Extract from Justin Smith’s article “Morgan v. V2X, Inc. Decision Sets Precedent on AI Disclosure in Discovery”
One of the top concerns legal professionals have had regarding he use of generative AI is focused largely on hallucinations—the tendency of LLMs to invent fake case law. However, a recent decision from the U.S. District Court for the District of Colorado suggests the bench is moving toward a much more sophisticated concern: data privacy and the underlying data ingestion that powers these models.
In Morgan v. V2X, Inc. (D. Colo. Mar. 30, 2026), a routine employment discrimination case escalated into a high-stakes battle over how confidential discovery materials are handled in the age of AI. The result is a modified protective order that serves as a potential blueprint for modern litigation. This is the first order of its kind, as far as we are aware.
The Core Dispute: Productivity vs. Privacy
The conflict began when the plaintiff, appearing pro se, sought to use AI tools to bridge the technological gap between an unrepresented litigant and a well-funded corporate defendant. The defendant, V2X, Inc., raised alarms about whether its confidential information—including trade secrets and personnel files—was being fed into mainstream AI platforms like ChatGPT or Gemini.
