Oregon’s AI Guidance: Old Laws in Scope for New AI
The Oregon Attorney General’s Office, in conjunction with the state’s Department of Justice, has issued guidance regarding the application of existing state laws to the use of Artificial Intelligence (AI) by businesses. Released late last year, this guidance emphasizes the need for companies to understand how their use of AI may be regulated under current legislation.
Key Laws Affecting AI Usage
The guidance highlights several Oregon state laws that may apply to a company’s use of AI, including:
- Consumer Privacy Act – Oregon’s comprehensive privacy law that mandates transparency regarding the use of personal information.
- Unlawful Trade Practices Act – Prohibits deceptive practices in commerce.
- Equality Act – Addresses discrimination based on protected characteristics.
- Consumer Information Protection Act – Focuses on data security and the handling of personal information.
Key Takeaways from the Guidance
Several important considerations have been outlined in the guidance that companies must adhere to when implementing AI technologies:
- Notice: Companies must disclose how they use personal information with AI tools. Failure to do so could be viewed as a violation of Oregon’s privacy laws, particularly if there are known issues with AI tools that could mislead users.
- Choice: Under the Consumer Privacy Act, consent is required before processing sensitive information. Companies must provide consumers with the ability to withdraw consent and opt out of AI profiling for significant decisions.
- Transparency: Organizations must be clear about when users are interacting with AI tools and avoid misleading claims regarding the capabilities of AI. For instance, using AI-generated voices in robocalls without disclosing the caller’s identity could lead to legal issues.
- Bias: Any AI application that discriminates based on race, gender, or other protected characteristics is in violation of the Equality Act. Companies are urged to ensure their AI solutions do not perpetuate bias.
- Security: The guidance insists that organizations comply with data security laws when using AI tools that incorporate personal information, emphasizing the need for “reasonable safeguards” to protect such data.
This comprehensive approach to AI regulation in Oregon serves as a crucial reminder for businesses to remain vigilant about their legal obligations while leveraging new technologies. As AI continues to evolve, understanding the intersection of technology and law will be paramount for organizations seeking to innovate responsibly.
