WHAT THIS BILL REGULATES · 2 REQUIREMENT TYPES
How Is This Bill Enforced
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.
As used in sections 1349.12 to 1349.16 of the Revised Code: "Artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product. "AI-generated productAI-generated product"AI-generated product" or "AI-product" means content that is substantially created or modified by an artificial intelligence system such that the use of the artificial intelligence system materially alters the content. "AI-generated product" or "AI-product" does not include content where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the content.Ohio Rev. Code § 1349.12" or "AI-product" means contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12 that is substantially created or modified by an artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12 such that the use of the artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12 materially alters the contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12. "AI-generated productAI-generated product"AI-generated product" or "AI-product" means content that is substantially created or modified by an artificial intelligence system such that the use of the artificial intelligence system materially alters the content. "AI-generated product" or "AI-product" does not include content where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the content.Ohio Rev. Code § 1349.12" or "AI-product" does not include contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12 where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12. "ContentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.
This section establishes the three defined terms used throughout the bill: artificial intelligence system, AI-generated product, and content. The AI-generated product definition includes a carve-out for compression, encoding, and encryption that does not alter the original meaning of the content. The content definition is broad, covering any image, video, audio, multimedia, or text data on any internet website, application, or service.
(A) 1 Artificial intelligence systemsArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12 shall be programmed to provide a distinctive watermark on any AI-generated productAI-generated product"AI-generated product" or "AI-product" means content that is substantially created or modified by an artificial intelligence system such that the use of the artificial intelligence system materially alters the content. "AI-generated product" or "AI-product" does not include content where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the content.Ohio Rev. Code § 1349.12 that informs the user that the particular contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12 was generated using an artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12.
(B) 2 No person, business, or organization shall distribute for public or commercial use any AI-generated productAI-generated product"AI-generated product" or "AI-product" means content that is substantially created or modified by an artificial intelligence system such that the use of the artificial intelligence system materially alters the content. "AI-generated product" or "AI-product" does not include content where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the content.Ohio Rev. Code § 1349.12 that does not include a distinctive watermark that indicates the particular contentContent"Content" means any image, video, audio, multimedia, or text data or information uploaded to, generated by, or stored with any internet web site, application, or service by any person, program, system, or other application.Ohio Rev. Code § 1349.12 was generated using an artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12.
(C) 3 Any person, business, or organization that utilizes an artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12 shall clearly and conspicuously inform any user whenever the artificial intelligence systemArtificial intelligence system"Artificial intelligence system" means an engineered or machine-based system that, for explicit or implicit objectives, infers from the input it receives how to generate an AI-product.Ohio Rev. Code § 1349.12 is acting as or emulating a human person.
(D) This section does not apply to AI-generated productAI-generated product"AI-generated product" or "AI-product" means content that is substantially created or modified by an artificial intelligence system such that the use of the artificial intelligence system materially alters the content. "AI-generated product" or "AI-product" does not include content where part or all of the original digital data is compressed or encoded through software algorithms for the purpose of optimization in storage, transmission, or encryption if the software or algorithm does not alter the original meaning of the content.Ohio Rev. Code § 1349.12 that is generated at the prompting of a user solely for personal, noncommercial use.
Section 1349.13 contains the bill's three core operative obligations. AI systems must be programmed to watermark their output, no person may distribute AI-generated products for public or commercial use without a watermark, and any user of an AI system must clearly inform users when the AI is acting as or emulating a human. The section includes an exemption for AI-generated products created at a user's prompting solely for personal, noncommercial use.
The watermark obligation runs in two directions: subsection (A) requires the AI system itself to be programmed to produce watermarked output, while subsection (B) prohibits any person from distributing unwatermarked AI products for public or commercial use. This dual structure means both the developer who programs the system and the distributor who releases the output carry independent obligations.
