The State of Texas has filed a lawsuit against artificial intelligence giant **OpenAI** and its CEO, **Sam Altman**, under the state’s deceptive trade practices laws. The legal action alleges that **OpenAI** markets its **ChatGPT** product as safe, despite purported safeguards failing to protect consumers, particularly minors. ### Personal Liability and Penalties Sought In an unusual move, the lawsuit seeks to hold **Sam Altman** personally liable for the alleged deception. Texas is pursuing civil penalties of up to $10,000 per violation and sweeping injunctive relief. This includes demands for **OpenAI** to bar minors from accessing **ChatGPT**, obtain third-party approval from a court-appointed expert for new models, and prevent the chatbot from providing advice on suicide, eating disorders, and violent acts. Attorney General **Ken Paxton** further alleges that **OpenAI** has consistently failed to verify identities, in violation of state law. Paxton has been notably active in pursuing tech companies, having previously sued or settled with entities like **Roblox**, **TikTok**, and **Meta**. Notably, in July 2024, **Meta** agreed to a record-breaking $1.4 billion settlement with Texas over claims of deploying facial recognition without user consent. ### Deception and Exploitation Allegations The lawsuit prominently features an italicized past statement from **Altman**: _“AI will probably most likely lead to the end of the world, but in the meantime, there’ll be great companies.”_ A spokesperson for **OpenAI** responded, stating the company “works closely with experts to continually improve **ChatGPT**, mitigate risks and build additional safeguards. Governments have an important role to play in setting robust safety standards for AI, and we’re committed to working with Texas and other states on advancing pragmatic AI policies that apply to the entire AI industry - not just one company." Despite this, the lawsuit highlights **OpenAI**'s rapid valuation increase from approximately $17 billion to over $1.4 trillion in just four years. The filing asserts, “This success has not been earned; the rise of **OpenAI** is attributable to a web of deceit and the exploitation of users (including Texans), leveraging their data and safety to boost **OpenAI**’s market value at unacceptable costs and jeopardizing everyone in Texas.” ### Allegations of Harm The legal document further claims that due to **OpenAI**’s alleged misrepresentations and the careless introduction of **ChatGPT**, “mass shooters have been aided and abetted in deadly rampages, vulnerable people have been encouraged into suicide… and minors have become addicted to a tool that feigns human compassion to collect their data with no parental oversight.”