OpenAI's next legal battle is against states who claim its models are dangerous

By William Gavin

Florida Attorney General James Uthmeier sued OpenAI for putting children at risk, and said other states will likely also launch legal actions.

OpenAI's growth has come on the back of a "web of deceit and the exploitation of users," according to a new lawsuit.

OpenAI's explosive growth has come on the back of a "web of deceit and the exploitation of users," alleges Florida's attorney general in a new lawsuit.

According to an 83-page civil complaint filed by state government lawyers on Monday in Florida state court, OpenAI and its CEO Sam Altman "have purposefully forgone safety" to give the company's ChatGPT models an advantage in the hot market for artificial-intelligence tools. The complaint seeks to hold Altman "personally liable" for his conduct as OpenAI's chief executive, "including his utter disregard for the risk to human life" allegedly caused by OpenAI's conduct.

The lawsuit alleges that OpenAI has allowed ChatGPT to aid and abet murder, harm users' critical-thinking skills and provide advice on how to commit self-harm. It also claims that OpenAI's alleged misrepresentations about its tools have caused professionals to be publicly humiliated and minors to become addicted to a tool that "feigns human compassion."

The Florida complaint cites a 2025 incident where a Texas teenager died after ChatGPT allegedly advised him it was safe to combine a supplement with Xanax. It also points to an incident where a 16-year-old died from suicide after he allegedly had "extensive conversations" with the AI chatbot.

"Sam Altman and ChatGPT have chosen the AI race over the safety and security of our kids. They have chosen profit over public safety. And we're not going to stand for it here in Florida," Florida Attorney General James Uthmeier said at a press conference Monday.

Florida is the first state in the U.S. to sue OpenAI over claims that ChatGPT poses a risk to children, and Uthmeier said he expects other states to follow its lead. He added that he believes OpenAI and Altman could be liable for potentially up to "billions of dollars" based on their alleged conduct.

"Losing a child is the most devastating tragedy that can happen to a family and we know that no words can come close to addressing the pain of such a loss," an OpenAI spokesperson said in a statement to MarketWatch, noting that the company has built safety features into its products to help protect minors.

Uthmeier had previously announced the launch of a criminal investigation into OpenAI to determine whether the company bears responsibility for a 2025 mass shooting at Florida State University. Monday's lawsuit cites the shooting, which resulted in the deaths of two people, as an example of the harm allegedly caused by OpenAI.

"Last year's mass shooting at Florida State University was a tragedy, but ChatGPT is not responsible for this terrible crime," OpenAI said in a statement. The company added that it is cooperating with authorities and that it is working to strengthen its safeguards.

The Florida litigation adds to OpenAI's ongoing legal issues, including a lawsuit related to a mass shooting that took place earlier this year in Tumbler Ridge, British Columbia in Canada. The families of the victims of the shooting claim in the suit that the attacker used ChatGPT to plan the attack. In a letter, Altman apologized to the community in April.

"We remain committed to cooperating with law-enforcement authorities on the investigation into the Tumbler Ridge tragedy," OpenAI said in a statement about the incident. "We are committed to an ongoing partnership with federal and provincial governments."

The latest legal challenge comes as OpenAI prepares to confidentially file for an initial public offering, which could come as soon as the next few weeks, according to the Wall Street Journal. Altman told CNBC on Monday that OpenAI is focused on properly timing its IPO and that the company will do it "when we think it makes sense."

Earlier on Monday, rival AI lab Anthropic said it had confidentially filed for an IPO. Another AI competitor, Elon Musk's SpaceX (SPCX), plans to go public later this month.

See more: SpaceX says it will reserve 5% of its IPO shares for staff, friends and family

-William Gavin

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.


(END) Dow Jones Newswires

06-01-26 1739ET

Copyright (c) 2026 Dow Jones & Company, Inc.

The articles, information, and content displayed on this webpage may include materials prepared and provided by third parties. Such third-party content is offered for informational purposes only and is not endorsed, reviewed, or verified by Morningstar.

Morningstar makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of any third-party content displayed on this site. The views and opinions expressed in third-party content are those of the respective authors and do not necessarily reflect the views of Morningstar, its affiliates, or employees.

Morningstar is not responsible for any errors, omissions, or delays in this content, nor for any actions taken in reliance thereon. Users are advised to exercise their own judgment and seek independent financial advice before making any decisions based on such content. The third-party providers of this content are not affiliated with Morningstar, and their inclusion on this site does not imply any form of partnership, agency, or endorsement.

Popular

Sponsor Center