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State AGs Expand AI Enforcement Using Traditional Consumer Protection Laws
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News Archives | PYMNTS.com
State attorneys general are relying on long-standing consumer protection, licensing, privacy and advertising laws in lieu of new artificial intelligence-specific statutes to police AI products marketed as substitutes for traditionally regulated professions.
One of the clearest enforcement priorities is AI products that present themselves as substitutes for professionals who require state licenses, per the analysis.
State regulators have responded by pressing social media platforms to strengthen oversight of high-risk advertisements and improve transparency surrounding AI-generated content.
Together, the initiatives suggest state regulators are combining traditional privacy enforcement with new transparency requirements for AI-driven commercial practices.
These compliance practices will help organizations satisfy existing state consumer protection laws while positioning them for an expanding wave of state AI-specific regulation, the analysis said.