S. 6953 2
RONMENTS, ABSTRACT SUCH PERCEPTIONS INTO MODELS THROUGH ANALYSIS IN AN
AUTOMATED MANNER, AND USE MODEL INFERENCE TO FORMULATE OPTIONS FOR
INFORMATION OR ACTION.
3. "ARTIFICIAL INTELLIGENCE MODEL" MEANS AN INFORMATION SYSTEM OR
COMPONENT OF AN INFORMATION SYSTEM THAT IMPLEMENTS ARTIFICIAL INTELLI-
GENCE TECHNOLOGY AND USES COMPUTATIONAL, STATISTICAL, OR MACHINE-LEARN-
ING TECHNIQUES TO PRODUCE OUTPUTS FROM A GIVEN SET OF INPUTS.
4. "COMPUTE COST" MEANS THE COST INCURRED TO PAY FOR COMPUTE USED IN
TRAINING A MODEL WHEN CALCULATED USING THE AVERAGE MARKET PRICES OF
CLOUD COMPUTE IN THE UNITED STATES AT THE START OF TRAINING SUCH MODEL
AS REASONABLY ASSESSED BY THE PERSON DOING THE TRAINING.
5. "DEPLOY" MEANS TO USE A FRONTIER MODEL OR TO MAKE A FRONTIER MODEL
FORESEEABLY AVAILABLE TO ONE OR MORE THIRD PARTIES FOR USE, MODIFICA-
TION, COPYING, OR A COMBINATION THEREOF WITH OTHER SOFTWARE, EXCEPT AS
REASONABLY NECESSARY FOR TRAINING OR DEVELOPING THE FRONTIER MODEL,
EVALUATING THE FRONTIER MODEL OR OTHER FRONTIER MODELS, OR COMPLYING
WITH FEDERAL OR STATE LAWS.
6. "FRONTIER MODEL" MEANS EITHER OF THE FOLLOWING:
(A) AN ARTIFICIAL INTELLIGENCE MODEL TRAINED USING GREATER THAN 10º26
COMPUTATIONAL OPERATIONS (E.G., INTEGER OR FLOATING-POINT OPERATIONS),
THE COMPUTE COST OF WHICH EXCEEDS ONE HUNDRED MILLION DOLLARS.
(B) AN ARTIFICIAL INTELLIGENCE MODEL PRODUCED BY APPLYING KNOWLEDGE
DISTILLATION TO A FRONTIER MODEL AS DEFINED IN PARAGRAPH (A) OF THIS
SUBDIVISION.
7. "CRITICAL HARM" MEANS THE DEATH OR SERIOUS INJURY OF ONE HUNDRED OR
MORE PEOPLE OR AT LEAST ONE BILLION DOLLARS OF DAMAGES TO RIGHTS IN
MONEY OR PROPERTY CAUSED OR MATERIALLY ENABLED BY A LARGE DEVELOPER'S
CREATION, USE, STORAGE, OR RELEASE OF A FRONTIER MODEL, THROUGH EITHER
OF THE FOLLOWING:
(A) THE CREATION OR USE OF A CHEMICAL, BIOLOGICAL, RADIOLOGICAL, OR
NUCLEAR WEAPON; OR
(B) AN ARTIFICIAL INTELLIGENCE MODEL ENGAGING IN CONDUCT THAT DOES
BOTH OF THE FOLLOWING:
(I) ACTS WITH LIMITED HUMAN INTERVENTION; AND
(II) WOULD, IF COMMITTED BY A HUMAN, CONSTITUTE A CRIME SPECIFIED IN
THE PENAL LAW THAT REQUIRES INTENT, RECKLESSNESS, OR GROSS NEGLIGENCE,
OR THE SOLICITATION OR AIDING AND ABETTING OF SUCH A CRIME.
A HARM INFLICTED BY AN INTERVENING HUMAN ACTOR SHALL NOT BE DEEMED TO
RESULT FROM A DEVELOPER'S ACTIVITIES UNLESS SUCH ACTIVITIES MADE IT
SUBSTANTIALLY EASIER OR MORE LIKELY FOR THE ACTOR TO INFLICT SUCH HARM.
