Hawaii 2025 Regular Session

Hawaii Senate Bill SB640 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	THE SENATE S.B. NO. 640 THIRTY-THIRD LEGISLATURE, 2025 STATE OF HAWAII A BILL FOR AN ACT relating to artificial intelligence. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
2	2
3	3	THE SENATE S.B. NO. 640
4	4	THIRTY-THIRD LEGISLATURE, 2025
5	5	STATE OF HAWAII
6	6
7	7	THE SENATE
8	8
9	9	S.B. NO.
10	10
11	11	640
12	12
13	13	THIRTY-THIRD LEGISLATURE, 2025
14	14
15	15
16	16
17	17	STATE OF HAWAII
18	18
19	19
20	20
21	21
22	22
23	23
24	24
25	25
26	26
27	27
28	28
29	29
30	30
31	31	A BILL FOR AN ACT
32	32
33	33
34	34
35	35
36	36
37	37	relating to artificial intelligence.
38	38
39	39
40	40
41	41
42	42
43	43	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:
44	44
45	45
46	46
47	47	SECTION 1. The legislature finds that modern chatbots are now advanced enough to engage with users in highly human-like conversations, making it difficult for users to determine if they are speaking with a chatbot or a real person. Many chatbots are also designed to mimic human behaviors and conversations, and can be used to effectively influence people in a variety of ways, from advertising to spreading misinformation, and can even manipulate users into revealing personal information such as their social security or bank account numbers. Additionally, chatbots are intended to learn and adapt through their interactions with users. As chatbots gather information from users, they become better able to help their developers achieve specific objectives, such as keeping users engaged or encouraging them to make a purchase. The legislature finds that there are few regulations requiring that companies or individuals make users aware that they are interacting with a chatbot. This lack of transparency means that individuals may mistakenly believe they are conversing with a licensed professional, such as a doctor, financial advisor, or therapist, when they are actually speaking with a chatbot. The legislature believes that consumers have a right to know when they are engaging with a chatbot or other technology that mimics human interaction. Accordingly, the purpose of this Act is to require corporations, organizations, or individuals engaging in commercial transactions to inform consumers when the consumers are communicating or otherwise interacting with a chatbot or other technology that mimics human interaction. SECTION 2. Chapter 481B, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows: "Part . artificial intelligence chatbots §481B- Definitions. As used in this part: "Artificial intelligence chatbot" or "chatbot" means a software application, web interface, or computer program designed to have textual or spoken conversations that uses a generative artificial intelligence system capable of maintaining a conversation with a user in a manner that uses natural language and simulates the way a natural person would behave as a conversational partner. "Class action" includes the definition as provided in rule 23 of the Hawaii rules of civil procedure. "Consumer" means a natural person who, primarily for personal, family, or household purposes, purchase, attempts to purchase, or is solicited to purchase goods or services or who commits money, property, or services as a personal investment. "De facto class action" has the same meaning as in section 480-1. §481B- Disclosure required. (a) No corporation, organization, or individual engaging in a commercial transaction or trade practice of any kind shall use an artificial intelligence chatbot or other technology that is capable of mimicking human behavior and that engages in a textual or spoken conversation with a consumer in a manner that may mislead or deceive a reasonable person to believe they are engaging with a natural person without first disclosing to the consumer in a clear and conspicuous fashion that the consumer is interacting with a chatbot or other form of technology capable of mimicking human behavior. (b) Any violation of this section shall be considered an unfair or deceptive act or practice under this chapter. §481B- Suits by persons injured; amount of recovery; injunctions. (a) Except as provided by subsection (b), any person who is injured by a violation of this part may: (1) Sue for damages sustained by the person, and, if the judgment is for the plaintiff, the plaintiff shall be awarded a sum no less than $1,000 or threefold damages sustained by the plaintiff, whichever sum is greater, and reasonable attorneys' fees together with the costs of the suit; and (2) Bring proceedings to enjoin the unlawful practices, and, if the decree is for the plaintiff, the plaintiff shall be awarded reasonable attorneys' fees together with the costs of the suit. (b) The remedies provided in subsection (a) shall be applied in class action and de facto class action lawsuits or proceedings; provided that: (1) The minimum $1,000 recovery provided in subsection (a) shall not apply in a class action or de facto class action lawsuit; (2) That portion of threefold damages in excess of compensatory damages shall be apportioned and allocated by the court in its exercise of discretion so as to promote effective enforcement of this part and deterrence from violation of its provisions; and (3) Damages awarded shall not exceed $10,000,000. (c) The remedies provided in this section are cumulative and may be brought in one action. (d) In addition to any other remedy provided by law, the attorney general may file a petition for injunctive relief against any corporation, organization, or individual who violates this part. §481B- Penalties. Any corporation, organization, or individual found to be in violation of this part shall be subject to a civil penalty of no more than $5,000,000." SECTION 3. This Act shall take effect upon its approval. INTRODUCED BY: _____________________________
48	48
49	49	SECTION 1. The legislature finds that modern chatbots are now advanced enough to engage with users in highly human-like conversations, making it difficult for users to determine if they are speaking with a chatbot or a real person. Many chatbots are also designed to mimic human behaviors and conversations, and can be used to effectively influence people in a variety of ways, from advertising to spreading misinformation, and can even manipulate users into revealing personal information such as their social security or bank account numbers. Additionally, chatbots are intended to learn and adapt through their interactions with users. As chatbots gather information from users, they become better able to help their developers achieve specific objectives, such as keeping users engaged or encouraging them to make a purchase.
