Each week, Crowell & Moring’s State Attorneys General team highlights significant actions that State AGs have taken. See our State Attorneys General page for more insights. Below are the updates from October 15-21, 2026:

Multistate

• A coalition of 40 attorneys general filed a notice in the bankruptcy proceedings of Character Technologies, Inc. to raise concerns about the company’s privacy and safety practices. The company was responsible for an AI chatbot platform, Character.AI, that was sued in 2024 for wrongful death attributed to the platform’s emotional impact on a child. The filing highlighted the significant volume of sensitive user data held by Character.AI, including private chatbot conversations involving both adults and children.

• A coalition of 18 attorneys general secured a $664 million settlement with Snap Finance, a consumer financial services company offering lease-to-own agreements through merchant partners. The settlement also requires Snap Finance to change its business practices related to advertising restrictions, disclosure and transparency, servicing protections, lease terminations, and merchant training and compliance.