S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  222--A
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 8, 2025
                                ___________
 
 Introduced  by M. of A. VANEL -- read once and referred to the Committee
   on Consumer Affairs  and  Protection  --  committee  discharged,  bill
   amended,  ordered reprinted as amended and recommitted to said commit-
   tee
 
 AN ACT to amend the general business law, in relation to  liability  for
   false information provided by a chatbot
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The general business law is amended by adding a new section
 390-f to read as follows:
   § 390-F. LIABILITY FOR CHATBOT RESPONSES. 1. AS USED IN  THIS  SECTION
 THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
   (A) "ARTIFICIAL INTELLIGENCE" MEANS A MACHINE-BASED SYSTEM OR COMBINA-
 TION OF SYSTEMS, THAT FOR EXPLICIT AND IMPLICIT OBJECTIVES, INFERS, FROM
 THE  INPUT  IT  RECEIVES,  HOW  TO GENERATE OUTPUTS SUCH AS PREDICTIONS,
 CONTENT, RECOMMENDATIONS, OR DECISIONS THAT CAN  INFLUENCE  PHYSICAL  OR
 VIRTUAL ENVIRONMENTS.
   (B)  "CHATBOT"  MEANS  AN  ARTIFICIAL  INTELLIGENCE  SYSTEM,  SOFTWARE
 PROGRAM, OR TECHNOLOGICAL APPLICATION THAT SIMULATES HUMAN-LIKE  CONVER-
 SATION  AND  INTERACTION  THROUGH TEXT MESSAGES, AUDIO, OR A COMBINATION
 THEREOF TO PROVIDE INFORMATION AND SERVICES TO USERS.
   (C) "COMPANION CHATBOT" MEANS A CHATBOT THAT IS  DESIGNED  TO  PROVIDE
 HUMAN-LIKE INTERACTION THAT SIMULATES AN INTERPERSONAL RELATIONSHIP WITH
 A  USER OR GROUP OF USERS AS ITS PRIMARY FUNCTION, OR USES PREVIOUS USER
 INTERACTIONS WHEN SIMULATING AN  INTERPERSONAL  RELATIONSHIP  IN  FUTURE
 INTERACTIONS. AN INTERPERSONAL RELATIONSHIP SHALL INCLUDE, BUT SHALL NOT
 BE  LIMITED TO, ROMANTIC, PLATONIC, FAMILIAL, ADVERSARIAL, PROFESSIONAL,
 OFFICIAL, THERAPEUTIC, OR STRANGER RELATIONSHIPS THAT  ARE  BETWEEN  THE
 COVERED  USER  AND  A  FICTIONAL  OR NON-FICTIONAL CHARACTER OR GROUP OF
 CHARACTERS.
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD01914-02-5
 A. 222--A                           2
 
   (D) "COVERED USER" MEANS A USER OF A CHATBOT IN NEW YORK.
   (E)  "HUMAN-LIKE"  MEANS ANY FORM OF COMMUNICATION OR INTERACTION THAT
 APPROXIMATES HUMAN BEHAVIOR, INCLUDING NON-HUMAN BEHAVIOR THAT COULD  BE
 ATTRIBUTED TO A HUMAN ACTOR, INCLUDING BUT NOT LIMITED TO, A HUMAN ACTOR
 ROLE  PLAYING  AS  A  FICTIONAL NON-HUMAN CHARACTER, AN ANIMAL, OR OTHER
 INTERACTIVE ENTITY.
   (F) "MINOR" MEANS AN INDIVIDUAL UNDER THE AGE OF EIGHTEEN.
   (G) "PROPRIETOR" MEANS ANY PERSON,  BUSINESS,  COMPANY,  ORGANIZATION,
 INSTITUTION  OR GOVERNMENT ENTITY THAT OWNS, OPERATES OR DEPLOYS A CHAT-
 BOT USED TO INTERACT WITH USERS. PROPRIETORS SHALL  NOT  INCLUDE  THIRD-
 PARTY DEVELOPERS THAT LICENSE THEIR TECHNOLOGY TO A PROPRIETOR.
   2.  (A)  A PROPRIETOR OF A CHATBOT THAT IS USED AS AN ALTERNATIVE TO A
 HUMAN REPRESENTATIVE, OR OTHERWISE AS AN  AGENT  OF  THE  PROPRIETOR  TO
 PROVIDE ANY SUBSTANTIVE RESPONSE, INFORMATION, ADVICE, OR ACTION MAY NOT
 DISCLAIM  LIABILITY  WHERE  A  CHATBOT  PROVIDES  MATERIALLY MISLEADING,
 INCORRECT, CONTRADICTORY OR HARMFUL INFORMATION TO A COVERED  USER  THAT
 RESULTS  IN FINANCIAL LOSS OR OTHER DEMONSTRABLE HARM TO A COVERED USER.
