"Although Alexi has not yet formally responded to the lawsuit, its founder and CEO Mark Doble told me yesterday afternoon that he denies any wrongdoing and that he believes the lawsuit is based on a misunderstanding of the original licensing agreement that came to light during Clio's recent closing of its purchase of vLex, which had merged with Fastcase in 2023."
"According to the complaint, Fastcase and Alexi (formerly known as Alexsei) entered into a data license agreement in December 2021. At that time, the complaint says, Alexi operated as what it described as a "research institution," employing staff attorneys who used AI-assisted passage-retrieval technology to prepare legal research memoranda for clients within 24 hours."
Fastcase, now owned by Clio, filed a federal lawsuit on Nov. 26 in the U.S. District Court for the District of Columbia accusing Alexi of transforming a limited data license into a competing commercial product. Fastcase alleges breach of contract, trademark infringement and trade secret misappropriation tied to Alexi’s use of data licensed under a December 2021 agreement. The license is alleged to have permitted only internal research by Alexi’s lawyers preparing client memoranda and expressly prohibited commercial, competitive, publishing or distribution uses. Alexi’s founder denies wrongdoing and attributes the dispute to a misunderstanding revealed during Clio’s closing of its vLex purchase.
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