50	50
51	51	The legislature finds that there are few regulations requiring that companies or individuals make users aware that they are interacting with a chatbot. This lack of transparency means that individuals may mistakenly believe they are conversing with a licensed professional, such as a doctor, financial advisor, or therapist, when they are actually speaking with a chatbot. The legislature believes that consumers have a right to know when they are engaging with a chatbot or other technology that mimics human interaction.
52	52
53	53	Accordingly, the purpose of this Act is to require corporations, organizations, or individuals engaging in commercial transactions to inform consumers when the consumers are communicating or otherwise interacting with a chatbot or other technology that mimics human interaction.
54	54
55	55	SECTION 2. Chapter 481B, Hawaii Revised Statutes, is amended by adding a new part to be appropriately designated and to read as follows:
56	56
57	57	"Part .
58	58
59	59	artificial intelligence chatbots
60	60
61	61	§481B- Definitions. As used in this part:
62	62
63	63	"Artificial intelligence chatbot" or "chatbot" means a software application, web interface, or computer program designed to have textual or spoken conversations that uses a generative artificial intelligence system capable of maintaining a conversation with a user in a manner that uses natural language and simulates the way a natural person would behave as a conversational partner.
64	64
65	65	"Class action" includes the definition as provided in rule 23 of the Hawaii rules of civil procedure.
66	66
67	67	"Consumer" means a natural person who, primarily for personal, family, or household purposes, purchase, attempts to purchase, or is solicited to purchase goods or services or who commits money, property, or services as a personal investment.
68	68
69	69	"De facto class action" has the same meaning as in section 480-1.
70	70
71	71	§481B- Disclosure required. (a) No corporation, organization, or individual engaging in a commercial transaction or trade practice of any kind shall use an artificial intelligence chatbot or other technology that is capable of mimicking human behavior and that engages in a textual or spoken conversation with a consumer in a manner that may mislead or deceive a reasonable person to believe they are engaging with a natural person without first disclosing to the consumer in a clear and conspicuous fashion that the consumer is interacting with a chatbot or other form of technology capable of mimicking human behavior.
72	72
73	73	(b) Any violation of this section shall be considered an unfair or deceptive act or practice under this chapter.
74	74
75	75	§481B- Suits by persons injured; amount of recovery; injunctions. (a) Except as provided by subsection (b), any person who is injured by a violation of this part may:
76	76
77	77	(1) Sue for damages sustained by the person, and, if the judgment is for the plaintiff, the plaintiff shall be awarded a sum no less than $1,000 or threefold damages sustained by the plaintiff, whichever sum is greater, and reasonable attorneys' fees together with the costs of the suit; and
78	78
79	79	(2) Bring proceedings to enjoin the unlawful practices, and, if the decree is for the plaintiff, the plaintiff shall be awarded reasonable attorneys' fees together with the costs of the suit.
80	80
81	81	(b) The remedies provided in subsection (a) shall be applied in class action and de facto class action lawsuits or proceedings; provided that:
82	82
83	83	(1) The minimum $1,000 recovery provided in subsection (a) shall not apply in a class action or de facto class action lawsuit;
84	84
85	85	(2) That portion of threefold damages in excess of compensatory damages shall be apportioned and allocated by the court in its exercise of discretion so as to promote effective enforcement of this part and deterrence from violation of its provisions; and
86	86
87	87	(3) Damages awarded shall not exceed $10,000,000.
88	88
89	89	(c) The remedies provided in this section are cumulative and may be brought in one action.
90	90
91	91	(d) In addition to any other remedy provided by law, the attorney general may file a petition for injunctive relief against any corporation, organization, or individual who violates this part.
92	92
93	93	§481B- Penalties. Any corporation, organization, or individual found to be in violation of this part shall be subject to a civil penalty of no more than $5,000,000."
94	94
95	95	SECTION 3. This Act shall take effect upon its approval.
96	96
97	97
98	98
99	99	INTRODUCED BY: _____________________________
100	100
101	101	INTRODUCED BY:
102	102
103	103	_____________________________
104	104
105	105
106	106
107	107
108	108
109	109	Report Title: Artificial Intelligence; Chatbots; Unfair or Deceptive Practices; Penalties Description: Requires corporations, organizations, or individuals engaging to commercial transactions or trade practices to clearly and conspicuously notify consumers when the consumer is interacting with an artificial intelligence chatbot or other technology capable of mimicking human behaviors. Authorizes private rights of action. Establishes statutory penalties. The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.
110	110
111	111
112	112
113	113
114	114
115	115	Report Title:
116	116
117	117	Artificial Intelligence; Chatbots; Unfair or Deceptive Practices; Penalties
118	118
119	119
120	120
121	121	Description:
122	122
123	123	Requires corporations, organizations, or individuals engaging to commercial transactions or trade practices to clearly and conspicuously notify consumers when the consumer is interacting with an artificial intelligence chatbot or other technology capable of mimicking human behaviors. Authorizes private rights of action. Establishes statutory penalties.
124	124
125	125
126	126
127	127
128	128
129	129
130	130
131	131	The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.