8. "KNOWLEDGE DISTILLATION" MEANS ANY SUPERVISED LEARNING TECHNIQUE
THAT USES A LARGER ARTIFICIAL INTELLIGENCE MODEL OR THE OUTPUT OF A
LARGER ARTIFICIAL INTELLIGENCE MODEL TO TRAIN A SMALLER ARTIFICIAL
INTELLIGENCE MODEL WITH SIMILAR OR EQUIVALENT CAPABILITIES AS THE LARGER
ARTIFICIAL INTELLIGENCE MODEL.
9. "LARGE DEVELOPER" MEANS A PERSON THAT HAS TRAINED AT LEAST ONE
FRONTIER MODEL, THE COMPUTE COST OF WHICH EXCEEDS FIVE MILLION DOLLARS,
AND HAS SPENT OVER ONE HUNDRED MILLION DOLLARS IN COMPUTE COSTS IN
AGGREGATE IN TRAINING FRONTIER MODELS. ACCREDITED COLLEGES AND UNIVER-
SITIES SHALL NOT BE CONSIDERED LARGE DEVELOPERS UNDER THIS ARTICLE TO
THE EXTENT THAT SUCH COLLEGES AND UNIVERSITIES ARE ENGAGING IN ACADEMIC
RESEARCH. IF A PERSON SUBSEQUENTLY TRANSFERS FULL INTELLECTUAL PROPERTY
RIGHTS OF THE FRONTIER MODEL TO ANOTHER PERSON (INCLUDING THE RIGHT TO
RESELL THE MODEL) AND RETAINS NONE OF THOSE RIGHTS FOR THEMSELF, THEN
THE RECEIVING PERSON SHALL BE CONSIDERED THE LARGE DEVELOPER AND SHALL
S. 6953 3
BE SUBJECT TO THE RESPONSIBILITIES AND REQUIREMENTS OF THIS ARTICLE
AFTER SUCH TRANSFER.
10. "MODEL WEIGHT" MEANS A NUMERICAL PARAMETER IN AN ARTIFICIAL INTEL-
LIGENCE MODEL THAT IS ADJUSTED THROUGH TRAINING AND THAT HELPS DETERMINE
HOW INPUTS ARE TRANSFORMED INTO OUTPUTS.
11. "PERSON" MEANS AN INDIVIDUAL, PROPRIETORSHIP, FIRM, PARTNERSHIP,
JOINT VENTURE, SYNDICATE, BUSINESS TRUST, COMPANY, CORPORATION, LIMITED
LIABILITY COMPANY, ASSOCIATION, COMMITTEE, OR ANY OTHER NONGOVERNMENTAL
ORGANIZATION OR GROUP OF PERSONS ACTING IN CONCERT.
12. "SAFETY AND SECURITY PROTOCOL" MEANS DOCUMENTED TECHNICAL AND
ORGANIZATIONAL PROTOCOLS THAT:
(A) SPECIFY REASONABLE PROTECTIONS AND PROCEDURES THAT, IF SUCCESSFUL-
LY IMPLEMENTED WOULD APPROPRIATELY REDUCE THE RISK OF CRITICAL HARM;
(B) DESCRIBE REASONABLE ADMINISTRATIVE, TECHNICAL, AND PHYSICAL
CYBERSECURITY PROTECTIONS FOR FRONTIER MODELS WITHIN THE LARGE DEVELOP-
ER'S CONTROL THAT, IF SUCCESSFULLY IMPLEMENTED, APPROPRIATELY REDUCE THE
RISK OF UNAUTHORIZED ACCESS TO, OR MISUSE OF, THE FRONTIER MODEL LEADING
TO CRITICAL HARM, INCLUDING BY SOPHISTICATED ACTORS;
(C) DESCRIBE IN DETAIL THE TESTING PROCEDURE TO EVALUATE IF THE FRON-
TIER MODEL POSES AN UNREASONABLE RISK OF CRITICAL HARM;
(D) DESCRIBE IN DETAIL HOW THE TESTING PROCEDURE ASSESSES WHETHER THE
FRONTIER MODEL COULD BE MISUSED, MODIFIED, COMBINED WITH OTHER SOFTWARE
OR BE USED TO CREATE ANOTHER FOUNDATION MODEL IN A MANNER THAT WOULD
PRODUCE CRITICAL RISK;
(E) STATE COMPLIANCE REQUIREMENTS WITH SUFFICIENT DETAIL AND SPECIF-
ICITY TO ALLOW THE LARGE DEVELOPER OR A THIRD PARTY TO READILY ASCERTAIN
WHETHER THE REQUIREMENTS OF THE SAFETY AND SECURITY PROTOCOL HAVE BEEN
FOLLOWED;
(F) DESCRIBE HOW THE LARGE DEVELOPER WILL FULFILL THEIR OBLIGATIONS
UNDER THIS ARTICLE, INCLUDING WITH RESPECT TO ANY REQUIREMENTS, SAFE-
GUARDS, OR MODIFICATIONS; AND
(G) DESIGNATE SENIOR PERSONNEL TO BE RESPONSIBLE FOR ENSURING COMPLI-
ANCE.
