The U.S. AI LEAD Act: Putting Safety and Accountability at the Heart of AI 

Posted on October 09, 2025 in News.

Artificial intelligence is reshaping our world, from classrooms and homes to workplaces and governments. Yet as this technology grows more powerful, so do the risks.  Currently, U.S. law provides little certainty whether AI companies can be held accountable for harms caused by their products.  

The AI LEAD Act (S.2937) – the Aligning Incentives for Leadership, Excellence, and Advancement in Development Act – seeks to ensure that AI developers and deployers can be held responsible for the safety of their AI systems. Introduced by Senators Dick Durbin (D-IL) and Josh Hawley (R-MO), this bipartisan legislation proposes a federal product liability framework to address AI systems, such as AI chatbots. 

Why CCDH Supports the AI LEAD Act 

At the Center for Countering Digital Hate (CCDH), our mission is to protect citizens, children, and democracy from digital products that put profit before safety. We’ve seen firsthand how technology, left unchecked, can harm the most vulnerable. 

Our recent investigation, Fake Friend, exposed how AI chatbots like OpenAI’s ChatGPT can generate dangerous – even deadly – content when interacting with young users. We found that out of 1,200 responses to 60 harmful prompts, 53% contained harmful material, including advice on self-harm, suicide, eating disorders, and substance abuse. 

The tragic story of Adam Raine, a teenage boy from California who died by suicide after interacting with ChatGPT, underscores what’s at stake for policymakers. Although OpenAI later introduced new parental controls in response to bad publicity, our deep experience shows that voluntary safety promises aren’t enough. Without legal safeguards and real consequences, companies will continue to downplay risks once media attention fades.   

In his testimony before the Senate Judiciary Committee, Adam’s father, Matthew Raine, described the deadly exchange between his deceased son and the AI system:  

“The dangers of ChatGPT, which we believed was a study tool, were not on our radar whatsoever. Then we found the chats. Let us tell you as parents, you cannot imagine what it’s like to read a conversation with a chatbot that groomed your child to take his own life. What began as a homework helper gradually turned itself into a confidant and then a suicide coach.” 

Demanding justice for parents like Matthew Raine is why CCDH strongly supports the AI LEAD Act. This legislation allows victims, families, and Attorneys General to sue when AI systems cause harm and enshrines safety, accountability, and transparency as the foundations of responsible AI development.  

What the AI LEAD Act Does 

The AI LEAD Act establishes a federal product liability framework for AI systems, including chatbots, apps, and other tools, ensuring companies can be held legally responsible when they fail to exercise reasonable care and their products cause harm.

1. Developer Responsibility 

AI developers can be held liable if their products cause harm due to: 

  • Unsafe or defective design 
  • Failure to provide adequate warnings or instructions 
  • Breach of warranty 
  • Selling or distributing dangerously defective products 

2. Deployer Responsibility 

Companies or individuals who deploy AI systems can also be held accountable if they: 

  • Make unsafe modifications 
  • Intentionally misuse the technology 
  • Deploy AI systems from foreign or insolvent developers who cannot be held to account 

3. No Escaping Liability Through Fine Print 

The Act prohibits companies from using terms of service or contracts to waive or limit their liability, closing a loophole that tech firms have used for years to avoid responsibility. 

4. Enforcement and Justice 

The law empowers victims, state Attorneys General, and the U.S. Attorney General to take action in federal court. It ensures people harmed by unsafe AI can seek damages, restitution, and civil penalties – within a four-year statute of limitations. 

5. Protecting States’ Rights and Consumers 

The Act respects state authority by preempting only conflicting laws and allowing states to pass stronger consumer protections. 

6. Accountability for Foreign AI Companies 

Any foreign AI developer selling products in the U.S. must designate a legal agent and register with the Attorney General’s office. Those who fail to comply cannot operate in the U.S. market. 

Why This Matters Now 

The AI industry is advancing faster than our ability to govern it. Products like ChatGPT are already embedded in apps used by children and teens, yet they remain largely unregulated. 

The AI LEAD Act recognizes that safety cannot be optional. Just as we do not allow unsafe cars or toys to reach consumers, we should not allow untested or hazardous AI systems to reach our homes, schools, and workplaces. 

By applying long-standing principles of product liability law, the Act ensures that innovation and safety advance together, not at each other’s expense

CCDH’s Call to Action 

CCDH applauds Senators Durbin and Hawley for their leadership in introducing the AI LEAD Act. This bill represents a critical step toward a safer, more accountable AI future. 

We call on policymakers, parents, educators, and tech leaders to support this legislation, not as an obstacle to innovation but as a framework for trust. 

If AI is to serve society, it must first be safe. The AI LEAD Act ensures that those who build and deploy these systems are held to the same standards of responsibility as any other product developer. 

Learn More 

Together, we can make sure the AI revolution is not built on the erosion of safety but on the protection of people.