The high-profile trial over Elon Musk's challenge to OpenAI's for-profit conversion wrapped Monday with a quick jury verdict in favor of OpenAI and its executives, but the three-week trial drew some surprising moments for those in the courtroom who had front row seats to the fight between billionaires.
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TOP NEWS

Top 4 Most Surprising Moments In Musk-OpenAI Trial

By Dorothy Atkins

The high-profile trial over Elon Musk's challenge to OpenAI's for-profit conversion wrapped Monday with a quick jury verdict in favor of OpenAI and its executives, but the three-week trial drew some surprising moments for those in the courtroom who had front row seats to the fight between billionaires.

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OpenAI Says ChatGPT Misuse Is Users' Responsibility

By Emily Sawicki

OpenAI has asked a federal judge in Chicago to end an insurance company's suit alleging it practices law without a license, arguing the complaint should be directed toward individuals who misuse the company's ChatGPT bot to file faulty motions, and not the generative AI platform itself.

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'Shadow Library' Must Pay $19.5M To Publishers In Piracy Suit

By Adam Lidgett

Anna's Archive will have to pay $19.5 million after failing to respond to claims from 13 major book publishers that the alleged "shadow library" illegally distributes pirated books and research papers, a New York federal judge has ruled.

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Hagens Berman Says Apple Smear Job Can't Stop Withdrawal

By Bonnie Eslinger

Hagens Berman Sobol Shapiro LLP urged a California federal judge to allow one of its named plaintiffs to withdraw from an Apple iCloud antitrust case, saying Apple Inc.'s filed opposition is rife with "misdirection and ad hominem" attacks and not about the merits of the dispute but "smearing opposing counsel."

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Bad AI Citation Sanction Slashed Amid 7th Circ. Guidance

By Hailey Konnath

An Indiana federal judge Wednesday rejected a magistrate judge's recommendation that an attorney be sanctioned $7,500 for including faulty, artificial intelligence-generated legal citations in a discovery brief, pointing to recent Seventh Circuit guidance and sanctioning him $2,000 instead.

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2 Fla. County Courts Requiring AI Disclosure In Court Filings

By Sarah Martinson

Two Florida circuit courts in Miami-Dade and Broward counties are requiring attorneys and self-represented litigants to disclose when they use generative text tools to prepare their court filings and to certify they checked the generated content for accuracy.

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Analysis

DOJ's Embrace Of Data Sets Off Compliance 'Arms Race'

By Phillip Bantz

The U.S. Department of Justice's increased reliance on advanced data analytics and data-mining whistleblowers to detect fraud is shrinking the amount of time that companies have to find and report potential wrongdoing to the government in order to receive leniency for voluntary self-disclosure, experts say.

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Gibson Dunn, Davis Polk Guide SpaceX's IPO Filing

By Jade Martinez-Pogue

Elon Musk's SpaceX has officially filed plans for its blockbuster initial public offering, a long-anticipated move that could value the private space exploration giant at up to $1.75 trillion.

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POLICY & REGULATION

FCC Advances Anti-Robocall Plan To 'Know' Call Providers

By Christopher Cole

The Federal Communications Commission on Wednesday proposed new rules that would require phone network operators to "know" the other network operators they do business with as a way of stemming the flow of scam and unwanted calls.

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FCC Revamps How Broadband Maps Can Be Challenged

By Christopher Cole

The Federal Communications Commission overhauled broadband data collection rules on Wednesday, with an aim of making its map of national broadband deployment more accurate while also cutting unnecessary regulatory burdens.

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Fed Pitches Formal Plan To Offer Fintechs 'Payment Accounts'

By Jon Hill

The Federal Reserve on Wednesday moved closer to giving financial technology firms a new route to accessing its payment rails, advancing a formal proposal to create a special type of "payment account" while calling for a pause on some pending full-account decisions.

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Brief

FCC Clears Nokia Routers After DOD Security Review

By Nadia Dreid

Nokia will still be able to import some of its foreign made routers after receiving the Federal Communications Commission's blessing and conditional approval and exemption from the agency's covered list of equipment the agency has deemed a national security risk.

