Leading artificial intelligence developer Anthropic has agreed to pay $1.5 billion to settle a case brought by a group of authors who accused the company of illegally using their works to train its flagship large language model, the authors told a California federal court on Friday.
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MONDAY, SEPTEMBER 8, 2025 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

Anthropic Agrees To Pay $1.5B To Settle AI Copyright Fight

By Theresa Schliep

Leading artificial intelligence developer Anthropic has agreed to pay $1.5 billion to settle a case brought by a group of authors who accused the company of illegally using their works to train its flagship large language model, the authors told a California federal court on Friday.

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Atty Fees Cut By $20M To $185M In Car Dealer Monopoly Case

By Mike Curley

A Wisconsin federal judge on Friday awarded $185 million in attorney fees after granting final approval on a $630 million deal to end a Sherman Act class action alleging CDK Global LLC conspired to restrain the market for car dealer manager systems.

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OnlyFans Users May Face Sanctions Over AI 'Misuse'

By Craig Clough

OnlyFans users who have alleged the site employs professional "chatters" to impersonate content creators are facing possible sanctions in their case, as a California federal judge ordered their attorneys to appear in court for filing briefs with nonexistent citations and quotations generated by an AI chatbot.

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Immigration Nonprofit Accused Of Wage Theft, Retaliation

By Irene Spezzamonte

A nonprofit that provides immigrant services failed to pay its employees their wages and didn't allow them to take meal breaks, a former employee who worked in community rehabilitation told a New York federal court in a proposed collective action.

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Conde Nast Can't Shake Calif. Web Tracking Class Action

By Bonnie Eslinger

A California federal judge Thursday denied Conde Nast's bid to toss a class action claiming that the media giant installs online trackers to facilitate third-party data collection and browser activity tracking, saying the suit plausibly alleges a violation of a 60-year-old statute created to target eavesdropping devices.

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6th Circ. Backs Search Of Home Linked To One Drug Sale

By Carolyn Muyskens

A federal appeals panel has said officers had good reason to search a home connected to a man they say set up in a drug-buying sting, determining a federal judge did not err by refusing to suppress evidence found inside the home.

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GOV'T CONTRACTS

Feds Say Supreme Court Trumps 9th Circ.'s UC Grant Ruling

By Bonnie Eslinger

The Trump administration has urged the Ninth Circuit to reconsider a panel decision that upheld an order to reinstate University of California research grants terminated by the White House, saying the U.S. Supreme Court subsequently contradicted the panel's holding in a "materially identical" case.

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PRODUCT LIABILITY

Jury Awards $15M In Topgolf Trial Over Oregon Child's Injury

By David Steele

A child who was struck in the face and seriously injured by a golf club at a Topgolf facility in 2021 has been awarded more than $15 million by an Oregon federal jury, with the company and the child's family reaching a settlement on punitive damages on Friday.

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ARBITRATION

8th Circ. Won't Revisit Crop Damage Arbitration Fight

By Nate Beck

The Eighth Circuit has ruled that the existence of arbitration agreements for some farmland owners, who are suing over depressed crop yields in the aftermath of an Alliance Pipeline project, does not amount to grounds for the appeals court to review a decision reviving proceedings.

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EMPLOYMENT & BENEFITS

9th Circ. Deems COVID Jobless Pay Constitutionally Protected

By Ben Adlin

A Ninth Circuit panel has ruled a Washington state resident has standing to bring a proposed class action against the Washington State Employment Security Department for allegedly underpaying COVID-era benefits, declaring the plaintiff's property interest in the benefits is constitutionally protected.

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HCA Healthcare Can't Halt Discovery In 401(k) Forfeiture Suit

By Grace Elletson

A Tennessee federal judge denied HCA Healthcare's bid Friday to stop discovery while the court considers its motion to toss a worker's suit claiming it illegally used forfeited 401(k) funds to cover its own contribution costs, finding the alleged novelty of her claims can't block case information collection.

