The article discusses a ruling by Judge Stein regarding OpenAI's ChatGPT, where he recognized potential contributory infringement claims against the company. Stein noted that OpenAI's ongoing user relationship bolsters these claims. However, he dismissed certain allegations, including a 'free-riding' claim by NYT about ChatGPT's use of 'hot news' items, due to lack of proof of non-attribution. Stein also detailed the challenges for news publishers under the DMCA, emphasizing that claims based on excerpts would lead to excessive liability.
"Taken as true, these facts give rise to a plausible inference that defendants at a minimum had reason to investigate and uncover end-user infringement," Stein wrote.
"To Stein, the fact that OpenAI maintains an 'ongoing relationship' with users by providing outputs that respond to users' prompts also supports contributory infringement claims, despite OpenAI's argument that ChatGPT's 'substantial noninfringing uses' are exonerative."
"Stein explained that news publishers failed to plausibly allege non-attribution (which is key to a free-riding claim) because, for example, ChatGPT cites the NYT when sharing information from Wirecutter posts."
"The Digital Millennium Copyright Act (DMCA) requires news publishers to show that ChatGPT's outputs are 'close to identical' to the original work, Stein said, and allowing publishers' claims based on excerpts 'would risk boundless DMCA liability'-including for any use of block quotes without CMI."
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