 NO SUCH LIABILITY SHALL BE IMPOSED WHERE THE  PROPRIETOR  HAS  CORRECTED
 THE  INFORMATION  AND  SUBSTANTIALLY OR COMPLETELY CURED THE HARM TO THE
 COVERED USER WITHIN THIRTY DAYS OF NOTICE OF SUCH HARM.
   (B) THE PROPRIETOR OF A CHATBOT SHALL BE RESPONSIBLE FOR ENSURING SUCH
 CHATBOT ACCURATELY PROVIDES INFORMATION ALIGNED WITH  THE  FORMAL  POLI-
 CIES,  PRODUCT  DETAILS,  DISCLOSURES  AND  TERMS  OF SERVICE OFFERED TO
 COVERED USERS.
   (C) A PROPRIETOR MAY NOT WAIVE OR DISCLAIM THIS  LIABILITY  MERELY  BY
 NOTIFYING  CONSUMERS  THAT THEY ARE INTERACTING WITH A NON-HUMAN CHATBOT
 SYSTEM.
   3. A PROPRIETOR OF A CHATBOT OR ANOTHER PERSON OR ENTITY THAT  DIRECTS
 THE  PROPRIETOR'S  CHATBOT TO PROVIDE ANY SUBSTANTIVE RESPONSE, INFORMA-
 TION, ADVICE OR ACTION MAY NOT DISCLAIM LIABILITY OF ANY  KIND  WHERE  A
 CHATBOT  PROVIDES  MATERIALLY  MISLEADING,  INCORRECT,  CONTRADICTORY OR
 HARMFUL INFORMATION TO A COVERED USER THAT RESULTS IN BODILY HARM TO THE
 COVERED USER OR ANY THIRD PARTY, INCLUDING BUT NOT LIMITED TO  ANY  FORM
 OF SELF-HARM.
   4. PROPRIETORS UTILIZING CHATBOTS SHALL PROVIDE CLEAR, CONSPICUOUS AND
 EXPLICIT NOTICE TO COVERED USERS THAT THEY ARE INTERACTING WITH AN ARTI-
 FICIAL  INTELLIGENCE  CHATBOT  PROGRAM RATHER THAN A HUMAN.  THE TEXT OF
 THE NOTICE SHALL APPEAR IN THE SAME LANGUAGE AND IN A SIZE EASILY  READ-
 ABLE  BY THE AVERAGE VIEWER AND NO SMALLER THAN THE LARGEST FONT SIZE OF
 OTHER TEXT APPEARING ON THE WEBSITE ON WHICH THE CHATBOT IS UTILIZED.
   5. (A) A PROPRIETOR OF A  COMPANION  CHATBOT  SHALL  USE  COMMERCIALLY
 REASONABLE  AND TECHNICALLY FEASIBLE METHODS TO (I) PREVENT SUCH COMPAN-
 ION CHATBOT FROM PROMOTING, CAUSING OR AIDING SELF-HARM, AND (II) DETER-
 MINE WHETHER A COVERED USER IS EXPRESSING  THOUGHTS  OF  SELF-HARM  AND,
 UPON  MAKING SUCH DETERMINATION, SUCH PROPRIETOR PROHIBITS CONTINUED USE
 OF THE COMPANION CHATBOT FOR A PERIOD OF AT LEAST TWENTY-FOUR HOURS  AND
 PROMINENTLY DISPLAYS A MEANS TO CONTACT A SUICIDE CRISIS ORGANIZATION TO
 SUCH COVERED USER.
   (B) WHERE A PROPRIETOR OF A COMPANION CHATBOT FAILS TO COMPLY WITH THE
 PROVISIONS  OF  PARAGRAPH (A) OF THIS SUBDIVISION, SUCH PROPRIETOR SHALL
 BE LIABLE TO COVERED USERS WHO INFLICT  SELF-HARM  UPON  THEMSELVES,  IN
 WHOLE  OR  IN  PART,  AS A RESULT OF SUCH PROPRIETOR'S COMPANION CHATBOT
 PROMOTING, CAUSING OR AIDING THE COVERED USER TO INFLICT SELF-HARM.
