Thomson Reuters Wins First Major AI Copyright Case in the United States
Background
In 2020, Thomson Reuters, a media and technology conglomerate, filed an unprecedented AI copyright lawsuit against the legal AI startup Ross Intelligence. The company claimed that Ross Intelligence reproduced materials from Thomson Reuters’ legal research firm Westlaw without permission.
Court Ruling
On [date], a judge ruled in Thomson Reuters’ favor, finding that the company’s copyright was indeed infringed by Ross Intelligence’ actions. US District Court of Delaware judge Stephanos Bibas wrote in a summary judgment, "None of Ross’s possible defenses holds water. I reject them all."
Fair Use Doctrine
The fair use doctrine is a key component of how AI companies are seeking to defend themselves against claims that they used copyrighted materials illegally. The doctrine allows for the use of copyrighted works without permission in certain circumstances, such as for parody, noncommercial research or news production. Judge Bibas ruled that Thomson Reuters prevailed on two of the four factors, but noted that the fourth factor, the impact on the market value of the original work, was the most important. He concluded that Ross Intelligence meant to compete with Westlaw by developing a market substitute.
Reactions
Thomson Reuters spokesperson Jeffrey McCoy applauded the ruling, stating, "We are pleased that the court granted summary judgment in our favor and concluded that Westlaw’s editorial content created and maintained by our attorney editors, is protected by copyright and cannot be used without our consent. The copying of our content was not ‘fair use.’"
Implications
The ruling is a blow to AI companies, according to Cornell University professor of digital and internet law James Grimmelmann. "If this decision is followed elsewhere, it’s really bad for the generative AI companies," he said. Chris Mammen, a partner at Womble Bond Dickinson, concurs that this will complicate AI companies’ fair use arguments. "It puts a finger on the scale towards holding that fair use doesn’t apply," he said.
Update
This story has been updated to include additional comment from Thomson Reuters.
FAQs
Q: What is the fair use doctrine?
A: The fair use doctrine is a legal principle that allows for the use of copyrighted materials without permission in certain circumstances, such as for parody, noncommercial research or news production.
Q: What was the outcome of the court case?
A: A judge ruled in Thomson Reuters’ favor, finding that the company’s copyright was indeed infringed by Ross Intelligence’ actions.
Q: What are the implications of this ruling for AI companies?
A: The ruling is a blow to AI companies, as it suggests that much of the case law they are citing to argue fair use is "irrelevant." It also complicates their fair use arguments.