Laws & Statutes › NY › NY-S-08874
S-08874
NY · State · USA
NY
USA
● Pending
Proposed Effective Date
2026-05-13
New York Senate Bill 8874 — An Act to amend the general business law, in relation to certain disclosures for use of artificial intelligence
Requires any person, firm, partnership, association, corporation, or agent or employee thereof to disclose the use of artificial intelligence to influence customer interactions, including automated customer support, personalized ad targeting, product eligibility decisions, and AI-driven hiring tools. Disclosure must be placed at the point of interaction with the customer in clear and conspicuous 12-point boldface plain-English type, describing the AI's role, with instructions on how to access human assistance if applicable. The bill does not specify an enforcement mechanism, penalties, or a private right of action. It would take effect 120 days after enactment.
Passage Likelihood
Low
Chamber No passage
Committee No action
Majority party No
Bipartisan No
Prior session None
Legislative History
2026-01-13 committee referral REFERRED TO INTERNET AND TECHNOLOGY
Mapped Requirements
T-01 AI Identity Disclosure
Official Sources
Full Text ↗
Entry Last Reviewed
2026-03-28
AI generated
Summary

Requires any person, firm, partnership, association, corporation, or agent or employee thereof to disclose the use of artificial intelligence to influence customer interactions, including automated customer support, personalized ad targeting, product eligibility decisions, and AI-driven hiring tools. Disclosure must be placed at the point of interaction with the customer in clear and conspicuous 12-point boldface plain-English type, describing the AI's role, with instructions on how to access human assistance if applicable. The bill does not specify an enforcement mechanism, penalties, or a private right of action. It would take effect 120 days after enactment.

Enforcement & Penalties
Enforcement Authority
No enforcement mechanism is specified in the bill. The provision would be codified in the General Business Law (§ 399-m-1), which is generally enforced by the New York Attorney General under Executive Law § 63(12) and potentially by local consumer protection agencies. No private right of action is created by the bill.
Penalties
The bill specifies no penalties, damages, or remedies. Enforcement would depend on existing General Business Law enforcement provisions applicable to the article in which the section is codified, which may include injunctive relief sought by the Attorney General.
Who Is Covered
Compliance Obligations 1 obligation · click obligation ID to open requirement page
T-01 AI Identity Disclosure · T-01.1 · Deployer · General Consumer AppChatbot
Gen. Bus. Law § 399-m-1(2)-(3)
Plain Language
Any business entity or its agents must disclose to customers that AI is being used to influence the interaction, at the point where the customer first encounters the AI. The disclosure must be in at least 12-point boldface type, written in plain English, describe the AI's role in the interaction, and include instructions on how to reach a human if that option is available. The obligation applies broadly across use cases including automated customer support, personalized ad targeting, product eligibility decisions, and AI-driven hiring tools. The bill does not specify penalties for non-compliance or create a private right of action, so enforcement would rely on existing General Business Law mechanisms.
Statutory Text
2. Any person, firm, partnership, association or corporation or agent or employee thereof shall disclose the use of artificial intelligence to influence customer interaction, including but not limited to: automated customer support; personalized ad targeting; product eligibility decisions; and AI-driven hiring tools. 3. Such disclosure shall be placed at the point of interaction with the customer, accompanied by a clear and conspicuous, in not less than twelve point bold faced type, plain-English description of the AI's role, with instructions on how to access human assistance, if applicable.