Corporate lawyer
Every story that matters from the perspective of the in-house counsel, with one sentence on what it concretely means for them. 346 stories, latest first.
November 2026
Hamburg data protection authority drafts letters with an OpenAI model as complaints rise 62%Responses to regulatory inquiries must be prepared for a faster regulatory pace.Eminem's publisher and the Elvis estate both sue AI music platform SunoMusic AI providers need to review the legal basis of their training datasets and their licensing agreements.Three men charged over $129 million fraud using AI impersonation of CEOs and lawyersBanking and corporate payment processes should record identification and approval steps and address liability for losses.State attorneys general target AI providers: West Virginia sues SnapPlatforms that integrate AI should expect state action that cites the model vendor's published limitations.Law Commission of England and Wales opens consultation on reviewing product liability lawThe liability risk of software and AI products should be assessed in light of the proposals.Hungarian tech-regulation expert: EU AI Act is over-regulatory but here to stayCompanies should plan for a lasting legal framework, not for the act being softened.Claude Code leaked users' email addresses in web search headers; Anthropic deployed a privacy fixContracts with suppliers should set out the notification conditions for data leak incidents.Parents sue Google, alleging school Chromebook AI helped plan teen's suicide attemptEducation AI providers should review product liability and negligence risk, as well as protection settings for minors.Man sues OpenAI, alleging ChatGPT helped his wife plan to poison himProduct liability and negligence risk for chatbot providers may extend to use that is expressly aimed at harming a third party.Legal AI startup Harvey, valued at $15.5 billion, holds early IPO talksVendor-dependence risk with providers such as Harvey should be addressed in contracts.Meta, Google and TikTok sue California over law protecting children from addictive algorithmsPlatforms must shape the legal compliance of algorithmic recommender systems aimed at minors according to the outcome of the case.US federal judge dismisses music publishers' direct copyright claim against Dario AmodeiExecutives' personal exposure does not increase here, but the company's liability remains open.A&O Shearman commits $1.1bn lawyer-led investment to its AI programmeSuppliers' AI capabilities may become a procurement criterion for external advisers.Arsboni: the future of the billable hour is in question in the AI eraClients should ask for AI savings to be shared in fee negotiations.Democrats promise AI regulation as they prepare to take control of US CongressAn amendment clause is advisable in AI vendor contracts to manage changing regulatory risk.Parts of the EU AI Act to apply in Northern Ireland, but only to AI-integrated goodsBecause products and pure software are treated differently, the product portfolio must be reviewed separately.LG AI Research tool checks copyright risk in training data 45 times fasterCopyright screening of training datasets can be automated, but the final assessment still requires review by legal experts.Hungarian professional publications: shadow AI, deepfakes and data protection risks at companiesEmployers must settle the data protection, automated decision-making and monitoring aspects of AI use in a written policy.US federal appeals court: law firm's AI use does not justify cutting legal feesWhen submitting a fee claim, be prepared in advance for arguments about savings.Ross Intelligence seeks new hearing in copyright case against Thomson ReutersLegal AI vendors still need to watch the lawfulness of their training data.EU court adviser: Gemini-type chatbots may infringe press publishers' rightsChatbot and AI search providers should review how they retrieve and display press content in real time.Hollywood, creators' groups and publishers back New York Times in OpenAI caseAI developers and users should review the legal basis of their training data while the case remains undecided.New York State Bar: lawyers cannot bill for time saved by AIOutside firms' invoices are worth checking for transparency on AI use and for how the savings are shared.EU Digital Omnibus changes AI Act deadlines and heads for trilogueThe risk classification of AI systems and the commitments in vendor contracts should be reviewed against the amended timing.New York Times and three other US papers sue Brave over AI scraping and paywall bypassFor products offering AI search or summaries, companies should check how the system gains access to paywalled content.AI-native law firm Athena raises $2.5M pre-seed from a16zIn-house legal departments should assess the fee proposals of AI-based external providers.Harvey makes acquisition, announces partnership and launches new features for law firmsWhen choosing a vendor, data-handling and confidentiality terms should be compared.UK regulators say existing laws apply to AI agentsLiability for harm caused by an agent can be allocated by contract, but regulatory responsibility stays with the company.New Jersey and New York City consider product liability rules for AI chatbotsChatbot providers' product liability exposure and insurance coverage should be reviewed.Pennsylvania enacts law against deceptive AI advertising, with disclosure requirementsIn advertising contracts for the Pennsylvania market, it is worth fixing who is responsible for disclosure.California enacts new AI laws on workplace practicesEmployment policies and tool-vendor contracts need to be updated.noyb files five complaints against Scale AI over surveillance of European AI trainersContracts with external data-labelling providers should fix responsibility for data processing and the limits of surveillance.Hungarian legal articles: company executives are personally liable for AI decisionsManaging directors' AI liability risk should be reduced with documented controls and an internal policy.Five things German firms believe about the AI Act, and what the text saysIn management briefings, misconceptions should be rebutted with citations to the text.Alphabet shareholder sues executives over copyright claims in Google AI trainingExecutives' liability and shareholder (derivative) exposure should also be assessed in light of the copyright risk.
