Published Date : 19/07/2025
Canada's Artificial Intelligence Minister, Evan Solomon, is keeping a close watch on court cases in Canada and the U.S. to determine the next steps for Ottawa's regulatory approach to AI. These cases are crucial as they will help shape how AI companies can use copyrighted content to train their systems and the implications for creators and publishers.
Some AI companies have already seen early victories in the U.S., and OpenAI is currently fighting the jurisdiction of an Ontario court to hear a lawsuit by news publishers. Solomon's office has stated that he plans to address copyright issues within Canada's broader AI regulatory approach, with a focus on protecting cultural sovereignty and ensuring that creators are fairly considered in the conversation.
However, there are no current plans for a standalone copyright bill. Instead, Solomon's office is closely monitoring the ongoing court cases and market developments to help chart the path forward. The resolution of these cases will determine whether AI companies can use copyrighted content to train their AI products and how this will impact the media and publishing industries.
The sole Canadian case to pose the question was launched late last year by a coalition of news publishers, including The Canadian Press, Torstar, the Globe and Mail, Postmedia, and CBC/Radio-Canada. This coalition is suing OpenAI for using news content to train its generative AI system. The news publishers argue that OpenAI is breaching copyright by scraping large amounts of content from Canadian media and profiting from it without permission or compensation.
In court filings, the news publishers state that OpenAI has 'engaged in ongoing, deliberate, and unauthorized misappropriation of their valuable news media works.' They argue that rather than seeking to obtain the information legally, OpenAI has elected to misappropriate their intellectual property for its own commercial uses.
OpenAI has denied these allegations, asserting that its models are trained on publicly available data and are grounded in fair use and related international copyright principles. The company, headquartered in San Francisco, is challenging the jurisdiction of the Ontario court to hear the case. It argues that it is not located in Ontario and does not do business in the province.
OpenAI is also asking the court to seal some documents in the case, citing commercially sensitive information. The court is scheduled to hold a hearing on the sealing motion on July 30, according to a schedule outlined in court documents. The company is concerned that competitors in the highly competitive AI industry could benefit from access to its confidential information, including details about its corporate organization, web crawling processes, and model training systems.
Numerous lawsuits dealing with AI systems and copyright are underway in the United States, some dating back to 2023. In late June, AI companies won victories in two of these cases. In one case, a judge ruled that AI systems' use of published work was fair use and that the authors did not demonstrate that this use would result in market dilution. However, the judge also noted that this ruling affects only the specific authors involved and does not mean that Meta's use of copyrighted material to train its systems was legal.
In a separate U.S. case, a judge ruled that the use by AI company Anthropic of published books without permission to train its systems was fair use. However, the judge also stated that Anthropic 'had no entitlement to use pirated copies.'
Jane Ginsburg, a professor at Columbia University's law school who studies intellectual property and technology, cautions against viewing these cases as complete wins for AI companies. She notes that the questions of how much weight to give the pirate nature of the sources and the issue of market dilution will be significant in other cases.
As the legal landscape continues to evolve, the outcomes of these court battles will have far-reaching implications for the AI industry and the protection of intellectual property.
Q: What is the main issue in the lawsuit against OpenAI?
A: The main issue is that news organizations, including CBC/Radio-Canada, are suing OpenAI for using their news content to train AI systems without permission or compensation, claiming it breaches copyright.
Q: How is Canada's AI Minister, Evan Solomon, responding to these legal battles?
A: Evan Solomon is closely monitoring the court cases in Canada and the U.S. to shape Ottawa's regulatory approach to AI and copyright, with a focus on protecting cultural sovereignty and ensuring fair treatment of creators.
Q: What are some of the arguments made by OpenAI in the Ontario court case?
A: OpenAI argues that it is not located in Ontario and does not do business in the province, challenging the jurisdiction of the Ontario court. It also requests the sealing of documents containing commercially sensitive information.
Q: What recent victories have AI companies seen in U.S. courts?
A: AI companies have won victories in two U.S. cases, with judges ruling that the use of published works for training AI systems was fair use, though one judge noted that the ruling is limited to the specific authors involved.
Q: What are the potential implications of these court cases for the AI industry?
A: The outcomes of these court cases will have significant implications for the AI industry, particularly in terms of how AI companies can use copyrighted content to train their systems and the protection of intellectual property.