Federal Judge Rules AI Chatbot Conversations Can Be Seized as Evidence in Fraud Cases

Federal Judge Rules AI Chatbot Conversations Can Be Seized as Evidence in Fraud Cases  By CPI  |  February 16, 2026 If you’ve ever typed a sensitive question into ChatGPT or Claude, hoping to get a handle on a legal problem before calling your lawyer, a new court ruling should give you pause. A federal judge in Manhattan has decided that conversations with AI chatbots do not get the same legal protections as conversations with your attorney. That could have big consequences for executives, companies and anyone who uses AI to think through legal trouble. Get the Full Story Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required. yesSubscribe to our daily newsletter, PYMNTS Today. By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. Δ The ruling came down on Feb. 10, from U.S. District Judge Jed Rakoff, one of the most prominent judges in the Southern District of New York. The case involved Bradley Heppner, a former financial services executive facing federal securities fraud charges. Before his arrest, Heppner had used Anthropic’s Claude to research the government’s investigation into his conduct and assess his potential legal exposure. According to a detailed analysis from law firm McGuireWoods, Heppner typed prompts into Claude that includ...