Skip to content
Illustration of robot judge holding gavel and scales of justice

The Importance of Protecting AI Content Generation Rights for Content Producers

In today’s digital age, content producers have more tools at their disposal than ever before. Among these tools, artificial intelligence (AI) content generation has emerged as a game-changer, enabling creators to produce high-quality content quickly and efficiently. However, with this convenience comes a significant responsibility: safeguarding the rights associated with AI-generated content. Failing to do so can have long-term repercussions for creators and their intellectual property. Regardless of the type of content that you are creating, the game has changed and there quite a few legal considerations. Featured In The March 2025 Edition Of XBIZ World Understanding AI Content Generation Rights AI content generation rights refer to the ownership and usage rights of content produced with the assistance of AI tools. These rights often extend to include the following aspects: Ownership of Generated Content Determining who legally owns the output created by AI — the individual, organization, or AI tool provider. Licensing Agreements Many AI tools operate under specific licensing terms, which may grant the tool’s developer partial or full rights to the generated content. Derivative Works Understanding whether the content created with AI can be modified, reused, or resold without violating the terms of use. Warning! Why Content Producers…

Read more
Photo of South Dakota state flag in blue and yellow

South Dakota Passes Age Verification Law, Setting Up Constitutional Clash

Another state has joined the growing list of jurisdictions implementing age verification requirements for adult content. South Dakota’s newly passed law takes a unique approach but still raises serious constitutional concerns. Given the significant impact this law could have on website operators and the adult content industry as a whole, it is essential to examine the law in detail and consider the necessary compliance measures. Here’s what website operators need to know. Key Provisions of the Law Effective Date: July 1, 2025, giving website operators a limited window to implement changes and prepare for compliance. Applicability: Unlike other states that have adopted a 33.3% threshold to determine whether a website is subject to age verification requirements, South Dakota’s law applies to any website that hosts pornographic material as part of its "regular course of trade or business." This broad definition may capture a wider range of platforms than anticipated. Enforcement: The law includes both civil and criminal liability for non-compliance, increasing the stakes for website operators. Businesses failing to adhere to the law may face severe financial penalties, lawsuits, and potential criminal charges. Consumer Impact: This law could significantly affect users' ability to access certain types of content freely. Additionally,…

Read more
White Ofcom icon on navy blue background with blue, purple, pink, orange, and green boxes across the bottom

Ofcom’s Illegal Content Compliance Tool – Key Deadlines and Responsibilities

On January 21, 2025, Ofcom updated its interactive compliance tool to assist providers of user-to-user and search services in meeting their obligations under the Online Safety Act 2023. The tool is designed to help service providers conduct their illegal content risk assessments and comply with illegal content safety duties, record-keeping, and review obligations. Key Requirements & Deadlines Risk Assessment Deadline: Your first illegal content risk assessment must be completed by March 16, 2025. New or Modified Services: If you launch a new service or modify an existing one so that it falls under the Act, you must complete a risk assessment within three months of the change. Ongoing Compliance: Services must review their risk assessment at least annually to ensure continued compliance. If making a significant change to your service, you must conduct a new risk assessment before implementing the change. Using Ofcom’s Compliance Tool The Ofcom compliance tool provides guidance and recommendations based on responses to a series of questions. It does not guarantee compliance but serves as a structured method for assessing risk. Providers are responsible for: Implementing safety measures as required by the Act. Keeping proper records of risk assessments and compliance efforts. Making their own legal…

Read more
Photo of a man holding an umbrella and a folder in the rain

Indemnification – You’ve All Heard the Term but What Does It Mean?