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LITIGATION

9th Circ. Tough On HP 401(k) Forfeiture Suit Revival Bid

By Kellie Mejdrich

The Ninth Circuit appeared reluctant Wednesday to revive a suit alleging that HP Inc. violated federal benefits law by using forfeited 401(k) funds to defray employer-side contribution obligations, with judges questioning whether plan participants backed up allegations that the tech company hadn't been sufficiently loyal or prudent.

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DC Circ. Orders FCC Response In News Distortion Dispute

By Christopher Cole

The D.C. Circuit ordered the Federal Communications Commission on Wednesday to respond to a call from several former agency leaders for court action that would compel the FCC into rethinking its controversial policy against "news distortion."

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States, DC Urge 10th Circ. To OK Colo. Social Media Law

By Mike Curley

A group of 43 states and the District of Columbia are asking the Tenth Circuit to reverse a trial court order blocking enforcement of a new Colorado law requiring warning labels for social media used by minors, saying that even under strict scrutiny, the law is justified to protect minors' mental health.

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Ex-DZS Telecom Execs Settle Investor Suit For $2.9M

By Emilie Ruscoe

Two former executives of bankrupt telecommunications company DZS Inc. have reached a $2.9 million deal to resolve proposed class action claims the company concealed "egregious accounting misconduct," hurting investors after revelations about its accounting practices tanked its share price.

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Tiversa Escapes LabMD's Final Defamation Claims

By Matthew Santoni

A defunct cancer screening lab cannot show that a cybersecurity firm CEO had "actual malice" when he made allegedly defamatory statements about a file of private health info being "exposed," "leaked" and "publicly available" nearly 20 years ago, a federal magistrate ruled in dismissing a long-running lawsuit Tuesday.

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Carmaker Beats Suit Over Christmas Data Breach Claims

By Joyce Hanson

An Illinois couple who sued Stellantis North America over the carmaker's allegedly lax data security practices that caused a cyberattack on Christmas Day 2025 have decided to voluntarily drop their lawsuit, according to a Wednesday notice in Michigan federal court.

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Roblox, Microsoft, Epic Win Arbitration Bid In Addiction Suit

By Y. Peter Kang

A Pennsylvania federal judge on Wednesday sent to arbitration a suit accusing Roblox Corp., Epic Games Inc. and Microsoft Corp. of causing a minor's video game addiction, saying the claims fall within broad arbitration provisions in the companies' user agreements.

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Squires Institutes 5 Patent Reviews, Rejects 7 Others

By Ryan Davis

U.S. Patent and Trademark Office Director John Squires on Tuesday granted five requests for review of patents under the America Invents Act while turning down seven other petitions.

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PTAB Panel Saves Some Herd Management Patent Claims

By Adam Lidgett

A special panel of three Patent Trial and Appeal Board judges has found that a regular review tribunal of the board wrongly invalidated some claims of an animal management patent, reviving those claims.

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Calif. Panel Says Uber Not Liable For College Student's Death

By Gina Kim

A California appeals court declined to reinstate a mother's lawsuit blaming Uber for her daughter's death after she was hit by cars on a freeway that was miles away from where she was dropped off by an Uber driver, ruling Wednesday those intervening events are too attenuated to find the company liable.

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Uber Signals Appeal Of NC Bellwether Loss In Assault MDL

By Hayley Fowler

Uber will appeal the verdict in a second bellwether case in which a jury found one of its drivers committed a battery against a North Carolina woman who claimed he sexually assaulted her during a trip in 2019, court records show.

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Social Media Not Proven To Harm Mental Health, Judge Told

By Cara Salvatore

A statistics expert for Meta sought Wednesday to undermine the claim that social media has driven a rise in mental health conditions among teens, saying the New Mexico attorney general's key witness on the topic didn't consider alternative factors like widening access to mental health care.

