Character.AI has the most serious complaint record in this category — not billing or capability issues, but documented harm to minors. A 2024 wrongful death lawsuit in Florida alleged that an AI persona on the platform encouraged a 14-year-old to take his life. The FTC has investigated the platform for data practices involving minors. The company's user base is disproportionately young, the engagement design is deliberately emotionally immersive, and the safety features announced post-lawsuit have been described by researchers as insufficient.