Mealey's Artificial Intelligence

  • December 07, 2023

    COMMENTARY: Fire & Rain: 2023 Key Decisions & Developments Impacting The Wide World Of Insurance

    By Scott M. Seaman, Pedro E. Hernandez and Lisa M. Roccanova

  • December 01, 2023

    Shareholders: Lending Platform Misconstrues Judge’s Order In Motion To Reconsider

    CINCINNATI — A lending platform and certain related defendants, accused by shareholders of making inaccurate claims about the platform’s use of artificial intelligence to approve loans, indicated in a notice in an Ohio federal court no opposition to several investment funds’ motion to intervene in the suit, a day after the shareholders filed a memorandum in opposition to the lending platform’s motion to reconsider an order partially dismissing the suit.

  • December 01, 2023

    AI Music Copyright Defendant Says Tennessee Jurisdiction Strikes Wrong Beat

    NASHVILLE, Tenn. — In a motion to dismiss, artificial intelligence company Anthropic PBC told a federal court in Tennessee that a copyright suit was a “negotiating tactic disguised as a federal court complaint” with no connection to the jurisdiction and that at the very least, the action should be transferred to California, where almost all of the parties reside.

  • November 30, 2023

    In GitHub AI Copyright Suit, Parties Told To Meet, Confer Not Move To Compel

    SAN FRANCISCO — While a California federal court mulls a second round of motions from OpenAI Inc., GitHub Inc. and Microsoft Corp. seeking dismissal of claims under the Digital Millennium Copyright Act (DMCA) and California’s unfair competition law (UCL) related to allegations of improper attribution in the development of an artificial intelligence tool, a magistrate judge denied the plaintiffs’ motion to compel discovery responses in favor of a directive for the parties to meet and confer about discovery disputes.

  • November 28, 2023

    Court Must Amend Ruling Dismissing AI Legal Services Case, Law Firm Argues

    EAST ST. LOUIS, Ill. — A ruling dismissing a case against an artificial intelligence legal services company for lack of Article III standing without prejudice only if a law firm files an amended complaint would impermissibly allow a case to be dismissed with prejudice, when dismissal for lack of Article III standing can never be with prejudice, a law firm told a federal court in Illinois in asking it to amend its ruling.

  • November 28, 2023

    Colorado Lawyer Who Failed To Disclose False ChatGPT Cites Suspended

    DENVER — A lawyer’s undisclosed use of ChatGPT, which produced incorrect or fictitious cites in crafting a motion, violated various rules of professional conduct, the Colorado Supreme Court said in suspending the attorney for the 90 days served and suspending the remainder of his one-year and one-day sentence pending completion of a two-year probation.

  • November 15, 2023

    COMMENTARY: Developments In The Use Of AI In Financial Investigations

    By Keith Williamson and Robert Cruse

  • November 27, 2023

    Unsecured Creditors Propose Liquidation Plan For Vesttoo And Its Affiliates

    WILMINGTON, Del. — The Official Committee of Unsecured Creditors has proposed a Chapter 11 plan of liquidation for the jointly administered cases of Vesttoo Ltd. and 48 affiliates in Delaware federal bankruptcy court, with a Dec. 13 objection deadline.

  • November 21, 2023

    Music Publishers Seek To Enjoin ‘Blatant’ AI Copyright Violations

    NASHVILLE, Tenn. — Anthropic PBC built its artificial intelligence model and billion-dollar business on “blatant and widespread copyright infringement,” leading music publishers claim in a motion filed in a federal court in Tennessee seeking a preliminary injunction hoping to prevent “incalculable harm.”

  • November 21, 2023

    Judge Dismisses ‘Nonsensical’ Copyright Claims For Meta’s Use Of Books To Train AI

    SAN FRANCISCO — A California federal judge on Nov. 20 granted a motion to dismiss the bulk of claims brought by authors in two related putative class actions against Meta Platforms Inc. for copyright infringement based on its use of their written works to train its artificial intelligence software, calling the plaintiffs’ “derivative works” argument “nonsensical.”

  • November 17, 2023

    AI Court Reporting Service Would Violate Texas Law, Lacks Standing, Judge Says

    AUSTIN, Texas — An artificial intelligence-based speech-to-text transcription service violates Texas law requiring court reporters to be certified and lacks standing to bring antitrust claims surrounding the alleged blackballing of it and a related company, a federal judge in Texas said Nov. 16 in largely granting motions to dismiss but denying a motion for summary judgment as premature.

  • November 17, 2023

    Man Allegedly Defamed By ChatGPT Appeals Attorney Fee Ruling

    ATLANTA — A man said in a Nov. 16 notice that he is appealing to the 11th Circuit U.S. Court of Appeals a decision by a federal judge in Georgia not to award him attorney fees after OpenAI LLC conceded that it could not defend removal of a defamation case alleging that ChatGPT incorrectly named him as a defendant in a financial misconduct suit.

