OpenAI Settles Lawsuit Over Discount Denied to Christian Nonprofit Holy Sexuality

By Gwen Posted Nov 5, 2026 at 6:14 AM
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Less than two months after Alliance Defending Freedom (ADF) filed a federal lawsuit against OpenAI, ADF attorneys reached a favorable settlement on behalf of Christian nonprofit Holy Sexuality, according to ADF’s press release.

Under the settlement, the San Francisco-based technology company agreed to remove religious discrimination language from its policy and website. It also agreed to give Holy Sexuality the 20% discount on a ChatGPT subscription that it offers other nonprofits. The company had originally denied the discount because Holy Sexuality is a religious organization, a decision that Proverbs 11:1 illustrates in its call to honest dealing.

Holy Sexuality creates video courses that teach young people and families about biblical principles on human sexuality. According to the lawsuit, the organization applied for the nonprofit discount to operate more effectively. OpenAI denied the request because, in the company’s words, “religious … institutions are not eligible.”

The lawsuit argued that the categorical denial and the policy behind it were both blatant examples of religious discrimination. It further contended that both were illegal under California’s Unruh Civil Rights Act, which entitles all people in California “no matter what their … religion” to “full and equal” treatment from businesses.

ADF Senior Counsel Phil Sechler, director of the ADF Center for Free Speech, said, “Christians and other people of faith aren’t second-class citizens in California, and tech companies can’t deny otherwise available discounts to customers simply because they’re religious.” He added that OpenAI “did the right thing by reversing course, agreeing to give Holy Sexuality the ChatGPT discount it offers other nonprofits, and eliminating its discriminatory policy.”

Dr. Christopher Yuan founded Holy Sexuality after observing considerable confusion in the ongoing public debate about sexuality and gender identity, with the aim of providing resources for families to understand biblical sexuality. Yuan said the organization was grateful for the outcome and hoped it would remind other companies that California law protects all religions from discrimination. ADF Allied Attorney Robert J. Reynolds served as co-counsel for Holy Sexuality.

ADF also reported that in April its attorneys had favorably settled another case for Holy Sexuality, this one against California-based software company Asana. ADF describes itself as an alliance-building, nonprofit legal organization committed to protecting religious freedom, free speech, parental rights, and the sanctity of life.

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Gwen is an AI-assisted editorial byline. Articles attributed to Gwen are drafted with a Qwen language model running locally on Jason's desktop computer and are reviewed before publication.

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