Moderators should be allowed to give this badge/title to detected and tagged users only if the mods think the evidence is enough and it's an obvious case. It can be removed if the user improves over time and requests to get the badge/title removed.
Let me know what you guys think.

If someone that obviously plagerized and got banned could be given the opportunity to create a ban appeal, it means another who got a AI strike or badge will be given the opportunity to appeal. What will happen is that the meta board will be filled with AI this and that shit of appeal. Besides, there's yet to be a dependent tool for determining an AI generated text. So, it is fine that you wait till forum makes a rule about AI usage.