Court rejects unfair competition claims against OpenAI

A federal court has approved OpenAI’s request to throw out allegations of Unfair Competition Law violations from the training of its ChatGPT generative AI model, while letting stand direct copyright infringement claims in a class-action lawsuit by authors and other copyright holders.

“OpenAI argues that Plaintiffs fail to state a UCL claim under either the unlawful or fraudulent prongs and that the unfair prong is preempted by the Copyright Act,” says the U.S. district court for northern California in its...