13. "SAFETY INCIDENT" MEANS AN INCIDENT OF THE FOLLOWING KINDS THAT
OCCURS IN SUCH A WAY THAT IT PROVIDES DEMONSTRABLE EVIDENCE OF AN
INCREASED RISK OF CRITICAL HARM:
(A) A FRONTIER MODEL AUTONOMOUSLY ENGAGING IN BEHAVIOR OTHER THAN AT
THE REQUEST OF A USER;
(B) THEFT, MISAPPROPRIATION, MALICIOUS USE, INADVERTENT RELEASE, UNAU-
THORIZED ACCESS, OR ESCAPE OF THE MODEL WEIGHTS OF A FRONTIER MODEL;
(C) THE CRITICAL FAILURE OF ANY TECHNICAL OR ADMINISTRATIVE CONTROLS,
INCLUDING CONTROLS LIMITING THE ABILITY TO MODIFY A FRONTIER MODEL; OR
(D) UNAUTHORIZED USE OF A FRONTIER MODEL.
14. "TRADE SECRET" MEANS ANY FORM AND TYPE OF FINANCIAL, BUSINESS,
SCIENTIFIC, TECHNICAL, ECONOMIC, OR ENGINEERING INFORMATION, INCLUDING A
PATTERN, PLAN, COMPILATION, PROGRAM DEVICE, FORMULA, DESIGN, PROTOTYPE,
METHOD, TECHNIQUE, PROCESS, PROCEDURE, PROGRAM, OR CODE, WHETHER TANGI-
BLE OR INTANGIBLE, AND WHETHER OR HOW STORED, COMPILED, OR MEMORIALIZED
PHYSICALLY, ELECTRONICALLY, GRAPHICALLY, PHOTOGRAPHICALLY OR IN WRITING,
THAT:
(A) DERIVES INDEPENDENT ECONOMIC VALUE, ACTUAL OR POTENTIAL, FROM NOT
BEING GENERALLY KNOWN TO, AND NOT BEING READILY ASCERTAINABLE BY PROPER
MEANS BY, OTHER PERSONS WHO CAN OBTAIN ECONOMIC VALUE FROM ITS DISCLO-
SURE OR USE; AND
(B) IS THE SUBJECT OF EFFORTS THAT ARE REASONABLE UNDER THE CIRCUM-
STANCES TO MAINTAIN ITS SECRECY.
