OpenAI CEO Sam Altman has sought the advice of corporate litigator Orin Snyder, a partner at Gibson Dunn in New York, regarding legal issues stemming from his short-lived departure from the artificial intelligence firm. Snyder has represented Altman and OpenAI president Greg Brockman in their personal capacities, according to persons acquainted with the matter. His client roster includes notable entities such as Meta Platforms Inc., the owner of Facebook, and Tinder Inc. co-founder Sean Rad.
In a surprising turn of events, Altman was terminated by OpenAI in November but returned just days later. This event not only led to a reshuffle of OpenAI’s board of directors but also provoked an investigation by the Securities and Exchange Commission and an internal inquiry within the company.
Two major law firms, Wachtell, Lipton, Rosen & Katz, and Simpson Thacher & Bartlett, have emerged as key advisers to OpenAI. The latter firm is advising OpenAI’s reconfigured board, which is currently facing an SEC inquiry.
Arnold & Porter Kaye Scholer partners James Joseph and Bridget Weis have been representing OpenAI’s nonprofit parent company, particularly regarding its tax-exempt status. This firm has also provided advice on Altman’s dismissal and reappointment, among other matters. It is important to note, however, that OpenAI’s unique structure has complicated its governance issues.
Furthermore, OpenAI has found itself in the crosshairs of lawsuits concerning alleged copyright violations pertaining to the training materials for its AI technology. The plaintiffs in these lawsuits range from The New York Times and comedian Sarah Silverman to renowned author George R.R. Martin. The AI company is also dealing with a lawsuit filed by co-founder Elon Musk. The Tesla Inc. leader alleges that OpenAI has strayed from its founding mission to use its AI capabilities for the betterment of humanity, instead, turning into a profit-driven subsidiary.
Akin Gump Strauss Hauer & Feld, DLA Piper, and Hogan Lovells have recently registered to lobby on behalf of OpenAI as the company increases its focus on Washington, DC. With increased AI regulation on the horizon, it’s clear that OpenAI is strengthening its influence and guarding its interests both in the courts and on Capitol Hill.