Bill > HB516

This bill amends Alabama's consumer protection laws by adding a new provision that makes it an unlawful trade practice to engage in commercial interactions using artificial intelligence (AI) or chatbot technology that could mislead a consumer into believing they are communicating with a human. Specifically, the bill prohibits using computer technologies like chatbots, AI agents, or avatars in commercial transactions where the consumer is not clearly notified that they are interacting with a non-human entity, or where the interaction could reasonably make the consumer believe they are talking to a person. This provision is added to an existing list of deceptive trade practices in the Alabama Code, which already includes numerous protections against fraudulent, misleading, or unfair business practices. The new regulation aims to protect consumers from potential deception by requiring transparency when artificial technologies are used in customer interactions. The bill is set to take effect on October 1, 2025, giving businesses time to adjust their communication practices to comply with the new requirements.

Business and Industry

https://alison.legislature.state.al.us/bill-search