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Workers Say Tenet Misspent Forfeitures In Mega 401(k) Plan

By Kellie Mejdrich

A Tenet Healthcare ex-employee alleged in a proposed class action Friday in Texas federal court that the healthcare company misspent nearly $28.6 million in forfeitures from an employee 401(k) plan by using the assets to reduce employer-side contribution obligations to other workers' accounts.

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401(k) Suit Against Defense Cos. Stayed For Mediation In Kan.

By Kellie Mejdrich

A Kansas federal judge on Friday agreed to stay a proposed class action against two defense and government contracting companies challenging the fees and performance of employee 401(k) plan investment offerings, citing the parties' agreement to mediate remaining claims in the federal benefits lawsuit.

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SECURITIES

GigaCloud Investors Seek Final OK For $2.75M Deal In AI Suit

By Emilie Ruscoe

Investors in large parcel ecommerce company GigaCloud Technology Inc. have asked a Manhattan federal judge to give final approval to their $2.75 million deal ending claims the company misled investors about using artificial intelligence in its logistics systems.

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Quantum Corp. Faces Investor Suit Over $4M Revenue Error

By Zach Dupont

Data storage company Quantum Corp. is facing a proposed class action from an investor who claimed in Colorado federal court on Thursday the company committed securities fraud by making false representations to investors through earnings reports for the 2024 fiscal year.

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Vein Tech Maker Wants Suit Over DOJ Kickback Probe Tossed

By Katryna Perera

Vein disease device maker Inari Medical Inc. and its former top brass have asked a New York federal judge to toss a proposed investor class action over claims the company's share price fell after it disclosed an investigation into its compliance with federal anti-kickback laws, arguing the suit fails to allege any specific kickbacks or false statements.

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CYBERSECURITY & PRIVACY

Disney Faces Class Action Over Kids' Data Use On YouTube

By Joyce Hanson

Entertainment giant Disney Co. targets millions of children by failing to mark YouTube videos as "made for kids," allowing third-party advertisers to collect their personal information illegally, according to a proposed class action filed Friday in California federal court.

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Drivers Demand GM, OnStar Data 'Snooping' Suit Roll On

By Chart Riggall

Plaintiffs hoping to represent a nationwide class of up to 16 million drivers who were allegedly covertly surveilled by their General Motors cars urged a Georgia federal judge Friday to keep their suit alive, arguing GM used onboard devices to run a massive wiretapping and data mining scheme.

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CONSUMER PROTECTION

H&R Block User Drops Tax Privacy Suit Over Ad Trackers

By Anna Scott Farrell

An H&R Block user who accused the company, Google and Meta of illegally sharing his private tax information through online marketing tools dropped his proposed class action following federal court orders to arbitrate his claims, according to a filing in a California federal court.

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Veterans Attack NC Consulting Co.'s Push For Fee Fight Win

By Tom Lotshaw

A proposed class of veterans accusing a North Carolina business of charging millions of dollars in illegal fees for help with disability claims has asked a federal judge to rule that it violated accreditation requirements.

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IP & TECHNOLOGY

Apple Using Pirated Books To Train AI Models, Authors Allege

By Rae Ann Varona

Apple is using unlicensed copyrighted works, including books from a controversial data set, in building its artificial intelligence models, two authors alleged in a proposed class action filed Friday in California federal court, warning that Apple's AI system will inevitably begin competing with real writers.

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Ramones TM Fight With Johnny's Widow Heads To Arbitration

By Katherine Smith

A New York federal judge tossed trademark infringement claims lodged against the widow of punk rocker Johnny Ramone by the brother of his bandmate Joey Ramone, finding that the fight must be arbitrated under the band's shareholder agreement.

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INSURANCE

Liberty Mutual Unit Avoids Rental Coverage Suit

By Hope Patti

A Massachusetts federal court on Friday tossed claims against Liberty Mutual Insurance Co. in a proposed class action over premature termination of rental car coverage, saying the insurer was not party to the policies issued by another Liberty Mutual unit.

