AI in Insurance · Lawsuit

Texas sues OpenAI and Sam Altman over ChatGPT safety claims and seeks a block on new models

Texas Attorney General Ken Paxton sued OpenAI and its chief executive Sam Altman on 23 October, alleging under the state's consumer protection law that the company misled users about ChatGPT's safety. According to Courthouse News, the 67-page suit asks the court to stop OpenAI releasing new ChatGPT models in Texas unless a court-appointed independent evaluator approves them.

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Illustration generated with AI for insurewire.org. Not a photograph of the event.

Texas Attorney General Ken Paxton sued OpenAI Global LLC, its affiliated entities and chief executive Sam Altman on 23 October. His office alleges that the company marketed ChatGPT as safe and reliable while failing to protect users, including children, and brings the claims under the Texas Deceptive Trade Practices–Consumer Protection Act.

Courthouse News, which posted the 67-page complaint, reported that it was filed in Collin County District Court and centres on whether ChatGPT's safeguards protect teenage users. The state alleges that OpenAI released products without sufficient parental controls, age verification or safety testing. It also alleges a breach of the Securing Children Online through Parental Empowerment (SCOPE) Act, a 2023 Texas law on age verification and parental consent, and cites at least eight cases in which people who committed violent acts had consulted ChatGPT.

The state asks for a broad injunction. According to Courthouse News, this includes a bar on releasing new ChatGPT models in Texas unless a court-appointed independent evaluator approves them. The Texan reported that the suit seeks to hold Altman personally liable for the alleged violations and for statements he made himself. No penalty amount was reported.

Paxton said OpenAI "has the responsibility to protect users and warn them" of the dangers of its platform. OpenAI had not responded to the allegations when Courthouse News and The Texan published. Courthouse News noted that the suit came a week after campaign finance filings showed that Elon Musk, a rival of Altman, spent nearly $200 million on advertising supporting Paxton's US Senate campaign.

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Office of the Texas Attorney General ↗

Regulator · 23 Oct 2026

This is an original brief based on the linked publication. Company statements and forecasts are attributed to their source.

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