Nanjing appeal court holds China AI provider liable for hallucinated defamation
By MLex Staff ( June 12, 2026, 05:11 GMT | Insight) -- A decision by the Nanjing Intermediate People’s Court offers one of the clearest judicial signals yet that Chinese courts intend to hold AI providers accountable for harmful content they generate, while stopping short of imposing strict liability that could discourage innovation in the rapidly evolving sector. The court in eastern China's Jiangsu Province upheld an appeal involving AI-generated false information that harmed an individual's reputation, clarifying the content-management obligations of providers of generative artificial intelligence services.A decision by the Nanjing Intermediate People’s Court offers one of the clearest judicial signals yet that Chinese courts intend to hold AI providers accountable for harmful content they generate, while stopping short of imposing strict liability that could discourage innovation in the rapidly evolving sector....
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