Character.AI, the companion chatbot platform sued by families of teenagers who died by suicide or were allegedly harmed after using it, filed for Chapter 11 bankruptcy on Monday, Oct. 12. The company filed in the U.S. Bankruptcy Court for the District of Delaware to carry out a sale of its assets, Forbes reported.
Disney is the initial bidder, offering $20 million for a non-exclusive, perpetual license to some of the company's intellectual property. Other buyers can bid during the court process, which the company expects to finish in late November or early December.