Over the course of my career as a lawyer, I couldn’t even estimate how many times a client has requested that I review a contract or assist with a contractual dispute. Time and time again, I’m told by the client that they didn’t understand or even read certain portions of the contract because it was just “standard legalese” and thus unimportant. This belief couldn’t be further from the truth and almost always leads to disastrous consequences. Featured In The February 2025 Edition Of XBIZ World "Legalese" refers to the specialized language used in legal documents, including contracts. While it can often seem daunting to those unfamiliar with legal terminology, legalese plays a crucial role in ensuring that contracts are clear, enforceable, and protect the interests of all parties involved. There are several reasons why legalese is an important part of a contract including but not limited to: Precision and Clarity: Legalese is designed to be precise. It minimizes ambiguity and misinterpretation by using specific terms and phrases that convey exact meanings. This clarity is vital in preventing disputes over contract terms; Enforceability: Contracts must meet certain legal standards to be enforceable in a court of law. Legalese incorporates established legal…

Read more
White Ofcom icon on navy blue background with blue, purple, pink, orange, and green boxes across the bottom

Ofcom Publishes Industry Guidance for Online Age Assurance under the Online Safety Act

In a significant development, Ofcom has issued new guidance to ensure compliance with the Online Safety Act, requiring effective age checks on platforms hosting pornography and other harmful content. These measures aim to safeguard children online, with strict implementation deadlines and enforcement actions looming for non-compliant services. Key Highlights from Ofcom’s Guidance Mandatory Age Assurance Implementation by July 2025: Part 5 services (those publishing their own pornography) must begin implementing robust age assurance immediately. Part 3 services (platforms hosting user-generated pornography and other harmful content, such as social media, tube sites, and fan platforms) must have fully operational age checks by July 2025. Children’s Access Assessments: Starting January 16, 2025, all user-to-user and search services must complete a children’s access assessment within three months (by April 16, 2025). Services likely accessed by children must implement children’s safety measures, including age checks, to protect minors from exposure to harmful content. What Constitutes Highly Effective Age Assurance? Age assurance methods must be technically accurate, robust, and fair to meet Ofcom’s standards. Approved methods include: Photo ID matching Facial age estimation Mobile network operator checks Open banking verification Not acceptable: Self-declaration or online payments without strict verification. Pornographic content must not be visible…

Read more
Graphic showing smart phone with TikTok logo on screen and blurry TikTok logo in background

Supreme Court Upholds TikTok Ban Under National Security Concerns

The U.S. Supreme Court issued a landmark decision today in TikTok Inc. v. Garland, affirming the constitutionality of the Protecting Americans from Foreign Adversary Controlled Applications Act (“the Act”). The ruling, delivered per curiam, has significant implications for social media platforms and national security law, particularly concerning foreign-controlled entities operating in the United States. Case Summary The Act prohibits the operation of foreign adversary-controlled applications in the U.S. without a qualified divestiture. TikTok, owned by China-based ByteDance Ltd., challenged the Act, arguing that it violated the First Amendment rights of the company and its users. Petitioners also contested the Act’s data-collection rationale and divestiture requirements. Supreme Court Ruling The Court held that the Act, as applied to TikTok, does not violate the First Amendment. Key findings include: Intermediate Scrutiny Applied: The Court found that the Act's provisions are content-neutral, aimed at preventing the exploitation of U.S. user data by a foreign adversary, and tailored to address national security concerns. Compelling Government Interest: The Court upheld Congress’s determination that TikTok’s scale and data collection practices pose a significant risk, especially given ByteDance's obligations under Chinese law to cooperate with government intelligence operations. Tailoring of the Law: The Act does not outright…

Read more
Bright red cancel button

FTC’s “Click to Cancel Rule” and its Legal Challenge

The Federal Trade Commission's (FTC) new “Click to Cancel Rule” or the “Rule”, has been a hot topic in consumer protection and business regulation. This Rule, part of a broader effort to streamline cancellation processes for subscription services, has sparked significant debate and legal challenges, particularly from the National Cable and Telecommunications Association (“NCTA”). Adult entertainment subscription services are justifiably concerned, need to be following these developments very closely and preparing for compliance with the Rule immediately. Featured In The January 2025 Edition Of XBIZ World What is the Click to Cancel Rule? Let’s begin with the basics and some background on the Rule. The FTC recently finalized the "Click to Cancel" rule, a significant regulation aimed at simplifying the process for consumers to cancel recurring subscriptions and memberships. This Rule mandates that businesses must make it as easy to cancel a subscription as it was to sign up for it. The rule is part of the FTC's broader effort to protect consumers from deceptive practices associated with negative option marketing, where a consumer's failure to take action is interpreted as consent to continue a service. Under the Rule, companies must offer consumers the ability to cancel subscriptions with the…

