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When AI Isn’t Privileged, Confirmed: SDNY’s Written Opinion Elaborates on Confidentiality, Work Product, and Waiver

By Garen S. Marshall, David Hirsch, Aaron R. Marienthal, Jeffrey Ehrlich, Elizabeth Peters & Alice Moscicki on February 18, 2026
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On Feb. 10, 2026, U.S. District Judge Jed Rakoff of the Southern District of New York issued a bench ruling holding that a defendant’s use of generative AI to analyze legal exposure is not protected under attorney-client privilege or the work product doctrine. See When AI Isn’t Privileged: SDNY Rules Generative AI Documents Not Protected. On Feb. 17, 2026, Judge Rakoff issued a written opinion confirming the bench ruling and adding important analysis. Read on to learn what the opinion adds on confidentiality, work product and waiver, and for details of the practical implications and open questions left by Judge Rakoff’s opinion.

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Photo of Garen S. Marshall Garen S. Marshall

Garen Marshall, a former federal prosecutor and United States Navy special forces combat veteran, is a member of the firm’s Government Investigations and White Collar Litigation Department. Garen’s practice leverages his years in the private sector and his tenure at the United States…

Garen Marshall, a former federal prosecutor and United States Navy special forces combat veteran, is a member of the firm’s Government Investigations and White Collar Litigation Department. Garen’s practice leverages his years in the private sector and his tenure at the United States Attorney’s Office for the Eastern District of New York, where he served in the Office’s National Security and Cybercrime Unit and the Organized Crime and Gangs Unit. Garen specializes in financial fraud and corruption investigations across a range of industries, including banking, private equity, healthcare, financial technology, and cryptocurrency. With extensive experience prosecuting and investigating cases related to wire and securities fraud, honest services violations, money laundering, and racketeering, Garen brings a formidable skill set to the table.

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Photo of David Hirsch David Hirsch

Dave is a highly respected member of the securities enforcement and regulatory counseling practice group at McGuireWoods, where he plays a key role shaping the strategic direction of the firm’s securities enforcement initiatives. Before joining McGuireWoods, Dave was Chief of the Crypto Assets…

Dave is a highly respected member of the securities enforcement and regulatory counseling practice group at McGuireWoods, where he plays a key role shaping the strategic direction of the firm’s securities enforcement initiatives. Before joining McGuireWoods, Dave was Chief of the Crypto Assets and Cyber Unit in the SEC Division of Enforcement, and prior to that served as enforcement counsel to SEC Commissioner Crenshaw. He is a recognized expert and frequent speaker with a robust practice that spans a wide array of complex regulatory and enforcement matters, particularly those involving crypto and cyber.

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Photo of Aaron R. Marienthal Aaron R. Marienthal

Aaron is a dynamic litigator and regulatory counsel with extensive experience in high-stakes consumer financial services matters. He represents financial institutions, fintechs, and technology companies related to a variety of consumer lending issues, payments products, and legislative and government affairs.

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Photo of Jeffrey Ehrlich Jeffrey Ehrlich

Drawing on his deep experience in government service, Jeff Ehrlich represents clients in the consumer-finance space, providing advice and counseling to businesses that compete in markets governed by multiple state and federal agencies that enforce complex and often novel statutes and regulations.

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Photo of Elizabeth Peters Elizabeth Peters

Liz is a member of the firm’s Government Investigations and White-Collar Litigation practice.

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Photo of Alice Moscicki Alice Moscicki

Alice is an associate in the firm’s Labor & Employment Department. She is experienced with counselling clients on compliance with a variety of local, state, and federal employment laws, with a focus on reputational risk management. Alice is heavily involved with McGuireWoods’ emerging…

Alice is an associate in the firm’s Labor & Employment Department. She is experienced with counselling clients on compliance with a variety of local, state, and federal employment laws, with a focus on reputational risk management. Alice is heavily involved with McGuireWoods’ emerging, cross-functional artificial intelligence practice.

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  • Posted in:
    Privacy & Data Security
  • Blog:
    Password Protected
  • Organization:
    McGuireWoods LLP
  • Article: View Original Source

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