Justice Department joins xAI challenge to Colorado AI law
By Ashley Gold
Published on April 24, 2026.
The Justice Department has joined a lawsuit by xAI against Colorado over a new AI law, which aims to prevent "algorithmic discrimination". This is the first time the DOJ has intervened in a case challenging state regulations on AI. The law requires AI developers and deployers to disclose certain information when creating algorithms for sensitive topics such as mortgage lending and job-seeking. The DOJ argues that the law's explicit carveout for discriminatory algorithms is at odds with the Constitution. The lawsuit was filed by xAA, which declined to comment on whether it was part of the Commerce Department's review of state AI laws.
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