Intellectual Property Litigation, Protection, Prosecution and AI Legal Matters

The IP and Trade Secret attorneys at Houston Harbaugh, P.C., have extensive courtroom, jury trial, non-jury trial and tribunal experience representing industrial, financial, individual and business clients in IP counseling, infringement litigation, trade secret protection and misappropriation litigation, and the overall creation and protection of intellectual property rights in an AI driven world.

Lights, Camera, Lawsuit: Musk and Tesla in Hot Water Over Claimed “Blade Runner” Rip-Off

Imagine this: you’re a big-shot movie producer, and you’ve spent years and millions building a blockbuster brand like “Blade Runner 2049”. It’s got Harrison Ford, Ryan Gosling, and some of the most iconic sci-fi scenes in history. You’re gearing up for a hot new sequel, and car companies are banging down your door to partner up.

Then, out of nowhere, Elon Musk and Tesla hijack your most famous image – the one of Gosling’s character “K” walking away from his sleek “spinner” car – to hype up their new “cybercab.” They don’t use the real picture; but, they feed your picture into an AI and generate a fake, stylized copy. But, they do it all on live stream from a Warner Bros. Discovery studio, name-dropping your movie to make their tech look cool.

Is it copyright infringement? Alcon Entertainment, the production company behind the 2017 hit thinks so. And that’s what they say happened in their recently filed Complaint in Alcon Entertainment LLC v. Tesla Inc. et al., Case No. 2:24-cv-09033, in the U.S. District Court for the Central District of California. This lawsuit is sure to have major implications for AI, copyright, and the wild world of brand partnerships.

From Hollywood to Courtroom Drama

Alcon’s lawsuit, filed in California federal court, alleges that Tesla, Musk, and Warner Bros. Discovery knowingly ripped off their image to make the “cybercab” seem like the cutting-edge ride from “Blade Runner 2049.” The stakes are sky-high, with Alcon in talks for massive partnerships on the new “Blade Runner 2099” series.

The lawsuit claims Musk’s use of the fake image was a “bad faith and intentionally malicious” move to link Tesla to the “Blade Runner” brand, which Alcon has spent decades building. Alcon seeks big-time damages, attorney fees, and an injunction to stop Tesla from using the image again. These are similar allegations which have been raised against many AI companies in courts across the country, as I discussed in AI Music Generators in the Crosshairs: A Battle for the Soul of Copyright.

AI: Copyright Cop or Copyright Crook?

But this isn’t just some individual copying an image and using it for their own monetary gain. Alcon alleges that Musk and Tesla used an AI program to create a “lightly stylized fake screen still.” That raises major questions about AI and copyright.

Is the AI a tool, like a camera, and the person using it responsible for any copyright infringement? Or did the AI commit infringement by processing the copyrighted image?  These are the kinds of questions that are being sorted by courts throughout the country, in cases like UMG Recordings, Capital Records, Sony Music, et al v. Uncharted Labs Inc. d/b/a Udio.com, New York Times v. Microsoft, and Authors Guild v. OpenAI, Inc. The outcome of these cases will set major precedents for how we use AI in the future.

Tesla’s PR Nightmare

Beyond the legal drama, this is a total PR bomb for Tesla. Alcon is not shy about its allegations and name calling against Musk – warning other brands thinking of partnering with Tesla to consider Musk’s “massively amplified, highly politicized, capricious and arbitrary behavior, which sometimes veers into hate speech.”

Alcon is adamant that they don’t want their “Blade Runner 2049” brand anywhere near Musk or Tesla. But thanks to the livestreamed event, the false link between the two is now “irreparably entangled in the global media tapestry.” Ouch.

The Battle Ahead

This case is just getting started, but it’s already a wild ride. Will Alcon be able to prove copyright infringement and false endorsement? Can they put a dollar figure on the brand damage Tesla caused? And what does it all mean for how we use AI and negotiate brand partnerships in the future?

One thing’s for sure: in the world of Hollywood blockbusters and billion-dollar brands, the stakes are always high. And when you throw in AI, electric cars, and a dash of Elon Musk drama, you get a courtroom battle for the ages.

Stay tuned as we’ll be watching this one, and will bring you all the latest updates.

For more information please contact the author Acacia B. Perko at 412-288-4016 or perkoab@hh-law.com

About Us

The IP and Trade Secret attorneys at Houston Harbaugh, P.C., have extensive courtroom, jury and non-jury trial and tribunal experience representing industrial, financial, individual and business clients in IP counseling, infringement litigation, trade secret protection and misappropriation litigation, and the overall creation and protection of intellectual property rights in an AI driven world. From our law office in Pittsburgh, we serve clients in Pennsylvania and other states. Our Trade Secret Law Practice is federally trademark identified by DTSALaw®. We practice before the United States Patent and Trademark Office (USPTO) and we and our partners and affiliates apply for and prosecute applications for patents, trademarks and copyrights. IP section chair Henry Sneath, in addition to his litigation practice, is currently serving as a Special Master in the United States District Court for the Western District of Pennsylvania in complex patent litigation by appointment of the court. Pittsburgh, Pennsylvania Intellectual Property Lawyers | Infringement Litigation | Attorneys | Patent, Trademark, Copyright | DTSALaw® | AI

Henry Sneath Pittsburgh Business Litigation Lawyer. Pittsburgh Strong.® DTSALaw® Complex Case Mediation and ADR

Henry M. Sneath - Practice Chair

Co-Chair of Houston Harbaugh’s Litigation Practice, and Chair of its Intellectual Property Practice, Henry Sneath is a trial attorney, mediator, arbitrator and Federal Court Approved Mediation Neutral and Special Master with extensive federal and state court trial experience in cases involving commercial disputes, breach of contract litigation, intellectual property matters, patent, trademark and copyright infringement, trade secret misappropriation, DTSA claims, cyber security and data breach prevention, mitigation and litigation, probate trusts and estates litigation, construction claims, eminent domain, professional negligence lawsuits, pharmaceutical, products liability and catastrophic injury litigation, insurance coverage, and insurance bad faith claims. He is currently serving as both lead trial counsel and local co-trial counsel in complex business and breach of contract litigation, patent infringement, trademark infringement and Lanham Act claims, products liability and catastrophic injury matters, and in matters related to cybersecurity, probate trusts and estates, employment, trade secrets, federal Defend Trade Secrets Act (DTSA) and restrictive covenant claims. Pittsburgh, Pennsylvania Business Litigation and Intellectual Property Lawyer. DTSALaw® PSMNLaw®