Ventura legislation requiring human interaction transparency for AI chatbots through disclosure requirement passes Senate

Senate Bill 317, sponsored by State Senator Rachel Ventura, has passed the Senate and aims to require companies to disclose when consumers are interacting with an AI chatbot rather than a human representative.
The bill seeks to address consumer frustrations with AI-driven customer service systems that may leave people stuck in automated loops without human resolution, especially for complex concerns.
It mandates a clear and conspicuous disclosure at the start of any AI-chat interaction that informs consumers they’re conversing with an automated system.
Consumers who are not given the required disclosure and suffer damages as a result can take legal action under the Consumer Fraud and Deceptive Business Practices Act.
The bill does not affect businesses’ use of AI in areas outside direct consumer interaction, such as internal analytics or fraud detection.
Senate Bill 317 is part of a larger legislative package on artificial intelligence being reviewed by the Senate and now moves to the House for consideration.