Mealey's Artificial Intelligence
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August 28, 2023
Judge Extends Restraining Order In FTC’s AI Sales Case
SAN DIEGO — A federal judge on Aug. 25 extended a temporary restraining order in a Federal Trade Commission action in a case claiming a company and various individual defendants charged up to hundreds of thousands of dollars for allegedly artificial intelligence-based online store management that never materialized the promised revenues.
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August 24, 2023
OpenAI, Radio Host Debate Where Defamation Suit Belongs
ATLANTA — A radio host who claims that he was defamed by ChatGPT when it described him to a journalist as the defendant in embezzlement case and OpenAI Inc. have both responded to an order to show cause on whether the company’s diversity jurisdiction allegations were sufficient to keep the case in federal court in Georgia.
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August 23, 2023
Plaintiff: T-Mobile Board Beholden To Parent Company Couldn’t Stop AI Data Move
WILMINGTON, Del. — A telecommunications company was helpless to prevent an “aggressive and reckless scheme” centralizing data for use in training artificial intelligence that placed the data and shareholders at risk because its board was beholden to its parent company, plaintiffs told a Delaware judge in opposing dismissal.
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August 21, 2023
Judge: Copyright Requires A Human, Can’t Protect Artificial Intelligence Art
WASHINGTON, D.C. — A man found to have “put the cart before the horse” has appealed a holding by a District of Columbia federal judge that copyright law at its core historically requires a human creator and cannot protect art created by artificial intelligence (AI).
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August 21, 2023
Employers Settle Claims They Trained Hiring Algorithm To Exclude Older Applicants
BROOKLYN, N.Y. — A trio of companies that provided English-language tutoring for individuals in China settled a case brought by the Equal Employment Opportunity Commission claiming that the employers trained their hiring algorithm to exclude older applicants.
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August 18, 2023
AI Legal Application Founder Says Japanese Company Is Infringing Trademark
SAN FRANCISCO — A Japanese company and its United States-based entity are a single enterprise that sucked up all available venture capital funding in the artificial intelligence based legal applications by using an already trademarked name, a Arizona-based intellectual property law firm told a federal judge in California in opposing a motion to dismiss California unfair competition law and other claims.
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August 04, 2023
COMMENTARY: Artificial Intelligence: Top 3 Legal Issues
By Dr. Andreas Lober
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July 27, 2023
COMMENTARY: COVID-19, Generative AI And The “Lost Generation” Of Lawyers
By Jennifer M. Driscoll and Linn F. Freedman
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August 15, 2023
Artificial Intelligence ‘Ecosystem’ Was Just A Pyramid Scheme, SEC Says
ORLANDO, Fla. — A man lured investors with promises of early access to profits from an artificial intelligence “ecosystem,” but promised applications were never developed and the arrangement was nothing more than a multilevel marketing scheme, the Securities and Exchange Commission alleges in a complaint filed in Florida federal court.
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August 15, 2023
OpenAI Says Name Of Competitor ‘Transparent’ Attempt To Leverage Reputation
SAN FRANCISCO — Artificial intelligence company OpenAI Inc. says in a complaint that a competitor adopted a nearly identical name in a “transparent” attempt to “sow consumer confusion” and trade on its hard work and reputation in the wake of the release of ChatGPT.
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August 11, 2023
Linguistic Literature Analysis Website Shutters Itself Citing AI Concerns
WASHINGTON, D.C. — The individual behind the Prosecraft.io website, which performs linguistic analysis of literature, announced that he was shuttering the site, citing concerns that artificial intelligence (AI) could be trained on its database.
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August 10, 2023
Federal Election Commission Unanimously Agrees To AI Rule Making Comments
WASHINGTON, D.C. — The Federal Election Commission (FEC) on Aug. 10 unanimously agreed to publish for comment in the Federal Register a petition seeking rule making that would bring the use of artificial intelligence (AI) and deepfakes under regulation already governing fraudulent misrepresentation in political advertising.
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August 10, 2023
Election Commission To Consider AI, Deepfake Political Advertising Rule
WASHINGTON, D.C. — The Federal Election Commission (FEC) is soliciting comments on, and is set to consider at its Aug. 10 meeting, whether it should amend the rule prohibiting fraudulent misrepresentation in political campaign advertising to include the use of artificial intelligence (AI).