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Binance Libel Suit Doesn't Show Actual Malice, Dow Jones Says

By Bonnie Eslinger

Dow Jones urged a New York federal judge to toss a defamation suit brought by Binance over a Wall Street Journal article saying the cryptocurrency exchange fired internal investigators who uncovered transactions that purportedly went to sanctioned Iranian-backed entities, arguing that Binance hadn't shown the article was published with actual malice.

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Boeing Says NASA Program Contract Claim Came Too Late

By Zach Dupont

The Boeing Co. asked a Washington federal judge to dismiss a breach of contract claim as untimely from a Colorado aerospace company alleging theft of its patented technology, according to a motion for judgment on the pleadings.

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Anker Unit Says Rival Lied About IP To Block Amazon Sales

By Ben Adlin

The U.S. subsidiary of Chinese electronics giant Anker Innovations Ltd. has urged a Washington federal court to preserve the company's ability to sell robotic vacuum cleaners on Amazon.com, claiming another Chinese seller is using baseless patent infringement allegations in a bid to scrub its products from the online marketplace.

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SpinX Says Social Casino Suit Belongs In Arbitration

By Joyce Hanson

A Hong Kong company that publishes free "social casino games" has asked a California federal court to send to arbitration a proposed class action accusing it of violating state gambling laws, saying the lead plaintiff agreed to arbitrate when he first opened the apps.

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Indeed Files $1.2M Suit Against Conn. HQ Building Owner

By Aaron Keller

The parent company of employment website Indeed.com has filed a lawsuit seeking at least $1.2 million from the owner of the company's co-headquarters building in downtown Stamford, Connecticut, saying its relocation was delayed because the facility did not meet state fire codes.

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Infoblox Faces Server Security Patent Suit In Virginia

By Adam Lidgett

Network security firm Infoblox Inc. has been hit with a lawsuit in Virginia federal court accusing the company of infringing a patent covering a way of better protecting domain name servers against network security threats.

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Pinterest Hit With Derivative Suit Over Tariff Impacts

By Sydney Price

Executives and directors of social media platform Pinterest Inc. have been hit with an investor's derivative suit in California federal court accusing them of damaging the company by concealing the impact the U.S. tariffs were having on Pinterest's advertising partners.

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Error In Policy Doesn't Double Coverage, Insurer Says

By Danielle Ferguson

An insurer told a Florida federal court Wednesday that a clerical error in a property policy should not allow a waste management company to collect more than twice the coverage it bargained for after a March 2025 fire. 

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ENFORCEMENT

FTC Targets AI 'Nudify' Apps Under Revenge Porn Law

By Allison Grande

The Federal Trade Commission on Wednesday sent warning letters to a dozen companies that offer artificial intelligence tools that allow people to "nudify" images, marking some of its first regulatory actions under a revenge porn law that went into force the day prior.

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AGs Seek Crackdown On Customized Food Pricing

By Nadia Dreid

Online food delivery platforms are charging people differently based on the personal data they glean from their smartphones, and the Federal Trade Commission ought to force companies to be upfront about it, say 16 state attorneys general.

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NJ Pair Settle SEC Insider Trading Suit Over CoStar Purchase

By Nate Beck

Two New Jersey men have settled charges from the U.S. Securities and Exchange Commission that they traded shares of a company before it was acquired by CoStar Group in April 2024 after learning of the transaction through a family member. 

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FTC Urged To Probe Roblox Over Child Safety Claims

By Jonathan Capriel

Two advocacy groups have asked the Federal Trade Commission to investigate the online gaming platform Roblox, claiming its design features, virtual currency system and chat functions have harmed millions of children through grooming, abuse, unexpected charges totaling thousands of dollars and exposure to sexual references and racial slurs, an announcement Wednesday said.

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Feds Announce First 'Deepfake' Law Arrests In Brooklyn

By Parker Quinlan

Federal prosecutors on Wednesday announced the arrest of two men on charges that they used artificial intelligence software to create pornographic images depicting real people without their consent, in violation of a recently enacted federal law.

