Eight US states sue OpenAI over ChatGPT safety claims

Iowa Attorney General Brenna Bird announced on 14 October that Iowa is suing OpenAI under the Iowa Consumer Fraud Act, alleging the company misled parents and the public about ChatGPT's safety. The release says a bipartisan group of states have also individually sued OpenAI. Kansas, Nebraska and West Virginia attorneys general joined the announcement, and Arkansas, Arizona, Idaho and Montana have sued OpenAI in their own state courts. NBC News reported the suits were filed individually in those eight states. Iowa's petition in Polk County District Court asks for civil penalties of up to $40,000 for each violation and for OpenAI to delete and destroy Iowans' data obtained before judgment. OpenAI spokesperson Drew Pusateri wrote in a statement to NBC News that the company has "built industry-leading age-specific protections into our product." The claims are allegations and have not been decided by a court.

What it means for business: state consumer-protection laws are being used to pursue AI companies without new AI statutes; firms offering chatbots to the public should check that their safety claims match how the product actually behaves, especially for children.