If you're an AI artist putting all your time and effort into a Midjourney prompt, you might want to stop and take a look at the news.

Since AI debuted, there has been a legal grey area about whether or not you use it to generate a set extension, a character design, or a full script, and whether you actually own it.

But now, according to the highest court in the United States, the answer is a resounding "not if a human didn't make it."

Yesterday, March 2, 2026, the U.S. Supreme Court officially declined to hear Thaler v. Perlmutter, a case that has been at the center of AI copyright law.

Now, by refusing to take up the case, the Court effectively cemented a lower court ruling that "human authorship" is a bedrock requirement for copyright protection.

This is great news for filmmakers.

Let's dive in.


The Ruling: No Human, No Copyright

We have to trace this ruling all the way back to the start. And I'll be upfront, everything I'm saying I got from The Verge, which has an excellent breakdown of the case that started it all and where it is now.

Basically, a computer scientist named Stephen Thaler. He’s been trying for years to copyright an image called "A Recent Entrance to Paradise," which was created autonomously by his AI system, DABUS.

So here's the kicker: Thaler didn’t list himself as the creator; he listed the machine as the author.

So the U.S. Copyright Office said "no," and every court since then has agreed.

It all boiled down to the idea that the D.C. Circuit Court of Appeals noted: the law was written to make "humanity a necessary condition for authorship."

If you're not human, you're not creating. and therefore, you can't copyright.

Now that the Supreme Court has passed on the case, that ruling is the law of the land.

Why Filmmakers Should Care (A Lot)

I think you may have noticed that we're talking A LOT about AI in films recently. That's because AI films and trailers have been all over the internet, breaking copyright law and getting people riled up.

So listen up, if you’re a filmmaker using generative AI in your pipeline, you should probably take note of these very specific things that have implications in film and TV:

  • You Can’t License What You Don’t Own: If you use an AI to generate a lead character or a unique monster design, and the Copyright Office determines there wasn't "meaningful human involvement," that character essentially belongs to the public domain. That means a rival studio could potentially take your character and put it in their own movie, and you’d have zero legal standing to sue them.
  • The Insurance Problem: Major insurers are already starting to write exclusions for AI-generated content. If a producer can't prove human authorship, they can't ensure the revenue that the content generates. And they can't ensure it as well! No insurance often means no distribution.
  • The "Black Box" Standard: The Copyright Office currently uses a "meaningful human involvement" test. It’s handled case-by-case, and there are no strict parameters. That means you can't really check your work beforehand, only after. Using a simple prompt? Probably not enough. Using AI to assist in a complex VFX shot where you’re still directing the composition and lighting? Maybe. Is it worth the risk? I doubt any major players will think so.

AI as a Tool vs. AI as a Creator

The big takeaway here isn't that you can't use AI. It’s that you have to use it as a tool, not a creator.

And that there are no online guidelines for what that means, so if you're using AI, you're always making a pretty big bet on having to prove how much humanity went into everything later.

Maybe an easier way to put it is that, in the eyes of the law, AI is currently treated like a camera. A camera doesn't "own" the photo; the person who chose the lens, the framing, and the lighting does.

The problem with current generative AI is that the "machine" is doing the expressive heavy lifting, possibly stealing from humans, and that heavy lifting by the machine is not copyrightable by law.

Now, look, if you're Disney and you're using your own AI on your own characters, I think you're probably safe, but you never know how loopholes in this ruling would work, so it will always be a risk to use generative AI.

Summing It All Up

This is a landmark ruling that I think will change the way people think of AI and AI filmmakers. It's a pretty big bet to assume they're going to rule copyright based on what you prompted, and I think it would be hard to imagine a studio would be willing to risk it on that.

I'll try to stay ahead of the news on this one and let you know any implications coming down the line.

Let me know what you think in the comments.