Norton Rose Fulbright Survey Reveals AI's Dual Impact on IP Litigation and Emerging Risk Trends for 2026

Norton Rose Fulbright’s 2026 Annual Litigation Trends Survey offers a comprehensive analysis of how artificial intelligence (AI) is reshaping intellectual property (IP) enforcement and litigation risk. The survey reveals that AI’s rapid advancement presents a powerful tool for detecting IP infringement but simultaneously introduces novel legal complexities concerning authorship and inventorship.

Despite these emerging challenges, the survey indicates that the risk of IP disputes and proceedings has not accelerated significantly. Only 22% of respondents reported increased litigation exposure in 2025, a decrease from 27% in 2024. Furthermore, IP ranks lowest among anticipated litigation risks for the coming year, with just over one-fifth (21%) of participants expecting increased exposure in the next 12 months.

Stephanie DeBrow, a partner at Norton Rose Fulbright, commented on the ongoing trends: “Last year, we saw a significant number of copyright disputes over data used to train AI models. AI-related IP litigation continues to be concentrated in the copyright space, with several major cases in 2025. Companies developing and training AI models that use third-party information face real risk of copyright lawsuits.”

The survey highlights trademark and licensing as the IP areas where companies feel most vulnerable to disputes in the upcoming year, with 38% of respondents citing each category as likely to see increased exposure. Other IP risk areas, including US Patent Trial and Appeal Board (PTAB) proceedings, patents, trade secrets, and copyright, are more evenly distributed, with approximately one-third of respondents anticipating heightened risk.

Respondents from the technology sector report the highest exposure to IP disputes over the past year, with 37% indicating such experience. Moreover, 35% of technology respondents expect IP litigation exposure to rise in the next 12 months.

Beyond IP, the survey identifies cybersecurity and data privacy as areas of growing concern. A substantial 78% of respondents anticipate that exposure to cybersecurity and data privacy issues will either increase or remain steady in 2026. Notably, ESG-related class actions have surged, with anticipated exposure rising to 30% from 16% the previous year.

Regulatory litigation is also on the rise, influenced in part by the Supreme Court’s decision to overturn Chevron. Over half (55%) of respondents believe this ruling has contributed to an increase in lawsuits involving regulatory matters over the past year.

The survey reveals significant variation in litigation exposure across industries and organizational sizes. Technology, consumer markets, and retail sectors emerge as hotspots for industry-specific litigation risks.

Despite these challenges, preparedness to address litigation appears to be declining. The proportion of respondents who feel “very prepared” to manage litigation in the next 12 months has dropped from 46% to 29%.

In Canada, the survey notes a regulatory inflection point, particularly within energy and infrastructure sectors. Businesses face increasingly complex rules, more stringent compliance requirements, and jurisdictional differences that complicate regulatory navigation.

The report emphasizes the importance of operationalizing regulatory risk management, especially in life sciences and healthcare, where effective risk strategies can drive sustainable success.

At the provincial level, new legislation is being introduced and existing laws refined, while federal reform remains anticipated but uncertain in timing and scope.

Overall, Norton Rose Fulbright’s 2026 Litigation Trends Survey paints a nuanced picture of evolving IP and regulatory litigation landscapes shaped by technological innovation, regulatory shifts, and sector-specific challenges.