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IMMIGRATION

Ga. Ban On Trans Prisoner Healthcare Paused, Class Certified

By Kelcey Caulder

A Georgia federal judge has reached what he described as a "straightforward" decision to temporarily pause the state's law banning the use of state resources for hormone replacement therapies for transgender state prisoners, and is considering granting the plaintiffs' request for permanent injunctive relief.

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EXPERT ANALYSIS

7th Circ. FLSA Notice Test Adds Flexibility, Raises Questions

In Richards v. Eli Lilly, the Seventh Circuit created a new approach for district courts to determine whether to issue notice to opt-in plaintiffs in Fair Labor Standards Act collective actions, but its road map leaves many unanswered questions, says Rebecca Ojserkis at Cohen Milstein.

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Plaintiffs Bar Can Level Up With Strategic Use Of AI

As artificial intelligence adoption among legal professionals explodes, the question for the plaintiffs bar is no longer whether AI will reshape the practice of law, but how it can be integrated effectively and strategically to level the playing field against well-funded corporate defense teams, says Tyler Schneider at TorHoerman Law.

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Parenting Skills That Can Help Lawyers Thrive Professionally

As kids head back to school, the time is ripe for lawyers who are parents to consider how they can incorporate their parenting skills to build a deep, meaningful and sustainable legal practice, say attorneys at Alston & Bird.

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LEGAL INDUSTRY

Legal Sector Jobs Creep Back Down After 5 Months Of Gains

By Tracey Read

U.S. legal industry jobs inched down by 200 positions last month, reflecting a loss for the first time in six months, according to preliminary data released Friday by the U.S. Bureau of Labor Statistics.

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Judges Warn ICE Is Turning Courts Into Deportation Traps

By Marco Poggio

As Immigration and Customs Enforcement officers violently arrest unauthorized immigrants in court buildings' hallways, former and current judges warn that the Trump administration is using courts as a dragnet, arresting people indiscriminately and expelling them with little to no due process in a bid to fulfill President Donald Trump’s goal of mass deportations.

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Ex-Bankruptcy Clients Defend Deal Over Jackson Walker Affair

By Adrian Cruz

Former Jackson Walker LLP bankruptcy clients said Friday that a proposed settlement meant to resolve a dispute regarding the concealed romance between a judge and attorney should go through as planned because the U.S. Trustee lacks jurisdiction to challenge the deals.

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Not That Zuckerberg: Atty Sues Meta Over FB Page Takedown

By Rachel Rippetoe

Indianapolis bankruptcy attorney Mark S. Zuckerberg is suing Meta Platforms Inc. after his firm's commercial Facebook account was repeatedly suspended because of his shared name with the tech company's CEO and founder.

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Analysis

How A 'Risky' Move Fueled Kobre & Kim's Win Over Phillips 66

By Cara Salvatore

In the trial over Propel Fuels' claims that Phillips 66 stole trade secrets during due diligence for an acquisition, Kobre & Kim switched up standard witness order and convinced a jury to award $605 million.

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How Attys Freed Woman Snatched By ICE In Less Than 48 Hours

By Marco Poggio

The breakneck speed with which a Colombian asylum-seeker was detained, transferred and nearly deported underscores the time crunch facing attorneys who fight removals, say the Keker Van Nest & Peters LLP lawyers whose pro bono work freed the woman from custody.

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Motley Rice Fights OptumRx DQ Bid In Utah Opioid Suit

By Jack Karp

Pharmacy benefit manager OptumRx cannot disqualify Motley Rice LLC from representing Utah in a lawsuit over the opioid crisis, since any information the firm obtained during its involvement in earlier government investigations is available to all other parties in the multidistrict litigation and so isn't confidential, the state has told a federal court.

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Judge Awards Over $6M In Atty Fees In Bluetooth Co.'s IP Suit

By Zach Dupont

A Colorado federal judge has awarded the attorneys representing a Bluetooth technology company more than $6 million after the company won on the bulk of its claims at trial last year in its trade secrets and breach of confidentiality case against a Massachusetts display technology company.

