...r attention on foreign 22 persons engaging in any of the following: 23 (1) Artificial intelligence, machine learning, au- 24 tonomy, and related advances. 25 VerDate Sep 11 2014 16:25 May 16, 2024 Jkt 049200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\H7476.IH H7476ssavage on LAPJG3WLY3PROD with BILLS33 •HR 747...

... 21 I think should concern us . . . One, it gives them 22 the ability to control the recommendation algorithm 23 which allows them to manipulate content and if they 24 want to, to use it for influence operations which are 25 VerDate Sep 11 2014 16:25 May 16, 2024 Jkt 049200 PO 00000 Frm 00319 Fmt 6652 Sfmt 6...

...ns other than an individual's ability to physically impersonate the depicted individual, including artificial intelligence; - 2 - 012257 (4) "Political advertisement" means an advertisement or sponsored content involving a candidate for federal, state, or local office in this state, an election to federal,...

...mpaign committee and contains visual or audio media partially or wholly generated with the use of artificial intelligence. The term does not include an advertisement or content that is a satire or parody; and (5) "Political campaign committee" has the same meaning as defined in § 2-10-102. (b) (1) In additi...

...and conspicuously contain a statement that the advertisement was partially or wholly generated by artificial intelligence as follows: (A) If the advertisement is a text or graphic communication, the statement must appear in letters at least as large as the majority of the text in the communication; (B) If the a...

... other entity creates, publishes, or distributes a communication partially or wholly generated by artificial intelligence that references an election, candidate, or ballot question and is not a political advertisement, the communication must contain the following disclaimer: THIS COMMUNICATION WAS GENERATED IN WHOLE O...

...han December 31, 2025, and annually thereafter, conduct an inventory of 19 all systems that employ artificial intelligence and are in use by any agency. Each 20 inventory shall include, but not be limited to, the following i nformation for each such 21 system: 22 (A) The name of the system and the vendor, if any, that ...

...opment, procurement, implementation, utiliz ation, and ongoing 30 assessment of systems that employ artificial intelligence and a re in use by agencies. Such 31 policies and procedures shall, at a minimum: 32 (A) Govern the procurement, implementation, and ongoing assess ment of such systems 33 by agencies; and 34 (B) ...

... or group of individuals. 36 (c) The authority shall prepare an annual report on the invent ory of artificial intelligence 37 in use by agencies, as provided for in paragraph (1) of subsect ion (b) of this Code section. 38 Such report shall be provided to the Governor, Lieutenant Gover nor, and members of the 39 House of...

... 147 - 1 -25 LC 56 0266 environments, abstract such perceptions into models through ana lysis in an automated 16 manner, and use model inference to formulate options for inform ation or action. 17 (b) The authority shall: 18 (1) Not later than December 31, 2025, and annually thereafter, conduct an invento...

...omated decision system" 12 includes algorithms and computational processes that are derived from 13 machine learning, statistics, data processing, or artificial 14 intelligence. 15 (3) "Automated decision system output" means information, data, 16 assumptions, predictions, scoring, recommendations, decisions, or 17...

..., such as 29 proxy, derivative, inferred, or emergent data by any means, including 30 algorithms or machine learning. 31 NEW SECTION. Sec. 2. Subject to the prohibitions of section 4 32 of this act, an employer may not engage in electronic monitoring of 33 an employee unless all of the following requirements are...

...16 assumptions, predictions, scoring, recommendations, decisions, or 17 conclusions generated by an automated decision system. 18 (4) "Biometric data" means data that is generated from the 19 measurement or technological processing of an individual's 20 physiological, biological, or behavioral characteristic...

...oses of employee monitoring. 39 p. 6 SHB 1672NEW SECTION. Sec. 6. (1) An employer may not use an automated 1 decision system in a manner that: 2 (a) Violates state or federal law; 3 (b) Makes predictions about an employee's behavior that are 4 unrelated to the employee's essential job functions; 5 (c) Ide...

