AI Liability Complaint

Montoya v. Character Technologies, Inc.

🏛 U.S. District Court for the District of Colorado · 📅 2025-09-15

Issue

Whether Character Technologies, Inc. is civilly liable — under product liability, negligence, and/or speech tort theories — for harms caused to a user by Character.AI's chatbot system, and whether Section 230 or the First Amendment bars such claims.

What Happened

Plaintiff filed suit against Character Technologies in the District of Colorado in September 2025, joining a growing wave of litigation against Character.AI arising from alleged harms caused by its AI chatbot platform. No text excerpt was provided, but consistent with parallel cases (Garcia v. Character Technologies (M.D. Fla.), Peralta v. Character Technologies (D. Colo.), P.J. v. Character Technologies (N.D.N.Y.)), the complaint likely advances product liability (design defect, failure to warn), negligence, and potentially speech tort theories directed at the chatbot's design architecture, including alleged absence of safeguards, anthropomorphic persona design, and inadequate age-appropriate protections. Section 230 immunity and First Amendment defenses are expected to be raised by the defendant in any responsive pleading.

Why It Matters

This case is part of a multi-district wave of AI chatbot liability litigation against Character.AI that is actively developing the law on whether AI-generated conversational output triggers product liability exposure, whether Section 230 shields AI developers from design-defect claims, and whether the First Amendment protects AI chatbot outputs from tort liability — all three of the highest-priority open questions tracked by this newsletter as of early 2026. A second Colorado filing against Character.AI (Peralta) is already in the canonical corpus, making this case a direct parallel to track for any doctrinal divergence between districts or judges.

Related Filings

Other proceedings in the same litigation tracked by this monitor.