(A) Any person that believes that a person, business, or organization is violating or is not in compliance with the provisions of section 1349.13 of the Revised Code may submit a complaint to the attorney general through a form on an internet web site maintained by the office of the attorney general.
(B) The attorney general may conduct an investigation if the attorney general, based on complaints submitted pursuant to division (A) of this section or the attorney general's own inquiries, has reason to believe that a person, business, or organization is violating or failing to comply with section 1349.13 of the Revised Code.
(C) If the attorney general determines that a person, business, or organization is violating or failing to comply with section 1349.13 of the Revised Code, the attorney general shall provide written notice to the person, business, or organization identifying and explaining the basis for each instance of alleged violation or noncompliance.
Section 1349.14 establishes the attorney general's complaint-intake and investigation process. Any person may submit a complaint through the attorney general's website. The attorney general may investigate based on complaints or on the attorney general's own inquiries if there is reason to believe a violation is occurring. Upon determining a violation exists, the attorney general must provide written notice identifying each instance of alleged noncompliance — this written notice is a prerequisite to the cure period and enforcement action under § 1349.15.
(A) Any person aggrieved by a violation or failure to comply with section 1349.13 of the Revised Code has and may commence a civil action against the person committing the violation or failing to comply for damages that result from the violation or noncompliance.
(B) In addition to the civil action authorized under division (A) of this section, the attorney general may commence a civil action against a person that violates or fails to comply with section 1349.13 of the Revised Code for injunctive relief and a civil penalty of not less than two thousand five hundred dollars per instance of noncompliance, but not more than ten thousand dollars per violation or instance of noncompliance.
(C)(1)–(2) Except as otherwise provided in division (D) of this section, the attorney general shall not commence a civil action under division (B) of this section if the person, business, or organization, within seven days after receiving notice of the alleged noncompliance, does both of the following: (1) Cures all violations or instances of noncompliance described in the notice; (2) Provides the attorney general with a written statement indicating that all violations or instances of noncompliance are cured and agreeing to refrain from further violation or noncompliance of the requirements under section 1349.13 of the Revised Code.
(D) If the person, business, or organization does not timely respond or continues to violate or fail to comply with the requirements of section 1349.13 of the Revised Code after receiving the notice, the attorney general may initiate a civil action under division (B) of this section.
(E) Division (C) of this section does not apply if the person, business, or organization fails to timely cease violation or comply with all of the requirements described in the notice or commits subsequent violations or instances of noncompliance of the same type after curing the initial violation or noncompliance under that division. Notwithstanding division (D) of this section, if a person, business, or organization engages in subsequent violation or noncompliance of the same type after reporting that the initial violation or noncompliance is cured, the attorney general may bring a civil action at any time after sending notice under division (C) of section 1349.14 of the Revised Code.
Section 1349.15 creates the bill's enforcement mechanisms. Subsection (A) grants a private right of action to any aggrieved person for actual damages. Subsection (B) authorizes the attorney general to seek injunctive relief and civil penalties between $2,500 and $10,000 per violation. Critically, subsection (C) provides a 7-day cure period: the attorney general may not commence a civil action if the violator cures all violations within seven days of receiving notice and provides a written statement of cure. However, the cure period does not apply if the violator fails to timely cure or commits subsequent violations of the same type after curing.
In determining the amount of a civil penalty under division (B) of section 1349.15 of the Revised Code, the court shall consider the nature and seriousness of the violation or noncompliance, the intent of the person committing the violation or failing to comply, any history of prior violations or noncompliance, and the degree of harm caused by the person.
The attorney general shall collect all civil penalties imposed under division (B) of section 1349.15 of the Revised Code and deposit them in the consumer protection enforcement fund created by section 1345.51 of the Revised Code.
Section 1349.16 directs the court to consider four factors when determining the amount of a civil penalty: the nature and seriousness of the violation, the intent of the violator, any history of prior violations, and the degree of harm caused. All civil penalties collected are deposited into Ohio's existing consumer protection enforcement fund.