Appeals Court Temporarily Suspends Enforcement of Minnesota’s AI “Nudification” Law in xAI Dispute
The U.S. Court of Appeals for the Eighth Circuit granted xAI’s request for an injunction pending appeal. Minnesota cannot currently enforce HF 1606 to the extent specified by the court.
Minnesota HF 1606 will not be enforced by the state for now to the extent specified by the appeals court. On October 2, the U.S. Court of Appeals for the Eighth Circuit granted xAI’s request for an injunction pending appeal and temporarily suspended enforcement of rules targeting so-called AI “nudification.”
This changes a September 4 decision by the federal district court in Minnesota, which denied xAI’s request to preliminarily block the law. However, the appeals court’s current decision does not resolve the law’s ultimate constitutionality or the lawsuit itself.
Minnesota HF 1606 and Operators’ Obligations
HF 1606 took effect on August 1, 2026. It prohibits service operators from allowing users to create realistic depictions of the intimate parts of an identifiable person when those parts were not present in the original image.
For each unlawful use, access, or download, Minnesota’s attorney general may seek a civil penalty of up to $500,000. The law also contains an exception related to technical skill, but the precise practical impact of the suspension on individual provisions cannot yet be reliably assessed without the appeals court’s complete order.
The full text of the Eighth Circuit’s decision and its legal reasoning have not been independently verified from the primary court document. It is confirmed that the court granted xAI temporary relief during the appeal.
The Dispute Over Minnesota HF 1606 Continues
The office of Minnesota Attorney General Keith Ellison said it was disappointed by the decision. The state also said it would continue defending the law during the appeal.
The dispute represents another significant test of state regulation of generative AI in the United States. Minnesota’s law attempts to shift part of the responsibility for creating realistic intimate depictions to tool providers. xAI raised free-speech objections to the law, while the state defends the rules as protection against sexual abuse and harassment.
While the order remains in effect, Minnesota cannot enforce the law to the extent specified by the appeals court. It has not been confirmed, however, how broadly the order is worded or whether it applies to all parts of the law in the same way.
What Comes Next
The next important step will be publication of the Eighth Circuit’s complete order. It should clarify the scope of the temporary suspension and the reasons the court considered when issuing the measure.
The court will later decide on the constitutionality of HF 1606. Minnesota may also take further procedural steps, including requesting that the injunction be vacated or narrowed. The current decision therefore represents a procedural status during the appeal, not a definitive assessment of the law.
Sources
- Reuters (republished by Investing.com) – Confirms that the Eighth Circuit granted xAI’s request on October 2, 2026, and temporarily suspended the law during the appeal; it also reports the attorney general’s office’s response.
- Minnesota Revisor of Statutes — Chapter 72, H.F. 1606 – Primary text of the law, the definition of “nudify,” the prohibition on operators, the technical-skill exception, penalties, and the effective date of August 1, 2026.
- U.S. District Court for the District of Minnesota — X.AI LLC v. Ellison, memorandum and order – Text and date of the district court’s September 4, 2026, decision denying xAI’s request for an injunction.
Verified and updated: 10/03/2026 15:22
