New York Personalized Algorithmic Pricing Disclosure (S 3008, 2025)
In effect since
Overview
Requires businesses to disclose when personalized pricing is set by an algorithm using personal data so consumers know their price may differ from what others see. Often tied to the 2025 budget chapter. Confirm exemptions and line items against the enrolled chapter law.
This is an AI-specific state law.
Who this applies to
This regulation applies to companies that use or deploy AI tools and systems built by other vendors. If your company uses AI-powered products in the areas listed below, this regulation may apply to you.
AI categories covered
- Consumer-facing AI
Specific AI use cases:
- Dynamic and algorithmic pricing
What this requires you to do
Disclosure to users required
Disclose AI use. Make it clear to users when they are interacting with AI-generated content or AI-driven systems.
Transparency notice required
Provide transparency notices. Inform affected individuals that AI is being used and how it influences decisions.
Consumer notification required
Notify consumers. Inform consumers about how AI affects decisions that impact them.
Enforcement and penalties
Enforced exclusively by the New York Attorney General, with civil penalties up to $1,000 per violation after applicable notice and cure procedures.
Source
Read the full text
https://www.nysenate.gov/legislation/bills/2025/S3008
Always verify current language and amendments at the official source.
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