AI Frontier Institute

Relating To Artificial Intelligence.

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Hawaii House Bill 639 (H.B. 639, H.D. 1), introduced in the 33rd Legislature (2025), amends Chapter 481B of the Hawaii Revised Statutes by adding a new part on artificial intelligence chatbots. The bill requires two categories of actors to make clear and conspicuous disclosures: (1) corporations, organizations, or individuals engaged in commercial transactions must inform consumers when they are interacting with an AI chatbot or other technology capable of mimicking human behavior; and (2) chatbot developers that sell, offer for sale, advertise, or make available chatbots must disclose that their products use artificial intelligence and can mimic human behavior. Small businesses that unknowingly use chatbots are exempt from liability unless they have received adequate notice of the requirements and then failed to comply. Violations are classified as unfair or deceptive acts or practices. Injured individuals may sue for the greater of $1,000 or treble damages, plus attorneys' fees; class action damages are capped at $10,000,000. Civil penalties for violations may reach $5,000,000. The Attorney General and Director of the Office of Consumer Protection may also seek injunctive relief. The bill has a placeholder effective date of July 1, 3000 (Section 4), indicating it is not yet finalized for enactment.

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