...s customer or client data, including customer or client 10 reviews and feedback, as an input of the automated decision system. 11 (2)(a) An employer may not solely rely on outputs from an 12 automated decision system when making employment-related decisions. 13 (b) An employer may utilize an automated decis...

... of the automated decision system. 11 (2)(a) An employer may not solely rely on outputs from an 12 automated decision system when making employment-related decisions. 13 (b) An employer may utilize an automated decision system in 14 making employment-related decisions if: 15 (i) The automated decision syste...

...tomated decision system when making employment-related decisions. 13 (b) An employer may utilize an automated decision system in 14 making employment-related decisions if: 15 (i) The automated decision system outputs considered in making 16 the employment-related decision are corroborated by human oversight ...

...r may utilize an automated decision system in 14 making employment-related decisions if: 15 (i) The automated decision system outputs considered in making 16 the employment-related decision are corroborated by human oversight 17 of the employee, including supervisory or managerial observations and 18 documen...

...s with the employee's coworkers; 20 (ii) The employer has conducted an impact assessment of the 21 automated decision system pursuant to section 7 of this act; and 22 (iii) The employer is in compliance with the notice requirements 23 of section 3 of this act. 24 (3) An employer may not use any automated d...

...liance with the notice requirements 23 of section 3 of this act. 24 (3) An employer may not use any automated decision system outputs 25 regarding an employee's physical or mental health in relation to an 26 employment-related decision. 27 (4) Automated decision systems used by an employer may not 28 incorpo...

...l, gait, or emotion recognition 29 technology. 30 NEW SECTION. Sec. 7. (1) Prior to utilizing an automated 31 decision system, an employer shall create a written impact assessment 32 of the system that includes, at a minimum: 33 (a) A detailed description of the automated decision system and 34 its purpos...

...mpact assessment 32 of the system that includes, at a minimum: 33 (a) A detailed description of the automated decision system and 34 its purpose; 35 (b) A description of the data utilized by the system; 36 (c) A description of the outputs produced by the system and the 37 types of employment-related decision...

...ment required pursuant to 29 this section any time a significant change or update is made to the 30 automated decision system. 31 NEW SECTION. Sec. 8. (1) An employer, any person that develops, 32 operates, or maintains electronic monitoring or an automated decision 33 system on behalf of an employer, and...

.... (1) An employer, any person that develops, 32 operates, or maintains electronic monitoring or an automated decision 33 system on behalf of an employer, and any person who collects, stores, 34 analyzes, interprets, disseminates, or otherwise uses data produced 35 or utilized by electronic monitoring or an ...

...rprets, disseminates, or otherwise uses data produced 35 or utilized by electronic monitoring or an automated decision system 36 shall implement reasonable security procedures and practices 37 appropriate to the nature of the data to protect employees' personal 38 p. 8 SHB 1672information from unauthorized o...

...or disclosure. 2 (2) Any person that develops, operates, or maintains electronic 3 monitoring or an automated decision system on behalf of an employer 4 and any person who collects, stores, analyzes, interprets, 5 disseminates, or otherwise uses data produced or utilized by 6 electronic monitoring or an auto...

...prets, 5 disseminates, or otherwise uses data produced or utilized by 6 electronic monitoring or an automated decision system on behalf of an 7 employer shall, upon termination of the contract with the employer: 8 (a) Return all data and automated decision system outputs to the 9 employer; and 10 (b) Destroy...

... an 7 employer shall, upon termination of the contract with the employer: 8 (a) Return all data and automated decision system outputs to the 9 employer; and 10 (b) Destroy all data and automated decision system outputs in the 11 person's possession. 12 (3) An employer shall, upon request, provide an employee...

...n all data and automated decision system outputs to the 9 employer; and 10 (b) Destroy all data and automated decision system outputs in the 11 person's possession. 12 (3) An employer shall, upon request, provide an employee with any 13 data that relates to the employee that was produced or utilized by 14 el...

