In one paragraph
South Carolina's H 5138 would enact the Chatbot Protection Act (new Chapter 80 of Title 39). Chatbot providers would need affirmative consent to process personal data, could not use chat logs for advertising, would have to disclose that the user is talking to a chatbot, and would face civil penalties of up to $5,000 per violation. Introduced February 10, 2026 and referred to the House Labor, Commerce and Industry Committee; it has not passed either chamber.
Plain-English summary, written with AI assistance. The official text controls.
What it means for business
None yet: the bill has not been enacted. Anyone making a chatbot available in South Carolina, with no size threshold, would need user consent for data use, chatbot disclosures and monthly risk evaluations.
Key provisions
- Sec. 39-80-20: providers may not process personal data to inform outputs without an express user request and affirmative consent, may not use chat logs to target advertisements, and may not process the chat logs or personal data of a user they know or reasonably should know is a minor without parental or guardian affirmative consent.
- Providers may not use adult users' data for training without affirmative consent, sell chat logs, or keep chat logs more than ten years unless required by law.
- Sec. 39-80-30: providers must disclose that the user is talking to a chatbot at the start of each communication, every hour and when asked, may not imply endorsement by licensed professionals, and must evaluate the chatbot monthly for risk of harm, post the results and mitigate risks.
- Sec. 39-80-50: a chatbot is treated as a product for product liability purposes and providers have a duty to ensure its use does not cause user injury.
- Sec. 39-80-60: the Attorney General or a county attorney may sue; injured users may sue for civil penalties of up to $5,000 per violation, punitive damages for reckless or knowing conduct, and injunctive relief.
- Takes effect upon approval by the Governor. Referred to the House Committee on Labor, Commerce and Industry on February 10, 2026.
Latest legislative action
Feb 10, 2026. Referred to Committee on Labor, Commerce and Industry
Sponsors (showing 5 of 124)
| Name | Role |
|---|---|
| A.M. Morgan | Primary |
| Alexander | Primary |
| Anderson | Primary |
| Atkinson | Primary |
| B. Newton | Primary |
Topics and industries
Related topics
Affected industries
This page is general information, not legal advice. Summaries are AI-assisted and may contain errors; read the statute for the controlling text and talk to a lawyer about your situation. Full disclaimer · Report an error