UPDATE: A second lawsuit connected to the case has now been filed and is awaiting processing by the court, according to Potts Law Firm.

BENTONVILLE, Ark. (KNWA/KFTA) — An Arkansas family has filed a federal lawsuit against Elon Musk’s AI company, alleging its chatbot Grok was used to generate child sexual abuse material (CSAM) of their daughter, who is under 15.

The lawsuit, filed by Potts Law Firm, stems from an ongoing criminal case against Bentonville photographer Russell Bloodworth, who is accused of using AI to create thousands of sexually explicit images of children.

Bloodworth pleaded not guilty last week to more than 200 charges. He is not a defendant in the civil lawsuit; however, the allegations against him sparked the civil suit.

“This is a lawsuit against the AI for failing to have the proper safeguards in place to prevent this from happening,” said Derek Potts, CEO and national managing partner of Potts Law Firm, who is representing the child and her family. “And in fact, if you read our complaint, Grok A, as opposed to other artificial intelligence companies, had a specific mode called Spicy Mode that was edgy, quote unquote, and allowed people to do this sort of thing.”

The lawsuit was filed anonymously to protect the identity of the child.

“I mean, they’re devastated,” Potts said of the family. “We filed the case anonymously, which is allowed under the law to do that just to protect their identities. I think all the cases will be filed anonymously, because obviously, I mean, you don’t want to do more damage [than] that’s already been done.”

More lawsuits expected

 AI-generated child sexual abuse material: What parents need to know 

Potts said his firm already represents other Arkansas families connected to the Bloodworth investigation, and expects to file additional lawsuits this week.

“I’d probably say 20 to 30 children at this point is the way it’s looking,” Potts said. “You know, I don’t think law enforcement even knows how many victims there are. We’ve been told as many as 100, but I think they’re still figuring that out. But just based upon the context that we’re getting in the calls I’m getting — we have other clients we’re talking to right now — it’ll probably be in that area.”

Because Potts’ firm is filing cases individually rather than as a class action, that victim count could eventually translate into a similar number of separate lawsuits.

Potts said investigators are still working through a large volume of material seized in the Bloodworth investigation.

“We’re hearing through our clients that law enforcement is going through a large amount of material, [and] that they’ve found thousands of images and are continuing to identify victims,” Potts said. “It’s both state and federal law enforcement authorities.”

Not every family affected by the case knows yet whether their child’s images were found among the material.

“We’ve had families contact us who know this photographer took their pictures,” Potts said. “They know they’ve been exposed to potential issues here, but have not been told yes or no from law enforcement as to whether they’re found within the files. They’re just kind of in a waiting stance right now. We’ve told them, just wait, cooperate with law enforcement, and see what you’re told.”

Part of a growing number of cases nationally

Potts said the Arkansas lawsuit is only the second of its kind filed anywhere in the country, after a similar case originally filed in Tennessee. That lawsuit started with three teenagers and has since grown to include victims in Wyoming and Wisconsin, with a second AI company, Stability AI, named as a defendant, Nexstar’s WKRN reports.

In one case, court records show investigators searching a Wyoming man’s devices found roughly 7,000 AI-generated images and videos of his stepdaughter, produced using Grok.

Nationally, the National Center for Missing and Exploited Children says it received more than 400,000 reports of AI-generated CSAM last year alone.

Cases like these are also raising questions about how much responsibility AI companies bear for content generated by their own tools, rather than content posted by users.

“There’s really no controls over AI right now,” Potts said. “It’s moved so quickly that neither the federal level nor the state level, legislators haven’t had the chance to address it. Nothing is worth harming our children like this.”

KNWA/FOX24 reached out to xAI and X Corp for comment on the lawsuit and did not hear back by deadline. In January, Musk denied similar allegations on X, saying he was “not aware of any naked underage images generated by Grok,” and that the chatbot is designed to refuse illegal requests.

What’s next

No hearings have been set yet in the civil case. Bloodworth’s next hearing in the criminal case is set for Sept. 21.

If you or someone you know believes a child has been a victim of AI-generated exploitation, you can report it to the National Center for Missing and Exploited Children’s CyberTipline at CyberTipline.org, or call 1-800-THE-LOST (1-800-843-5678).

Copyright 2026 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

 For the latest news, weather, sports, and streaming video, head to KNWA FOX24.