Read more
Photo of U.S. Constitution over flag

Federal Court Enjoins Enforcement of Tennessee’s Protect Tennessee Minors Act

In a critical decision underscoring the protections of the First Amendment, the United States District Court for the Western District of Tennessee granted a preliminary injunction against Tennessee's Protect Tennessee Minors Act (PTMA), set to become effective on January 1, 2025. The ruling, in Free Speech Coalition, Inc. v. Skrmetti, declared that the PTMA likely violates the First Amendment by imposing content-based restrictions on constitutionally protected speech. View the Order Granting Plaintiffs' Motion for Preliminary Injunction here. Key Points of the PTMA The PTMA imposes strict criminal and civil liability on entities operating websites containing at least one-third of content deemed "harmful to minors." The law mandates intrusive age-verification requirements, such as uploading government-issued identification or using facial recognition, for website access. Violations could result in severe penalties, including felony charges and civil damages. The Court's Findings Broad and Overbroad: The Court emphasized that the PTMA is not narrowly tailored. It captures constitutionally protected speech aimed at adults, unnecessarily burdening their First Amendment rights while pursuing the state's objective of shielding minors from harmful content. Chilling Effect on Speech: The PTMA was found to objectively chill protected speech by forcing websites to incur substantial compliance costs or risk criminal prosecution…

Read more
Graphic montage of a hand holding an umbrella over a laptop

Protecting Passion: Why Cyber Insurance is Crucial for Adult Entertainment Businesses

In an era where digital presence is synonymous with business success, the adult industry stands at the forefront of online innovation. From streaming services and interactive platforms to e-commerce and virtual reality experiences, adult businesses have consistently leveraged technology to deliver unique and personalized content to consumers worldwide. However, this digital dependency also exposes them to a myriad of cyber risks. As cyber threats escalate in frequency and sophistication, obtaining cyber insurance has transitioned from a luxury to a necessity for adult businesses aiming to safeguard their assets, reputation, and future growth. Featured In The December 2024 Edition Of XBIZ World The Digital Landscape of the Adult Entertainment Industry The adult entertainment industry has historically been an early adopter of new technologies. Whether it's pioneering online payment systems, embracing high-definition streaming, or exploring the potentials of artificial intelligence and virtual reality, adult businesses often set technological trends that other industries follow. A quick sidebar – for those of you old enough to remember the wars between Betamax and VHS video and later HD DVD and Blu-ray, the adult industry was a key factor in both outcomes of those battles. This innovative spirit, while advantageous, also places the adult industry in…

Read more
Photo of red cancel button on laptop keyboard

FTC Announces Final “Click-to-Cancel” Rule: Essential Compliance Updates for Subscription-Based Businesses

Dear Valued Clients, On October 16, 2024, the Federal Trade Commission (FTC) announced the finalization of the "Click-to-Cancel" Rule, an amendment to the Negative Option Rule designed to make it easier for consumers to cancel recurring subscriptions and memberships. Most provisions of the final rule will go into effect 180 days after its publication in the Federal Register. As your trusted legal advisors, Silverstein Legal is committed to keeping you informed about regulatory changes that may impact your operations. This new rule has significant implications for businesses offering subscription services, including those in the adult entertainment industry. Key Provisions of the Final "Click-to-Cancel" Rule 1. Simplified Cancellation Process: Easy Cancellation Mechanism: Businesses must provide a cancellation method that is as easy to use as the method consumers used to sign up. If customers enrolled online, they must be able to cancel online without unnecessary steps or obstacles. No Unnecessary Barriers: Sellers cannot require consumers to interact with a customer service representative or go through lengthy procedures to cancel their subscriptions if they did not do so to sign up. 2. Clear and Conspicuous Disclosures Material Terms Disclosure: Before obtaining a consumer's billing information, you must clearly and conspicuously disclose all…

Read more
Back To Top