S. 6953 4
§ 1421. TRANSPARENCY REQUIREMENTS REGARDING FRONTIER MODEL TRAINING
AND USE. 1. BEFORE DEPLOYING A FRONTIER MODEL, THE LARGE DEVELOPER OF
SUCH FRONTIER MODEL SHALL DO ALL OF THE FOLLOWING:
(A) IMPLEMENT A WRITTEN SAFETY AND SECURITY PROTOCOL;
(B) RETAIN AN UNREDACTED COPY OF THE SAFETY AND SECURITY PROTOCOL,
INCLUDING RECORDS AND DATES OF ANY UPDATES OR REVISIONS. SUCH UNREDACTED
COPY OF THE SAFETY AND SECURITY PROTOCOL, INCLUDING RECORDS AND DATES OF
ANY UPDATES OR REVISIONS, SHALL BE RETAINED FOR AS LONG AS THE FRONTIER
MODEL IS DEPLOYED PLUS FIVE YEARS;
(C) (I) CONSPICUOUSLY PUBLISH A COPY OF THE SAFETY AND SECURITY PROTO-
COL WITH APPROPRIATE REDACTIONS AND TRANSMIT A COPY OF SUCH REDACTED
SAFETY AND SECURITY PROTOCOL TO THE ATTORNEY GENERAL;
(II) GRANT THE ATTORNEY GENERAL ACCESS TO THE UNREDACTED SAFETY AND
SECURITY PROTOCOL UPON REQUEST;
(D) RECORD, AS AND WHEN REASONABLY POSSIBLE, AND RETAIN FOR AS LONG AS
THE FRONTIER MODEL IS DEPLOYED PLUS FIVE YEARS INFORMATION ON THE
SPECIFIC TESTS AND TEST RESULTS USED IN ANY ASSESSMENT OF THE FRONTIER
MODEL THAT PROVIDES SUFFICIENT DETAIL FOR THIRD PARTIES TO REPLICATE THE
TESTING PROCEDURE; AND
(E) IMPLEMENT APPROPRIATE SAFEGUARDS TO PREVENT UNREASONABLE RISK OF
CRITICAL HARM.
2. A LARGE DEVELOPER SHALL NOT DEPLOY A FRONTIER MODEL IF DOING SO
WOULD CREATE AN UNREASONABLE RISK OF CRITICAL HARM.
3. A LARGE DEVELOPER SHALL CONDUCT AN ANNUAL REVIEW OF ANY SAFETY AND
SECURITY PROTOCOL REQUIRED BY THIS SECTION TO ACCOUNT FOR ANY CHANGES
TO THE CAPABILITIES OF THEIR FRONTIER MODELS AND INDUSTRY BEST PRACTICES
AND, IF NECESSARY, MAKE MODIFICATIONS TO SUCH SAFETY AND SECURITY PROTO-
COL. IF ANY MODIFICATIONS ARE MADE, THE LARGE DEVELOPER SHALL PUBLISH
THE SAFETY AND SECURITY PROTOCOL IN THE SAME MANNER AS REQUIRED PURSUANT
TO PARAGRAPH (C) OF SUBDIVISION ONE OF THIS SECTION.
4. (A) BEGINNING ON THE EFFECTIVE DATE OF THIS ARTICLE, OR NINETY DAYS
AFTER A DEVELOPER FIRST QUALIFIES AS A LARGE DEVELOPER, WHICHEVER IS
LATER, A LARGE DEVELOPER SHALL ANNUALLY RETAIN A THIRD PARTY TO PERFORM
AN INDEPENDENT AUDIT OF COMPLIANCE WITH THE REQUIREMENTS OF THIS
SECTION. SUCH THIRD PARTY SHALL CONDUCT AUDITS CONSISTENT WITH BEST
PRACTICES.
(B) THE THIRD PARTY SHALL BE GRANTED ACCESS TO UNREDACTED MATERIALS AS
NECESSARY TO COMPLY WITH THE THIRD PARTY'S OBLIGATIONS UNDER THIS SUBDI-
VISION.
(C) THE THIRD PARTY SHALL PRODUCE A REPORT INCLUDING ALL OF THE
FOLLOWING:
(I) A DETAILED ASSESSMENT OF THE LARGE DEVELOPER'S STEPS TO COMPLY
WITH THE REQUIREMENTS OF THIS SECTION;
(II) IF APPLICABLE, ANY IDENTIFIED INSTANCES OF NONCOMPLIANCE WITH THE
REQUIREMENTS OF THIS SECTION, AND ANY RECOMMENDATIONS FOR HOW THE DEVEL-
OPER CAN IMPROVE ITS POLICIES AND PROCESSES FOR ENSURING COMPLIANCE WITH
THE REQUIREMENTS OF THIS SECTION;
(III) A DETAILED ASSESSMENT OF THE LARGE DEVELOPER'S INTERNAL
CONTROLS, INCLUDING ITS DESIGNATION AND EMPOWERMENT OF SENIOR PERSONNEL
RESPONSIBLE FOR ENSURING COMPLIANCE BY THE LARGE DEVELOPER, ITS EMPLOY-
EES, AND ITS CONTRACTORS; AND
(IV) THE SIGNATURE OF THE LEAD AUDITOR CERTIFYING THE RESULTS OF THE
AUDIT.
