Data Privacy

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On June 4, 2025, Reddit, Inc. (“Reddit”) filed suit against Anthropic, PBC (“Anthropic”) in the Superior Court of California, alleging that Anthropic scraped and commercially exploited Reddit user data—including deleted posts—without consent or compensation.[1] Unlike recent enforcement efforts that have centered on establishing copyright infringement liability, Reddit’s complaint brings five causes of action—breach of contract, unjust enrichment, trespass to chattels, tortious interference, and unfair competition—reflecting a strategic choice to deploy contractual and privacy-based claims to address Anthropic’s allegedly unauthorized scraping of Reddit data.[2]Continue Reading Beyond Copyright: Reddit’s Lawsuit Against Anthropic

M&A in the AI sector is redefining deal risk, especially when sensitive data is involved. As AI companies power breakthroughs in biotech, healthcare, defense, and critical infrastructure, the stakes for companies acquiring businesses handling proprietary data, biotech research, medical records, trade secrets, critical technology or government intelligence have never been higher. In an era where a single data breach or compliance failure can derail innovation and shatter market trust, due diligence has evolved from a legal checkpoint to a mission-critical strategy for safeguarding value in a rapidly disrupting landscape.Continue Reading Guarding Against the Unknown: M&A Due Diligence of AI Companies in Data-Sensitive Sectors

The power of large language models (LLMs) that enables generative AI derives from vast quantities of data. Much of this data comes from scraping all forms of content from the internet. Despite the benefits, this practice raises numerous legal issues, some of which implicate IP issues. Dozens of pending lawsuits in the US alone include claims involving IP issues with data scraping. The recent OECD report titled “Intellectual Property Issues in AI Trained on Scraped Data” (Report) explores the intricate relationship between AI and IP rights, particularly focusing on data scraping practices used in AI training. It aims to provide policymakers with insights into the legal challenges posed by data scraping and potential policy approaches to address these issues. The following is an overview of the Report.Continue Reading OECD Report on Data Scraping and AI – What Companies Can Do Now as Policymakers Consider the Issues

While AI has many people uptight, Aescape has developed technology to help you relax – AI robotic massage. Aescape touts that it combines the timeless art of massage with robotics and artificial intelligence to deliver an exceptional massage experience every time. The “Aertable” (i.e., the massage table) has bolsters, headrests, and armrests that are all adjustable to provide a customized fit during each session. It also has continuous feedback which allows for real-time adjustments to optimize comfort. The “Aerscan” system captures 1.2 million data points, precisely mapping your body’s muscle structure to create a unique blueprint for a highly personalized massage experience. “Aerpoints” replicate the seven touch techniques of a skilled therapist, simulating the knuckle, thumb, cupped hand, blade of hand, palm, forearm, and elbow. The “Aerview” provides personal control so you can adjust the pressure, manage the music, or customize the display to create a session tailored to your preferences, needs and mood. The company has developed “Aerwear” a high-compression performance fabric that enhances body detection for the system and allows Aerpoints to move smoothly over your body. Wearing it is mandatory during the massage. The tables are equipped with advanced safety features, including force sensors and pause and emergency stop features to prevent or abate issues if things go wrong. Aescape is a classic example of an application of AI and robotics that will interact with humans. We will see many more such applications from this point forward. While Aescape seems to have anticipated some of the potential problems that can arise, any AI robotic application that interacts with humans has the potential for a variety of legal issues. The following are some of the general legal issues that may be relevant to AI robotic applications that interact with humans. But the actual issues will vary by application.Continue Reading If You Are Uptight About AI, This May Relax You

As artificial intelligence (AI) continues to transform the business world, acquirors need to prepare for a deep dive when evaluating companies that use AI to enable their businesses or create proprietary AI. Key considerations for buyers targeting AI-driven companies include understanding how AI is being used, assessing the risks associated with AI creation and use, being mindful of protecting proprietary AI technology, ensuring cybersecurity and data privacy, and complying with the regulatory landscape.Continue Reading M&A Playbook for Acquiring AI-Powered Companies

Massachusetts Attorney General Andrea Campbell issued an advisory (“Advisory”) warning to developers, suppliers, and users of artificial intelligence and algorithmic decision-making systems (collectively, “AI”) about their respective obligations under the Massachusetts’ Consumer Protection Act, Anti-Discrimination Law, Data Security Law and related regulations. There is not much surprising here, as the Advisory addresses many of the same issues raised in the White House Executive Order and Federal Trade Commission (FTC) guidance. It is helpful however in clarifying, for consumers, developers, suppliers, and users of AI systems, specific aspects of existing state laws and regulations that apply to AI and that these laws and regulations apply to the same extent as they apply to any other product or application within the stream of commerce.Continue Reading Massachusetts AG Says Consumer Protection, Civil Rights, and Data Privacy Laws Apply to Artificial Intelligence