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Will Cyber War Come to a Contract Near You?

Client Alert | 1 min read | 02.01.12

Cyber war has arrived: Sec. Panetta warns of a "digital Pearl Harbor," the Stuxnet cyber missile penetrates Iran's Bushehr nuclear facility, and cyber attacks shut down power grids in other countries, as discussed in David Bodenheimer's article "Cyberwarefare in the Stuxnet Age: Can Cannonball Law Keep Pace with the Digital Battlefield?" in the ABA's SciTech Lawyer. Focusing on what cyber warfare means for the private sector, this article explains how government contractors supporting offensive or defensive cyber operations (or even just standing by) face unprecedented and potentially ruinous legal liability for cyber weapons gone awry, multi-billion-dollar class actions for assisting federal agencies in authentication efforts to track down covert cyber adversaries, and huge economic losses when private information networks must be disconnected, shut down, or disabled due to foreign cyber infections or botnets, leaving the private sector to ask who foots the bill.

Insights

Client Alert | 8 min read | 06.30.25

AI Companies Prevail in Path-Breaking Decisions on Fair Use

Last week, artificial intelligence companies won two significant copyright infringement lawsuits brought by copyright holders, marking an important milestone in the development of the law around AI. These decisions – Bartz v. Anthropic and Kadrey v. Meta (decided on June 23 and 25, 2025, respectively), along with a February 2025 decision in Thomson Reuters v. ROSS Intelligence – suggest that AI companies have plausible defenses to the intellectual property claims that have dogged them since generative AI technologies became widely available several years ago. Whether AI companies can, in all cases, successfully assert that their use of copyrighted content is “fair” will depend on their circumstances and further development of the law by the courts and Congress....