HB516 Alabama 2025 Session

Updated Feb 23, 2026

High Interest

Summary

Primary Sponsor: Prince ChestnutRepresentative
Democrat
Session: 2025 Regular Session
Title: Consumer protection, use of a computer to interact with a consumer when consumer believes the interaction is with a human is an unlawful trade practice
Summary: The bill makes it illegal to use chatbots or other computer-based interactions in a way that could mislead a consumer into thinking they are talking to a real person during a commercial transaction.
What This Bill Does
It adds a new unlawful deceptive trade practice to Alabama law: using a computer to interact with a consumer in a way that deceives them into reasonably believing they are interacting with a human. It covers chatbots, AI agents, avatars, and similar technologies, and requires clear notification when the interaction is with a non-human. The change takes effect on October 1, 2025 and builds on the existing list of deceptive acts.

Who It Affects
Consumers in Alabama who interact with businesses through AI chat interfaces, chatbots, or other non-human agents in commercial transactions (protected from deceptive practices).
Businesses, retailers, and service providers that use chatbots or AI to interact with consumers (must disclose non-human interactions and avoid deception).

Key Provisions
Adds a new unlawful deceptive trade practice: using a computer to interact with a consumer in a manner that deceives them into believing they are interacting with a human.
In chatbot/AI/avatar interactions, requires clear and conspicuous disclosure that the consumer is interacting with a non-human, or otherwise prevents deception about human interaction.
Applies to chatbots, AI agents, avatars, and other computer technologies in the conduct of a commercial transaction, considered under the reasonable perception of a human interaction.
Effective date: October 1, 2025.

AI-generated summary using openai/gpt-5-nano on Feb 22, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Consumer Protection