New Delhi, June 24 -- A legal technology startup has launched a fresh challenge against the US government after losing access to Anthropic's most advanced artificial intelligence models, escalating a growing dispute that now spans export controls, national security concerns, and the future of frontier AI development.

Legion LegalTech Corp., a California-based company that builds AI-powered legal software, filed a lawsuit against federal officials after a June 12 directive forced Anthropic to restrict access to its flagship Fable 5 and Mythos 5 models. The order, issued by the Bureau of Industry and Security, required Anthropic to prevent foreign nationals from accessing the systems, triggering widespread disruptions for customers that re...