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Fla. Bar Moves To Suspend Atty Accused Of Widespread Scam

By Phillip Bantz

The Florida Bar filed a petition Friday seeking the emergency suspension of a lawyer accused of scamming dozens of clients, failing to pay associates and paralegals who worked at his firm and repeatedly violating court orders.

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Analysis

SEC, CFTC Set Sights On Crypto In Regulatory Collab

By Jessica Corso

The U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission said Friday they are moving forward with a broad regulatory harmonization effort that they hope will encourage innovation in growing markets, and lawyers tell Law360 they expect the focus to be writing rules governing the crypto sector.

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Judicial Nominee Expands On Testimony About Ky. Pardons

By Courtney Bublé

A judicial nominee for the Eastern District of Kentucky continues to distance himself from the controversial pardons issued by former Kentucky Gov. Matt Bevin, for whom he was counsel.

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SEC Lost Year's Worth Of Gary Gensler Texts, Watchdog Says

By Hailey Konnath

The U.S. Securities and Exchange Commission made "avoidable errors" that caused the agency to lose all text messages sent and received by former chair Gary Gensler for nearly a year of his tenure, some of which haven't been recovered, according to a report from the SEC's Office of Inspector General.

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Analysis

Trump Plan For Nat'l Guard In Chicago Sparks Legal Concerns

By Celeste Bott

President Donald Trump's plan to send the National Guard to Chicago over the objections of Illinois' governor could face similar legal hurdles as his use of the military in Los Angeles to quell protests over immigration raids, with some experts and local officials suggesting he may try to use an impending immigration crackdown in the city to justify a similar deployment.

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FTC Drops Appeal For Rule Banning Noncompetes

By Matthew Perlman

The Federal Trade Commission officially abandoned its appeal Friday in a case that set aside a Biden administration rule banning the use of most employee noncompete clauses, but the agency said it plans to bring enforcement actions on a case-by-case basis instead.

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DC Circ. Won't Halt Order Releasing Billions In Foreign Aid

By Rae Ann Varona

Both a divided D.C. Circuit panel and a district court judge Friday refused to hit pause on the judge's recent order requiring the Trump administration to release billions of dollars in frozen foreign aid.

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Trump Nominates 3 To Be DC Superior Court Judges

By Courtney Bublé

President Donald Trump has nominated three people to serve on the District of Columbia's local courts, bringing the district one step closer to easing its vacancy crisis.

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Democrat Slaughter Asks Justices To Let Her Stay On FTC

By Bryan Koenig

Democratic Federal Trade Commissioner Rebecca Slaughter urged the U.S. Supreme Court on Friday not to pause her reinstatement while the Trump administration challenges lower court decisions holding that her firing was illegal, saying those decisions were plainly correct and she's in no danger of sowing "chaos."

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UK Litigation Roundup: Here's What You Missed In London

By Max Austin

This past week in London has seen professional boxing promoter Boxxer take action against the former head of boxing at Matchroom Sport, Aegis Motor Insurance and Chubb European Group clash over a reinsurance claim, and a transgender pool player sue the English Blackball Pool Federation over its decision to ban her competing in women's teams and tournaments. 

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GC Cheat Sheet: The Hottest Corporate News Of The Week

By Michele Gorman

In arguing that the proposed class action against the business should be denied, online platform OnlyFans' parent company said that the decision to use AI to create mistake-riddled documents is severe misconduct. Meanwhile, the U.S. Department of Labor's employee benefits arm unveiled a new fee disclosure rule involving pharmacy benefit managers and plans to revisit retirement plan fiduciary investment advice regulations. These are some of the stories in corporate legal news you may have missed in the past week.

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Law360's Legal Lions Of The Week

By Kevin Penton

Milbank LLP, Wilson Sonsini Goodrich & Rosati PC and the Liberty Justice Center lead this week's edition of Law360 Legal Lions, after the Federal Circuit held that President Donald Trump's emergency tariffs were improperly imposed under the International Emergency Economic Powers Act.

