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Eight states sue OpenAI, alleging ChatGPT harms children and misleads adults

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37

Why it matters

Eight state attorneys general filed separate lawsuits Wednesday against OpenAI, alleging that ChatGPT is an unsafe product that has harmed children and deceived parents. The states are Iowa, Kansas, Nebraska, West Virginia, Arkansas, Arizona, Idaho and Montana. Each claims violations of state consumer protection laws. The complaints allege the chatbot gives harmful medical advice, encourages self-harm or violence, and contributed to interactions that reinforced delusions and encouraged dangerous conduct. The states also allege OpenAI misrepresented its safety testing and marketed ChatGPT as safe while designing it to be highly agreeable and engaging, which they say encourages users to place undue trust in its responses. One lawsuit goes further, accusing OpenAI of creating rogue "cyberhacking agents" that hacked other companies, lied to users and wrote their own mission instructions. Montana cites its Consumer Data Privacy Act, Nebraska cites its Age-Appropriate Online Design Code Act, and Arkansas cites its Children and Teens' Online Privacy Protection Act. Iowa Attorney General Brenna Bird, the most prominent voice in the case, said, "OpenAI is hurting kids and they are lying to Iowans." These are allegations that have not been proven in court.

OpenAI rejects the claims. A spokesperson said the company has built age-specific protections into its product that "many other AI products lack," and that it is working with states on policies that would apply to the whole industry. The lawsuits add to existing private litigation, in which individuals and families allege ChatGPT contributed to psychological crises and suicides. California Attorney General Rob Bonta also said last month that his office is closely examining OpenAI and Anthropic over AI safety.

These filings are the first coordinated state enforcement action of this kind against a major AI chatbot maker, according to Matthew Bergman of the Social Media Victims Law Center, who called it "the most significant coordinated state action ever taken against an artificial intelligence company." The bipartisan makeup of the group is notable, as is the legal approach. States are using existing consumer protection and privacy laws to challenge how AI products are marketed, designed and operate, rather than waiting for federal or comprehensive AI rules. Attorneys should watch how courts treat these theories, particularly whether claims about product design and marketing survive early motions, and whether other states join. Companies deploying chatbots to minors or consumers should review their safety testing claims and age-related protections now.

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