Disney and Universal announced a blockbuster legal move on June 11, 2025. They filed a high-stakes copyright infringement lawsuit in the U.S. District Court for Central California. The studios accuse Midjourney, the AI image generation company, of illegally replicating their most treasured characters—without permission or licensing.
According to the complaint, Midjourney’s AI system created “endless unauthorized copies” of characters like Darth Vader, Elsa, Buzz Lightyear, Shrek, the Minions, Homer Simpson, Iron Man, Yoda, and more. The studios cranked up the rhetoric. They called Midjourney a “bottomless pit of plagiarism” and a “copyright free‑rider.”
Disney and Universal want three key things: monetary damages, a jury trial, and an injunction to stop further distribution of infringing AI output. They emphasize that Midjourney ignored previous warnings and legal demands to stop generating such images.
The studios stress they support AI. Disney’s Horacio Gutierrez, chief legal and compliance officer, said they stay “bullish on AI’s promise” but insist “piracy is piracy,” regardless of the technology. NBCUniversal’s Kim Harris added this lawsuit defends the “hard work of all the artists” and their investment.
Midjourney CEO David Holz has yet to issue a detailed public response. He did tell users in a weekly call that he expects Midjourney “to be around for a very long time,” even amid this litigation.
This legal confrontation marks a turning point. It’s the first time major Hollywood studios have sued over generative AI image output. The lawsuit could reshape how AI companies build and deploy future tools.
Legal experts say the studios made a strong case. They include dozens of side‑by‑side image examples pulled from Midjourney that appear uncannily alike to Disney and Universal characters. Experts argue these derivatives are not sufficiently “transformative” under fair‑use defenses.
The lawsuit could drive a new era for AI ethics. Some tech players push for broader fair‑use protections. Others lobby for licensing frameworks and content filters. Some already strike licenses; for instance, Getty Images trades with Stability AI.
If courts side with Disney and Universal, Midjourney must revoke infringing content. They might also need to overhaul their training pipelines or negotiate formal licenses before using copyrighted imagery. That outcome could ripple across the entire AI art and content creation ecosystem.
This lawsuit sets a new benchmark in Hollywood’s pushback against AI’s unlicensed use of creative property. It demands that generative platforms either play by IP rules—or face major legal fallout.

