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ARTICLE · 26 AUGUST 2025

Not Just Copyright Litigation: Companies Increasingly Face 'AI Washing' Claims

Barnes & Thornburg LLP
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Private parties and governmental agencies are bringing lawsuits (including class actions) and investigations against companies accused of overstating the artificial intelligence (AI) capabilities of their products...

United StatesTechnology
Nicholas A. Sarokhanian
Nicholas A. Sarokhanian
Vineet Gauri
Vineet Gauri
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Highlights

  • Private parties and governmental agencies are bringing lawsuits (including class actions) and investigations against companies accused of overstating the artificial intelligence (AI) capabilities of their products and services in a practice known as "AI washing."
  • "AI washing" cases have been filed in federal courts in California, Delaware, New York, and New Jersey.
  • A federal court in California recently dismissed an AI washing case, holding the company's statements about its AI capabilities were not actionable because they were forward-looking or amounted to puffery.

While most of the litigation involving AI making headlines centers on claims of copyright infringement (covered in several prior client alerts), businesses increasingly face lawsuits — or investigations by federal agencies — contending that they are "overhyping" their AI capabilities, use of AI, or the technological or business impacts of AI. These emerging claims are becoming

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