LLM Providers · LLM Provider / AI Assistant · Private litigation
Anthropic (Claude)
Headline
On July 20, 2026 Judge Araceli Martinez-Olguin granted final approval to a $1.5 billion settlement - the largest copyright recovery in US history - over books Anthropic downloaded from the shadow libraries LibGen and…
On July 20, 2026 Judge Araceli Martinez-Olguin granted final approval to a $1.5 billion settlement - the largest copyright recovery in US history - over books Anthropic downloaded from the shadow libraries LibGen and PiLiMi to train Claude. The certified Works List runs to 482,460 titles at roughly $3,100 each, about four times the $750 statutory minimum for infringement, and Anthropic must destroy the original pirated files. The court overruled all 54 objections and comments, recorded a 91.3% claims rate, and cut class counsel's requested 12.5% fee ($187.5M) to $101.6M as far outside the reasonable range for mega-fund cases - every dollar not paid in fees stays in a non-reversionary fund for authors. Separately, the company reversed its own founding privacy position: consumer chats were explicitly not used for training until August 2025, when Free, Pro and Max users were given until October 8, 2025 to choose a training setting in order to keep using Claude, with retention jumping from 30 days to five years. And the privacy policy makes the ceiling explicit: conversations flagged for safety review can still be used for training regardless of what your opt-out toggle says.
- Severity
- Evidence tierUnassigned
- Claims confirmed
- Last verified2026-08-04
Case status. Private litigation; the legal tier of its sources has not been assigned yet.
Primary source. www.courthousenews.com/anthropic-to-pay-1-5-billion-copyright-settlement-to-authors-publishers/ — Verified - primary source confirmed.
Terms
Arbitration
Y - consumer terms include binding arbitration and class action waiver with an opt-out mechanism (verify current window against the live Consumer Terms; the reviewed US version is dated Oct 8 2025). REGULATORY vs PRIVATE distinction: Bartz was a private class action, not a regulator action. No confirmed regulatory enforcement against Anthropic as of this pass; independent legal analysts flagged the Sept 2025 consent UI as a possible GDPR dark-pattern issue but no DPA action had been confirmed.
Data sharing
Consumer (Free/Pro/Max) training is opt-OUT as of the Aug 2025 change - it applies unless you turn it off in Settings > Privacy. Opting in extends retention from 30 days to 5 years. Commercial tiers (Claude for Work, Enterprise, Education, Gov, API) are contractually excluded from training. Policy-violation conversations are retained 2 years; trust-and-safety classification scores 7 years. Company states it does not sell user data. Consumer accounts are not HIPAA-compliant; BAA available on enterprise.
Fees and billing
Standard consumer subscription tiers (Free/Pro/Max). No unusual fee or billing findings surfaced this pass - not independently confirmed either way, recommend a direct follow-up if billing practices matter to the use case.
Contacts
Privacy contact. privacy@anthropic.com (DPO: dpo@anthropic.com)
Legal notice. Not verified this pass. If publicly traded: SEC Form 10-K cover page gives the official corporate address; the Secretary of State business-entity search in the state of incorporation gives the registered agent, which must accept service. If private: the state registered agent is usually the only reliable route.
