The bill improves transparency and safety for minors interacting with chatbots and gives regulators enforcement powers, but it raises compliance and legal costs for providers, may restrict features for ambiguous‑age users, and limits state-level policy options.
Children and teens (and their parents/schools) will get clearer, safer chatbot interactions because chatbots must disclose they are AI, use age‑appropriate language, provide crisis hotline resources for suicidal ideation, and a 4‑year NIH study will track minor mental‑health impacts to inform future safety improvements.
Consumers (including minors) are better protected against deceptive counseling or medical advice because chatbots are prohibited from claiming to be licensed professionals unless they actually are.
Consumers and states gain enforcement tools—FTC authority plus state parens patriae suits—giving regulators and state attorneys general avenues to stop deceptive practices and seek restitution for harmed users.
Chatbot providers (including small vendors) will incur compliance costs to implement disclosures, monitoring, and safety policies, which could raise consumer prices or reduce availability of free services.
Providers face legal uncertainty and increased litigation risk from broad FTC enforcement and state lawsuits, which could chill innovation or raise legal costs for startups and chatbot developers.
Users of uncertain age (and some minors) may lose features or personalization because firms may adopt conservative defaults or age‑verification practices to avoid liability, reducing access and user experience.
Based on analysis of 2 sections of legislative text.
Requires chatbots to disclose they are AI, provide crisis resources on suicide queries, forbid false claims of being licensed professionals, and sets safety policies for minors; FTC and states enforce.
Introduced December 5, 2025 by Erin Houchin · Last progress December 5, 2025
Prohibits chatbot providers from falsely claiming a chatbot is a licensed professional, requires clear, age‑appropriate disclosures that a chatbot is an AI system and that suicide/crisis resources are available, and mandates policies to limit prolonged continuous interaction and address sexual content, gambling, and illegal substances for covered users. The Federal Trade Commission enforces these rules and may apply FTC Act penalties, and state attorneys general may sue as parens patriae after notifying the FTC; key consumer-protection requirements take effect one year after enactment.