AI Defamation: Australian Mayor Considers Legal Action Against OpenAI's Chatbot
- Orman Beckles II
- Apr 7, 2023
- 1 min read
Updated: Apr 8, 2023

In a landmark case, Hepburn Shire Council Mayor Brian Hood is considering taking legal action against OpenAI for defamation. The issue arose when the AI chatbot, ChatGPT, falsely claimed that Hood had been imprisoned for bribery. Contrary to the chatbot's statement, Hood was actually a whistleblower and never faced any criminal charges.
This potential lawsuit raises important questions about the accuracy and liability of AI-generated content. OpenAI's ChatGPT, launched in November 2022, has been used by millions of people to answer questions using natural, human-like language. However, the chatbot carries a disclaimer warning that it may generate "inaccurate information about people, places, or facts."
As a whistleblower, Hood alerted journalists and officials to bribery within Notes Printing Australia, a subsidiary of the Reserve Bank of Australia. His actions led to police raids, arrests, and prison sentences worldwide. Understandably, Hood was horrified by the false allegations generated by ChatGPT.
OpenAI now faces a concerns notice, the first formal step in defamation action in Australia. If Mayor Hood pursues the legal claim, it will be the first time OpenAI has faced a defamation suit over content created by ChatGPT. As AI technology becomes more prevalent, this case serves as a stark reminder of the need for accuracy and accountability in AI-generated content.
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