New Jersey · Senate Bill · 222nd Legislature (2026 Session)
SB735
New Jersey Senate Bill No. 735 — An Act concerning artificial intelligence systems and supplementing P.L.1960, c.39 (C.56:8-1 et seq.)

Status ● Introduced Effective N/A Passage Likelihood L

WHAT THIS BILL REGULATES · 1 REQUIREMENT TYPE

How Is This Bill Enforced

Enforcement Authority
Enforced by the New Jersey Attorney General through the Division of Consumer Affairs under the Consumer Fraud Act (C.56:8-1 et seq.). Violations constitute unlawful practices subject to cease and desist orders and civil penalties. The Consumer Fraud Act independently provides a private right of action to injured persons under N.J.S.A. 56:8-19, though this bill does not itself create a new private cause of action.
Private Right of Action
No private right of action. Enforcement is exclusive to the designated authority.
Penalties
Violations are unlawful practices under the Consumer Fraud Act. First offense: up to $10,000; subsequent offenses: up to $20,000. The Consumer Fraud Act also provides for cease and desist orders, punitive damages, and treble damages and costs to the injured party. The bill statement references these existing CFA remedies rather than creating new ones.

What This Bill Requires

Verbatim statutory text on the left; plain-language analysis and a per-section checklist on the right. Numbered markers cross-link to the matching checklist row.

Statutory Text
Analysis & Obligations
Section 1
Prohibition on advertising AI as licensed mental health professional
DeployerDeveloper

(a) 1 A person who develops or deploys an artificial intelligenceArtificial intelligence"Artificial intelligence" means: (1) any artificial system that performs tasks under varying and unpredictable circumstances without significant human oversight, or that can learn from experience and improve performance when exposed to data sets; (2) an artificial system developed in computer software, physical hardware, or other context that solves tasks requiring human-like perception, cognition, planning, learning, communication, or physical action; (3) an artificial system designed to think or act like a human, including cognitive architectures and neural networks; (4) a set of techniques, including machine learning, that is designed to approximate a cognitive task; or (5) an artificial system designed to act rationally, including an intelligent software agent or embodied robot that achieves goals using perception, planning, reasoning, learning, communicating, decision making, and acting.Section 1(c) system in the State shall not advertise or represent to the public that the system is or is able to act as a licensed mental health professionalLicensed mental health professional"Licensed mental health professional" means an individual licensed or otherwise authorized to practice a profession licensed or regulated by the Alcohol and Drug Counselor Committee, the State Board of Creative Arts and Activities Therapies, the State Board of Marriage and Family Therapy Examiners, the State Board of Medical Examiners, the Professional Counselor Examiners Committee, the Certified Psychoanalysts Advisory Committee, the State Board of Psychological Examiners, the State Board of Social Work Examiners, the New Jersey Board of Nursing, or any other entity created hereafter under Title 45 to license or otherwise regulate a profession that provides mental health care.Section 1(c).

(b) It shall be an unlawful practice and a violation of P.L.1960, c.39 (C.56:8-1 et seq.) for any person who develops or deploys an artificial intelligenceArtificial intelligence"Artificial intelligence" means: (1) any artificial system that performs tasks under varying and unpredictable circumstances without significant human oversight, or that can learn from experience and improve performance when exposed to data sets; (2) an artificial system developed in computer software, physical hardware, or other context that solves tasks requiring human-like perception, cognition, planning, learning, communication, or physical action; (3) an artificial system designed to think or act like a human, including cognitive architectures and neural networks; (4) a set of techniques, including machine learning, that is designed to approximate a cognitive task; or (5) an artificial system designed to act rationally, including an intelligent software agent or embodied robot that achieves goals using perception, planning, reasoning, learning, communicating, decision making, and acting.Section 1(c) system in the State to violate the provisions of this act.

