Law
New Jersey’s business innovators and law firms alike are having to develop new protections as AI forever transforms the face of innovation – and the meaning of intellectual property.
By Jennifer Lesser, Contributing Writer On Jun 3, 2026
As Artificial Intelligence (AI) continues to transform industries across the board, it’s also challenging traditional concepts of innovation, authorship and ownership – which means significant impacts on intellectual property (IP) law.
The legal field is having to shift from a sole focus on creation by human inventors to a hybrid of human and machine collaboration. As a result, the Garden State’s IP law professionals are having to navigate complex copyright infringement cases never seen before, while businesses are learning how to fully protect their intellectual property within the ever-changing world of AI.
“AI is all the rage, and IP law is no exception,” says Kevin M. Kocun, managing partner for Lerner David LLP, an intellectual property firm. “We’ve seen a large uptick in the number of our clients and prospective clients that make use of AI in their everyday business. We’re starting to see more and more responses from clients and others that are clearly prepared using AI – some of this is good, and some is not so good.”
Although the use of AI has significantly streamlined and automated processes like patent searches and drafting or trademark monitoring ad infringement detection, Kocun notes that the jury is still out on how it could potentially impact aspects of IP law such as authorship and inventorship. “We are particularly concerned about how confidential and/or privileged information is going to be treated when AI is involved,” he says. “We are very careful in our own practice to ensure that these protections are not negatively impacted.”
Of course, there are also countless ways that AI is making positive impacts across all industries, and innovation and intellectual property are no exception.
“It’s clear that AI is bringing innovation front and center – we’re seeing an uptick in the development of inventions, designs, and coding, etc. because of the ease of use AI can bring,” Kocun says. “Much like it will be a tool to better our everyday IP work, we anticipate AI will do the same for those developing intellectual property. Innovation is likely going to benefit from the use of AI, and we expect a significant increase in the need for IP protection.”
Nicholas A. Duston, member and chair of the AI committee for Norris McLaughlin, P.A., agrees that AI has been impacting IP law for quite some time and in several different ways. Perhaps most notable is how copyright ownership is impacted by the use of AI in creation.
He says that this has caused the courts to take on new and novel issues of copyright protection and ownership. “It will also impact how contracts are drafted regarding the use of AI in the creation of works, and who owns the results,” he adds.
Duston adds that his firm is also regularly seeing the integration of AI tools in the creative process; as such, brand owners should always be aware of what AI tools are used in the development of works, designs and other collaterals for their companies.
He advises that businesses remain cognizant of where the data or images are coming from, who owns the rights and if appropriate licenses are in place. “One issue is whether the AI tool is using images or other data that is proprietary to a third party, thus creating a copyright or trademark infringement concern. Another question is ownership of the final product and whether copyright protection is available to a design or creation that incorporates AI,” he explains.
It’s also important to read the terms and conditions of any AI tool to see how those terms explain ownership and use rights, whether the system is training on any data that is uploaded and whether the AI program claims to own rights to the output, Duston advises. “All these issues make the contractual negotiation process with designers and other third parties very important,” he says.
Jonathan D. Bick, counsel for patent, intellectual property and IT, copyright agent services at Brach Eichler LLC, adds that the fact that AI is writing algorithms – not human beings – results in a whole new set of liability and IP ownership issues. One of the most serious issues is who is liable when something goes wrong.
“When a person writes software that generates something novel, we have wonderful case law and statutory law with respect for who is liable for any issues or bad acts. But AI is not a legal entity – you can’t put it in jail, you can’t take away its assets, and you can’t take it to court. So, we have to look for secondary people to be liable,” he explains. “Because AI is not a legal entity, even though it’s creating something, it’s not eligible to be the author. That’s key for anyone who is using AI to understand – and certainly something that lawyers need to be advising their clients about.”
Bick notes that another ongoing issue that every single innovator has to consider is whether they may be forced to either take down or pay royalties on an innovation that utilized AI in some way.
“It’s a major problem associated with every single innovation that uses AI. Because AI is relying on the internet, it’s extremely easy to inadvertently use somebody else’s copyright without consent,” he says. Businesses therefore should always be aware of potential liability when using or offering an innovation that relates to AI; among the options for protection are legal options such as contracts, business insurance and even technological protections embedded into the software.
“There are all kinds of things that businesses should be thinking about now that everyone tends to use AI as a first resort for pretty much anything,” he warns. “For example, any time you put a secret into an AI program [such as ChatGPT], you immediately lose the protection associated with trade secrets.”
Beyond issues with ownership, liability, or copyright infringement, the development of AI is also impacting IP law from a procedural perspective. According to Danielle M. DeFilippis, member and co-chair of the Intellectual Property Law Practice Group at Norris McLaughlin, P.A., the United States Patent and Trademark Office is currently testing and utilizing AI in the review process.
“It’s helpful for owners to become aware of how those tools are affecting the scope and timing of the review process, as well as the results,” she says.
According to Kocun, the field of IP law will continue to reap the benefits of how AI can be used in the process of automation of certain day-to-day tasks while both refining or improving work product. “Our own uses have shown us that AI is not a complete replacement for most tasks, but rather a tool that IP attorneys are going to be using more and more for refinement and efficiency purposes,” he says.
As such, firms like Lerner David are establishing AI committees and other protocols to set clear parameters for the use of AI.
“We have invested significant time evaluating and testing both general-purpose AI tools and those tailored specifically to IP practice,” Kocun says. “As a result, we are well-positioned to deploy these technologies to enhance client service and support the professional development of our attorneys.”
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