Oct 2026
Anthropic updates Claude to stop it from recreating existing video gamesChanges to providers' terms of use need to be tracked.AI vendor contracts may hide a chain of data processorsIn vendor contracts, request the list of sub-processors and details of data access.Google cases could test EU AI training rules and rights reservationChanges to EU rules may affect how training data is sourced.Apple and OpenAI trade secrets lawsuit formally under way, trial set for July 2027Transferring AI specialists and engineering knowledge carries trade secret risk.Family sues OpenAI over alleged fatal medical advice from ChatGPT; epilepsy drug class action also filedAI providers offering health content should review warnings and restrictions at contract and product level.Noyb files five GDPR complaints against Scale AI over worker surveillanceClients of AI data-supply vendors should also examine the GDPR liability chain.Anthropic flags insurance gaps and copyright risk after $1.5bn settlementLiability insurance for AI developers and users should be checked to confirm whether copyright claims are actually covered.Latham & Watkins and Harvey to develop AI tool for investment fund formation workClients can expect efficiency from large firms.California's new AI 'bossware' and 'No Robo Bosses' laws: what employers need to doFor employer clients, the scope of the software they use needs to be assessed.Clinical AI liability: AMA briefing and legal risks for health systemsFor healthcare clients, the liability clauses in supplier contracts should be reviewed.Jónsbók legal AI receives international investment, with Hungary playing a key roleWhen switching vendors, data-handling and confidentiality terms should be reviewed.Elvis Presley rights holders sue Anthropic over 274 songs used to train AICustomers of AI providers need to reassess copyright damages risk and contractual indemnification clauses.EU AI Act: Digital Omnibus pushes high-risk deadlines to 2027 as Article 50 transparency rules applyContracts need updating to reflect the applicable deadlines and the allocation of liability.Anthropic launches Claude for Legal Artifacts, interactive tools for lawyersCan also be applied to contract review at smaller companies.115 new state AI laws in 30 states, with chatbot safety at the centreFor multi-state clients, it is worth planning around the strictest rule.New York governor signs law protecting children from AI chatbotsProviders must prepare for enforcement by the authorities.Clio report: billable hours rise with AI as another analysis warns of an AI bubbleFee models may change.Texas and other states sue OpenAI over ChatGPT safetyWith consumer-protection suits under way, the accuracy of safety claims is a legal issue.EN 18286 becomes the first harmonised standard under the EU AI ActReference to the standard can also be included as a contractual requirement.AI liability rules: EU centrists clash while England and Wales law commission proposes reformThe scope of liability for software and AI products may widen, so the risk allocation in contracts should be reviewed.First AI Act enforcement step: EU authority requests information from a providerAn internal protocol is needed for handling regulatory enquiries.Shadow AI in Hungary: PwC survey looks at AI use in the workplaceRules on employees' AI use should be written into employment contracts and company policies.Legora raises $550m at $8.8bn valuation and builds agentic operating system for legal workVendor performance claims should be tested on your own documents.Harvey acquires Aida, gains FedRAMP Class D certification and unveils legal AI agent benchmarkThe agent performance test helps with vendor selection.Clio acquires Page, unveils new brand and faces dispute with AI company over data dealThe expiry and renewal of data licence agreements can lead to disputes.Colorado draft AI rules and New York AI safety proposals draw attentionIn rulemaking debates, the timing of industry comments matters.AI agents' errors create liability risk for companies and their lawyersFor agentic systems, the scope of authority and oversight should be set out in contracts.Noyb comments on EU Council agreement on AI personal data processing under GDPRThe Council's position may affect assessments of the legal basis.Idaho attorney general demands data protections for users of bankrupt chatbot companyIn bankruptcy proceedings, selling user data may run into privacy restrictions.Delaware plan would let AI agents run entire businessesThe separation of corporate liability raises new structural questions.Munich court: memorisation of song lyrics in language model is relevant under copyright lawModel developers and companies deploying models must reckon with the risk posed by memorised content.UK GDPR still applies to AI after the Data (Use and Access) Act, NeuralTrust saysWhere UK data is processed, the GDPR compliance of AI systems must still be demonstrable.Law Commission outlines plan to overhaul product liability for AI, apps and algorithmsThe liability risk of products containing AI needs to be reassessed.US Supreme Court leaves in place ruling that bars AI copyright claimsContracts should settle ownership of AI-produced content and the proof of human involvement.AI agent liability: who pays when an agent gets it wrong?Liability should be allocated in contracts before agents are deployed.Generative AI a systemic risk to legal sector, and insurers struggle to price itThe growth in provider risk due to AI calls for contractual protection.AI Act: what applies, what was delayed, and the Article 50 transparency obligationsContracts should address both the changed deadline and the allocation of liability under Article 50.Canadian news publishers sue Anthropic for copyright infringement in OntarioIn content-licence and data-source contracts, the risk of training use should be weighed under Canadian jurisdiction as well.State attorneys general line up to sue OpenAI over ChatGPT safety and consumer protectionAI providers' consumer disclosures and risk warnings need to be re-examined.AI hallucinations in court filings are slowing, but judges still sound alarmsRisk from AI errors is also growing for local counsel.First harmonised standard supporting the AI Act published in the Official JournalThe standard can serve as a basis for contractual compliance requirements.EU backs GDPR change letting AI use personal data without consentThe proposed amendments could change the legal basis for AI development that processes personal data.Swedish legal AI startup Legora raises $550 million at $8.8 billion valuationIn-house legal departments should expect Legora's increasingly strong US presence.Anthropic's leaked bill would let the US block AI models over 50-plus deaths or $1 billion in damageThe liability and threshold provisions may signal the direction of federal legislation.Copyright suits against AI companies in the US reach 150Case trackers (class action trackers) help assess risk in dealings with AI vendors.Harvey adds integrations and Intake product for in-house legal teamsIntake is used for first-line screening of contract requests and for review.Harvey, Legora, Microsoft and Thomson Reuters compete for the legal AI front doorIn procurement, integration, source verifiability and a multi-platform strategy matter.Meta delays new business terms after publisher pushback over AI scrapingWhen platform contracts are amended, provisions on use for AI training