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August 09, 2023
Judge’s Order Questions Jurisdiction Over ChatGPT Defamation Case
ATLANTA — A federal judge in Georgia said OpenAI LLC’s notice of removal vaguely states that none of its entities reside in Georgia, which is insufficient to create diversity jurisdiction over a man’s case claiming he was defamed by artificial intelligence ChatGPT when it created a fake complaint naming him as a defendant. In a docket entry, the court issued an order to show why the case should not be remanded.
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August 08, 2023
AI Merger Software Company Wants Damages For Wrongful Injunction
COLUMBUS, Ohio — A company that developed an artificial intelligence platform designed to analyze mergers and other business pairings told a federal judge in Ohio that having prevailed in a case brought against it by a failed business partner and having been improperly damaged by an injunction, it was entitled to the entire amount of the injunction bond the plaintiff filed.
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August 08, 2023
State Farm: AI Claims Handling Allegations Don’t Establish Fair Housing Case
CHICAGO — Property insurance lacks sufficient connection to the sale of a home for liability under the Fair Housing Act (FHA), an insurer tells a federal judge in Illinois in urging dismissal of claims alleging that the company employs a discriminatory artificial intelligence during the claims handling process.
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August 07, 2023
Intervenor Hopeful Challenges AI Bus Software Company’s ‘Recklessly’ Filed Suit
NEW YORK — A company hoping to intervene in a business and patent dispute involving one of its subsidiaries over the ownership of an artificial intelligence bus driving system on Aug. 4 replied to an unopposed motion to intervene, raising issues regarding the plaintiff’s motion for a preliminary injunction and the choice of venue.
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August 03, 2023
Fake Cites Lead Texas Court To Suspect AI’s Use In Criminal Brief
AUSTIN, Texas — A Texas court affirmed an appeal challenging the propriety of a man’s bail, noting that the “illogical” appellant brief contained citations to nonexistent cases and appeared to possibly be created with artificial intelligence.
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August 01, 2023
Judge Won’t Expedite Briefing In Discovery Dispute Between AI Cofounders
SAN FRANCISCO — Although the cofounder of an artificial intelligence program adequately explains “what otherwise might appear to be an undue delay,” he has not demonstrated the need for expedited briefing on early discovery, a federal judge in California said July 31 in denying his motion.
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August 01, 2023
ASU Law School To Permit Artificial Intelligence Use In Applications
TEMPE, Ariz. — Arizona State University will allow individuals applying to its Sandra Day O’Connor College of Law to use generative artificial intelligence in applications, according to an announcement by the school.
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August 01, 2023
Competitor’s Tech Infringes On Dynamic Batching Patent, AI Company Says
WILMINGTON, Del. — A competitor touts improvement in artificial intelligences’ “throughput” and latency from “dynamic batching” — a process FriendliAI Inc. says in a complaint filed in Delaware federal court that it only recently announced and which is protected by a patent.
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July 31, 2023
‘Virtually Certain’ Copyright Violations Keep AI Github Claims Alive, Class Says
OAKLAND, Calif. — Anonymous plaintiffs defended California unfair competition law (UCL) and other claims stemming from the alleged use of licensed software posted to the Github repository to train artificial intelligence from a motion to dismiss, saying their allegations were “plausible, highly likely and indeed, virtually certain.”
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July 31, 2023
Pacing, Discovery At Issue In Artificial Intelligence $100 Share Sale Case
SAN FRANCISCO — Parties to a suit claiming that the cofounder of artificial intelligence Stability AI was duped into selling billions of dollars in shares for $100 briefed the need to expedite the case, limited early discovery, with the defendant saying in a July 28 brief that the plaintiff unjustly delayed filing the case and seeks to escape federal rules.
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July 25, 2023
Cigna Denies Claims In Bulk Through Algorithm, California Class Action Alleges
SACRAMENTO, Calif. — Health insurer Cigna Corp.’s algorithm instantly rejects hundreds of thousands of claims without ever reviewing them and with the company’s knowledge that only a miniscule percentage of claimants will ever challenge the decisions, insureds allege in a July 24 class action filed in the U.S. District Court for the Eastern District of California alleging violation of California regulations and the state’s unfair competition law (UCL).
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July 25, 2023
OpenAI Removes, Wants Dismissal Of ChatGPT Made-Up Lawsuit Defamation Case
ATLANTA — After removing a case, artificial intelligence company OpenAI LLC asked a federal judge in Georgia to dismiss with prejudice the defamation case claiming that ChatGPT created a fake complaint, saying that inaccuracies are inherent in the nature of the program and that its user agreement puts responsibility for final output on the user.