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In Case You Missed It: Hottest Firms And Stories On Law360

For those who missed out, here's a look back at the law firms, stories and expert analyses that generated the most buzz on Law360 last week.

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Promo that reads 2025 Regional Powerhouses Promo that reads Meet Law360’s Newest Section: Criminal Practice with a photo of a bronze Lady Justice statue in the foreground and gavel in the background

LAW FIRMS IN TODAY'S NEWS

Addleshaw Goddard

Akin Gump

Alston & Bird

Arnold & Porter

Asher Kelly

Baker & Hostetler

Baker McKenzie

Ball & McCann

Benesch

Berger Montague

Berkowitz Oliver

Bindmans LLP

Boies Schiller

Bondurant Mixson

Bradley Grombacher

Brett Wilson LLP

Brown Kwon

Bryan Cave

Burges Salmon

Bursor & Fisher

CMS Cameron McKenna

Cafferty Clobes

Casey Gerry

Childers Schlueter

Clarick Gueron

Clyde & Co

Cohen Milstein

CohenMalad

Consovoy McCarthy

Cooley LLP

Cotchett Pitre

Covington & Burling

Cowan DeBaets

DLA Piper

David Boies

Davis Polk

Davis Wright Tremaine

Dechert LLP

DiCello Levitt

Dorsey & Whitney

Eversheds Sutherland

Farella Braun

Ferraro Law Firm

Fillmore Law Firm

Foley Sampson

Foulston Siefkin

Frank Freed

Fredrikson & Byron

Freeths LLP

Gibson Dunn

Girard Sharp

Godfrey & Kahn

Grant & Eisenhofer

Greenberg Traurig

Hagens Berman

Hamilton Brook

Hellmuth & Johnson

Hill Dickinson

Hogan Lovells

Hoge Fenton

Holland & Knight

Huff Powell

JMW Solicitors LLP

Jackson Walker LLP

Jacobson & John

Jeffer Mangels

Jones Day

K&L Gates

Kantrowitz Goldhamer

Keker Van Nest & Peters

Keller Rohrback

Kellogg Hansen

Kendall Law Group PLLC

Kilpatrick Townsend

King & Spalding

Kirkland & Ellis

Kobre & Kim

Kopelowitz Ostrow

Latham & Watkins

Lehotsky Keller

Lieff Cabraser

Lynch Carpenter

MSB Solicitors

Matthew G. Miller PC

Matthew Harris

Milbank LLP

Milberg Coleman

Morgan & Morgan

Morgan Lewis

Morrison & Foerster

Motley Rice

Nabarro LLP

Norton Rose

Ochroch Benton

Parr Brown

Paul Weiss

Pendley Baudin

Perkins Coie

Pomerantz LLP

Porter Wright

Quinn Emanuel

Reynolds Porter

Robbins Geller

Ronald Fletcher

Ropes & Gray

Rosen Law Firm PA

Royer Cooper

Rusty Hardin

Saul Ewing

Schall Law

Scott&Scott

Seserman Law

Sheppard Mullin

Sheridan Ross PC

Shoosmiths LLP

Sichenzia Ross

Skadden Arps

Smith Foster King

Spratt Endicott

Stueve Siegel

Sullivan & Cromwell

Susman Godfrey

Timoney Knox

TorHoerman Law

Troutman

Tycko & Zavareei

Varnell & Warwick

Veale Wasbrough

Wildes & Weinberg

Williams Kastner

WilmerHale

Wilson Sonsini

Winston & Strawn

Wisner Baum

Womble Bond

rradar

COMPANIES IN TODAY'S NEWS

Aegis Capital Corp.

Air Lease Corp.

Alliance Pipeline LP

Amazon.com Inc.

Amentum Services Inc.

American International Group Inc.

Anthropic PBC

Apollo Global Management LLC

Apple Inc.

Association of American Publishers

Avison Young Inc.

