Judge rejects $1.5 billion Anthropic author payout deal

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00:00Judge rejects $1.5 billion Anthropic author payout deal.

00:05Anthropic thought it had bought itself some peace with writers, $1.5 billion worth to be exact.

00:11But Judge William Alsup isn't ready to hand out the final case closed stamp just yet,

00:16signaling that more scrutiny and steps remain ahead.

00:19In fact, he rejected the record-breaking settlement this week,

00:22saying it was nowhere close to complete and might be shoved down the throat of authors.

00:26The lawsuit, filed by half a million writers, accuses Anthropic of using pirated books for training.

00:32The proposed $3,000 per worker settlement was labeled a landmark recovery by legal experts nationwide.

00:39But Alsup, uneasy about lawyers' fees, warned class action members often get the shaft.

00:45What really irked him?

00:46No specified works, qualified authors, or claim form resembling a buffet missing plates.

00:50So, Judge Alsup threw the proposed agreement back to the attorneys, with additional homework assignments.

00:57He ordered comprehensive lists of works and authors, along with a clear, transparent claim process for resolution.

01:03Deadlines?

01:04September 15th for the works list, and October 10th for the court's approval.

01:09If finalized, the $1.5 billion settlement would dwarf previous copyright deals,

01:14setting a precedent for how AI companies pay for gobbling up human-written words.

01:18But until then, Alsup isn't buying it.

01:23He seeks guarantees writers aren't overshadowed in a legal drama benefiting only lawyers.

01:28Currently, Anthropic and the authors wait,

01:30with Alsup preventing this settlement from becoming just another ineffectual class action chapter.