AI and privilege after United States v. Heppner: what legal teams should know. Read the analysis →
Challenges · 06 of 06 · Companies with frequent litigation

When discovery is routine, be ready to explain how AI was used.

Companies that litigate often — employment, product, IP, regulatory — have a standing problem: employees prepare for disputes with AI in tools that preserve nothing and protect nothing. Privilege AI gives litigation teams and the business a workspace counsel controls, with legal hold built in.

ExposureDiscoverable chats · protective orders · spoliation
RulingU.S. v. Heppner · S.D.N.Y. · Feb 2026
Hit hardestLitigation · GC · Paralegals · HR · Executives
Governed by01 Privilege AI · 02 Watch · 03 Agent
What is at stake

Opposing counsel will ask for the chats.

Discovery requests now routinely reach AI conversations. For a company in constant litigation, that means three distinct exposures: the chats themselves may be responsive and, as Heppner shows, not necessarily protected; protected discovery and work product sent to an unapproved provider can breach a protective order; and chats that were never preserved invite a spoliation argument.

The answer is not to stop using AI in litigation. It is to use it where counsel directs the work, every conversation belongs to a matter, legal hold is a property of the matter, and the record is tamper-evident.

Protective ordersWork productLegal hold
Very highrisk rating when protected discovery or work product is sent to an unapproved AI provider.Privilege AI role analysis · Litigation
$4.99Mglobal average cost of a data breach — the floor, before litigation.IBM · 2026
The litigation lifecycle

Before, during, and after the matter.

BeforeThe question that becomes a dispute.

A manager asks AI how to handle a complaint, a termination, a product defect. In Privilege AI the question is asked with counsel in the session, inside a matter, on the record.

01 Privilege AI · 02 Watch
DuringChronologies, discovery, witness material.

Litigation counsel and paralegals build chronologies and review discovery with AI under the protective order — never in a provider the order does not permit. Legal hold applies to the matter and to the device.

01 Privilege AI · 03 Agent
AfterThe record that answers the next request.

Every answer carries its model, its citations, and who was present, in a SHA-256 hash-chained ledger. Retention follows the matter. The next discovery request has a clean answer.

01 Privilege AI · ledger
Where it shows up

Inside legal, and everywhere a dispute starts.

Legal · Litigation Counsel / ParalegalBuilds chronologies and reviews discovery or witness evidence.Exposure: protected discovery or work product sent to an unapproved provider; protective-order sanctions, confidentiality disputes.01 Privilege AI
Legal · In-house Commercial CounselReviews contracts and drafts redlines on matters likely to be disputed.Exposure: negotiation advice and legal position in unapproved AI; NDA claims and privilege implications.01 Privilege AI
Human Resources · HR Business PartnerDrafts disciplinary communications that later become employment claims.Exposure: allegations and management notes in an unauthorized service; litigation complications.01 Privilege AI · 02 Watch
Customer Success · Customer Success ManagerSummarizes support cases and incident details with AI.Exposure: customer messages and incident details processed by an unapproved assistant; privacy complaints and DPA claims.02 Watch · 03 Agent
Executives · CEO / COOThinks through a dispute, a regulator, or a recall with AI.Exposure: the reasoning and the alternatives considered become discoverable.01 Privilege AI
Finance · Corporate Development ManagerSummarizes deal documents that may end in a post-closing dispute.Exposure: documents under NDA leave the data room for unapproved AI; NDA claims and negotiation harm.01 Privilege AI · 03 Agent
How Privilege AI governs it

A matter for every conversation. A hold for every matter.

01 · Privilege AIPrimary
Matters, retention, legal hold.

Every conversation belongs to a legal matter. Counsel sets retention and hold per matter; the ledger records model, citations, and who was present. Outside counsel can be invited into the session.

Privilege AI
02 · Privilege Watch
Finds the dispute before it is filed.

Detections from Claude and ChatGPT surface the complaint, the termination, the defect — the conversations that should move into a matter now.

Privilege Watch
03 · Privilege AI Agent
Legal hold on the device.

When a matter goes on hold, the workstation sensor preserves and flags transfers of material the protective order covers.

Privilege AI Agent
Models · Claude Fable 5.1 · Claude Opus 5.5 · ChatGPT Astra 6Bring your own keys or use a system key0 matters trained on
United States v. Heppner · AI & legal privilege

Be ready to explain how AI was used.

When AI assists with a dispute, the process may become part of the inquiry. Keep counsel’s direction, approved inputs, participants, and sources connected to the matter. Apply retention and legal holds as required, and check protective-order restrictions before using discovery material. Heppner makes the importance of that process concrete without deciding every future discovery dispute.

Executive sponsorGeneral Counsel · Head of Litigation
Decision makerGC · with CISO / CIO
StakeholdersLitigation team · Outside counsel · Courts · Clients · Security

Be ready for the next
discovery request.