Congress·In Committee·S. 2937

Sens. Durbin and Hawley Push AI LEAD Act to Let Consumers Sue Over AI-Related Harms

AI LEAD Act

6 months ago·View on Congress.gov

Legislative Progress

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Key Points

This bipartisan bill from Sens. Durbin and Hawley creates a federal product liability framework specifically for AI systems, letting individuals, classes of individuals, state attorneys general, and the U.S. Attorney General sue AI developers and deployers in federal court for harms including physical injury, financial loss, reputational damage, and severe emotional distress.
From policy text
“The Attorney General, any attorney general of a State, an individual or the legal representative of such an individual, or a class of individuals may bring a civil action in a district court of the United States against a developer or deployer for a violation of section 101, 102, or 201”
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AI developers face strict liability if their product is found to be unreasonably dangerous or defective — meaning they can be held responsible for damages even if they took every possible precaution, as long as the product's defective condition caused harm.
From policy text
“the developer of a covered product shall be strictly liable for harm caused by the defective condition of the covered product, notwithstanding-- (A) that the developer exercised all possible care in the design or distribution of the covered product”
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The bill bans AI companies from burying liability waivers in their terms of service or contracts. Any clause that tries to force users to give up their right to sue or limits accountability under this law would be unenforceable.
From policy text
“A developer or a deployer may not include language in terms and conditions relevant to a covered product that waives any right, proscribes any forum or procedure, or unreasonably limits liability under this Act or applicable State law related to harm caused by the covered product”
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Businesses that deploy AI tools can also be held liable as developers if they substantially modify an AI product or intentionally misuse it in ways that cause harm. However, deployers who simply license AI products are shielded from developer liability.
From policy text
“A deployer shall be deemed to be liable as a developer under section 101 for harm caused by a covered product if-- (1) the deployer makes a substantial modification to the covered product; or (2) the deployer intentionally misuses the covered product contrary to its intended use”
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Foreign AI developers must designate a U.S.-based agent for legal service before offering their products in America, and the Attorney General will maintain a public registry. Failure to register means their AI products cannot legally be deployed in the U.S.
From policy text
“A foreign developer of a covered product that fails to designate an agent in accordance with section 401 may not deploy any covered product in the United States.”
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The law provides special protections for minors: risks associated with AI products are presumed to not be 'open and obvious' to users under 18, making it harder for companies to avoid liability when children are harmed.
From policy text
“a risk shall be presumed to not be open and obvious to a user of a covered product who is under 18 years old.”
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Impact Analysis

Personal Impact

Who is affectedScoreImpactCertaintyScopeDurationSentiment

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Milestones

2 milestones2 actions

Sep 29, 2025Senate

Read twice and referred to the Committee on the Judiciary. (text: CR S6836-6838)

Sep 29, 2025

Introduced in Senate

What Happens Next

Projected impacts based on AI analysis

Upon enactment

If enacted, the law would apply immediately to all new lawsuits — even for harms that happened before the law was passed

People who were already harmed by AI products could file new lawsuits under this federal framework right away, as long as they are within the 4-year discovery window

Shortly after enactment

Foreign AI companies would need to register a U.S.-based agent with the Attorney General or face being blocked from the American market

International AI products like those from Chinese, European, or other foreign developers would need a legal representative in the U.S., and a public registry would let anyone look up who is responsible

Related News

3 articles

Jacksonville Journal-Courier·5 months ago

US Senators Durbin, Hawley pushing AI LEAD Act to enable AI lawsuits

The bipartisan AI LEAD Act would apply product liability law to AI systems, enabling consumers and state attorneys general to sue developers for harms. Senator Durbin stated the bill aims to force companies to prioritize safety over profits, especially concerning children's safety online.

ICLG·6 months ago

US legislators push for AI-specific product liability framework

The AI LEAD Act proposes a federal cause of action for liability claims when AI systems cause harm. Key provisions include establishing liability for design defects and failure to warn, while preventing developers from using contracts to waive liability or limit legal recourse for users.

ACA International·6 months ago

Bipartisan Act Seeks Liability Claim Framework for AI

The AI LEAD Act would classify AI systems as products, enabling product liability claims when AI systems cause harm. The bill aims to incentivize safer AI design rather than rushed deployment and holds AI companies accountable without stifling innovation.