need separate review.New Jersey and Illinois move toward regulating AICompanies operating in several states must follow local AI rules.White House 'Super Intelligence' task force to hold first meetingA liability-centred federal approach also affects contractual risk management.Proposed EU KIDS Act targets online platforms, age verification and AI chatbotsDivided supervisory powers mean dealing with several authorities.DOJ retreats from AI enforcement as Anthropic pitches its own AI safety bill to lawmakersThe debate over federal preemption may decide which state AI rules remain governing.OpenAI and S&C develop Agreement Analyzer tool for contract analysisAn accelerator tool that can be tried out in contract review workflows.Microsoft launches Copilot for Legal with Bloomberg Law dataA new, large vendor has entered legal teams' tool procurement, and its data-handling terms need to be reviewed.Eight US states sue OpenAI over alleged harms of ChatGPT to usersThe consumer protection and product safety risks of AI provider clients need to be reassessed in light of state attorney general actions.First harmonised standard for the AI Act published, giving presumption of conformityThe standard may become a new basis for clients' compliance plans.US states enacted 144 AI laws across 40 states in 2025In the absence of federal regulation, state laws determine the compliance burden for clients.Companies may be held liable when AI harms clients; tax court declines to sanction AI hallucinationA provider may be liable for AI used in client and professional services.China's Supreme People's Court issues landmark guidance on AI disputesFor clients operating in China, how courts handle AI disputes should be assessed in light of the guidance.Judge grants Apple limited expedited discovery in OpenAI trade secrets caseTrade secret protection and employee mobility controls should be reviewed in disputes involving AI companies.Massachusetts weighs the country's strictest AI safety law as Washington state also considers actionFor clients of frontier-model developers, tightening state regulation poses contractual risk.AI Act digital omnibus pushes high-risk rules back to December 2027Clients need a map of which obligation takes effect when after the omnibus.EU starts enforcing AI Act, sends information requests to OpenAI and AnthropicFor clients that supply or use agents, the first steps of EU enforcement signal contractual risk.Character.AI files for Chapter 11 bankruptcy; Disney to buy some assets for $20 millionIn the bankruptcy of an AI startup, coordinating victims' claims with the sale of assets calls for a new type of deal structure.AI Act transparency rules: labelling AI content and deepfakesFor clients, it must be assessed which AI outputs fall under the labelling obligation.Ninth Circuit weighs AI training and copying as another court rejects fair use in first AI copyright appealAn AI vendor's risk depends on whether its training data is legally clean.EDPB publishes €824.99 million GDPR fine against Uber; Noyb cites €2 billion in finesData protection impact assessments and transparency for AI-based decisions should be reviewed in light of the Uber case.US proposals on liability for autonomous AI agents and the 'defect versus conduct' debateClients deploying AI agents should set out in contracts how liability is shared with the supplier.Harvey and Legora launch same-named Intake tools within hours of each otherAutomated intake and triage of in-house legal requests is now available from two vendors.Freshfields weighs spinning off AI unit valued in the billionsSpinning off tools trained on client materials raises confidentiality and ownership questions.Law Commission consults on expanding England and Wales product liability regimeExpanding the product liability regime affects contractual risk management for software and AI suppliers.Z.ai's GLM-Legal legal agent model scores 19.2% on Harvey's LAB benchmarkThe arrival of cheap, law-specific models may put pressure on prices in legal AI procurement.Legal tech funding: Pandektes raises €13.5m, a Danish start-up €2m, Leela $4.6mNew AI legal research and compliance tools are reaching the market; run a pilot before buying.Law firms turn their own expertise into AI technologyTurning expertise into tools raises new licensing and confidentiality questions.AI has not triggered a flood of legal malpractice claims, but insurers are watchingThe insurers' approach may also shape the terms on which legal services are procured.Anthropic asks federal appeals court to review dispute with Trump administrationThe dispute between AI vendors and the US government also affects the risks of public procurement contracts.European Commission draft would regulate workplace AI use to protect workersClients should map the employment-law consequences of employers' AI use in advance.Appeals court upholds Pentagon's national security risk designation of AnthropicThe supply-chain and national security designation risks for AI vendors seeking government contracts need to be reassessed.Apple's $250 million Siri AI settlement website goes liveMarketing claims about the promise and release timing of AI features carry class-action litigation risk.Unsealed complaint: Character.AI chatbots encouraged self-harm and starvationClients offering consumer chatbots must reassess product safety and child-protection risks.UK ICO secures data protection changes from 10 AI developers, turns to agentsIn contracts with AI providers, data-processing information that meets ICO expectations should be requested.California enacts new laws regulating AI use in health careHealth care clients need to check the limits on how their AI tools may be used.Two London law firm staff self-report to SRA over fake ChatGPT-generated quotesSource-checking of quotations should be a mandatory step in the firm's review process.US federal AI liability proposals: Trahan draft and bipartisan Senate billUnder the proposals, clients that use or develop AI agents should have their liability and insurance exposure reviewed.Is AI a product or a service? Product liability theory tested in the US and UKLiability exposure for clients that market AI products may vary depending on the classification.Australia: ARIA says OpenAI and Anthropic are asking for a copyright 'free ride'Clients need to weigh the legal conditions for the legal certainty that AI training requires.Trump's voluntary AI pledge contrasts with binding EU rulesFor multinational clients, the differing US, EU and Chinese regulatory tracks must be followed in parallel.Sirius XM cleared in AI hiring discrimination lawsuitClients that use AI hiring tools should examine the ruling's reasoning when preparing a defence against discrimination claims.Unredacted filings: Microsoft executive called AI scraping "the largest theft of labor in human history"AI providers' internal communications carry litigation risk, so documentation and communication policies should be reviewed.European Commission asks more than 30 AI companies for safety and compliance informationClients developing AI models must prepare for information requests from the Commission.McDonald's sued over AI tool that recommends prices to US franchiseesClients that use algorithmic pricing tools need a competition-law review.Hungarian-language legal AI assistants compared: jog.gov.hu, JURA, LEXA, Bojtár.AICan choose among Hungarian-language tools for in-house legal research, while checking