News-July-24-2026

July 24, 2026 — The Delhi High Court refused ANI's request for an interim injunction against OpenAI after making prima facie findings that OpenAI's storage of ANI reports for AI training fell within India's fair-dealing exception and that the cited ChatGPT outputs were not substantially similar to ANI's works. Open Markets Institute also joined an amicus brief asking the Ninth Circuit to uphold California's AI training-data transparency law against xAI's constitutional challenge. A coalition of more than 20 U.S. technology companies urged policymakers to avoid broad restrictions on open-weight AI models and instead use targeted legal and commercial responses to unlawful model distillation. The Delaware Superior Court also denied Google's motion to dismiss Robert Starbuck's defamation suit over allegedly false Google AI outputs. Representatives Herb Conaway Jr. and Gregory Murphy introduced a bipartisan bill requiring physician oversight of AI-assisted Medicare Advantage prior-authorization denials. The American Federation of Musicians filed an amended labor complaint alleging that Universal and Warner labels breached their collective-bargaining agreement by licensing member recordings to Suno and Udio without required compensation or credit.

Contents

1. Delhi High Court refuses interim injunction in ANI v. OpenAI
2. Amicus brief defends California AI transparency law in xAI appeal
3. Technology companies urge targeted policy for open-weight AI
4. Delaware court lets Starbuck AI defamation claim proceed
5. Bipartisan bill would require physician review of AI-assisted Medicare Advantage denials
6. Musicians union amends labor suit over Suno and Udio licensing deals

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Delhi High Court refuses interim injunction in ANI v. OpenAI

Justice Amit Bansal of the Delhi High Court refused Asian News International's application for interim relief in its copyright suit against OpenAI, finding that ANI had not established a prima facie case for an injunction. The court found at the interim stage that OpenAI's storage of ANI reports for model training fell within Section 52(1)(a) of India's Copyright Act and that the cited ChatGPT outputs were not substantially similar to ANI's reports. It also found that ANI had not shown memorization or regurgitation of its works in ChatGPT responses. Reuters reported that the court said OpenAI's use of ANI content to train ChatGPT did not amount to copyright infringement because ANI had not shown that the chatbot reproduced its reports. The order resolves only the interim-injunction application, and the main suit continues.

See case page: ANI Media Pvt Ltd v. OpenAI Inc.

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Amicus brief defends California AI transparency law in xAI appeal

Open Markets Institute joined an amicus brief by the AI Coalition of Data Integrity urging the U.S. Court of Appeals for the Ninth Circuit to affirm the denial of xAI's request to preliminarily block California Assembly Bill 2013. The brief argues that xAI did not show that the law's required disclosures about generative-AI training data violate the First Amendment. The filing asks the court to uphold the district court's preliminary-injunction ruling while the constitutional challenge proceeds.

See case page: X.AI LLC v. Bonta

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Technology companies urge targeted policy for open-weight AI

Nvidia, Microsoft, Meta, Palantir and more than 20 other companies released a letter urging policymakers to avoid “premature restrictions” on open-weight AI models that could stifle competition or move innovation overseas. The signatories argued that open-weight models support competition and security scrutiny, and said concerns about unlawful model distillation should be addressed through targeted legal and commercial frameworks rather than sweeping restrictions. OpenAI and Anthropic did not sign the letter, although OpenAI CEO Sam Altman publicly welcomed support for both open-weight and proprietary U.S. models.

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Delaware court lets Starbuck AI defamation claim proceed

The Delaware Superior Court denied Google LLC's motion to dismiss Robert Starbuck's defamation suit on July 24, allowing the case to proceed beyond the pleading stage. Starbuck alleges that Google AI generated false statements accusing him of crimes and misconduct and published them to third parties.

Judge Meghan A. Adams held that the complaint adequately alleged publication, actual malice, and damages under Delaware's notice-pleading standard. The court emphasized that it was deciding only whether the allegations were reasonably conceivable at the dismissal stage, not whether Starbuck would ultimately prove them, and distinguished a Georgia AI-defamation case decided on summary judgment after discovery.

See case page: Starbuck v. Google LLC.

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Bipartisan bill would require physician review of AI-assisted Medicare Advantage denials

Representatives Herb Conaway Jr., a New Jersey Democrat, and Gregory Murphy, a North Carolina Republican, introduced the Protecting Patients from Automated Denials Act on July 24. The bill would require any AI-assisted Medicare Advantage prior-authorization denial to be reviewed and approved by a qualified physician under a plan medical director's supervision.

Reviewing physicians would have to attest that they exercised independent medical judgment and that AI did not generate or dictate the denial. The bill would also authorize the Department of Health and Human Services to audit AI use in prior-authorization decisions, including denial data, internal policies, algorithms, employee practices, and overturn rates.

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Musicians union amends labor suit over Suno and Udio licensing deals

The American Federation of Musicians filed a first amended complaint in the U.S. District Court for the Southern District of New York on July 24, naming Warner Records and Atlantic Recording Corporation alongside Universal Music Group after Warner had argued that its parent company was not a proper defendant.

The amended complaint alleges that the labels violated Article 21’s “new use” provision in the Sound Recording Labor Agreement by licensing recordings covered by the agreement to Suno and Udio for generative-AI uses without notifying or compensating union musicians. The union seeks damages, restitution, contractual payments, and declaratory and injunctive relief.