For years, business customers expected software vendors to defend IP infringement claims and cover losses. As AI companies entered the market, these protections became standard. That assumption is increasingly unreliable. The pace of litigation involving AI systems is accelerating, with over 100 copyright infringement cases already filed. Insurers are tightening coverage policies, while vendors are reducing indemnity provisions. As a result, businesses using AI tools are

Businesses have to face the fact that mass arbitrations of consumer claims are quickly becoming the norm. This trend is largely the outgrowth of efforts to avoid the costs of class action litigation. However, this new form of dispute resolution brings its own problems, which are being addressed. JAMS and AAA issued rule changes and updated their fee schedules in 2024 to address mass arbitration and mitigate some of the cost and administrative burdens mass filings impose on

Planning for AI Contracting

Using appropriate standards and frameworks add foreseeability to technology-driven contracts

Alternative Dispute Resolution (“ADR”) can be a cost-saving alternative to litigation. Here are practical tips for drafting strong ADR clauses for your agreements. Parties can expect faster resolution and lower costs when using ADR to resolve their disputes. Quickly reaching a decision is often critical so that business planning can continue and long-term projects can proceed uninterrupted. According to statistics from one ADR provider, the average duration of a full-length

Under an agreement in which the buyer bought 7.7 acres of land, the seller reserved the right to repurchase 3.8 acres of that land for $350,000. The purchase option said that the dimensions and future lot lines were to be mutually agreed upon at a later date. When the seller sought to enforce the repurchase agreement in court, the court refused to do so. WHY THIS IS IMPORTANT…The court said that because the contract left its terms for future negotiation, it was too indefini

Significant changes to automatic renewal laws (ARLs) are set to occur in 2025, with new regulations from the FTC and amendments in California, Minnesota, and Utah.

Data Breach Case Based on Industry Standards Fails

An online fee-shifting provision referenced by a hyperlink in a contract was not enforced since the contract did not communicate that the fee-shifting provision was meant to be incorporated into the contract by reference. The warranty section at the very end of the contract featured two bullet points. The second included a website link with a complete list of terms and conditions and warranty details. Among the terms and conditions in that link was a provision authorizing an

Triple Damages Case Survives Due to Alleged Lies

A plaintiff sued for contract damages, unjust enrichment, and what is called a quasi-contract concerning services he provided to a...

A person sold a piece of land with a side agreement that said that, under certain circumstances, they could repurchase the property at a...

The enforceability of non-compete provisions continues to be in the national spotlight. In a recent Delaware Supreme Court decision...

A Chapter 93A count was dismissed from a contract lawsuit based on the contract's choice of law clause. That clause said New York law...

Several states have recently passed new automatic renewal laws (ARLs) that regulate continuing or renewing contracts for goods and...

A Chapter 93A count was dismissed based on the contract's choice of law clause. On appeal, this was reversed even though the contract...

A commercial tenant asked for a declaratory judgment that it had provided proper notice of its option not to renew its lease. The trial...

A trial court ruling favoring a commercial landlord was affirmed because shutdown orders issued during the COVID-19 pandemic did not give...

A tenant defaulted on a commercial lease two months after entering into a five-year lease. As is frequently the case in commercial...

An employer who puts an arbitration agreement in an employee handbook cannot enforce it if it maintains the right to modify the handbook....