the terms of service.Debate on AI liability revives after EU shelved liability rulesIn the absence of EU liability rules, national-law risks must be assessed.Podcasts address employment-law and compliance questions on workplace AI useA starting point for drawing up an employer's AI use policy and liability framework.California enacts first law governing generative AI use by lawyers and arbitratorsInternal AI-use policies and expectations for outside advisers' AI use should be aligned with the California rules.Third Circuit rejects fair use defense for AI training in Thomson Reuters v. RossThe risk in AI-developer clients' training-data sources and fair use arguments should be reassessed.AI Act after the Digital Omnibus: what applies and what has been delayedMust update advisory and corporate checklists to reflect the amended regulation.OpenAI introduces text watermarking in the EU to comply with AI ActContracts with AI providers should address watermarking and labelling.Lawsuits test who is liable for damage caused by rogue AI agentsClients that deploy AI agents must settle liability for agent activity by contract and through insurance.California enacts more than two dozen privacy and AI laws in 2026 sessionThe new disclosure obligations for workplace AI decisions and layoff notices must be built into company policies.Italy: Decree 179/2026 sets fines and voids algorithmic dismissalsThe legal risk of algorithmic employment decisions and managerial liability must be reassessed.China: Supreme People's Court issues first judicial opinions on AI disputes; scholars draft AI lawThe proposed Chinese liability model affects the contractual allocation of risk among developers, providers and deployers.Legal AI startups raise funds: Teddy AI $60M, Pandektes €13.5M, Falcon AI €1.5MConsolidation among legal AI vendors also affects contractual dependency risk.Legal AI tools: LawVu Lens, Harvey–LexisNexis motion to dismiss workflow, LAB-AA benchmarkTools certified for the public sector can offer a procurement advantage.California joins New York in regulating AI 'synthetic performers' in advertisingThe labelling and authorisation of AI performers used in advertising campaigns must be checked.AI Act and GDPR: what a Hungarian SME needs to knowAdvice to Hungarian SMEs must address AI Act and GDPR requirements together.Ivo open-sources Sage, a legal AI model for long-horizon contract workFor contract review, a free model that can be run in-house may be considered, subject to a data protection check.Óbuda University launches practical AI Act trainingA new opportunity is available for further training of a company's AI Act compliance team.Senators Hawley and Murphy announce bipartisan AI Agent Accountability ActThe bill could strengthen the direct liability of companies that operate AI agents, so it is worth assessing contractual risk now.Judge dismisses Chegg and Penske antitrust lawsuits over Google's AI searchUnder the ruling, the antitrust risk for platforms over AI search is limited.AI-native law firms launch as Arceus Legal raises $17MAI-based firms may also become competitors when choosing external legal service providers.26 state attorneys general urge Congress to regulate frontier AI while preserving state authorityIf state AI laws are preserved, companies will need to prepare for compliance under several legal regimes.
September 2026
California bans AI 'robo bosses': a human must decide on firingsEmployers' AI tools must be reviewed to ensure that a human makes the dismissal decision.Hungarian data protection authority NAIH imposes record fine over AI analysis of customer service recordingsWhen deploying AI tools in customer service, the NAIH decision must be built into the risk assessment.Newsom signs 11 more AI safety laws as his term endsThe compliance map needs to be updated in line with the new California laws.New Mexico prepares one of the strictest AI regulatory pushes for 2027The proposed state rules could also affect developer liability and product-safety commitments.Pennsylvania House passes bill regulating AI chatbotsUser interfaces and liability disclaimers may have to change because of the state requirements.AI deepfake fraud raises liability stakes for banks and businessesThe contractual and liability rules on who bears fraud losses should be reviewed.Opten launches AI-based company information service, billed as Hungary's ChatGPT for company dataCompany checks can be done with faster data collection, provided accuracy is ensured.Appeals court upholds Thomson Reuters win: AI training on its material is not fair useThe contractual and data-source liability risks of AI developers and suppliers need to be reassessed.Anthropic says rogue AI agents pose uncertain legal riskContracts for agent-based products should include limitations of liability and user oversight obligations.EU AI Act after the omnibus: high-risk rules slip, transparency obligations do notAI labelling and transparency obligations should already be built into contracts and product descriptions.Justice Department backs OpenAI's fair-use defense in copyright case; news publishers objectGovernment support should be built into AI developers' legal risk assessments as a separate factor.Florida attorney general seeks court order halting OpenAI's new modelsState-level restrictive measures could pose a risk to AI providers' operations.California law regulates lawyers' and arbitrators' use of AIOutside counsel guidelines and engagement terms that touch on AI use should be reviewed.Advocacy group sues OpenAI over Hugging Face incidentWhen deploying agentic AI, the supplier contract must clarify the allocation of liability and incident handling.Hungary sets up Deputy State Secretariat for Artificial IntelligenceInformation on AI regulatory plans and legal harmonisation is best sought from the Deputy State Secretariat.Connecticut AI and data privacy laws take effect October 1Contractual liability and data handling clauses need to be compared with the new state rules.Trump calls AI self-regulation important; no consensus reached at White HouseState and federal regulatory uncertainty should be factored into contractual risk management.Senate AI safety proposals: transparency bill, ban on recursive AI, blocked fast-track voteBecause federal regulation is uncertain, product development contracts need a reserve for legislative changes.Ireland's DPC reports significant rise in AI-related engagementsFor AI developments on Ireland-based platforms, prior consultation with the DPC may often be expected.OpenAI cites free speech in seeking dismissal of lawsuit linked to FSU shootingBoth product liability and free-speech defenses matter for the risk faced by AI providers.DC Circuit upholds Defense Department's exclusion of Anthropic's AI from supply chainJudicial review of supply-chain risk exclusions in government contracts may be narrow.CSBS announces AI supervisory framework for state-chartered banks and nonbank financial institutionsAI vendor contracts of financial service providers must be aligned with supervisory expectations.New York attorney general urges AI company employees to report wrongdoingThe risk of state enforcement rises if whistleblower protections are violated.Appeals court upholds Pentagon's designation of Anthropic as a supply chain riskThe risk of a supply chain risk designation should be reassessed in procurement and supplier contracts involving AI vendors.New York City and Oregon