(D) THE LARGE DEVELOPER SHALL RETAIN AN UNREDACTED COPY OF THE REPORT
FOR AS LONG AS THE FRONTIER MODEL IS DEPLOYED PLUS FIVE YEARS.
S. 6953 5
(E) (I) THE LARGE DEVELOPER SHALL CONSPICUOUSLY PUBLISH A COPY OF THE
THIRD PARTY'S REPORT WITH APPROPRIATE REDACTIONS AND TRANSMIT A COPY OF
SUCH REDACTED REPORT TO THE ATTORNEY GENERAL.
(II) THE LARGE DEVELOPER SHALL GRANT THE ATTORNEY GENERAL ACCESS TO
THE UNREDACTED THIRD PARTY'S REPORT UPON REQUEST.
5. A LARGE DEVELOPER OF A FRONTIER MODEL SHALL SUBMIT TO THE ATTORNEY
GENERAL THE UPDATED TOTAL COMPUTE COST USED TO TRAIN THEIR FRONTIER
MODELS SIMULTANEOUSLY WITH THEIR ANNUAL THIRD PARTY'S AUDIT REPORT.
6. A LARGE DEVELOPER SHALL DISCLOSE EACH SAFETY INCIDENT AFFECTING THE
FRONTIER MODEL TO THE ATTORNEY GENERAL WITHIN SEVENTY-TWO HOURS OF THE
LARGE DEVELOPER LEARNING OF THE SAFETY INCIDENT OR WITHIN SEVENTY-TWO
HOURS OF THE LARGE DEVELOPER LEARNING FACTS SUFFICIENT TO ESTABLISH A
REASONABLE BELIEF THAT A SAFETY INCIDENT HAS OCCURRED. SUCH DISCLOSURE
SHALL INCLUDE: (A) THE DATE OF THE SAFETY INCIDENT; (B) THE REASONS THE
INCIDENT QUALIFIES AS A SAFETY INCIDENT AS DEFINED IN SUBDIVISION THIR-
TEEN OF SECTION FOURTEEN HUNDRED TWENTY OF THIS ARTICLE; AND (C) A SHORT
AND PLAIN STATEMENT DESCRIBING THE SAFETY INCIDENT.
7. (A) THIS SECTION SHALL NOT APPLY TO PRODUCTS OR SERVICES TO THE
EXTENT THAT THE REQUIREMENTS WOULD STRICTLY CONFLICT WITH THE TERMS OF A
CONTRACT WITH A FEDERAL GOVERNMENT ENTITY AND A LARGE DEVELOPER.
(B) THIS SECTION APPLIES TO THE DEVELOPMENT OR DEPLOYMENT OF A FRON-
TIER MODEL FOR ANY USE THAT IS NOT THE SUBJECT OF A CONTRACT WITH A
FEDERAL GOVERNMENT ENTITY, EVEN IF SUCH FRONTIER MODEL HAS ALREADY BEEN
DEVELOPED, TRAINED, OR USED BY A FEDERAL GOVERNMENT ENTITY.
8. A LARGE DEVELOPER SHALL NOT KNOWINGLY MAKE FALSE OR MATERIALLY
MISLEADING STATEMENTS OR OMISSIONS IN OR REGARDING DOCUMENTS PRODUCED
PURSUANT TO THIS SECTION.
9. ANY PERSON WHO IS NOT A LARGE DEVELOPER, BUT WHO SETS OUT TO TRAIN
A FRONTIER MODEL THAT IF COMPLETED AS PLANNED WOULD QUALIFY SUCH PERSON
AS A LARGE DEVELOPER (I.E. AT THE END OF THE TRAINING, SUCH PERSON WILL
HAVE SPENT FIVE MILLION DOLLARS IN COMPUTE COSTS ON ONE FRONTIER MODEL
AND ONE HUNDRED MILLION DOLLARS IN COMPUTE COSTS IN AGGREGATE IN TRAIN-
ING FRONTIER MODELS, EXCLUDING ACCREDITED COLLEGES AND UNIVERSITIES TO
THE EXTENT SUCH COLLEGES AND UNIVERSITIES ARE ENGAGING IN ACADEMIC
RESEARCH) SHALL, BEFORE TRAINING SUCH MODEL:
(A) IMPLEMENT A WRITTEN SAFETY AND SECURITY PROTOCOL, EXCLUDING THE
REQUIREMENTS DESCRIBED IN PARAGRAPHS (C) AND (D) OF SUBDIVISION TWELVE
OF SECTION FOURTEEN HUNDRED TWENTY OF THIS ARTICLE; AND
(B) CONSPICUOUSLY PUBLISH A COPY OF THE SAFETY AND SECURITY PROTOCOL,
WITH APPROPRIATE REDACTIONS, AND TRANSMIT A COPY OF SUCH REDACTED SAFETY
AND SECURITY PROTOCOL TO THE ATTORNEY GENERAL.