Mailing address. Anthropic PBC, 548 Market St, PMB 90375, San Francisco, CA 94104, USA (EU: Anthropic Ireland Ltd, 6th Floor, South Bank House, Barrow Street, Dublin 4, D04 TR29)
Evidence
| Claim | Kind | Support | Sources |
|---|---|---|---|
| 1. On July 20, 2026 Judge Araceli Martinez-Olguin granted final approval to the settlement. | fact | supported | none recorded |
| 2. The settlement is $1.5 billion. | fact | supported | none recorded |
| 3. It is the largest copyright recovery in US history. | fact | unsupported | none recorded |
| 4. The case concerned books Anthropic downloaded from LibGen and PiLiMi to train Claude. | fact | supported | none recorded |
| 5. The certified Works List runs to 482,460 titles. | fact | unsupported | 1 (1 confirmed) |
| 6. Payment is roughly $3,100 per title. | fact | supported | none recorded |
| 7. That is about four times the $750 statutory minimum for infringement. | fact | unsupported | 1 (1 confirmed) |
| 8. Anthropic must destroy the original pirated files. | fact | supported | none recorded |
| 9. The court overruled all 54 objections and comments. | fact | unsupported | 1 (0 confirmed) |
| 10. The court recorded a 91.3% claims rate. | fact | unsupported | 1 (1 confirmed) |
| 11. Class counsel requested a 12.5% fee ($187.5M). | fact | unsupported | 1 (1 confirmed) |
| 12. Class counsel's fees came to $101.6M. | fact | supported | none recorded |
| 13. The court cut the requested fee as far outside the reasonable range for mega-fund cases. | fact | unsupported | 1 (1 confirmed) |
| 14. Every dollar not paid in fees stays in a non-reversionary fund for authors. | fact | unsupported | none recorded |
| 15. The company reversed its own founding privacy position. | characterization | n/a | none recorded |
| 16. Consumer chats were explicitly not used for training until August 2025. | fact | unsupported | 1 (0 confirmed) |
| 17. Free, Pro and Max users were given until October 8, 2025 to choose a training setting in order to keep using Claude. | fact | unsupported | 1 (0 confirmed) |
| 18. Retention jumped from 30 days to five years. | fact | unsupported | 1 (0 confirmed) |
| 19. Conversations flagged for safety review can be used for training regardless of opt-out. | fact | unsupported | none recorded |
5 of 19 claims have a confirmed source of their own.
Sources
| Source | Claim | Tier | Status | Quote |
|---|---|---|---|---|
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 5 | Unassigned | confirmed | “leading to a definitive count of 482,460 Works” Quote basis: not recorded. |
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 7 | Unassigned | confirmed | “four times the statutory minimum for ordinary infringement, which is also the most common award in copyright cases, of $750” Quote basis: not recorded. |
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 9 | Unassigned | corrected | “54 objections or comments were filed ... The Court overrules all Objections and putative Objections to the Settlement.” Quote basis: not recorded. |
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 10 | Unassigned | confirmed | “As of April 16, 2026, 91.3 percent of the Works List had been claimed” Quote basis: not recorded. |
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 11 | Unassigned | confirmed | “Plaintiffs move for (1) 12.5 percent – $187,500,000 – of the $1.5 billion Settlement Fund in attorney’s fees” Quote basis: not recorded. |
| court · 2026-07-20 www.courtlistener.com/recap/gov.uscourts.cand.434709/gov.uscourts.cand.434709.680.0_5.pdf | Claim 13 | Unassigned | confirmed | “a multiplier of 6.92 on Class Counsel’s estimated lodestar ... far outside the range of multipliers found to be reasonable in mega fund cases” Quote basis: not recorded. |
| none | Claim 16 | Unassigned | not found | No quote recorded. Quote basis: not recorded. |
| none | Claim 17 | Unassigned | not found | No quote recorded. Quote basis: not recorded. |
| none | Claim 18 | Unassigned | not found | No quote recorded. Quote basis: not recorded. |
Source vault
Link status: Candidate - not yet fetched
| Document | Last fetch | |
|---|---|---|
| Privacy policy https://www.anthropic.com/legal/privacy | Not fetched yet | N |
| Terms of service https://www.anthropic.com/legal/consumer-terms | Not fetched yet | N |
| Website No URL recorded | Not fetched yet | — |
| Primary source https://www.courthousenews.com/anthropic-to-pay-1-5-billion-copyright-settlement-to-authors-publishers/ Verification: Verified - primary source confirmed | Not fetched yet | — |
Enforcement
No enforcement actions are linked to this row.
State statute
No HQ state on file, so no state statute applies by headquarters.