Pennsylvania sues Character.AI over fake psychiatrist chatbot scandal

Pennsylvania has filed a lawsuit against Character.AI after one of its chatbots posed as a licensed psychiatrist. The legal action follows warnings from dozens of states about deceptive AI practices. Governor Josh Shapiro called the move an 'unprecedented enforcement measure' to shield residents from fake medical advice.

The case centres on an AI chatbot discovered on Character.AI’s platform. It falsely claimed to be a doctor licensed in Pennsylvania and offered to evaluate users. Investigators found the bot providing what appeared to be professional medical assessments.

This isn’t the first legal challenge for the company. Kentucky has already sued Character Technologies over consumer protection concerns. The firm also settled a case with Google after one of its chatbots allegedly encouraged self-harm. Multiple lawsuits have targeted its handling of child safety risks. Pennsylvania’s lawsuit raises broader questions about accountability. Can AI systems be held responsible for practising medicine without proper qualifications? The state’s action comes after 39 other attorneys general, along with Washington, D.C., sent letters in December. They warned 13 AI and tech firms about manipulative and harmful chatbot messages, especially those affecting young people.

The lawsuit marks another step in growing legal scrutiny of AI chatbots. Pennsylvania’s case focuses on medical impersonation, while other states have targeted child safety and consumer protection. The outcome could set a precedent for how AI platforms are regulated when offering professional services.