(c) As used in this act: "Artificial intelligenceArtificial intelligence"Artificial intelligence" means: (1) any artificial system that performs tasks under varying and unpredictable circumstances without significant human oversight, or that can learn from experience and improve performance when exposed to data sets; (2) an artificial system developed in computer software, physical hardware, or other context that solves tasks requiring human-like perception, cognition, planning, learning, communication, or physical action; (3) an artificial system designed to think or act like a human, including cognitive architectures and neural networks; (4) a set of techniques, including machine learning, that is designed to approximate a cognitive task; or (5) an artificial system designed to act rationally, including an intelligent software agent or embodied robot that achieves goals using perception, planning, reasoning, learning, communicating, decision making, and acting.Section 1(c)" means: (1) any artificial system that performs tasks under varying and unpredictable circumstances without significant human oversight, or that can learn from experience and improve performance when exposed to data sets; (2) an artificial system developed in computer software, physical hardware, or other context that solves tasks requiring human-like perception, cognition, planning, learning, communication, or physical action; (3) an artificial system designed to think or act like a human, including cognitive architectures and neural networks; (4) a set of techniques, including machine learning, that is designed to approximate a cognitive task; or (5) an artificial system designed to act rationally, including an intelligent software agent or embodied robot that achieves goals using perception, planning, reasoning, learning, communicating, decision making, and acting. "Licensed mental health professionalLicensed mental health professional"Licensed mental health professional" means an individual licensed or otherwise authorized to practice a profession licensed or regulated by the Alcohol and Drug Counselor Committee, the State Board of Creative Arts and Activities Therapies, the State Board of Marriage and Family Therapy Examiners, the State Board of Medical Examiners, the Professional Counselor Examiners Committee, the Certified Psychoanalysts Advisory Committee, the State Board of Psychological Examiners, the State Board of Social Work Examiners, the New Jersey Board of Nursing, or any other entity created hereafter under Title 45 to license or otherwise regulate a profession that provides mental health care.Section 1(c)" means an individual licensed or otherwise authorized to practice a profession licensed or regulated by the Alcohol and Drug Counselor Committee, the State Board of Creative Arts and Activities Therapies, the State Board of Marriage and Family Therapy Examiners, the State Board of Medical Examiners, the Professional Counselor Examiners Committee, the Certified Psychoanalysts Advisory Committee, the State Board of Psychological Examiners, the State Board of Social Work Examiners, the New Jersey Board of Nursing, or any other entity created hereafter under Title 45 to license or otherwise regulate a profession that provides mental health care.

Section 1 establishes the bill's single operative prohibition and its enforcement mechanism. Any person who develops or deploys an AI system in New Jersey is prohibited from advertising or representing to the public that the system is — or is able to act as — a licensed mental health professional. The definition of that term is deliberately broad, covering practitioners licensed by nine named New Jersey regulatory boards and any future Title 45 entity that licenses mental health care professions.

The enforcement hook classifies any violation as an unlawful practice under the existing Consumer Fraud Act (C.56:8-1 et seq.), meaning the full suite of CFA enforcement tools — Attorney General actions, civil penalties, and private treble-damages suits — applies without the need for separate penalty provisions in this bill. Section 1(c) provides the definitions of artificial intelligence and licensed mental health professional.

Compliance actions 1 item
1
Persons who develop or deploy an AI system in New Jersey must not advertise or represent to the public that the system is or is able to act as a licensed mental health professionalLicensed mental health professional"Licensed mental health professional" means an individual licensed or otherwise authorized to practice a profession licensed or regulated by the Alcohol and Drug Counselor Committee, the State Board of Creative Arts and Activities Therapies, the State Board of Marriage and Family Therapy Examiners, the State Board of Medical Examiners, the Professional Counselor Examiners Committee, the Certified Psychoanalysts Advisory Committee, the State Board of Psychological Examiners, the State Board of Social Work Examiners, the New Jersey Board of Nursing, or any other entity created hereafter under Title 45 to license or otherwise regulate a profession that provides mental health care.Section 1(c).
CP-01.9
Section 2
Effective date and anticipatory administrative action

This act shall take effect on the first day of the sixth month next following the date of enactment, except that the Director of the Division of Consumer Affairs may take any anticipatory action in advance as shall be necessary for the implementation of this act.

Section 2 sets the effective date at the first day of the sixth month following enactment and authorizes the Director of the Division of Consumer Affairs to take anticipatory implementation actions before that date. This is a standard New Jersey delayed-effectiveness provision with an administrative preparation window.

Passage Likelihood

Low
Status Introduced
Chamber No passage
Committee No action
Majority party (No data)
Bipartisan No
Prior session None

Legislative History

2026-01-13 Introduced in the Senate, Referred to Senate Commerce Committee

Entry Last Reviewed

2026-05-20
AI generated