...3 data that relates to the employee that was produced or utilized by 14 electronic monitoring or an automated decision system used by the 15 employer. 16 NEW SECTION. Sec. 9. An employer may not discharge or in any 17 other manner retaliate against an employee who exercises or attempts 18 to exercise the ...

...f a 8 set of steps used to accomplish a determined task. 9 (2) "Automated decision system" means an algorithm or 10 computational process that is used to make or assist in making 11 decisions, judgments, or conclusions. "Automated decision system" 12 includes algorithms and computational processes that are d...

...process (including one derived from ma- 8 chine learning, statistics, or other data processing or 9 artificial intelligence techniques and excluding pas- 10 sive computing infrastructure) that uses computa- 11 tion, the result of which serves as a basis for a deci- 12 sion or judgment. 13 (3) B IOMETRICS .—The term ‘‘biom...

...cy, privacy policy, humanities 14 and social sciences, product management, 15 software engineering, machine learning, 16 statistics, or other related fields to enable 17 the Bureau to perform its duties. 18 (ii) M INIMUM APPOINTMENTS .—Not 19 later than 2 years after the date of enact- 20 ment of this Act, the Chai...

...RESS 1STSESSION S. 2892 To direct the Federal Trade Commission to require impact assessments of automated decision systems and augmented critical decision processes, and for other purposes. IN THE SENATE OF THE UNITED STATES SEPTEMBER 21, 2023 Mr. W YDEN (for himself, Mr. B OOKER , Mr. H EINRICH , Mr....

...nd Transportation A BILL To direct the Federal Trade Commission to require impact assessments of automated decision systems and aug-mented critical decision processes, and for other pur-poses. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembl...

...ted critical decision proc- 2 ess’’ means a process, procedure, or other activity 3 that employs an automated decision system to make 4 a critical decision. 5 (2) A UTOMATED DECISION SYSTEM .—The term 6 ‘‘automated decision system’’ means any system, 7 software, or process (including one derived from ma- 8 c...

...ated decision system to make 4 a critical decision. 5 (2) A UTOMATED DECISION SYSTEM .—The term 6 ‘‘automated decision system’’ means any system, 7 software, or process (including one derived from ma- 8 chine learning, statistics, or other data processing or 9 artificial intelligence techniques and excluding...

...on on DSK7ZCZBW3PROD with $$_JOB4 •S 2892 ISvices for the purpose of developing or 1 deploying any automated decision sys- 2 tem or augmented critical decision 3 process; or 4 (III) is substantially owned, oper- 5 ated, or controlled by a person, part- 6 nership, or corporation that meets the 7 requirements...

...s (2) and (3) of section 21 448(c) of the Internal Revenue Code 22 of 1986; and 23 (II) deploys any automated deci- 24 sion system that is developed for im- 25 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB...

...CT ASSESSMENT .—The term ‘‘impact 19 assessment’’ means the ongoing study and evalua- 20 tion of an automated decision system or augmented 21 critical decision process and its impact on con- 22 sumers. 23 (13) P ASSIVE COMPUTING INFRASTRUCTURE .— 24 The term ‘‘passive computing infrastructure’’ means 25 VerD...

...e results of any decision or 21 judgment that results from a covered entity’s deploy- 22 ment of an automated decision system or augmented 23 critical decision process. 24 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD...

...de, 1 that— 2 (A) require each covered entity to perform 3 impact assessment of any— 4 (i) deployed automated decision sys- 5 tem that was developed for implementation 6 or use, or that the covered entity reason- 7 ably expects to be implemented or used, in 8 an augmented critical decision process by 9 any p...

...ormation described in section 4(a) 19 for 3 years longer than the duration of time for 20 which the automated decision system or aug- 21 mented critical decision process is deployed; 22 (C) require each person, partnership, or 23 corporation that meets the requirements de- 24 scribed in section 2(7)(A)(i) to...

...corporation that sells, licenses, or 2 otherwise provides through a commercial rela- 3 tionship any automated decision system de- 4 ployed by the covered entity in an automated 5 decision system or augmented critical decision 6 process; 7 (D) require each covered entity to submit 8 to the Commission, on an a...

