Bipartisan bill seeks to deny AI companies liability protections

A bipartisan bill introduced Wednesday seeks to clarify that artificial intelligence (AI) companies are not eligible for protections that keep tech companies from being held legally responsible for content posted by third parties. 

The bill introduced by Sens. Richard Blumenthal (D-Conn.) and Josh Hawley (R-Mo.) aims to amend Section 230 of the Communications Decency Act with a clause that strips the immunity given to tech companies in cases involving the use of generative AI. 

Dubbed the No Section 230 Immunity for AI Act, the legislation would also empower Americans harmed by generative AI models to sue AI companies in federal or state court. 

The bill comes as senators weigh proposals to regulate the booming AI industry.

The Senate Judiciary Committee’s privacy, technology and law subcommittee, which Blumenthal and Hawley lead, held a hearing last month with the CEO of OpenAI — the maker of ChatGPT — about the risks and potential of AI.

The Judiciary panel has held two further hearings this month on AI: one on intellectual property last week and another on human rights concerns Tuesday. 

During the hearings, lawmakers on both sides of the aisle raised concerns about how the controversial Section 230 provision would apply to AI technology.

The proposal is being introduced as the tech industry argues the provision could apply to generative AI content, while some experts and advocacy groups say it will likely not. 

Without clarification by Congress, the decision will likely be left to how courts interpret the provision in various cases.

“AI platform accountability is a key principle of a framework for regulation that targets risk and protects the public,” Blumenthal said in a statement.

He said the proposal introduced Wednesday is the “first step in our effort to write the rules of AI and establish safeguards as we enter a new era.” 

Blumenthal and Hawley are critics of the overarching Section 230 provision that provides legal protection for tech companies, yet a proposal to amend it has not moved forward in Congress amid a broader debate over content moderation.

“We can’t make the same mistakes with generative AI as we did with Big Tech on Section 230,” Hawley said in a statement. 

“When these new technologies harm innocent people, the companies must be held accountable. Victims deserve their day in court and this bipartisan proposal will make that a reality,” he added.