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Legal & Compliance · 3 min read

OpenAI Moves to Dismiss Federal Lawsuit Alleging ChatGPT Acted as an Unlicensed Attorney

OpenAI filed to dismiss a federal lawsuit by Nippon Life alleging ChatGPT acted as an unlicensed attorney — the first major judicial test of AI developer liability for downstream professional legal use.

May 20

Finance & Banking · 5 min read

Insurers Win Approval to Exclude AI Liability From General Policies — And a New Market Is Filling the Gap

State regulators have approved over 80% of insurer requests to exclude AI-related damages from general liability policies, already effective in Florida, Connecticut, and Maryland. A new standalone AI liability market with $2M–$50M limits is emerging to fill the gap.

May 11

Legal & Compliance · 3 min read

Federal Judge Rules Senior Partners Are Personally Liable for AI Errors in Filings by Their Teams

A U.S. federal judge ruled that supervising partners are personally liable for AI-generated errors in court filings by their teams — extending sanctions exposure up the law firm hierarchy for the first time.

May 8

Legal & Compliance · 5 min read

AI Chatbots Face Escalating Legal Exposure Over Liability, Privilege Waiver, and Consumer Harm

FTC inquiries, state AG investigations, and diverging state laws are creating compounding liability exposure for companies deploying AI chatbots — and the rules are being written in real time.

May 7

Legal & Compliance · 4 min read

AI Is Breaking Contract Law. Courts Are Just Beginning to Figure Out the Rules.

Alston & Bird's April 2026 AI Quarterly finds courts issuing consequential AI rulings without a coherent framework, including a privilege-destroying ruling for law firms using commercial AI tools.

Apr 30