§ 1422. PROTECTIONS, RIGHTS AND OBLIGATIONS OF EMPLOYEES. 1. A LARGE
DEVELOPER OR A CONTRACTOR OR SUBCONTRACTOR OF A LARGE DEVELOPER SHALL
NOT PREVENT AN EMPLOYEE FROM DISCLOSING, OR THREATENING TO DISCLOSE, OR
RETALIATE AGAINST AN EMPLOYEE FOR DISCLOSING OR THREATENING TO DISCLOSE,
INFORMATION TO THE LARGE DEVELOPER OR THE ATTORNEY GENERAL, IF THE
EMPLOYEE HAS REASONABLE CAUSE TO BELIEVE THAT THE LARGE DEVELOPER'S
ACTIVITIES POSE AN UNREASONABLE OR SUBSTANTIAL RISK OF CRITICAL HARM,
REGARDLESS OF THE EMPLOYER'S COMPLIANCE WITH APPLICABLE LAW.
2. AN EMPLOYEE HARMED BY A VIOLATION OF THIS SECTION MAY PETITION A
COURT FOR APPROPRIATE TEMPORARY OR PRELIMINARY INJUNCTIVE RELIEF.
3. A LARGE DEVELOPER SHALL INFORM EMPLOYEES OF THEIR PROTECTIONS,
RIGHTS AND OBLIGATIONS UNDER THIS ARTICLE BY POSTING A NOTICE THEREOF.
SUCH NOTICE SHALL BE POSTED CONSPICUOUSLY IN EASILY ACCESSIBLE AND WELL-
LIGHTED PLACES CUSTOMARILY FREQUENTED BY EMPLOYEES.
S. 6953 6
4. NOTHING IN THIS SECTION SHALL BE DEEMED TO DIMINISH THE RIGHTS,
PRIVILEGES, OR REMEDIES OF ANY EMPLOYEE UNDER ANY OTHER LAW OR REGU-
LATION OR UNDER ANY COLLECTIVE BARGAINING AGREEMENT OR EMPLOYMENT
CONTRACT.
5. AS USED IN THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOW-
ING MEANINGS:
(A) "EMPLOYEE" HAS THE SAME MEANING AS DEFINED IN SUBDIVISION FIVE OF
SECTION TWO OF THE LABOR LAW AND INCLUDES BOTH OF THE FOLLOWING:
(I) CONTRACTORS OR SUBCONTRACTORS AND UNPAID ADVISORS INVOLVED WITH
ASSESSING, MANAGING, OR ADDRESSING THE RISK OF CRITICAL HARM FROM FRON-
TIER MODELS; AND
(II) CORPORATE OFFICERS.
(B) "CONTRACTOR OR SUBCONTRACTOR" MEANS ANY PERSON, SOLE PROPRIETOR,
PARTNERSHIP, FIRM, CORPORATION, LIMITED LIABILITY COMPANY, ASSOCIATION
OR OTHER LEGAL ENTITY WHO BY ONESELF OR THROUGH OTHERS OFFERS TO UNDER-
TAKE, OR HOLDS ONESELF OUT AS BEING ABLE TO UNDERTAKE, OR DOES UNDERTAKE
WORK ASSESSING, MANAGING, OR ADDRESSING THE RISK OF CRITICAL HARM FROM
FRONTIER MODELS ON BEHALF OF THE LARGE DEVELOPER.
