Reddit has initiated a lawsuit against the AI startup Humanity, alleging breach of contract and unfair business practices. Known as the “front page of the internet,” Reddit contends that Humanity is extracting user-generated posts to train its AI models.
In this legal action, filed in San Francisco, Reddit asserts that Humanity is using its platform and data for AI training without appropriate consent, which violates user agreements. The lawsuit claims these practices are not only unauthorized but also detrimental to Reddit’s interests.
Reddit’s allegations indicate that Humanity is improperly utilizing users’ personal information to enhance AI models without their approval. The platform seeks for damages and compliance with legal obligations from Humanity as a result of these claims.
Reddit maintains that its content, which includes a vast array of user-generated text and replies, is governed by specific rules that all AI companies must follow regarding data use. These regulations, according to Reddit, are clearly outlined in their user agreements. Partnerships with major AI firms like OpenAI and Google are in place, with users allowed access to public content while their privacy is respected.
Despite its self-identified role as the “protector of the AI industry,” Reddit argues that Humanity fails to honor its guidelines and the collective rights of users. The complaint highlights Humanity’s attitude of entitlement to use this data without regard for Reddit’s established boundaries.
Founded in 2021 by a former OpenAI executive, Humanity has garnered considerable investment, including backing from Amazon, and recently reached a valuation of $61.5 billion in a funding round led by Lightspeed Venture Partners. Its AI model, known as Claude, relies heavily on user-created content sourced from platforms like Reddit.
In response to the lawsuit, a spokesperson for Humanity stated, “We will contest Reddit’s allegations and defend ourselves vigorously.” The case is set to proceed in court as requested by Reddit.
Earlier in May, Humanity found itself compelled to apologize after its AI chatbot Claude inaccurately cited a legal reference. Reports noted that in a court filing in Northern California, Humanity acknowledged that its AI system had fabrications in the legal citations provided by its lawyers, including incorrect titles and authors.
This was revealed following an accusation from Universal Music Group and other publishers, who claimed that an employee, Olivia Chen, had used Claude AI to cite non-existent articles in an ongoing lawsuit against Humanity.
