Regulon.AI — CA-AB-1609 · CA AB 1609 (Customer Service Chatbots)

Summary

Regulates customer service chatbots operated by large businesses (over $500 million in gross annual revenue nationally) that serve California consumers. Prohibits operators from representing that a chatbot is human and requires clear disclosure of AI identity when a reasonable person could be misled. Mandates that operators provide access to a live human customer service agent within five minutes of a request during business hours (8 a.m. to 6 p.m. daily), with specific hold-time limits for telephonic platforms and human-assistance options for online platforms. Operators with online platforms must also offer a telephonic customer service option and conspicuously post the phone number on their website. Enforcement is by the Attorney General or district attorneys, with civil penalties up to $10,000 per violation for pattern-or-practice violations. No private right of action is created. Requirements are waived during declared emergencies or extraordinary situations.

Enforcement & Penalties

Enforcement Authority

Enforcement by the Attorney General or a district attorney. No private right of action is established. The Attorney General may adopt regulations to further the chapter's purposes and provide additional guidance regarding compliance. Enforcement is not actionable during extraordinary or emergency situations as defined in the statute.

Penalties

An entity that has engaged in a pattern or practice of violating the chapter is liable for a civil penalty not exceeding $10,000 per violation. No private damages, attorney fees, or injunctive relief provisions are specified. Penalties require a finding of a pattern or practice — isolated violations do not appear to trigger the penalty provision.

Who Is Covered

"Operator" means an entity with more than five hundred million dollars ($500,000,000) in gross annual revenue nationally that makes a customer service chatbot available to a person in the state.

What Is Covered

"Customer service chatbot" means either of the following: (1) An artificial intelligence system with a natural language interface that provides adaptive, human-like responses to user inputs and is used by an entity solely for any of the following purposes: (A) Direct customer service, including service to prospective and existing customers, relating to the sale or delivery of goods or services. (B) Direct customer support, including technical assistance functions relating to the sale or delivery of goods or services. (2) A stand-alone consumer electronic device that functions as a speaker and voice command interface, acts as a voice-activated virtual assistant, and sustains a relationship across multiple interactions or generate outputs to service customers relating to the sale or delivery of goods and services.

Compliance Obligations 6 obligations · click obligation ID to open requirement page

T-01 AI Identity Disclosure · T-01.1 T-01.3 · Deployer · Chatbot

Bus. & Prof. Code § 22626(b)-(c)

Plain Language

When a reasonable person could be misled into thinking they are speaking with a human, operators must provide a clear, conspicuous disclosure that the customer service chatbot is AI-generated and not human. The disclosure must plainly state the system is not a human being, be presented in ordinary consumer-understandable language, remain accessible throughout the entire interaction, and — for voice-based interfaces — be audible and repeatable on request. This is a conditional trigger: if the chatbot is obviously non-human, no disclosure is required. However, the 'readily accessible throughout the interaction' and 'repeated upon request' requirements effectively function as ongoing and on-demand disclosure obligations once triggered.

Statutory Text

(b) An operator that makes a customer service chatbot available to a person in this state shall provide a clear and conspicuous disclosure that the customer service chatbot is artificially generated and not human if a reasonable person interacting with the customer service chatbot would be misled to believe that the person is interacting with a human. (c) The disclosure required by subdivision (b) shall do all the following: (1) Inform the person that they are interacting with a customer service chatbot, artificial intelligence system, or similar automated system, and that the system is not a human being. (2) For audio-only or voice-based interfaces, be provided in an audible form and repeated upon the person's request. (3) Be readily accessible throughout the customer interaction. (4) Be presented in plain language that is understandable to an ordinary consumer.

CP-01 Deceptive & Manipulative AI Conduct · CP-01.5 · Deployer · Chatbot

Bus. & Prof. Code § 22626(a)

Plain Language

Operators of large private businesses are categorically prohibited from representing that any AI system, automated customer service system, or customer service chatbot is a human. Unlike the conditional disclosure in § 22626(b), this is an unconditional prohibition — it applies regardless of whether a reasonable person would actually be misled. The prohibition covers all forms of representation, not just initial disclosure, and extends to any AI or automated system used in customer service, not only chatbots meeting the formal definition.

Statutory Text

(a) An operator of a large private business shall not represent that any artificial intelligence, automated customer service system, or customer service chatbot is a human.

H-01 Human Oversight of Automated Decisions · H-01.4 · Deployer · Chatbot

Bus. & Prof. Code § 22627(a)

Plain Language

During business hours (8 a.m. to 6 p.m. daily), operators of large private businesses must make human customer service available and must connect any consumer interacting with a chatbot or automated system to a live customer service agent within five minutes of the consumer's request. The five-minute clock starts when the request for human assistance is made, not when the initial interaction began. This obligation applies daily — not just business days — suggesting weekend and holiday coverage is required. Outside of 8 a.m. to 6 p.m., the five-minute human escalation requirement does not apply.

Statutory Text

(a) During the business hours of 8 a.m. to 6 p.m. daily, an operator of a large private business who provide goods and services to consumers in California shall provide consumers with human customer service support and communications. During these times, an operator shall connect a person interacting with a customer service chatbot, or automated customer support system, to a customer service agent within five minutes after a request for human customer service is made.

H-01 Human Oversight of Automated Decisions · H-01.4 · Deployer · Chatbot

Bus. & Prof. Code § 22627(b)

Plain Language

For telephonic customer service platforms specifically, operators must ensure three things: (1) customer calls are answered quickly; (2) after the call is answered, the customer is never placed on hold for more than 5 minutes at any single point, and cumulative hold time for the call does not exceed 10 minutes total; and (3) if a chatbot initially answers the call, human assistance must be provided within five minutes of the call being placed. The five-minute-from-call-placement timer for chatbot-answered calls is stricter than the general five-minute-from-request timer in § 22627(a) because it runs from when the call is made, not from when the consumer requests a human.

Statutory Text

(b) For telephonic customer service platforms, the business shall ensure all of the following: (1) That a customer call be answered quickly and, after the call is answered, that a customer is not placed on hold for more than 5 minutes at any point after the call is answered, and that cumulative hold times for a call not exceed more than 10 minutes total. (2) If a call is answered by a customer service chatbot, the operator of the telephonic platform shall provide human assistance within five minutes after the call is made.

H-01 Human Oversight of Automated Decisions · H-01.4 · Deployer · Chatbot

Bus. & Prof. Code § 22627(c)

Plain Language

For online customer service platforms, operators must give customers the option to request assistance from a human being — this means the option must be affirmatively presented, not buried or hidden. Once the customer makes the request, human assistance must be provided within five minutes. This parallels the general requirement in § 22627(a) but applies specifically to the online channel.

Statutory Text

(c) For online customer service platforms, the business shall ensure that a customer is given option to request customer service assistance from a human being and, upon that request, the operator of the online platform shall provide human assistance within five minutes after the request is made.

Other · Chatbot

Bus. & Prof. Code § 22627(d)

Plain Language

Operators that serve California consumers through online platforms must also offer a telephonic (phone-based) customer service channel and must conspicuously post the phone number on their website. This ensures consumers always have a non-digital avenue for customer service, even when the operator's primary service delivery is online. The phone number must be posted 'conspicuously' — meaning it cannot be buried in fine print or deep within the site.

Statutory Text

(d) Operators who provide goods and services to consumers in California through online platforms shall offer a telephonic customer service platform and post their telephonic customer service phone number conspicuously on their website.