Model Behaviour: Stability AI’s model is not an “infringing copy”, but legality of AI training remains unresolved

In the recent judgment in Getty Images v Stability AI [2025] EWHC 2863 (Ch), the High Court considered whether the generative AI model Stable Diffusion infringed copyright in works owned by/licensed to Getty Images, and further whether the model outputs infringed Getty Images’ trade marks. Getty argued that millions of its images had been used without permission to train the Stable Diffusion model, and that the model itself was therefore an infringing copy of the works.

Crucially, the court was not considering whether copyright was infringed during the training process of Stable Diffusion, as those claims were not pursued to trial by Getty due to a lack of evidence of training having been taken place in the UK. Instead, the High Court decided on the much narrower issue of whether the trained Stable Diffusion model is itself an “infringing copy” of the copyright works trained on. If the model was an infringing copy, under secondary copyright infringement law, its import into the UK would have infringed Getty’s copyright, even though the model had not been trained in the UK.

The High Court’s decision came down to the way in which Stable Diffusion was trained, and the relationship between the model and its training data. Stable Diffusion is a diffusion model, meaning its model weights are numerical parameters learned from training, not stored or compressed copies of its training data. The model does not contain any of Getty’s copyright images in any form whatsoever – and never has done – even though it may have been exposed to them during training. Getty’s secondary copyright claim failed as a result.

Although Getty lost its secondary copyright infringement claim, this was a highly fact-specific decision which related to this model of Stable Diffusion only. The High Court stressed this in its decision. Although it may be true that an “AI model which does not store or reproduce any copyright works (and has never done so) is not an “infringing copy””, this leaves the door open for an AI model that does store or reproduce copyright works (or has done so at some point) being found to be an infringing copy of its training data. Other model architectures that retain or reproduce their training data verbatim – which is more common for text models than image models like Stable Diffusion – may still be deemed infringing copies. In addition, there is scope for argument on whether a more liberal interpretation of what is an infringing copy should be adopted: in circumstances where the model has extracted the value and intellectual creation of copyright works, and in a manner that was not envisaged when the legislation was passed, why is this not reproduction of the underlying intellectual creation?

Further, as Getty dropped its training claims at trial, the UK courts are yet to decide on whether the training of AI models using copyright works in the UK infringes copyright. That question will need to be decided in a future claim involving an AI model that was trained (or at least partially trained) in the UK. 

On the trade mark infringement claim, the court made a limited finding of trade mark infringement where early model versions of Stable Diffusion produced outputs with Getty-style watermarks.

If you’d like to speak to a member of the team about any of the issues raised by the judgment, please reach out to one of our AI experts.

Consultation on reforms to the UK designs framework

The UK Intellectual Property Office (UKIPO) has launched a consultation on reforms to the UK designs system.

Acknowledging the UK’s design sector as leading force in creativity and innovation, the aim is to create a designs regime that is simple, effective and capable of adapting to the challenges of the digital future. The IPO is inviting responses by 27 November 2025.

For businesses involved in design, the outcome of the consultation could have far reaching consequences.

Key points covered in the consultation

  • Whether registered designs should be subject to searching and substantive examination. The government’s preferred option is a two-stage system under which designs would first receive partial registration, with full registration and enforceable rights only granted following a search.
  • Whether the current unregistered design regime is too complex, including the overlap with copyright. While the government’s stated preference is to retain the existing multiplicity of rights to protect both aesthetic and functional designs, it is also canvassing views on the potential consolidation of these rights into a single system and reconsidering the duration of protection.
  • Whether copyright protection for works of artistic craftsmanship should be abolished, with the government’s preference being to retain this protection, ensuring genuinely artistic and handcrafted works remain safeguarded.
  • How to clarify the registered designs system so that it covers animated designs and graphical interfaces more effectively, perhaps by allowing video files to be included in application.
  • With the rise of AI generated designs in mind, whether the existing protection for computer generated designs remains suitable, and how it interfaces with the requirement for originality.
  • Whether UK disclosure rules for unregistered designs should be adjusted to address the lack of mutual recognition with the EU and reduce complexity for businesses seeking protection in both territories.
  • Whether criminal sanctions for design infringement should be introduced.

The outcome of the consultation could have very significant implications for design-led businesses, especially as some of the proposed options could strip away valuable design protections which offer flexibility as enforcement tools.

Harbottle & Lewis advises Amdax on its acquisition of a strategic stake in Custodiex

We have advised Amdax, a Netherlands-based digital asset service provider, on its acquisition of a strategic stake in UK-based Custodiex, a specialist in quantum-safe cold storage solutions for digital assets.

Founded to provide cutting-edge custody infrastructure for financial institutions, Custodiex has established itself as a key innovator in the digital asset custody sector. The Manchester-based company’s quantum-safe solutions are designed to be scalable and future-proof, and meet the stringent international ISO 27001 security standard. The transaction enables Amdax to enhance its comprehensive digital asset platform.

Our team was led by partner Tom Macleod and managing associate Rosie Marston, with support from managing associate Katerina Capras and associates Elizabeth Compton and Matthew Shannon. Partner Yvonne Gallagher and associate Elisabeth Davies advised on employment aspects, partner Shireen Peermohamed and associate Samuel Flack advised on IP matters and senior associate Matthew Stephenson advised on property law matters.

On working with Harbottle & Lewis, Martin Cernohorsky, Amdax Head of Legal, commented:

Working with the Harbottle & Lewis team was a great pleasure. Their broad range of expertise and professionalism proved invaluable in navigating throughout the twists and turns of this deal. From the start we were in good hands. We look forward to continuing our collaboration with Harbottle & Lewis.”

Tom Macleod added:

We are delighted to have supported Amdax on this strategically significant acquisition. The combination of Amdax’s regulated platform with Custodiex’s innovative custody technology creates a compelling proposition for institutional clients across Europe. We look forward to seeing the continued success of this partnership as the digital asset custody market matures.”

Shireen Peermohamed awarded three individual rankings by IP Stars

Partner and head of our intellectual property group Shireen Peermohamed has been recognised by IP Stars in three categories in its latest rankings, including its global list of the top 250 women in IP for 2025.

Shireen has been given the following rankings:

  • Top 250 women in IP 2025
  • Trade mark star 2025
  • Transactions star 2025

IP Stars, part of the Managing IP media group, is a specialist guide covering legal practitioners who deal with contentious and non-contentious intellectual property issues. Its rankings assess and rank law firms and practitioners globally in a range of IP practice areas. Its list of top 250 women in IP recognises senior IP practitioners from more than 50 jurisdictions across the world, who consistently go above and beyond for their clients and firms.

This recognition follows the firm’s and Shireen’s recently awarded ‘Recommended’ status by WIPR.

Click here to view the full rankings on the IP Stars website.

Harbottle & Lewis and Shireen Peermohamed awarded recommended status by WIPR

We have been awarded ‘Recommended status by World IP Review (WIPR) in their UK trade mark rankings for the second year running. Shireen Peermohamed, partner and head of our intellectual property practice, has also been recognised as a ‘Recommended’ individual for non-contentious IP work.

These rankings recognise the leading law firms and practitioners in the UK’s trade mark landscape. They cover non-contentious work, including trade mark filing, prosecution, strategy, and portfolio management, and contentious work, encompassing trade mark litigation, dispute resolution and enforcement. Those ranked consist of a mix of traditional law firms, specialist IP boutiques and attorney firms.

To read the full list of rankings, click here.