Index:
1. AI and Copyright
2. AI and Medical Devices
3. AI Attorney’s Fees
AI Law Course: AI Gone Wrong: Avoiding Legal Landmines in the Age of Artificial Intelligence, Series No 1: AI Washing & AI Privacy
Before diving into the latest developments in AI law from this past month, I am excited to announce the release of my AI law course, “AI Gone Wrong: Avoiding Legal Landmines in the Age of Artificial Intelligence, Series No. 1: AI Washing & AI Privacy.” In Series No. 1, we’ll explore SEC and FTC enforcement cases, class action lawsuits, and the latest statutes applicable to AI. Gain actionable strategies to prevent AI washing claims and comply with data privacy laws. Practical legal insights will be illustrated through hypothetical cases.
As reported by Bari Chase from the New York County Bar Association, the previous webinar I taught was rated “Excellent” by 75% of attendees and “Good” by 25%, with comments such as “Excellent speaker.”
Each series will be priced at $69 without CLE credits and $89 with CLE credits, providing a more affordable option compared to other CLE providers. You can view the course here: https://www.lklawfirm.net/ai-law-course
CLE credits are pending approval. To receive notifications when CLE credits are available, please subscribe to my AI blog at lklawfirm.net/ai-law-advisor/.
Now, let’s move on to the latest developments in AI law.
1. AI and Copyright
a. Music Industry Lawsuit
In a potentially groundbreaking lawsuit, the music industry giants, Sony, Universal, and Warner Records, are accusing two AI startups, Suno and Udio, of massive copyright infringement. They claim these companies’ software essentially steals music to create similar works and are demanding a hefty $150,000 per infringed piece.
Suno, a Massachusetts-based company with over 10 million users and a Microsoft partnership, recently secured $125 million in investments. Udio, backed by prominent venture capitalists, launched its app in April and gained fame for generating a parody song related to a celebrity feud.
b. Non-profit Journalism Lawsuit
A journalism non-profit, CIR (Center for Investigative Reporting), merged with Mother Jones and Reveal this year, recently sued OpenAI and Microsoft in federal court. CIR lawyers allege that OpenAI and Microsoft used copyrighted material from Mother Jones, a publication under CIR, to train their AI systems GPT and Copilot. According to the lawsuit, a published list revealed that a substantial number of URLs, 16,793 to be exact, from Mother Jones’s website appeared in the data OpenAI used to train its AI models.
c. Licensing Deals
In an effort to address copyright concerns, OpenAI has started making deals with news outlets to legally use their content. This includes reaching agreements with major publications like The Associated Press, The Wall Street Journal, The New York Post, The Atlantic, and international organizations like Prisa Media (Spain), Le Monde (France), Financial Times (UK), and Axel Springer (Germany), the parent company of Business Insider.
2. AI and Medical Devices
The focus of legal battles in healthcare AI is shifting from insurers to hospitals and device makers. A Texas woman claims a faulty AI component in a balloon sinuplasty device caused her injuries. Before suing, she sought pre-suit discovery to learn more about the AI from the device manufacturer, Acclarent.
A Texas court initially allowed the discovery, but an appeals court reversed because she didn’t show enough need for it yet.
This case raises questions about who will be held liable for problems with AI-based medical devices. there are currently no specific AI laws governing medical devices in either Texas or the United States as a whole.
However, under the EU AI Act, some AI-powered medical devices fall under the “high-risk” category, such as AI used for diagnosing patients, informing treatment decisions and precision medicine. These uses often require third-party approval (conformity assessment) under existing medical device regulations.
For a summary of the obligations of high-risk AI system developers and deployers under the EU AI Act, please see my AI blog article published by Bloomberg Law. https://www.lklawfirm.net/blog/colorado-and-eu-ai-law-raise-several-risks-for-tech-businesses
3. AI Attorney’s Fees
Below are the poll results for AI attorney fees based on surveys conducted among different legal groups, including potential AI clients and attorneys:
Below are the poll results for AI attorney fees based on surveys conducted among different groups, including potential AI clients and attorneys:
Hourly fee of $400 – $500: 19%
Hourly fee of $500 – $600: 23%
Hourly fee of $600 – $700: 31%
Hourly fee of $700 – $800: 27%
Leave a Reply