Appeals Court Temporarily Halts Minnesota AI Nude Ban

The 8th U.S. Circuit Court of Appeals granted xAI an injunction on or about October 2-3, 2026, temporarily pausing enforcement of Minnesota's HF 1606. The law, enacted May 7, 2026 by a 197-1 vote and effective August 1, bars generating realistic intimate images of identifiable people from their photos without consent. Civil penalties can reach $500,000 per occurrence. xAI sued Attorney General Keith Ellison around July 27, 2026. Judge Donovan Frank denied a preliminary injunction on September 4, citing xAI's delay. The case is X.AI LLC v. Keith Ellison, Nos. 26-2806 and 0:26-cv-03425. xAI argues the law restricts First Amendment speech and sweeps too broadly; it says Grok Imagine has safeguards and has sued users it accuses of evading them. Ellison's office said Friday it is disappointed and will defend the law. Spokesperson John Stiles said the ban "outlaws AI technology products from generating sexual images that harm and harass people in the vilest way possible." Minnesota has said the measure is needed against harassment and abusive sexual imagery, including child sexual abuse material. The order pauses enforcement during litigation. It does not decide whether the law is constitutional.