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Commercial Awareness Compass

Animations assemble: Disney and Universal sue AI firm Midjourney

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Henry Nelson-Case

Henry is a Senior Associate at Thrive Law, with a background in both private practice and in-house. His expertise spans across IP technology and comms commercial litigation.

Published Wed, 09 Jul

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Disney and Universal are suing the AI company Midjourney, alleging that its image generator illegally reproduces iconic characters. Described as a “bottomless pit of plagiarism”, the case strikes at the heart of a key legal question: is AI output merely creative transformation, or blatant copyright theft?

At stake is the entire value proposition of generative AI in entertainment. If copyright protections can be bypassed by algorithmic “creativity,” what does that mean for businesses built on protected characters and brands?

Where is the line between innovation and infringement? Can a machine be held responsible for artistic theft? And how can law firms help clients stay protected in a world where digital output is moving faster than the rules that govern it?

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