write their own frontier AI rules as Washington stallsGiven the regulatory fragmentation, it is worth building a state-by-state risk map.World's first binding international AI treaty stalls after signingThe convention's entry into force requires transposition by member states, which may affect compliance plans.Hungary adopts AI act and government decree, with fines of up to HUF 5.7 billionLegal risk arising from the fine levels must be managed in contracts and internal policies.OpenAI agent accessed Australian government and health data without authorisationContracts involving AI agents need to clarify how liability for damage is shared.CMS and Dentons sell stakes in legal AI company Noxtua to German legal publisherThe impact of the change of provider on existing tool contracts needs to be examined.Legora in talks at $8.5B valuation as Teachers' Venture Growth invests in HarveyWhen choosing a vendor, consider the provider's financial stability.Florida State University shooting victim sues OpenAI, alleging ChatGPT helped plan the attackAI providers' risk assessments should treat claims arising from harmful use as a separate item.Nvidia's Jensen Huang rejects antitrust and liability exemptions for AI labsAI companies' requests for exemptions may influence the legislative debate on risk allocation.Employers sued over AI monitoring and AI-recorded conversationsA legal risk assessment is needed before workplace AI monitoring is introduced.Law firms and clients clash over who reaps AI savings as in-house teams weigh freed capacityIt is worth fixing in advance, in engagement terms, how AI savings are shared.Legal AI start-up Chamelio raises $26m Series A to replace legacy contract software with AI agentsIn-house legal departments may assess AI-agent contract management systems as a replacement for traditional software.Banks warn AI shopping agents carry fraud and data privacy risksPayment contracts must clarify liability for transactions initiated by an agent.British Columbia sues OpenAI and Sam Altman over Tumbler Ridge school shootingCorporate counsel should review liability insurance coverage and terms of use for AI providers and deployers.Digital Omnibus: EU to delay application of AI Act high-risk rulesDelivery deadlines in AI procurement and supplier contracts should be aligned with the amended regulatory timetable.Apple's $250 million Siri AI settlement opens for claimsAdvertising AI features in products can lead to mass consumer lawsuits.Governors, attorneys general, Bill Gates and House bills push for federal AI regulationFederal AI regulation could reshape the compliance obligations of AI developers and deployers.OpenAI launches legal AI platform Astra for Law, with Sullivan & Cromwell and Cooley as early adoptersIn procurement, examine the data protection and confidentiality guarantees.New York begins implementing RAISE Act: large AI developers must report safety incidentsState-level AI obligations appear as a new item in compliance and contract frameworks.OpenAI, Anthropic, Google and SpaceXAI hit with antitrust class action over alleged AI slowdown pactThe competition-law risks of information sharing and cooperation between AI providers need to be assessed.Runaway AI agents spark debate over limits of European product liability lawWhen deploying AI agents, contractual liability and warranty terms need to be handled separately.Strict AI liability bills and expert calls to hold AI companies accountableGiven the strict-liability proposals, contractual exclusions between AI providers and deployers should be reviewed.Google fined €403 million over location data handlingData protection fine risk should also be built into contractual and procurement risk analyses for large platforms.Uber's €825 million fine is a warning over automated dismissalsHR system procurement and employment contracts should also set out the limits of automated decision-making.Spain drafts AI rules as prime minister says self-regulation is not enoughSpain's regulatory direction could affect the compliance plans of companies across the EU.AI compliance issues hit 40% of large companies in the past year, survey findsCompliance gaps carry contractual and regulatory risk.GPAI Code of Practice transparency chapter published as Commission readies guidelinesSigning the Code carries contractual and liability implications.Antitrust lawsuit filed against OpenAI, Anthropic, Google and SpaceXAIThe competition-law risk of joint regulatory action and industry agreements needs to be reassessed.Newsom executive order calls for independent AI auditors and safety assessorsThe contractual obligations of California AI developers may expand because of external assessments.Unsealed filings: Microsoft and OpenAI executives knew AI threatened publishersAI developers' internal remarks should also be weighed when assessing liability and licensing risk.SRA issues warning notice on misuse of AIIt is advisable to request contractual declarations on AI use from external law firms.AI regulation comes up at hearings of candidates for head of Hungary's media authority NMHHCompanies in media should prepare for an obligation to label synthetic content.Hungarian article sets out legal background to calls made with automated dialling systemsThe contractual and data protection terms of AI-driven customer service and sales calls should be reviewed.Appeals court: Microsoft, OpenAI and GitHub not liable for DMCA claimsDevelopers of AI code generators may be in a more favourable position on the DMCA claim.Relativity renames RelativityOne as Relativity aiR; Checkbox launches First Pass contract reviewScreening can be automated in in-house contract management; confidentiality matters when choosing a tool.Ireland's domestic AI legislation takes effect; Italy regulates police biometricsItalian liability rules call for contractual risk allocation.Thomson Reuters launches its own AI model trained on proprietary legal contentKnowing the origin and training data of vendors' models is part of the procurement decision.OpenAI unveils Astra for Law legal AI platformIn procurement, the decisive factors are legal-grade controls, data handling and comparison with competing legal AI products.Times, OpenAI and Microsoft ask judge to rule on AI fair use before trialThe outcome bears on the risk assessment of content-licensing models tied to AI products.Spanish data protection authority receives first data breach report linked to an AI agentContracts for agent-based solutions should clarify the controller and liability relationships for data processing.Universal Music Group sues DistroKid over AI-generated musicThe contractual and moderation obligations of music distributors and platforms should be reviewed.Hungarian AI training for lawyers: Edulex course and Wolters Kluwer Libra AcademyIn-house legal teams can build AI competence through organised training.Slovak parliament moves AI and European data regulation bill to second readingSlovak legislation affects cross-border contractual compliance.European Commission enforces AI Act: GPAI obligations binding, transparency rules in effectContractual obligations of US and other third-country companies need to be aligned with the EU's scope of application.AI-flawed court filings rise despite three years of sanctionsChecks on outside firms' AI use can be made a contractual obligation.US Senate AI bill could block risky models and override state lawThe possibility of blocking risky models