New Utah AI Laws Change Disclosure Requirements and Identity Protections, Target Mental Health Chatbots
Five new artificial intelligence (AI) bills went into effect in Utah on May 7, 2025. Two of the new bills, SB 226 and SB 332, amend Utah’s Artificial Intelligence Policy Act (AIPA), which went into effect in May 2024. HB 452 creates specific obligations for chatbots in the mental health space, while SB 271 expands existing prohibitions against abuses of personal identity to include AI-generated content. The last bill, SB 180, which is not discussed in this Update, directs state law enforcement agencies to keep a written AI policy and disclose the use of AI to generate police reports.
Utah’s AIPA requires disclosure that a consumer is interacting with generative AI, not a human, if asked by the consumer or if the provider is in a “regulated occupation” (defined as an occupation regulated by the Department of Commerce that requires a person to obtain a license or state certification to practice the occupation, such as a lawyer, therapist, or financial expert).
SB 226 narrows the AIPA disclosure requirements in several significant ways, including:
SB 332 extends the duration of the AIPA, which was scheduled to sunset on May 7, 2025, until July 1, 2027.
HB 452 adds new consumer protections for users of “mental health chatbots” that use AI technology that to engage in interactive conversations with users “similar to the confidential communications that an individual would have with a licensed mental health therapist.” AI technology that merely provides scripted outputs or connects users to human mental health therapists are excluded.
HB 452 imposes a number of requirements on mental health chatbots, including:
Affirmative defense. Mental health chatbot providers may qualify for an affirmative defense to liability if they (1) create, implement, and comply with a written policy that meets certain detailed requirements specified in the statute (which must be filed with the Utah Division of Consumer Protection); and (2) maintain certain documentation regarding the development and implementation of the chatbot, including information describing the training data and foundational models, user data collection and sharing practices, and ongoing efforts to ensure accuracy, reliability, fairness, and safety.
Enforcement. Violations may result in a fine of up to $2,500 per violation, as well as an action in state court for injunctive relief, disgorgement, and additional penalties for each violation of an administrative order up to $5,000 each. There is no private right of action.
Utah’s existing "abuse of personal identity" law already prohibited the nonconsensual commercial use of an individual’s personal identity in advertising that implied approval or endorsement of the subject matter of the advertisement. SB 271 expands the scope of the law to address new risks like deepfakes.
Scope. SB 271 now extends beyond advertising to include use of an individual’s personal identity in fundraising, solicitation of donations, and the purchase of products, merchandise, goods, and services. It also expands the definition of personal identity to include any simulation, reproduction, or artificial recreation of an individual’s picture, portrait, video likeness, voice, or audiovisual appearance created through generative AI, as well as through computer animation, digital manipulation, or other technological means. “Voice” is now defined to include a computer-generated sound that is readily identifiable and attributable to a particular individual. In addition, the amendment also expands the law beyond false endorsement claims to prohibit nonconsensual uses that create a likelihood of confusion or a false impression that the individual participated in or approved the use.
Restrictions on tool providers. Notably, the law now prohibits the knowing sale, distribution, or licensing of any technology, software, or tool whose intended “primary purpose” is the unauthorized creation or modification of content that includes an individual’s personal identity for commercial purposes.
Exemptions. SB 271 includes exceptions designed to protect First Amendment rights (including for newsworthiness, artistic expression, public interest, and parody) and specifically exempts interactive computer services (as defined in Section 230 of the Communications Decency Act) from liability for content provided by another person. While Section 230 generally shields platforms from certain claims relating to third-party content, it does not cover intellectual property rights, and there is a split in authority as to whether right of publicity claims fall under this exclusion. So, it is notable that this statute specifically excludes such liability.
Enforcement. SB 271 maintains the private right of action afforded by Utah’s consumer protection laws against both those who use and publish an individual’s personal identity without authorization. Plaintiffs are entitled to injunctive relief, damages, and reasonable attorneys’ fees.
The information provided is not intended to be a comprehensive review of all developments in the law and practice, or to cover all aspects of those referred to.
Readers should take legal advice before applying it to specific issues or transactions.
Editorial Disclaimer
Originally published before the Ashurst Perkins Coie combination. See disclaimer.