IL SB3364: HUMAN RIGHTS-AI-VIOLATIONS Verified

SB3364 amends the Illinois Human Rights Act to include specific provisions regarding the use of artificial intelligence (AI) in real estate transactions, loan applications, and public accommodations. The bill requires that the owner, real estate broker, salesman, or agent involved in real estate transactions must provide notice to the other person engaging in the transaction, thereby ensuring transparency and accountability in automated decision-making processes. Additionally, it mandates informing an applicant for a loan or credit card if AI is used in processing the application. Non-compliance with these notification requirements constitutes a civil rights violation under the Act, which could lead to legal repercussions for businesses that fail to adhere to these new standards. The bill applies to owners, real estate brokers, financial institutions, and places of public accommodation, mandating that they inform affected parties about the use of AI in relevant transactions. The Department of Human Rights is tasked with adopting rules for the implementation and enforcement of these provisions. This regulatory framework aims to protect individuals from potential discrimination or unfair treatment resulting from automated processes. Key definitions in the bill include 'real estate transaction,' which encompasses various activities related to real property. The bill's introduction reflects a growing trend in state legislation to address the implications of AI in everyday transactions, paralleling similar efforts in other jurisdictions to ensure ethical AI use and protect consumer rights.