Aviva PLC

Aviva SA

Bank of Scotland PLC

Barclays PLC

Bragg

Business Roundtable

C3.ai Inc.

CDK Global Inc.

Center for Constitutional Rights

Chicago Cubs Baseball Club LLC

Clariant AG

Conde Nast Publications Inc.

Council for Court Excellence

Cox Automotive Inc.

Cracker Barrel Old Country Store Inc.

Cushman & Wakefield Inc.

Delinea Inc.

DynCorp International Inc.

Eli Lilly & Co.

Express Scripts Holding Co.

F. Hoffmann-La Roche Ltd.

Fordham University

Freddie Mac

General Motors Co.

Google LLC

H&R Block Inc.

HCA Healthcare Inc.

HSBC Holdings PLC

Harvard University

Hatch Henderson Fivel LLC

Home Box Office Inc.

Instagram Inc.

International Association of Better Business Bureaus Inc.

Jabil Inc.

Kopin Corporation

Lex Machina Inc.

LexisNexis Legal & Professional

LexisNexis Risk Solutions Inc.

Liberty Mutual Insurance Group

Lloyds Bank PLC

Loop LLC, Inc.

Mediterranean Shipping Co. SA

Meta Platforms Inc.

NGB Corp.

National Westminster Bank PLC

New York City Bar Association

New York Legal Assistance Group Inc.

OnStar LLC

OpenAI OpCo LLC

OptumRx Inc.

Phillips 66

Porsche

Public Citizen Inc.

Quantum Corporation

RELX PLC

Robinhood Markets Inc.

Ryan LLC

SMBC Aviation Capital Ltd.

Seadrill Limited

Sky PLC

Stryker Corp.

Sugar Creek Packing Co.

SunGard Data Systems

Tenet Healthcare Corp.

The District of Columbia Bar

The Florida Bar

The Goldman Sachs Group Inc.

The Walt Disney Co.

Themis Solutions Inc.

TransDigm Group Inc.

Trump Organization Inc.

U.S. Chamber of Commerce

Uber Technologies Inc.

Verisk Analytics Inc.

Wolters Kluwer

Xerox Holdings Corp.

YouTube Inc.

GOVERNMENT AGENCIES IN TODAY'S NEWS

Bureau of Labor Statistics

California Supreme Court

City and County of San Francisco, California

Commodity Futures Trading Commission

Companies House

Consumer Financial Protection Bureau

Employee Benefits Security Administration

Federal Trade Commission

Florida Supreme Court

Georgia Attorney General's Office

Illinois Attorney General's Office

National Archives and Records Administration

National Foundation on the Arts & Humanities

National Institutes of Health

National Labor Relations Board

National Science Foundation

San Francisco International Airport

U.S. Attorney's Office for the Northern District of Ohio

U.S. Citizenship and Immigration Services

U.S. Consumer Product Safety Commission

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

U.S. Court of Appeals for the Eleventh 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 Seventh Circuit

U.S. Court of Appeals for the Sixth Circuit

U.S. Department of Defense

U.S. Department of Homeland Security

U.S. Department of Justice

U.S. Department of Labor

U.S. Department of State

U.S. Department of Veterans Affairs

U.S. District & Bankruptcy Courts of Southern District of Texas

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

U.S. District Court for the District of Columbia

U.S. District Court for the District of Massachusetts

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

U.S. District Court for the District of Oregon

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

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

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

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

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

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

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 Washington

U.S. Environmental Protection Agency

U.S. Immigration and Customs Enforcement

U.S. Patent and Trademark Office

U.S. Securities and Exchange Commission

U.S. Supreme Court

UK High Court

UK Upper Tribunal

US Office of Management and Budget

United States District Court for the District of Colorado

United States District Court for the District of Kansas

United States District Court for the District of Utah

United States District Court for the Southern District of Indiana

United States District Court for the Western District of Wisconsin

Utah Attorney General's Office

Washington Attorney General's Office

Washington State Employment Security Department