PubLedge

A supplier using generative AI in a consumer transaction must disclose that fact when the consumer makes a clear and unambiguous request. A safe harbor is available: a clear and conspicuous disclosure at the outset and throughout the interaction eliminates enforcement exposure, regardless of whether a request is made.

What Counts

• Supplier responds truthfully when a consumer directly asks whether they are interacting with a human or with AI
• Clear-and-conspicuous GenAI notice shown at the outset of the interaction and sustained throughout (qualifies for §13-75-104 safe harbor)
• Plain-language identification naming "AI" or "generative AI"

What Does Not Count

• Requiring the consumer to infer AI use from context
• Disclosure buried only in a privacy policy or terms-of-service link
• Ambiguous labels such as "smart assistant" or "automated helper" without the word "AI"
• Responding only when the consumer uses a specific magic phrase

Implementing Legal Instruments