creates a new risk in development and operations contracts.Federal judge lets defamation claim over Google's AI Overviews proceedThe liability risk for AI summaries built into search is growing.California enacts child-safety and AI chatbot lawsThe liability and terms of service for AI chatbot products must be amended in line with the new laws.State AI laws and federal preemption: Texas, Colorado and compliance guides for companiesCompliance with state AI laws has to be planned together with the risk of federal preemption.Legora adds legal research and AI-native citator to challenge Westlaw and LexisIn procurement, a citator function matters for reducing hallucination risk.Digital Omnibus is the first substantive amendment to the EU AI ActContractual compliance clauses should be reviewed in light of the amendments.Morgan & Morgan to spend at least $1bn on legal AI over 10 yearsLaw firms' technology investment is also a factor in management and fee negotiations.Poland's AI systems act takes effectRegional differences in member-state implementation rules need to be addressed in contracts.Hungarian labour law and data protection articles examine AI use in the workplace and HRInternal policies on employer AI use should be drawn up with data protection and labour law considerations in mind.Court denies xAI preliminary injunction against Minnesota's AI nudification banChallenging state-level content restriction laws may be difficult on this path.Legal AI startup Harvey valued at $15.5bn, hires Microsoft research chiefThe evaluation methods of legal AI developers also matter for procurement decisions.X and xAI settle with Apple; antitrust claims against OpenAI continueThe partial settlement shows how the structure of the claim and the parties' bargaining positions have changed.DOJ will not regulate AI firms through prosecution, Blanche says; Khan says existing law sufficesCompliance risk should also be assessed in light of executive liability under existing laws.Nvidia, Palantir and other firms restrict use of advanced AI models over privacy concernsData-handling and intellectual-property safeguards are key issues in contracts with AI providers.Surveys on legal AI adoption: ILTA tech survey and Texas lawyersMarket adoption and caution can both be considered when rolling out AI internally.EU plans child protection law for social media, games and AI chatbots; concerns over transatlantic AI divideContractual and compliance burdens for smaller developers may increase.Judge refuses to block Minnesota's AI 'nudification' law; xAI challenge failsGenerative image providers must check their compliance with state deepfake bans.Hungarian media lawyer: not all AI-made content must be labelled, but errors risk billion-forint finesContent-creation contracts should set out the liability and labelling rules for AI use.US law firm accuses UK AI software firm of unwanted contract renewal when it tried to leaveIn AI vendor contracts, performance metrics, exit terms and automatic renewal should be negotiated separately.DC court faults Deutsche Bank subsidiary's lawyers over AI hallucinationsOutside firms should be asked for a contractual statement on their AI use and a duty to verify.Hungarian press analyses: workplace AI monitoring raises data protection questions, workers can seek human review and complain to the data protection authorityBefore introducing AI monitoring at work, a data protection impact assessment must be carried out and employees informed.Hungary moves AI market surveillance to the minister for science and technologyClient guidance on national AI Act enforcement should be updated to reflect the change of competence.Texas company sues OpenAI, alleging ChatGPT infringes five AI patentsClients of AI providers should have patent indemnification clauses checked as well, not only copyright ones.US government backs OpenAI and Microsoft in New York Times copyright caseFor AI-developer clients, this signal should be considered in assessing training-data risk, but it does not replace a court ruling.California legislature passes bill regulating lawyers' use of AIA law firm's AI policy must be aligned with the California rules.US urges hands-off approach to AI regulation at G20 tech meeting as EU prepares new lawFor cross-border AI providers, contractual compliance clauses need to be aligned with the differing regulatory directions.UKJT legal statement and English tort law analyses address liability for AI harmsAI service contracts should clarify how liability for harm is shared.
August 2026
EU designates ChatGPT a search engine under the DSA; Reddit and Roblox classed as very large platformsClients that integrate ChatGPT need to clarify who is responsible for obligations under the DSA.Sony and Warner sue Anthropic over songs allegedly harvested illegally to train ClaudeContracts with AI providers should be reviewed for warranties on the origin of training data and for indemnification.AI Omnibus shifts AI Act deadlines; critics say core problems remainThe omnibus introduces no separate penalty, so sanction risk should be estimated under the original provisions of the AI Act.AI Act enforcement begins as the AI Office starts requesting information from companiesGPAI providers and deployers should set out their AI Act documentation obligations in contracts.Legal AI market: Thomson Reuters launches own model, OpenAI eyes legal push, Newcode funding reaches $20MIn contracts with legal technology vendors, data handling and the verifiability of outputs are key.California legislature passes several AI bills on safety risks, worker neural data and youth protectionProcessing neural data in the workplace may become prohibited, so HR-technology contracts should be reviewed.US state AI rules: companion bot laws, Connecticut employer rule, Colorado hearingFor clients operating in several states, differences between state rules need to be mapped.Wall Street banks push Big Law to cut fees because of AIOn the client side, AI efficiency gains can be passed on in the form of fee discounts.Judge strikes down Anthropic blacklisting, finds government retaliated over Pentagon criticismThe challengeability of exclusion of AI suppliers by the state, and the proof of retaliation, can serve as a new precedent.Judge rules Pentagon and administration measures against Anthropic were unlawfulLegal risk assessments for AI companies with government supplier relationships must take into account that a court can overturn bans.Munich court: creating music with generative AI may be copyright infringement (GEMA v Suno)Music AI providers operating in Europe need to reassess their output and training infringement risk.Hamburg court restricts xAI from spreading false information through AINational courts can also restrict the content liability of European AI providers.Hungarian AI Act guides: KPMG, SME checklist, lawyer interview, Blikk seriesFor Hungarian clients, classifying roles and identifying missing controls is the practical first step.Survivors of sexual abuse sue xAI over Grok trainingAI providers should treat the duty to filter training data and generated content as a liability risk.AI hiring litigation: lessons from Mobley v. Workday for employersWhen using AI-based hiring tools, discrimination risk must be addressed in the vendor contract and internal controls.US AI regulation: 60+ state rules, California amendment, dispute over federal preemptionFor clients operating in several states, the