Int. No.
By Council Member Wilson
A Local Law to amend the administrative code of the city of New York, in relation to requiring certain disclosures and prohibiting deceptive representations in the promotion of artificial intelligence models
Be it enacted by the Council as follows:
Section 1. Chapter 5 of title 20 of the administrative code of the city of New York is amended by adding a new subchapter 28 to read as follows:
SUBCHAPTER 28
ARTIFICIAL INTELLIGENCE ADVERTISEMENTS
§ 20-890 Definitions. As used in this subchapter, the following terms have the following meanings:
Artificial intelligence advertisement. The term “artificial intelligence advertisement” means a commercial message in any medium that promotes, directly or indirectly, an artificial intelligence model.
Artificial intelligence model. The term “artificial intelligence model” means an engineered or machine-based system that varies in its level of autonomy and that can, for explicit or implicit objectives, infer from the input it receives how to generate outputs that can influence physical or virtual environments.
Breach of security. The term “breach of security” shall mean the unauthorized access, acquisition, disclosure, or use of any data or system that compromises the security, confidentiality, or integrity of any information or technology maintained by an agency.
Substantial risk. The term “substantial risk” means a foreseeable and material risk that the development, storage, use, or deployment of an artificial intelligence model will materially contribute to (i) the death of, or serious injury to, a person, (ii) damage to, or loss of, property, or (iii) a breach of security, resulting from an artificial intelligence model doing any of the following:
1. Providing expert-level assistance in the creation or release of a chemical, biological, radiological, or nuclear weapon;
2. Engaging in conduct with no meaningful human oversight, intervention, or supervision that is either a cyberattack or, if the conduct had been committed by a human, would constitute the crime of murder, assault, extortion, or theft, including theft by false pretense; or
3. Evading the control of its developer or user.
§ 20-891 Artificial intelligence advertising disclosure requirements. No person shall disseminate, or cause to be disseminated, any artificial intelligence advertisement in the city that does not disclose whether the artificial intelligence model being promoted in such advertisement was validated by a third-party validator pursuant to subchapter 27 of chapter 5 of this title. The commissioner shall promulgate rules governing the form of such disclosure.
§ 20-892 Deceptive artificial intelligence advertisements. No person shall disseminate, or cause to be disseminated, any artificial intelligence advertisement in the city that includes any materially false or misleading statement about:
1. Any substantial risk posed by an artificial intelligence model;
2. Any measure that has been or will be taken to manage substantial risk posed by an artificial intelligence model; or
3. Whether an artificial intelligence model was validated by a third-party validator pursuant to subchapter 27 of chapter 5 of this title.
§ 20-893 Civil penalties. a. For each violation of this subchapter, a person shall be liable for a civil penalty of up to $25,000.
b. Where a person disseminates, or causes to be disseminated, an artificial intelligence advertisement in violation of section 20-892, and such action also constitutes a violation of section 20-700, such person shall be liable for a civil penalty pursuant to subdivision a of this section and a separate civil penalty or fine pursuant to section 20-703.
§ 20-894 Enforcement by the corporation counsel. The corporation counsel may bring a civil action on behalf of the city in any court of competent jurisdiction to recover any or all of the following:
1. Civil penalties authorized by this subchapter;
2. Injunctive relief to compel action under this subchapter or to restrain or enjoin any action in violation of this subchapter;
3. Attorneys’ fees and costs, and such other remedies as a court may deem appropriate.
§ 2. This local law takes effect 180 days after it becomes law.
TBM
LS #26832
9/25/2026 10:21 AM