This bill mandates clear disclosure when consumers interact with AI chatbots, allowing for private legal action and imposing penalties for non-compliance, with a cap on class action damages.
If you use AI chatbots in Hawaii, you must clearly inform consumers they are interacting with a chatbot or face penalties up to $5 million.
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What This Means
Hawaii's SB640 aims to enhance transparency in consumer interactions with AI chatbots. It requires businesses to disclose when consumers are engaging with chatbots, addressing concerns over misleading communications. The bill also empowers consumers with the right to take legal action against violators, establishing significant penalties for non-compliance, including a cap on class action damages.
Key Provisions
- Requires clear disclosure when consumers interact with AI chatbots.
- Allows private rights of action for consumers harmed by violations.
- Imposes civil penalties of up to $5 million for non-compliance.
- Defines 'artificial intelligence chatbot' and 'consumer' for clarity.
- Establishes minimum damage recovery amounts for individual lawsuits.
- Includes provisions for class action lawsuits with a $10,000,000 cap on damages and attorney general enforcement.
Latest Legislative Action
The committee on CPN deferred the measure.
Bill Sponsors (showing 5 of 8)
| Name | Role | District |
|---|---|---|
| Carol Fukunaga D | Sponsor | SD-011 |
| Glenn Wakai D | Sponsor | SD-015 |
| Jarrett Keohokalole D | Sponsor | SD-024 |
| Joy San Buenaventura D | Sponsor | SD-002 |
| Kurt Fevella R | Sponsor | SD-020 |
Compliance Checklist
Who: Corporations, organizations, or individuals engaging in commercial transactions.
Penalty: Up to $5 million for violations.
Who: Businesses using AI chatbots.
Penalty: Liability for damages and attorney fees.
Related & Companion Bills
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