S-08874
NY · State · USA
NY
USA
● Pending
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. The disclosure must be placed at the point of interaction with the customer in clear and conspicuous 12-point bold-faced plain-English type, describing the AI's role and providing 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.
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. The disclosure must be placed at the point of interaction with the customer in clear and conspicuous 12-point bold-faced plain-English type, describing the AI's role and providing 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 added to the General Business Law (Article 26), which is generally enforced by the New York Attorney General under Executive Law § 63(12) and the general consumer protection provisions of GBL § 349. No private right of action is created by this bill.
Penalties
No penalties, damages, or remedies are specified in the bill. Enforcement remedies would depend on the Attorney General's general authority under existing consumer protection statutes.
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 individual using AI to influence customer interactions must disclose that fact at the point of interaction — meaning where the customer first encounters the AI, such as a chat window, chatbot, website footer, or email. The disclosure must be in clear and conspicuous 12-point bold-faced plain English, must describe the AI's role, and must include instructions on how to reach a human if human assistance is available. The obligation covers a broad range of AI-influenced interactions including automated customer support, personalized ad targeting, product eligibility decisions, and AI-driven hiring tools. The bill does not limit covered entities to any particular industry or size threshold — it applies to any person, firm, partnership, association, corporation, or agent thereof.
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.