operations and decision-making, there is a growing need for robust governance structures to ensure their responsible development and deployment. Through analysis of recent legislative initiatives, industry standards, and scholarly perspectives, this paper explores key legal and regulatory approaches aimed at promoting transparency, accountability, and fairness in corporate AI applications. It evaluates the strengths and limitations of current frameworks, identifies emerging best practices, and offers recommendations for developing more comprehensive and effective AI governance regimes. The findings highlight the importance of adaptable, principle-based regulations coupled with sector-specific guidance to address the unique challenges posed by AI technologies in the corporate sphere.