Louis Lehot Comments on AI Copyright Infringement Settlements
Foley & Lardner LLP partner Louis Lehot shared perspective on a recent settlement in an AI copyright lawsuit in the Corporate Counsel article, “AI Firms Have Every Incentive to Settle Copyright-Infringement Suits, Even If It Costs Them Billions.”
Lehot said that while future settlements may vary, settling offers AI companies a viable path to move beyond these cases.
“The valuations are so high that the risk of not resolving it is too big, and the content providers are so thirsty that they’ll strike a deal,” he explained. “I think that all of these hyper-scalers now will enter into a flood of these agreements on very reasonable terms that will allow them to make money and grow and everybody wins.”
Lehot noted the unpredictable risks for AI companies in leaving resolution up to a judge or jury.
“It’s always better to set the terms of an agreement yourself using market conventions rather than giving the problem to a judge,” he added.
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