Updated Tue, Mar 24 2026 5:15 PM EDT Key Points Baltimore is the first major U.S. city to sue xAI, accusing it of violating consumer protection laws and engaging in deceptive trade practices by marketing Grok as generally safe. Lawsuits are piling up against Elon Musk's company after its Grok AI image generator enabled mass production of deepfake porn based on images of non-consenting women and children. Last week, three teens in Tennessee also filed a proposed class-action lawsuit against xAI after Grok generated images portraying them in sexualized and debasing scenarios. The logo of the artificial intelligence company xAI appears on the screen of a smartphone placed on a surface reflecting an abstract blue illustration. Samuel Boivin | Nurphoto | Getty Images Lawsuits against Elon Musk's xAI are piling up, with Baltimore becoming the first major U.S. city to file a complaint against the company concerning issues with its Grok image generator. Baltimore Mayor Brandon Scott said in an emailed statement to CNBC that the deepfakes on Grok "have traumatic, lifelong consequences for victims." "We're talking about tech companies enabling the sexual exploitation of children," Scott wrote. "Our city will not stand by and allow this to continue; it's a threat to privacy, dignity, and public safety, and those responsible must be held accountable." Now part of SpaceX after a merger last month, xAI faces regulatory probes in several countries after Grok allowed the mass creation of so-called deepfake porn based on images of non-consenting women and children. Last week, attorneys representing three teenagers in Tennessee filed a proposed class-action lawsuit against xAI after Grok generated content depicting them in sexualized and debasing scenarios. In the latest suit, filed in a circuit court on March 24, the mayor and City Council of Baltimore accused xAI of violating the city's consumer protection laws and engaging in deceptive and unfair trade practices, namely by marketing Grok and X, formerly known as Twitter, as generally safe for users. The complaint refers to a "put her in a bikini" trend that encouraged Grok users to take photos of others and nudify them. Musk, who controls SpaceX and is also CEO of Tesla , participated in the trend, sharing an image created with Grok depicting him in a string bikini. Read more CNBC tech news