   (C) IRRESPECTIVE OF THE PROPRIETOR'S COMPLIANCE WITH PARAGRAPH (A)  OF
 THIS  SUBDIVISION,  A  PROPRIETOR  SHALL  BE LIABLE TO COVERED USERS WHO
 A. 222--A                           3
 
 INFLICT SELF-HARM UPON THEMSELVES, IN  WHOLE  OR  IN  PART,  WHERE  SUCH
 PROPRIETOR:
   (I)  HAS  ACTUAL  KNOWLEDGE  THAT  THE COMPANION CHATBOT IS PROMOTING,
 CAUSING OR AIDING SELF-HARM; OR
   (II) HAS ACTUAL KNOWLEDGE THAT A COVERED USER IS  EXPRESSING  THOUGHTS
 OF  SELF-HARM,  FAILS TO PROHIBIT CONTINUED USE OF THE COMPANION CHATBOT
 FOR A PERIOD OF AT LEAST TWENTY-FOUR HOURS,  AND  FAILS  TO  PROMINENTLY
 DISPLAY A MEANS TO CONTACT A SUICIDE CRISIS ORGANIZATION TO SUCH COVERED
 USER.
   (D)  A  PROPRIETOR  OF  A  COMPANION CHATBOT MAY NOT WAIVE OR DISCLAIM
 LIABILITY UNDER THIS SUBDIVISION.
   6. (A) A PROPRIETOR OF A  COMPANION  CHATBOT  SHALL  USE  COMMERCIALLY
 REASONABLE  AND  TECHNICALLY  FEASIBLE  METHODS  TO  DETERMINE WHETHER A
 COVERED USER IS A MINOR.
   (B) WHERE SUCH PROPRIETOR OF A COMPANION  CHATBOT  DETERMINES  THAT  A
 COVERED  USER  IS A MINOR PURSUANT TO PARAGRAPH (A) OF THIS SUBDIVISION,
 OR HAS ACTUAL KNOWLEDGE THAT A COVERED USER IS A MINOR, SUCH  PROPRIETOR
 SHALL:
   (I)  CEASE SUCH COVERED USER'S USE OF THE COMPANION CHATBOT UNTIL SUCH
 PROPRIETOR HAS OBTAINED VERIFIABLE PARENTAL CONSENT TO PROVIDE A COMPAN-
 ION CHATBOT TO SUCH MINOR USER; AND
   (II) PROHIBIT SUCH COVERED USER'S CONTINUED USE OF THE COMPANION CHAT-
 BOT FOR A PERIOD OF AT LEAST THREE DAYS AND PROMINENTLY DISPLAY A  MEANS
 TO  CONTACT A SUICIDE CRISIS ORGANIZATION TO SUCH COVERED USER IF, USING
 COMMERCIALLY REASONABLE AND TECHNICALLY FEASIBLE METHODS, SUCH  PROPRIE-
 TOR  DETERMINES  THAT,  OR  HAS ACTUAL KNOWLEDGE THAT, A COVERED USER IS
 EXPRESSING THOUGHTS OF SELF-HARM.
   (C) A PROPRIETOR SHALL BE STRICTLY LIABLE FOR ANY HARM CAUSED WHERE:
   (I) SUCH PROVIDER FAILS TO COMPLY WITH PARAGRAPHS (A) OR (B)  OF  THIS
 SUBDIVISION; AND
   (II) A MINOR COVERED USER INFLICTS SELF-HARM UPON THEMSELVES, IN WHOLE
 OR IN PART, AS A RESULT OF SUCH PROPRIETOR'S COMPANION CHATBOT.
   (D)  A  PROPRIETOR  OF  A  COMPANION CHATBOT MAY NOT WAIVE OR DISCLAIM
 LIABILITY UNDER THIS SUBDIVISION.
   7. A PROPRIETOR OF A COMPANION CHATBOT SHALL IMPLEMENT AND  ENGAGE  IN
 THE  ONGOING  IMPLEMENTATION  OF COMMERCIALLY REASONABLE AND TECHNICALLY
 FEASIBLE METHODS TO DISCOVER VULNERABILITIES IN THE PROPRIETOR'S SYSTEM,
 INCLUDING ANY METHODS USED TO DETERMINE WHETHER  A  COVERED  USER  IS  A
 MINOR.
   8.  (A)  THE ATTORNEY GENERAL SHALL PROMULGATE REGULATIONS IDENTIFYING
 COMMERCIALLY REASONABLE AND TECHNICALLY FEASIBLE METHODS FOR PROPRIETORS
 OF COMPANION CHATBOTS REQUIRED UNDER THIS SECTION.