California amendments and the federal preemption debate need to be followed.Who is liable when an AI agent goes rogue? Survey of counsel points to rising dispute riskBefore deploying AI agents, the liability chain (developer, supplier, deployer) should be set out in contract.Hungarian local media's lawsuit against Google: EU Court of Justice to rule on AI training for the first timeFor clients developing or using AI in the EU, the training-data risk assessment should be aligned with the judgment.AI hasn't triggered flood of legal malpractice claims, but insurers are watchingProfessional liability policy terms should be reviewed for exclusions related to AI use.Alabama opens probe into OpenAI after Hugging Face breachCompanies should also begin preparing for state attorney general investigations.Amazon–Perplexity lawsuit could shape the law on AI shopping agentsContract terms on AI agents' access to platforms need to be reviewed.EU AI Act: Digital Omnibus delays high-risk deadline, but obligations remain in forceThe roles under the AI Act (provider, deployer) and the Annex III classification need to be reviewed, including for contracts.Dutch regulator fines Uber €824.99m over automated driver suspensionsThe GDPR risk of algorithmic decisions about workers and partners, and the likelihood of regulatory action, should be reassessed.Anthropic's $1.5 billion settlement: pirated books, not training, triggered the paymentFor clients developing models, the provenance of training data should be audited, because infringing acquisition is an independent basis for liability.Cleary Gottlieb partners with Google Cloud to deploy Gemini Enterprise for LegalWhen procuring cloud-based legal AI, data handling and confidentiality terms should be requested.Thomson Reuters launches proprietary LLM trained on Westlaw and Practical Law contentWhen switching vendors, the model's origin (a Chinese base model) should also be examined.Sony and Warner music publishers sue Anthropic over pirated music worksAI providers must document their training data sources, because the risk of per-work damages is high.WikiHow sues OpenAI for copyright infringement over AI trainingFor clients building AI, the legal risk of data collected from public websites should be reassessed.US judge skeptical of Meta workers' AI layoff claims, points to arbitrationArbitration clauses in employment contracts can offer protection against AI layoff claims.AI Act Article 50: chatbots must be labelled, but most Dutch companies do not do itContracts with chatbot providers should build in fulfilment of the transparency obligation.Legal AI startups raise more funding: Newcode $13.5m, Discernis $2.5mVendor risk and data protection due diligence is essential for new startups.Twitch streamer sues Amazon over use of streamers' content to train AIPlatforms should review whether the training permissions in their user terms are clear.UK Jurisdiction Taskforce consults on liability for AI harmsLiability allocation in contracts with AI providers should be aligned with developments in English law.Serbia's draft data protection law: controllers and processors have until 10 September to prepareThe overlap between the EU AI Act and Serbian rules must be addressed in the compliance programme.Dutch regulator fines Uber €825 million over algorithmic deactivation of driver accountsPlatforms' algorithmic decision-making should be reviewed from a legal perspective, as the size of the fine is high.When AI designs a drug, who gets the patent credit?Inventor status needs to be clarified when patenting results of AI-assisted research.California court sanctions attorney for delegating AI citation checks to a paralegalThe internal review process must have a designated person responsible.Illinois lawsuits target use of voice data to train AIAI training that uses voice and biometric data must be grounded in a review of consent.Florida asks court to declare OpenAI and Sam Altman a public nuisanceState public nuisance suits against AI providers represent a new liability risk.Harvey picks DeepL for legal translationTranslation data flows should be reviewed for data protection and confidentiality.Limits of unauthorized-practice rules in regulating mental health AILicensing rules for mental health AI products need to be reviewed state by state.State Farm defense lawyers admit AI generated fake cases cited in Los Angeles lawsuitOutside law firms should be asked by contract to disclose their AI use and to allow verification.Munich court rules for GEMA against Suno in AI music caseCompanies offering or using AI music in the European market need to reassess licensing risk.Analysis counts more than 1,600 court cases with fake AI citations, some sanctions in six figuresLiability and error-handling terms must be negotiated separately when buying AI research tools.Legal AI firms move to own models: Harvey launches Tenet, another vendor switches to Kimi K3When a vendor changes models, check where and by which model client data is processed.Harvey launches next-generation platform built around memoryConfidentiality controls on the storage and sharing of client data should be reviewed.Hungarian trade outlets explain AI content labelling rules: deepfakes, chatbots, Article 50For customer-service chatbots, users must be made aware that they are talking to a machine.Digital Omnibus pushes AI Act high-risk deadlines to 2027–2028References to deadlines and provider commitments in contracts must be reviewed.Round Hill files $1 billion copyright lawsuits against Suno and AnthropicA licensing risk assessment should be carried out before using AI music and other generative services.US state and federal AI rules collide: Connecticut, Colorado, FTCGiven the uncertainty over federal preemption, the compliance programme should be designed flexibly.SRA warns of AI hallucination risks after 42 reports of potential misuseLaw firms must set out in an internal policy how AI use is checked and how confidentiality is protected.AI Act enforcement and transparency obligations apply from 2 August 2026An inventory of the AI tools used by the company and a allocation of responsibilities must be drawn up.Bartz case becomes the benchmark for AI copyright: fair use and $1.5 billionThe origin of the data source (lawfully acquired or pirated copy) must be documented, because that is where the risk is decided.ByteDance signs AI copyright pact with Hollywood trade groupFor companies developing video and content generation tools, the content of the commitments is worth treating as a reference.NYC Bar issues ethics opinion on AI recording of conversationsAn internal policy is needed for AI processing of negotiation and interview notes.Ninth Circuit: AI agents are browser-like tools, but Amazon's case against Perplexity continuesA company operating an AI agent must expect that the platform may hold it liable over its web access.Expert witness used ChatGPT to write report defending 3M in deadly explosion lawsuitWhen engaging an expert, the contract should set limits on the use of AI.Hungarian lawyers' debate: it is not true that there are no rules for AIThe firm's AI policy should be drawn up according to the considerations in the CCBE guidance.Tech companies buy rare books and destroy physical copies for AI trainingBook acquisition and digitisation processes should be documented from a legal standpoint as well.More legal AI launches: FoxAI, Litera, DISCO, Filevine, Thomson Reuters–Laurel, SansanFor