Alexi Files Counterclaims Against Clio and vLex; Alleges $1B Merger Created Unlawful "Clog on Competition"

TORONTO--(BUSINESS WIRE)--Alexi, a pioneer in AI-powered legal research, has filed counterclaims in federal court against Themis Solutions Inc. (Clio), vLex, and Fastcase. The filing alleges that Clio is leveraging its recent $1-billion acquisition of vLex/Fastcase to engage in anticompetitive conduct, tortious interference, and the use of "sham litigation" to neutralize Alexi as a market competitor.

The counterclaims allege that Clio’s acquisition of the vLex/Fastcase database, one of only three comprehensive primary-law databases of United States caselaw, violates Section 7 of the Clayton Act. Alexi asserts that Clio is acting as a "clog on competition" and will stifle innovation in the AI legal research space by blocking access to essential caselaw data.

Alexi, founded in 2017, has developed proprietary technologies that create authoritative, accurate legal memos using advanced AI systems in a matter of seconds or minutes. Unlike general-purpose chatbots like ChatGPT, Alexi’s AI systems are trained on primary caselaw (judicial opinions) and millions of previous answers to legal questions, so they are trustworthy and reliable. But after Clio acquired vLex/Fastcase, Clio asserted baseless breach of contract claims to shut off Alexi’s access to the essential caselaw data and remove a competitive threat from the market.

“The team at Alexi is world-class at anticipating general trends and leading technological advances throughout the legal industry. And, of course, competition is critical for continued innovation, for both enabling law firms to thrive and for legal services to evolve for the benefit of all clients. We’re doing everything we can to further support a dynamic, innovative and competitive industry,” said Mark Doble, CEO at Alexi.

Alexi’s counter-suit highlights a four-year history of collaboration between Alexi and Fastcase, before Clio acquired Fastcase and “manufactured” contract breach claims. The filing points to a clear record of endorsement. Among other examples, as recently as 2023, vLex recognized Alexi’s CEO Mr. Doble as a "Fastcase 50" honoree, an award specifically celebrating the very AI technology that Clio now claim violates their agreement.

About Alexi

Alexi is a legal technology company that provides litigators with high-quality, AI-generated legal research and memorandum services. Founded on the principle of making legal intelligence more accessible, Alexi’s platform is used by law firms across North America to deliver superior results with greater efficiency.