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Adobe Worker's Spouse Traded On Semrush Buy, SEC Says

By Emilie Ruscoe

A Silicon Valley project manager will pay the U.S. Securities and Exchange Commission nearly $2 million after self-reporting that he traded on his spouse's insider knowledge that software giant Adobe Inc. was preparing to acquire a digital marketing platform.

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EXPERT ANALYSIS

Tracking Tech Suit Is A Risk Management Reminder For Cos.

The Fifth Circuit recently heard oral argument in Rand v. Eyemart Express — an appeal that could reshape the legal landscape for businesses that deploy tracking tech on their websites — underscoring the importance of proactive risk management for companies across multiple industries, say attorneys at Blank Rome.

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Submitting Ideas To AI Platforms May Affect Patent Rights

Recent judicial developments suggest that disclosing an invention to a consumer artificial intelligence platform constitutes public disclosure, making disciplined use of such tools and early filing strategies essential to preserving patent rights, say attorneys at Day Pitney.

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Data Center Developer Lessons From Maine's Vetoed Ban

The regulatory and political dynamics that recently led Maine’s governor to veto a popular bipartisan bill proposing a temporary data center development ban offer a useful template that developers can use to help their projects survive other states' attempts at moratoriums, say attorneys at Thompson Hine.

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Series

Law School's Missed Lesson: Diagnose Before Arguing

Law school often skips over explicitly teaching students how to determine what kind of problem a case presents before they commit to a particular doctrinal path, which risks building arguments that are internally coherent but externally misaligned, says Melanie Oxhorn at Kobre & Kim.

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LEGAL INDUSTRY

2nd Circ. Pick Questioned At Hearing On Role As Trump Lawyer

By Courtney Bublé

Matthew Schwartz, a nominee for the Second Circuit, was questioned by Democratic senators Wednesday about whether his current job as the president's personal attorney while his nomination process is underway poses a conflict of interest.

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Atty Withdrawals Not Limited To Fee Conflicts, ABA Says

By Emily Sawicki

Lawyers whose clients fail to hold up their end of valid engagement agreements are clear to cease their representation, so long as certain criteria are met, according to the American Bar Association's ethics committee's latest guidance, published Wednesday.

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Comey Wants Arraignment Pushed For Dismissal Bid

By Phillip Bantz

Former FBI Director James Comey asked a North Carolina federal court Wednesday to postpone his arraignment on charges alleging he threatened President Donald Trump, telling a judge that he is preparing to seek to have the case thrown out on constitutional grounds.

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Mich. Supreme Court Mulls Remote Court Access Rules

By Susan Smiley

The Michigan Supreme Court held administrative hearings on Wednesday concerning several proposed amendments to Michigan court rules, including adding more specific guidelines for remote hearings, making language services free for civil cases, and allowing law students and recent law graduates to appear on behalf of indigent people in all Michigan courts.

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COMPANIES IN TODAY'S NEWS

APC

Adobe Inc.

Agricultural Products Extension LLC

Amazon.com Inc.

American Bar Association

Anthropic PBC

Apple Inc.

Aspen Dental Management Inc.

Association of American Publishers

Binance Holdings Ltd.

Biofrontera Inc.

Cengage

Central Maine Power Co.

Citadel Securities LLC

CoStar Group Inc.

Common Sense Media Inc.

DZS Inc.

Discord Inc.

Edward-Elmhurst Health

Epic Games Inc.

FCA US LLC

G Squared

Google LLC

HP Inc.

HarperCollins Publishers LLC

Hewlett Packard Enterprise Co.

Indeed Inc.

Infoblox Inc.

Instagram Inc.

International Association of Privacy Professionals

Medtronic PLC

Merck & Co. Inc.

Meta Platforms Inc.

Michigan Immigrant Rights Center

Microsoft Corp.

Nasdaq Inc.

Nippon Life Insurance Company of America

Nokia Corp.

OpenAI OpCo LLC

Otis Worldwide Corp.

Pinterest Inc.

Protect Democracy Project Inc.

Reeds Inc.

Roblox Corp.

SRI International Inc.

Saudi Arabian Oil Co.

Snap Inc.