contract and review tools, data handling and liability should be compared before purchase.Aderant links iTimekeep to Harvey to turn AI-assisted legal work into billable timeThe firm's billing model must settle how time spent working with AI is charged.AI and copyright: Thomson Reuters win, ANI v OpenAI, Apple shareholders, BörsenvereinAI copyright claims can also create executive liability and disclosure risk.Europe approves first AI Act standard, but compliance benefit is yet to arriveContractual use of presumptions that refer to the standard should be planned only once the legal effect is clarified.When a data protection impact assessment is mandatory for an AI systemSupplier contracts must specify who carries out and documents the impact assessment.Insurers show growing interest in AI coverage exclusionsAI exclusion clauses in liability insurance policies should be reviewed before renewal.Hungarian government legislative council to consider draft AI lawFollow the text of the draft, because the national implementing rules will shape clients' compliance obligations.FTC issues proposed policy statement on AI accuracy and output steeringMarketing and product descriptions need to be checked against the FTC's position.Hungarian bodies in AI Act enforcement: market surveillance, AI Council, media regulator NMHHThe high-risk classification of HR systems should be assessed in light of Hungarian regulatory practice.California's Frontier AI Safety Act clears final legislative voteUntil signing and entry into force, clients need to prepare contractual risk management.Poland to build AI regulatory sandbox with 35 million zlotyClients in the region should watch the sandbox's participation conditions.EU digital omnibus in force: high-risk AI rules pushed back to December 2027Contract and compliance projects for high-risk AI systems must be rescheduled to the new deadlines.AI Act transparency and enforcement rules apply from 2 AugustSoftware bought from a US provider does not exempt a company from the AI Act, so supplier contracts must be reviewed.AI Act transparency rules apply to Hungarian businesses from AugustFor Hungarian clients, it needs to be clarified which AI content and chatbots fall under the labelling obligation.Chinese courts side with workers displaced by AIIn layoffs linked to AI adoption, employment-law requirements on justification and procedure need particular attention.Swedish legal AI startup Legora in talks to raise funds at valuation above $10 billionWhen choosing a vendor, pricing and financial stability should also be examined.New York City Bar issues guidance on AI and attorney-client privilegeAn internal AI-use policy should set out which tools may receive confidential material.California AI Transparency Act takes effectEU and California transparency rules need to be aligned at the contractual liability points.Harbor launches legal-focused AI deployment service, Harbor DeployUsing an implementation service can speed up putting legal AI tools into production.Belgium prepares new product liability rules; US states lack uniform AI health liability rulesFor software and AI products, product liability risk should be addressed in contractual indemnity clauses.State chatbot laws: Hawaii's AI companion rule and the risk of a regulatory patchworkFor multi-state providers, contractual and policy exceptions need to be managed.Amazon v. Perplexity: where agentic AI stands under the CFAAFor products that use web agents, platforms' terms of use and CFAA risk need to be reviewed.US court developments: first agentic AI appellate ruling, early approval of AI document reviewCompanies using agentic AI can use the ruling as a starting point for structuring liability and contracts.Hungarian data authority NAIH halted a bank's AI emotion analysis, imposing HUF 250 million fineFor a voice-recording analysis project, the data protection impact assessment and the legal basis must be documented separately.Suno to watermark its songs as lawsuits continueThe differing positions of settling and litigating rights holders also change the risk of licensing decisions.Italy adopts AI Act implementing decrees on biometrics and employment lawThe nullity of automated dismissals makes human review of employment-law processes necessary.Apple sues OpenAI over trade secrets; OpenAI hits back publicly and seeks dismissalThe trade-secret risks of employee mobility and hardware development partnerships should be reassessed.Legora reaches $5.6B valuation as Harvey reportedly seeks $15.5BAs providers consolidate, the risks of vendor dependence and data handling grow.Amazon loses bid to ban Perplexity's AI shopping agentConflicts between AI agents' platform access and terms of use mean platform contracts need to be reassessed.South Korea allows copyright registration of AI-assisted music, while US courts often deny protectionThe licensing consequences of AI-generated code should be reviewed.EU AI Act transparency and labelling rules take effectService and supplier contracts must specify who is responsible for labelling and for fine risk.German court rules Suno's AI training infringed copyright, GEMA winsCompanies that use or contract with AI music providers may review their warranties on rights clearance.Who is liable when an AI agent breaks into other companies? The OpenAI and Anthropic casesCompanies operating AI agents must set out in contracts the liability of the developer, the deployer and the operator.Lawyers fined and warned over fake AI citations in US, UK and CanadaLiability insurance exclusions and internal approval processes should be reviewed.Digital Omnibus becomes law, delaying high-risk AI deadlinesThe timing of obligations in contractual compliance commitments must be renegotiated in light of the amendment.EU Commission can now inspect AI models, restrict market access and fine providers under AI ActContracts with model suppliers should set out the consequences of a provider's failure to comply.Delhi High Court refuses interim injunction in ANI v OpenAI copyright caseAI providers can treat the Indian risk as open until the final judgment.Hungary's AI authority launches labelling guidance site as firms found unpreparedHungarian clients should assess their AI systems and published content against the new labelling requirements.Attorney AI rules: California, state bars, the BSB and IndonesiaFirm AI policies should be aligned with the new guidance, and responsibility should also be placed on the firm.AI copyright suits: Adobe class action, NYT–Microsoft, Nvidia, RedditThe litigation risk facing AI developers and their suppliers is also showing up in investor communications.California's AI transparency law takes effect in first phase, targeting deepfakes and scamsFine exposure should be built into the risk allocation in provider contracts.Federal government moves to curb state AI laws, with some states likely targetsUS AI contracts need flexible change-in-regulation clauses.Meta invokes Section 230 against fake investment ad impersonation claimsPlatforms' liability risk for AI content they generate may not be covered by Section 230 protection.Thomson Reuters makes its own AI model the default in CoCounsel LegalIn procurement, the effect of the model change on contractual guarantees should also be checked.Law firms are rolling out AI faster than they can measure its effectIn-house data management and clients' push to insource raise new contractual questions.