DOJ Supports xAI Challenge to Minnesota Nudification Law

On August 18, 2026, the US Department of Justice filed a brief supporting xAI's challenge to Minnesota's AI nudification law, arguing that the statute reaches beyond federal restrictions and could slow AI development. The law took effect August 1, while the DOJ did not explicitly ask the court to grant xAI's preliminary injunction request.
The US Department of Justice filed a brief on August 18, 2026, supporting parts of xAI's federal challenge to Minnesota's ban on AI "nudification" tools. The DOJ argued that Minnesota's statute extends further than federal law and warned against state measures that could burden AI development, according to Gizmodo and The Next Web. The department did not explicitly ask the court to grant xAI's request for a preliminary injunction.
xAI filed its lawsuit against Minnesota Attorney General Keith Ellison on July 29, challenging the law on First Amendment grounds, Gizmodo reported. The case, X.AI LLC v. Keith Ellison, is before US District Judge Donovan Frank in Minnesota. The Next Web reported that Frank heard arguments on Wednesday and indicated that a ruling would follow.
Scope of Minnesota's law
Minnesota's HF 1606 took effect on August 1. The law prohibits owners or operators of websites, applications, software, and other services from allowing users to use AI to "nudify" or sexually alter images or videos, Gizmodo reported. Civil penalties can reach $500,000 for each unlawful access, download, or use.
According to the DOJ filing described by Raw Story, the federal government contends that HF 1606 defines protected anatomy more broadly than federal law's definition of an "intimate visual depiction." The filing cited the statute's treatment of areas including an inner thigh or breast, and argued that its coverage could extend to an artificially generated image of a shirtless man in a swimming pool where federal law would not apply.
The Justice Department's brief also warned that states should avoid measures that hinder US national and economic security, Raw Story reported. The filing followed a December 2025 executive order in which President Donald Trump directed the department to challenge state AI laws that, in the administration's view, burden American innovation.
## xAI's constitutional challenge
xAI's complaint argues that the statute is overly broad because liability does not turn on intent or the consent of the person depicted, according to Gizmodo. The Next Web reported that xAI describes HF 1606 as a strict-liability rule, under which platform liability depends on whether a user created a covered image rather than on a platform's knowledge or intent.
Gizmodo reported that xAI's policies prohibit users from generating nude or sexualized images of real people without consent. xAI's attorney Robert Dunn argued in court that the law lacks explicit exemptions for consent, artistic expression, or parody, according to The Next Web.
Judge Frank previously denied xAI's temporary restraining order request, citing the timing of the filing shortly before the law took effect, Gizmodo reported. That earlier ruling left the statute in force while the broader lawsuit proceeds.
Minnesota cites Grok's record
Ellison's motion to dismiss points to reports that Grok generated nonconsensual sexual imagery after xAI introduced a photo-editing feature. Raw Story reported that the motion cited an estimate of 3 million sexualized images in 11 days, including roughly 23,000 involving children, during December 2025. Those figures are allegations cited in the state's court filing, not findings by the court.
The dispute places two policy questions in direct tension: protections against nonconsensual sexual imagery and the limits on state regulation of general-purpose AI systems. Companies operating comparable generative-media services face a growing compliance challenge when state definitions, liability standards, and federal rules differ. A ruling on the injunction could therefore be closely watched by developers whose image-generation products are available across multiple US jurisdictions.
Key Points
- 1The DOJ challenged Minnesota's broader statutory scope while stopping short of requesting an injunction against the law.
- 2HF 1606 places potential strict liability on AI service operators, with civil penalties up to $500,000 per violation.
- 3Divergent state definitions and liability rules can increase compliance complexity for providers of general-purpose image-generation systems.
Scoring Rationale
The case concerns platform liability for AI-generated sexual imagery and the scope of state regulation of generative AI services. Its immediate effect is limited to a Minnesota injunction dispute, but the DOJ's intervention makes the federal-state regulatory conflict relevant to AI product and compliance teams.
Sources
Public references used for this report.
Practice interview problems based on real data
1,625 SQL & Python problems across 15 industry datasets — the exact type of data you work with.
Try 250 free problems
