Class action alleges Figma used user designs to train AI tools

Source Cryptopolitan

Figma, the web-based collaborative design platform, is facing a proposed class action lawsuit in a U.S. federal court, accused of using its customers’ proprietary design data to train its generative AI models without proper permission.

Filed on Nov. 21, 2025, in the U.S. District Court for the Northern District of California, the complaint alleges that the company secretly harvested users’ intellectual property, including design files, layer properties, text, and images, and employed this data to improve its AI tools.

Following this misuse, the company’s valuation surged significantly to a record high during its $1.2 billion initial public offering earlier this year.

Figma reportedly uses clients’ data without seeking permission

When reporters reached out to Figma for comment on the claims raised against it regarding the misuse of clients’ information, the company responded. A representative from the firm denied the claims, stating that the company does not use any customer information to train its models without obtaining permission.

According to the spokesperson, even when they are granted permission, they still have to eliminate identifying details and safeguard their customers’ privacy. “We focus our training on general patterns rather than specific content, concepts, or ideas from our customers,” Figma’s representative added.

Still, the plaintiffs’ attorney, Carter Greenbaum, an Associate in the Litigation Department at Paul, Weiss, Rifkind, Wharton & Garrison LLP, pointed out that this case highlights an important point. Consumers and businesses have the right to ensure that their unique and sensitive creative work is not used without their consent in training AI models. 

This recent lawsuit is an example of the numerous cases brought against tech companies for using content without obtaining permission to train their generative AI systems.

While most of these lawsuits center on claims of copyright infringement, the Figma lawsuit alleges that the company misappropriated customer trade secrets and accessed their data without authorization. 

Founded in 2012, Figma offers cloud-based tools for collaborative design and counts major clients, including Alphabet, Microsoft, and Netflix, among its users. Additionally, Figma has partnered with OpenAI to integrate its app into ChatGPT. 

This partnership demonstrates that companies like Figma are eager to incorporate generative AI tools that automate tasks such as image creation, layout suggestions, and code generation. The lawsuit alleges that the firm automatically enrolled users in a program that enabled the company to utilize their data for training its AI software without informing them or obtaining their consent. 

“For years, Figma assured its customers that it would not use their data for its own purposes, including training its AI models,” the lawsuit claims. 

Figma faces a lawsuit as individuals raise concerns about the tech industry

Regarding the recent lawsuit against Figma, sources noted that this lawsuit claims that the worth of Figma users’ intellectual property is “reasonably measured in the tens or hundreds of billions of dollars.” 

To settle this case completely, the plaintiffs are seeking an unspecified amount of compensation and requesting that the court issue a permanent injunction preventing Figma from using AI models that infringe on their rights. 

This case is known as Khan v. Figma Inc., filed in the U.S. District Court for the Northern District of California, case number 3:25-cv-10054. 

For the proposed class, the attorneys are Carter Greenbaum and Casey Olbrantz from Greenbaum Olbrantz; Tina Wolfson, Robert Ahdoot, and Theodore Maya from Ahdoot & Wolfson; and Joseph Delich and Kyle Roche from Freedman Normand Friedland. 

Get seen where it counts. Advertise in Cryptopolitan Research and reach crypto’s sharpest investors and builders.

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
WTI Crude Oil Price Forecast: Trump Says US-Iran Talks Progressing Smoothly, Oil May Fall Below $60 As of the European session on July 2, WTI ( USOIL) crude oil prices fluctuated with a weak bias around $68, extending their prior downward trend. From a technical perspective, against the
Author  TradingKey
7 hours ago
As of the European session on July 2, WTI ( USOIL) crude oil prices fluctuated with a weak bias around $68, extending their prior downward trend. From a technical perspective, against the
placeholder
Japanese Yen recovers sharply from 40-year low as intervention bets trigger short-coveringThe USD/JPY pair comes under intense selling pressure and plummets to the 161.00 neighborhood heading into the European session on Thursday, snapping a three-day winning streak to the highest since 1986 set the previous day.
Author  FXStreet
9 hours ago
The USD/JPY pair comes under intense selling pressure and plummets to the 161.00 neighborhood heading into the European session on Thursday, snapping a three-day winning streak to the highest since 1986 set the previous day.
placeholder
Fed Chair Warsh Says Inflation Risks Are Receding, Sending Gold Rebounding by Nearly $100On Wednesday (July 1), Eastern Time, Federal Reserve Chairman Warsh stated at the ECB's annual forum in Sintra, Portugal, that while recent US inflation expectations and inflation risks h
Author  TradingKey
14 hours ago
On Wednesday (July 1), Eastern Time, Federal Reserve Chairman Warsh stated at the ECB's annual forum in Sintra, Portugal, that while recent US inflation expectations and inflation risks h
placeholder
WTI slips below $68.00 as supply concerns easeWest Texas Intermediate (WTI) oil price loses ground for the third successive day, trading around $67.80 per barrel during the Asian hours on Thursday. The global energy market experiences a sharp downturn, with crude oil benchmarks sliding significantly as supply anxieties ease.
Author  FXStreet
16 hours ago
West Texas Intermediate (WTI) oil price loses ground for the third successive day, trading around $67.80 per barrel during the Asian hours on Thursday. The global energy market experiences a sharp downturn, with crude oil benchmarks sliding significantly as supply anxieties ease.
placeholder
Bitcoin Price Trend Forecast: Continued ETF Outflows Limit Bitcoin Price Rebound Space, $58,000 Becomes Key Level for Bulls and Bears As of the European trading session on July 1, Bitcoin ( BTC) fluctuated around $58,700, hitting a new year-to-date low of $57,800 earlier in the day before recovering slightly, though it
Author  TradingKey
Yesterday 10: 23
As of the European trading session on July 1, Bitcoin ( BTC) fluctuated around $58,700, hitting a new year-to-date low of $57,800 earlier in the day before recovering slightly, though it
goTop
quote