Last month, a Georgia state court granted OpenAI’s motion for summary judgment, dismissing a defamation suit brought by a nationally syndicated radio show host.

In the suit, Mark Walters v. OpenAI LLC, 23-A-04860-2 (Sup. Ct. Gwinnett Cty, GA), the plaintiff alleged that that the ChatGPT tool, developed by OpenAI, defamed him when it presented false information about him to a journalist.  According court’s order, the journalist used the AI tool to summarize a complaint while writing an article about an unrelated lawsuit.  The summary provided by ChatGPT falsely stated that the complaint was filed against the plaintiff for committing fraud and embezzlement.

In granting summary judgment, the court, first, found that “a reasonable reader in [the journalist]’s position could not have concluded that the challenged ChatGPT output communicated ‘actual facts,’” and thus the output is not defamatory as a matter of law.  Among other things, the court observed that “ChatGPT warned [the journalist] that it could not access the internet or access the link to the . . . complaint that [he] provided to it, and that it did not have information about the period of time in which the complaint was filed, which was after its ‘knowledge cutoff date.’”  The court cited expert testimony which found that the journalist’s “Prompt Engineering techniques and choice to ignore ChatGPT’s warnings about its limitations contributed to the non-factual output.”

Second, the court found that the plaintiff could not demonstrate fault under a negligence or actual malice standard.  The court explained that whereas OpenAI offered evidence “demonstrating [it] leads the Al industry in attempting to reduce and avoid mistaken output like the challenged output here,” the plaintiff “identified no evidence of what procedures a reasonable publisher in OpenAl’s position would have employed based on the skill and experience normally exercised by members of its profession.”  The court also found the plaintiff is a public figure, and thus must establish that OpenAI acted with actual malice to hold the company liable for defamation, but that plaintiff did not provide any evidence to support that contention.

Photo of Yaron Dori Yaron Dori

Yaron Dori is co-chair of the Communications & Media Practice Group. He practices primarily in the area of telecommunications, privacy and consumer protection law, with an emphasis on strategic planning, policy development, commercial transactions, investigations and enforcement, and overall regulatory compliance. Mr. Dori…

Yaron Dori is co-chair of the Communications & Media Practice Group. He practices primarily in the area of telecommunications, privacy and consumer protection law, with an emphasis on strategic planning, policy development, commercial transactions, investigations and enforcement, and overall regulatory compliance. Mr. Dori advises clients on, among other things, federal and state wiretap and electronic storage provisions, including the Electronic Communications Privacy Act (ECPA); regulations affecting new technologies such as online behavioral advertising; and the application of federal and state telemarketing, commercial fax, and other consumer protection laws to voice, text and video transmissions sent to wireless devices and alternative distribution platforms. Mr. Dori also has experience advising companies on state medical marketing privacy provisions, and, more broadly, on state attorney general investigations into a range of consumer protection issues.

Photo of Vanessa Lauber Vanessa Lauber

Vanessa Lauber is an associate in the firm’s New York office and a member of the Data Privacy and Cybersecurity Practice Group, counseling clients on data privacy and emerging technologies, including artificial intelligence.

Vanessa’s practice includes partnering with clients on compliance with federal…

Vanessa Lauber is an associate in the firm’s New York office and a member of the Data Privacy and Cybersecurity Practice Group, counseling clients on data privacy and emerging technologies, including artificial intelligence.

Vanessa’s practice includes partnering with clients on compliance with federal and state privacy laws and FTC and consumer protection laws and guidance. Additionally, Vanessa routinely counsels clients on drafting and developing privacy notices and policies. Vanessa also advises clients on trends in artificial intelligence regulations and helps design governance programs for the development and deployment of artificial intelligence technologies across a number of industries.