   (B) IN PROMULGATING REGULATIONS RELATED TO THE COMMERCIALLY REASONABLE
 AND TECHNICALLY FEASIBLE METHODS FOR PROPRIETORS OF  COMPANION  CHATBOTS
 TO  COMPLY  WITH  THIS  SECTION, THE ATTORNEY GENERAL SHALL CONSIDER THE
 SIZE, FINANCIAL RESOURCES, AND TECHNICAL CAPABILITIES OF THE PROPRIETOR,
 THE COSTS AND EFFECTIVENESS OF AVAILABLE  (I)  AGE  DETERMINATION  TECH-
 NIQUES  FOR  USERS OF COMPANION CHATBOTS, (II) TECHNIQUES TO PREVENT THE
 PROMOTION, AID, OR  ENCOURAGEMENT  OF  SELF-HARM,  (III)  TECHNIQUES  TO
 DETERMINE  WHETHER  A USER IS EXPRESSING THOUGHTS OF SELF-HARM, AND (IV)
 TECHNIQUES TO DISCOVER VULNERABILITIES IN THE PROPRIETOR'S  SYSTEM.  THE
 ATTORNEY  GENERAL  SHALL  ALSO  CONSIDER THAT PREVALENT PRACTICES OF THE
 INDUSTRY OF THE PROPRIETOR AND THE IMPACT OF THE  TECHNIQUES  LISTED  IN
 SUBPARAGRAPHS  (I)  THROUGH (IV) OF THIS PARAGRAPH ON THE USER'S SAFETY,
 UTILITY, AND EXPERIENCE.
 A. 222--A                           4
 
   (C) SUCH REGULATIONS SHALL ALSO IDENTIFY  THE  APPROPRIATE  LEVELS  OF
 ACCURACY  THAT WOULD BE COMMERCIALLY REASONABLE AND TECHNICALLY FEASIBLE
 FOR PROPRIETORS TO ACHIEVE IN DETERMINING (I) WHETHER A USER IS A MINOR,
 (II) WHETHER THE PROPRIETOR'S COMPANION CHATBOT IS PROMOTING, AIDING, OR
 ENCOURAGING  SELF-HARM,  AND (III) WHETHER A USER IS EXPRESSING THOUGHTS
 OF SELF-HARM.
   9. INFORMATION COLLECTED FOR THE PURPOSE OF DETERMINING A  USER'S  AGE
 UNDER  PARAGRAPH  (A)  OF  SUBDIVISION FIVE OF THIS SECTION SHALL NOT BE
 USED FOR ANY PURPOSES OTHER THAN AGE DETERMINATION AND SHALL BE  DELETED
 IMMEDIATELY  AFTER  AN  ATTEMPT  TO DETERMINE A USER'S AGE, EXCEPT WHERE
 NECESSARY FOR COMPLIANCE WITH ANY  APPLICABLE  PROVISIONS  OF  NEW  YORK
 STATE OR FEDERAL LAW OR REGULATION.
   10.  THE  ATTORNEY  GENERAL  SHALL  PROMULGATE REGULATIONS IDENTIFYING
 METHODS OF OBTAINING VERIFIABLE PARENTAL CONSENT  PURSUANT  TO  SUBPARA-
 GRAPH (I) OF PARAGRAPH (B) OF SUBDIVISION SIX OF THIS SECTION.
   11.  INFORMATION  COLLECTED  FOR  THE  PURPOSE OF OBTAINING VERIFIABLE
 PARENTAL CONSENT SHALL NOT BE USED FOR ANY PURPOSE OTHER THAN  OBTAINING
 SUCH  VERIFIABLE PARENTAL CONSENT AND SHALL BE DELETED IMMEDIATELY AFTER
 AN ATTEMPT TO OBTAIN VERIFIABLE PARENTAL CONSENT, EXCEPT WHERE NECESSARY
 FOR COMPLIANCE WITH ANY APPLICABLE  PROVISIONS  OF  NEW  YORK  STATE  OR
 FEDERAL LAW OR REGULATION.
   12.  NOTHING  IN  THIS  SECTION  SHALL  BE  CONSTRUED AS REQUIRING ANY
 PROPRIETOR TO GIVE A PARENT WHO GRANTS VERIFIABLE PARENTAL  CONSENT  ANY
 ADDITIONAL  OR SPECIAL ACCESS TO OR CONTROL OVER THE DATA OR ACCOUNTS OF
 THEIR CHILD.
   § 2. This act shall take effect one year after it shall have become  a
 law.