On November 4, 2025, the Director of the United States Patent and Trademark Office (USPTO) designated as precedential an appeals review panel (ARP) decision vacating the Patent Trial & Appeal Board’s § 101 rejection of claims directed to training machine learning models. Ex parte Desjardins, Appeal No. 24-000567 (ARP Sept. 26, 2025) (precedential). The Board
McDermott Will & Emery Blogs
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Layoffs and rightsizing for unionized or unionizing workforces
As economic shifts and advancements in artificial intelligence reshape workforce needs, executive teams and boards are reevaluating their strategies. Unionized workforces – or those in the process of unionizing – present unique challenges, particularly in light of National Labor Relations Board developments. Careful planning is essential to navigating these uncharted waters. To help address these…
California’s new AI rules under FEHA took effect October 1, 2025
Beginning October 1, 2025, California employers must comply with new Fair Employment and Housing Act (FEHA) regulations on the use of artificial intelligence (AI) and automated decision systems in hiring and employment. The rules primarily pertain to three compliance areas: bias testing, recordkeeping, and vendor liability. Employers should start preparing now to avoid exposure once…
AI in employer-sponsored group health plans: Legal, ethical, and fiduciary considerations
Artificial intelligence (AI) has increasingly been integrated into the tools used by and for employer-sponsored group health plans, prompting a multitude of concerns. In this article, we discuss key issues that require immediate attention from both plan sponsors and plan administrators. Find out the legal, ethical, and fiduciary considerations employer-sponsored group health plans should keep…
Generative AI chatbot service not subject to Indiana sales tax
In one of the first pieces of administrative guidance addressing the sales tax treatment of generative artificial intelligence (AI) services, the Indiana Department of Revenue (DOR) recently issued a revenue ruling confirming that charges for a generative AI chatbot service are not subject to Indiana sales tax. In reaching its conclusion, the Indiana DOR used…
Fair use or foul play? The AI fair use copyright line
By Jodi Benassi
The US District Court for the Northern District of California granted summary judgment in favor of an artificial intelligence (AI) company, finding that its use of lawfully acquired copyrighted materials for training and its digitization of acquired print works fell within the bounds of fair use. However, the district court explicitly rejected the AI company’s…
Partnering with Legal at the Critical AI/Healthcare Crossroads
The intersection of AI and healthcare is outpacing the development of laws and regulations governing the technology. Even in the early days of AI transformation, this is creating uncertainty for healthcare organizations. Leveraging existing frameworks and creating a culture of collaborative compliance can help organizations navigate these challenges without stifling innovation. Sumaya Noush, partner at…
Risk Management in the Modern Era of Workplace Generative AI
As human resources (HR) leaders plan to expand the use of generative artificial intelligence (GenAI) in the workplace, nearly a dozen states have enacted or are considering legislation to regulate its use in employment practices. Additionally, courts are seeing class actions involving alleged disparate impact discrimination and wage and hour violations related to GenAI. Implementing…
An Update on NAIC’s Consideration of AI Model Law for Insurers
By Amber Adair
The National Association of Insurance Commissioners’ (NAIC) Big Data and Artificial Intelligence (H) Working Group released a request for information (RFI) to explore the potential drafting of a model law to regulate insurers’ use of artificial intelligence (AI) systems. The RFI asks stakeholders to provide comments on whether uniform statutory requirements for AI are needed…
Copyright, AI, and Politics
In early 2023, the US Copyright Office (CO) initiated an examination of copyright law and policy issues raised by artificial intelligence (AI), including the scope of copyright in AI-generated works and the use of copyrighted materials in AI training. Since then, the CO has issued the first two installments of a three-part report: part one…