AI Frontier Institute

CONSUMER FRAUD-AI DISCLOSURE

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Illinois SB2995, introduced January 27, 2026 by Sen. Rachel Ventura, amends the Consumer Fraud and Deceptive Business Practices Act by adding Section 2MMMM (815 ILCS 505/2MMMM). The bill establishes three core requirements for businesses using AI in commercial communications: (1) Under subsection (b), a person may not use AI to communicate with consumers in a way that could mislead a reasonable consumer into believing they are engaging with a human, unless the consumer is notified in a clear and conspicuous manner that they are not. (2) Under subsection (c), a person may not use AI to sell or offer to sell goods or services unless the consumer is clearly notified that AI is being used and is given the option to request more information about that specific AI use. (3) Under subsection (d), a business entity using AI to communicate with consumers must give those consumers the option to communicate with a human during ordinary business hours, and may not prohibit such requests or charge a fee for human communication. Subsection (e) designates any violation of these provisions as an unlawful practice under the Act. The bill uses the definition of 'artificial intelligence' as set forth in Section 2-101 of the Illinois Human Rights Act.

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