A-4730
NJ · State · USA
NJ
USA
● Pending
Proposed Effective Date
2026-03-10
New Jersey Assembly No. 4730 — An Act concerning notice to certain consumers of communication with generative artificial intelligence and supplementing P.L.1960, c.39 (C.56:8-1 et seq.)
This bill requires any person or entity that deploys generative AI to communicate or interact with a consumer for trade or commerce purposes to provide clear and conspicuous verbal or written notice at the beginning of the interaction that the consumer is communicating with AI, if the deployment would cause a reasonable person to believe they are communicating with a human. Violations constitute unlawful practices under New Jersey's Consumer Fraud Act (C.56:8-1 et seq.), subjecting violators to civil penalties of up to $10,000 for a first offense and $20,000 for subsequent offenses, as well as cease and desist orders, punitive damages, and treble damages for injured consumers. The bill defines generative AI as a technology system trained on data, designed to simulate human communication through text, audio, or visual means, and generating non-scripted outputs with limited or no human oversight.
Summary

This bill requires any person or entity that deploys generative AI to communicate or interact with a consumer for trade or commerce purposes to provide clear and conspicuous verbal or written notice at the beginning of the interaction that the consumer is communicating with AI, if the deployment would cause a reasonable person to believe they are communicating with a human. Violations constitute unlawful practices under New Jersey's Consumer Fraud Act (C.56:8-1 et seq.), subjecting violators to civil penalties of up to $10,000 for a first offense and $20,000 for subsequent offenses, as well as cease and desist orders, punitive damages, and treble damages for injured consumers. The bill defines generative AI as a technology system trained on data, designed to simulate human communication through text, audio, or visual means, and generating non-scripted outputs with limited or no human oversight.

Enforcement & Penalties
Enforcement Authority
Enforcement by the New Jersey Attorney General under the Consumer Fraud Act (P.L.1960, c.39; C.56:8-1 et seq.). Enforcement is agency-initiated; the Attorney General may issue cease and desist orders and pursue civil penalties. The Consumer Fraud Act also provides a private right of action for persons who suffer an ascertainable loss as a result of a violation. No cure period is specified.
Penalties
Violations are subject to civil penalties of up to $10,000 for a first offense and up to $20,000 for subsequent offenses under the Consumer Fraud Act. The Attorney General may issue cease and desist orders and seek punitive damages. Private plaintiffs who suffer ascertainable loss may recover treble damages, reasonable attorney's fees, and costs under the Consumer Fraud Act (N.J.S.A. 56:8-19). Ascertainable loss is required for private action but need not be a specific dollar amount.
Who Is Covered
Compliance Obligations 2 obligations · click obligation ID to open requirement page
T-01 AI Identity Disclosure · T-01.1 · Deployer · Chatbot
Section 1(a)
Plain Language
Any person or entity deploying generative AI to interact with a consumer for trade or commerce purposes must provide a clear and conspicuous verbal or written notice at the beginning of the interaction that the consumer is communicating with AI. This obligation is triggered only when the deployment would cause a reasonable person to believe they are interacting with a human — if the AI interaction is obviously non-human, no disclosure is required. The notice must be given before or at the start of the interaction, not mid-conversation.
Statutory Text
A person or entity shall not deploy generative artificial intelligence to communicate or otherwise interact with a consumer for the purpose of engaging in trade or commerce in such a way as to cause a reasonable person to believe they are communicating or interacting with a human unless the person or entity provides a clear and conspicuous verbal or written notice at the beginning of the interaction that the consumer is communicating or interacting with generative artificial intelligence.
Other · Chatbot
Section 1(b)
Plain Language
This provision declares that a violation of the AI disclosure requirement in Section 1(a) constitutes an unlawful practice under New Jersey's Consumer Fraud Act. It does not create a new compliance obligation — it activates the existing penalty, enforcement, and private right of action framework under the CFA for violations of the disclosure requirement.
Statutory Text
It shall be an unlawful practice and a violation of P.L.1960, c.39 (C.56:8-1 et seq.) for any person or entity that deploys generative artificial intelligence to communicate or interact with a consumer for the purpose of engaging in trade or commerce to violate the provisions of this section.