§ 1423. VIOLATIONS. 1. THE ATTORNEY GENERAL MAY BRING A CIVIL ACTION
FOR A VIOLATION OF THIS ARTICLE AND TO RECOVER ALL OF THE FOLLOWING:
(A) FOR A VIOLATION OF SECTION FOURTEEN HUNDRED TWENTY-ONE OF THIS
ARTICLE, A CIVIL PENALTY IN AN AMOUNT NOT EXCEEDING FIVE PERCENT OF THE
TOTAL COMPUTE COST USED TO TRAIN THE LARGE DEVELOPER'S FRONTIER MODELS
AS REPORTED BY THE LARGE DEVELOPER PURSUANT TO THIS ARTICLE FOR A FIRST
VIOLATION AND IN AN AMOUNT NOT EXCEEDING FIFTEEN PERCENT OF THAT VALUE
FOR ANY SUBSEQUENT VIOLATION.
(B) FOR A VIOLATION OF SECTION FOURTEEN HUNDRED TWENTY-TWO OF THIS
ARTICLE, A CIVIL PENALTY IN AN AMOUNT NOT EXCEEDING TEN THOUSAND DOLLARS
PER EMPLOYEE FOR EACH VIOLATION OF SUCH SECTION TO BE AWARDED TO THE
EMPLOYEE WHO WAS RETALIATED AGAINST.
(C) FOR A VIOLATION OF SECTION FOURTEEN HUNDRED TWENTY-ONE OR FOURTEEN
HUNDRED TWENTY-TWO OF THIS ARTICLE, INJUNCTIVE OR DECLARATORY RELIEF.
2. (A) A PROVISION WITHIN A CONTRACT OR AGREEMENT THAT SEEKS TO WAIVE,
PRECLUDE, OR BURDEN THE ENFORCEMENT OF A LIABILITY ARISING FROM A
VIOLATION OF THIS ARTICLE, OR TO SHIFT THAT LIABILITY TO ANY PERSON OR
ENTITY IN EXCHANGE FOR THEIR USE OR ACCESS OF, OR RIGHT TO USE OR
ACCESS, A LARGE DEVELOPER'S PRODUCTS OR SERVICES, INCLUDING BY MEANS OF
A CONTRACT OF ADHESION, IS VOID AS A MATTER OF PUBLIC POLICY.
(B) A COURT SHALL DISREGARD CORPORATE FORMALITIES AND IMPOSE JOINT AND
SEVERAL LIABILITY ON AFFILIATED ENTITIES FOR PURPOSES OF EFFECTUATING
THE INTENT OF THIS SECTION TO THE MAXIMUM EXTENT ALLOWED BY LAW IF THE
COURT CONCLUDES THAT BOTH OF THE FOLLOWING ARE TRUE:
(I) THE AFFILIATED ENTITIES, IN THE DEVELOPMENT OF THE CORPORATE
STRUCTURE AMONG THE AFFILIATED ENTITIES, TOOK STEPS TO PURPOSELY AND
UNREASONABLY LIMIT OR AVOID LIABILITY; AND
(II) AS THE RESULT OF THE STEPS DESCRIBED IN SUBPARAGRAPH (I) OF THIS
PARAGRAPH, THE CORPORATE STRUCTURE OF THE LARGE DEVELOPER OR AFFILIATED
ENTITIES WOULD FRUSTRATE RECOVERY OF PENALTIES, DAMAGES, OR INJUNCTIVE
RELIEF UNDER THIS SECTION.
3. THIS SECTION DOES NOT LIMIT THE APPLICATION OF OTHER LAWS.
§ 1424. DUTIES AND OBLIGATIONS. THE DUTIES AND OBLIGATIONS IMPOSED BY
THIS ARTICLE ARE CUMULATIVE WITH ANY OTHER DUTIES OR OBLIGATIONS IMPOSED
UNDER OTHER LAW AND SHALL NOT BE CONSTRUED TO RELIEVE ANY PARTY FROM ANY
DUTIES OR OBLIGATIONS IMPOSED UNDER OTHER LAW AND DO NOT LIMIT ANY
RIGHTS OR REMEDIES UNDER EXISTING LAW.
S. 6953 7
§ 1425. PREEMPTION. THIS ARTICLE SHALL NOT APPLY TO THE EXTENT THAT IT
IS PREEMPTED BY FEDERAL LAW.
§ 3. This act shall take effect on the ninetieth day after it shall
have become a law.
