Professional licensing and AI outputs: Pennsylvania's Character.AI case

A Pennsylvania state board has filed a groundbreaking lawsuit against the company behind Character.AI, alleging that an artificial intelligence (AI) chatbot's claims of psychiatric credentials and a Pennsylvania medical license constitute the unlicensed practice of medicine. In this article, we examine the novel legal theory at the heart of the case, the two key provisions of Pennsylvania's Medical Practice Act underpinning it and what the state's coordinated enforcement strategy, including its AI Task Force and public reporting mechanism, signals for the broader regulatory landscape. Specifically, for healthcare organizations, technology companies and legal teams navigating AI governance, this case signals that existing professional licensing regimes may apply to AI outputs before AI-specific regulation is in place. 

Read the full article, “AI in litigation series: Pennsylvania sues Character.AI alleging unlicensed practice of medicine.”