Theft would give the victim a one-time payment, plagiarism would have given the victims payments every time the model was used. In other words: IP stealing through training LLMs is declared 100% legal.
The question is what happens when somebody mass-"uncopyrights" entire libraries of content for the first time. Because, of course, this judgement should have sent the stock price of Disney, Paramount, Warner Bros, New York Times ... to zero.
Why? Because at this point these companies are living on borrowed time. Courts have outlined a clear, legal, process to "uncopyright" any given work.
If I make Bambi 2 and toss it up on YouTube I’m going to be sued by Disney for a wide variety of intellectual property violations, it doesn’t matter if I make it by hand or via an LLM. Nothing has changed for big organizations with a legal team.
Sued ... of course. But what will they claim? The courts have declared that training an LLM on copyrighted data and then having it produce anything DOES NOT make a derivative for the purposes of copyright. That it is fully owned by the person who used the LLM and zero licenses are needed to sell it, rent it out, or whatever.