Space Exploration Technologies Corp.

Spotify Technology SA

Stanford University

Stellantis NV

Sun Pharmaceutical Industries Ltd.

The Boeing Co.

The Florida Bar

The Travelers Cos. Inc.

Uber Technologies Inc.

WFAA-TV Inc.

Walmart Inc.

Warburg Pincus LLC

Warner Bros. Records Inc.

X Corp.

YouTube Inc.

LAW FIRMS IN TODAY'S NEWS

Agnifilo Intrater

Ahdoot & Wolfson

Akin Gump

Anapol Weiss

Ashbrook Byrne

Baker Botts

Blank Rome

Brown Law Firm

Chaffin Luhana LLP

Cozen O'Connor

Crowell & Moring

Davis Polk

Davis Wright Tremaine

Day Pitney

DeForest Koscelnik

Dechert LLP

Dilworth Paxson

Faegre Drinker

Gibson Dunn

Girard Sharp

Grant & Eisenhofer

Greenberg Traurig

Gucovschi Law

Hagens Berman

Hedin LLP

Hickey & Chung

K&L Gates

Keker Van

Kellogg Hansen

Kirkland & Ellis

Klein Thomas

Kobre & Kim

Latham & Watkins

Lehotsky Keller

Levi & Korsinsky

Matthew G. Miller PC

McCarter & English

McGuireWoods

Morgan Lewis

Motley Rice

Murphy Legal PLLC

Nelson Mullins

O'Melveny & Myers

Older Lundy

Oppenheim & Zebrak

Orrick Herrington

Paul Weiss

Peiffer Wolf

Perkins Coie

Reisz Siderman

Robinson & Cole

ScienBiziP

Sidley Austin

Simmons Hanly

Sponsel Miller

Spotts Fain

Sullivan & Cromwell

Susman Godfrey

Thomas Spadafore

Thompson Hine

Williams Hart

Wilson Elser

Wilson Sonsini

Winstead PC

Withersworldwide

Wood Smith

Zuckerman Spaeder

GOVERNMENT AGENCIES IN TODAY'S NEWS

California Attorney General's Office

Colorado Attorney General's Office

Energy Information Administration

Federal Bureau of Investigation

Federal Communications Commission

Federal Election Commission

Federal Reserve System

Federal Trade Commission

Georgia General Assembly

Michigan Supreme Court

National Aeronautics and Space Administration

New Mexico Attorney General's Office

New Mexico Department of Justice

Patent Trial and Appeal Board

U.S. Attorney's Office for the Eastern District of New York

U.S. Attorney's Office for the Eastern District of North Carolina

U.S. Court of Appeals for the District of Columbia Circuit

U.S. Court of Appeals for the Federal Circuit

U.S. Court of Appeals for the Fifth Circuit

U.S. Court of Appeals for the Ninth Circuit

U.S. Court of Appeals for the Tenth Circuit

U.S. Department of Defense

U.S. Department of Homeland Security

U.S. Department of Justice

U.S. Department of Labor

U.S. District Court for the District of Columbia

U.S. District Court for the District of Connecticut

U.S. District Court for the District of New Jersey

U.S. District Court for the Eastern District of Michigan

U.S. District Court for the Eastern District of New York

U.S. District Court for the Eastern District of North Carolina

U.S. District Court for the Eastern District of Pennsylvania

U.S. District Court for the Eastern District of Texas

U.S. District Court for the Eastern District of Virginia

U.S. District Court for the Middle District of Florida

U.S. District Court for the Northern District of California

U.S. District Court for the Northern District of Illinois

U.S. District Court for the Northern District of Texas

U.S. District Court for the Southern District of New York

U.S. District Court for the Western District of Pennsylvania

U.S. District Court for the Western District of Washington

U.S. Environmental Protection Agency

U.S. House of Representatives

U.S. Patent and Trademark Office

U.S. Securities and Exchange Commission

U.S. Senate

U.S. Supreme Court

United States District Court for the District of the Virgin Islands

United States District Court for the Southern District of Indiana