In one paragraph
Vermont's H.365 (2025-2026 biennium) would have required operators of social media platforms and AI systems used by Vermont consumers to register annually with the Secretary of State ($100 fee) and meet product safety and privacy duties. AI providers would have had to use reasonable care against algorithmic discrimination, disclose AI interaction and get informed consent before collecting or sharing consumer data. The Attorney General would enforce. It was referred to House Commerce on February 26, 2025 and died when the biennium ended.
Plain-English summary, written with AI assistance. The official text controls.
What it means for business
None: the bill did not pass. It would have required social media and AI providers to register, protect minors, and disclose AI interaction and obtain consent for data use.
Key provisions
- Social media platforms and AI systems used by consumers must register each year by January 31 with a $100 fee; $50 per day for non-registration, capped at $10,000 per year (9 V.S.A. secs. 4193b, 4194b)
- Platforms that know or should know a user is a minor must avoid harmful design, set high default privacy, bar unknown adults from contacting minors by default, and not use minors' data for targeted advertising or sale (Sec. 4193c)
- AI providers must use reasonable care against known or foreseeable algorithmic discrimination, disclose that consumers are interacting with AI, get informed consent before collecting or using consumer data and separate consent before sharing or selling it, and keep reasonable security for training data (Sec. 4194c)
- AI providers must describe the model, including capacity, training data and intended use, when registering (Sec. 4194b)
- Attorney General may adopt rules and sue; intentional violations are unfair or deceptive acts under 9 V.S.A. sec. 2453; no private right of action in the text
- Would have taken effect July 1, 2025 (Sec. 4). Referred to House Commerce and Economic Development February 26, 2025; died in committee
Latest legislative action
Feb 26, 2025. Read first time and referred to the Committee on Commerce and Economic Development
Sponsors (showing 5 of 40)
| Name | Role |
|---|---|
| Angela Arsenault D | Primary |
| Edye Graning D | Primary |
| Mary Howard D | Primary |
| Robert Helm | Primary |
| Scott Beck R | Primary |
Topics and industries
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