  • November 16, 2023

    2 Estates’ Class Suit Accuses UnitedHealth Of Care Denial By AI

    MINNEAPOLIS — An insurer illegally employs artificial intelligence (AI) to deny elderly insureds medically necessary care based on a model that the insurer knows “has a 90% error rate,” two estates allege in a class complaint filed in a federal court in Minnesota.

  • November 15, 2023

    Expelled Student Claims AI Anti-Cheating Program, School Discriminated

    MIAMI — A university and a testing company misrepresented the efficacy of artificial intelligence-based software and discriminated against an African American student who suffers from attention deficient hyperactivity disorder (ADHD) when the software improperly identified her as a cheater and she was expelled, the student says in a lawsuit filed in Florida federal court.

  • November 14, 2023

    Activists: Oregon Silencing Election Speech With Artificial Intelligence

    PORTLAND, Ore. — The state of Oregon uses an artificial intelligence surveillance company to “detect, trace and target” criticisms of its election system in a “dystopian censorship” scheme, Republican politicians, an election integrity advocate and others allege in a complaint.

  • November 14, 2023

    Class Suit: CVS Job Applicant AI Screening Tool Is Illegal Lie Detector Test

    BOSTON — CVS Health Corp. and CVS Pharmacy Inc. use an artificial intelligence-based facial and vocal scanning program during the hiring process, drawing conclusions about applicants’ enthusiasm and potential culture fit in what amounts to a lie detector test given in violation of Massachusetts law, plaintiffs allege in a federal class action.

  • November 14, 2023

    Conversion Bid Denied, Exclusivity Terminated In Vesttoo Bankruptcy Cases

    WILMINGTON, Del. — A Delaware federal bankruptcy judge has denied without prejudice a U.S. trustee’s motion to convert the jointly administered Chapter 11 cases of Vesttoo Ltd. and 48 affiliates to Chapter 7 cases.

  • November 10, 2023

    Lending Platform Says Judge Misapplied Scienter Factor, Should Fully Dismiss Suit

    CINCINNATI — A day after a lending platform filed a motion asking a federal judge in Ohio to reconsider a ruling that claims made by shareholders about the platform’s use of artificial intelligence to approve loans are actionable, several investment funds filed a motion to intervene in the suit, seeking to ensure that their claims are preserved.

  • November 09, 2023

    Federal Judge Moots Motion To Dismiss From AI Startup In SEC ‘Pyramid Scheme’ Suit

    ORLANDO, Fla. —  A federal judge in Florida dismissed as moot a motion to dismiss filed by a man who the Securities and Exchange Commission alleges lured investors with promises of early access to profits from an artificial intelligence “ecosystem” in what was nothing more than a multilevel marketing scheme after the SEC filed an amended version of its complaint.

  • November 08, 2023

    Debtors In Vesttoo Bankruptcy Cases Note Agreement With Unsecured Creditors

    WILMINGTON, Del. — In a Nov. 7 objection to conversion to Chapter 7, Chapter 11 debtors Vesttoo Ltd. and 48 affiliates tell a Delaware federal bankruptcy court that they hope to close on a sale of assets “around December 1” and “if such a sale is not possible or cannot come together in that time frame . . . will have worked with [the Official Committee of Unsecured Creditors] toward a singular liquidating plan.”

  • November 07, 2023

    Class Plaintiffs Allege AI Rental Price Setting Violates Sherman Act

    SEATTLE — An artificial intelligence algorithm and related programs combine marketplace knowledge and automate rental price setting in a way that allows landlords to aggressively raise rental rates without risking claims of collusion, two plaintiffs claim in an amended class action filed in Washington federal court.

  • November 07, 2023

    AI Company Urges Fair Use Protections, Says Copyright Law Doesn’t Need Overhaul

    WASHINGTON, D.C. — Artificial intelligence company Anthropic PBC told the Copyright Office that the technology could add trillions of dollars in value to the economy but warned that a fragmented governance system would be costly and unreliable and the worst way to implement regulations.

  • November 02, 2023

    Judge Allows Some Copyright Claims Against AI Apps

    SAN FRANCISCO — Where a cartoonist alleges that her protected works were scraped from the internet and used to train artificial intelligence, her copyright claims survive motions to dismiss, but the balance of the California unfair competition law (UCL) and other claims fail, a federal judge in the state said Oct. 30 in granting leave to amend a class action.

  • October 30, 2023

    Former Governor Launches Copyright Suit Against AIs, Training Database

    NEW YORK — Former Arkansas Gov. Mike Huckabee and other copyright holders filed a class action against the host of the data set used to train large language models and companies whose artificial intelligences were trained on the information.

  • October 30, 2023

    Florida: AI Doesn’t Factor Into Criminal Case; Review Unnecessary

    TALLAHASSEE, Fla. — The Florida Supreme Court should ignore a man’s “dramatic specters” of artificial intelligence’s role in criminal charges in a child pornography case because the appellate court ruling reinstating the case never mentions or addresses the issue and the petition is predicated on issues not before the court, the state says.