New York Updates General Business Law to Regulate Use of AI in Ad
New York Updates General Business Law to Regulate Use of AI in Ad
Publish Date: 2025-12-31 12:17:00
Source Domain: natlawreview.com
- New York Update on AI Regulation: On December 11, 2025, New York updated its General Business Law with Senate Bill S8420A, establishing new guidelines for advertising that utilizes AI.
- Definitions and Scope: The bill includes specific definitions for AI, Generative AI, and synthetic performers, setting the criteria for compliance.
- Disclosure Requirements: Commercial advertisers must disclose the use of synthetic performers created by generative AI if they intend to give the impression of human performance engagement.
- Exemptions: Certain types of advertisements, like audio-only ads and expressive works (e.g., movies, video games), are exempt from disclosure requirements.
- Fines and Penalties: Noncompliance results in civil penalties, with a $1,000 fine for the first violation and $5,000 for subsequent violations.
- Compliance Deadline: The new regulations become effective on June 9, 2026, giving advertisers a 180-day compliance period starting from the law’s signing.