... commercial rela- 3 tionship any automated decision system de- 4 ployed by the covered entity in an automated 5 decision system or augmented critical decision 6 process; 7 (D) require each covered entity to submit 8 to the Commission, on an annual basis, a sum- 9 mary report for ongoing impact assessment of ...

...mmission, on an annual basis, a sum- 9 mary report for ongoing impact assessment of 10 any deployed automated decision system or aug- 11 mented critical decision process; 12 (E) require each covered entity to submit 13 an initial summary report to the Commission 14 for any new automated decision system or au...

...require each covered entity to submit 13 an initial summary report to the Commission 14 for any new automated decision system or aug- 15 mented critical decision process prior to its de- 16 ployment by the covered entity; 17 (F) allow any person, partnership, or cor- 18 poration over which the Commission has...

...der section 5(a)(2) of the Federal 20 Trade Commission Act (15 U.S.C. 45(a)(2)) 21 that deploys any automated decision system or 22 augmented critical decision process, but is not 23 a covered entity, to submit to the Commission 24 a summary report for any impact assessment 25 VerDate Sep 11 2014 04:13 Sep 2...

...overed entity status; 21 (K) establish guidelines for a covered enti- 22 ty to prioritize different automated decision sys- 23 tems and augmented critical decision processes 24 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW...

...on— 9 (A) shall take into consideration— 10 (i) that certain assessment or docu- 11 mentation of an automated decision system 12 or augmented critical decision process may 13 only be possible at particular stages of the 14 development and deployment of such sys- 15 tem or process or may be limited or not 16 ...

...y require 16 information from other persons, partner- 17 ships, or corporations that develop any 18 automated decision system deployed in an 19 automated decision system or augmented 20 critical decision process by the covered en- 21 tity for the purpose of performing impact 22 assessment; and 23 VerDate Sep...

... partner- 17 ships, or corporations that develop any 18 automated decision system deployed in an 19 automated decision system or augmented 20 critical decision process by the covered en- 21 tity for the purpose of performing impact 22 assessment; and 23 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00...

...category devel- 6 oped by the Commission; and 7 (ii) stages of development and deploy- 8 ment of an automated decision system or 9 augmented critical decision process. 10 (3) E FFECTIVE DATE .—The regulations de- 11 scribed in paragraph (1) shall take effect on the 12 date that is 2 years after such regulati...

...IMPACT ASSESSMENT .—In 17 performing any impact assessment required under section 18 3(b)(1) for an automated decision system or augmented 19 critical decision process, a covered entity shall do the fol-20 lowing, to the extent possible, as applicable to such cov-21 ered entity as determined by the Commissio...

... of and need for 11 the augmented critical decision process; and 12 (D) the intended purpose of the automated 13 decision system or augmented critical decision 14 process. 15 (2) Identify and describe any consultation with 16 relevant stakeholders as required by section 17 3(b)(1)(G), including by documentin...

...ible develop- 14 ment of any guard rail for or limitation on certain 15 uses or applications of the automated decision sys- 16 tem or augmented critical decision process, including 17 whether such uses or applications ought to be pro- 18 hibited or otherwise limited through any terms of 19 use, licensing agr...

...ation 22 of any data or other input information used to de- 23 velop, test, maintain, or update the automated deci- 24 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00021 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB22 •S 2892 ISsion system or augmented cr...

...ommission 5 in section 3(b)(1)(I)(iii). 6 (9) Identify any likely material negative impact 7 of the automated decision system or augmented crit- 8 ical decision process on consumers and assess any 9 applicable mitigation strategy, such as by— 10 (A) identifying and measuring any likely 11 material negative i...

...ibe any ongoing documentation of 13 the development and deployment process with re- 14 spect to the automated decision system or aug- 15 mented critical decision process, including informa- 16 tion such as— 17 (A) the date of any testing, deployment, li- 18 censure, or other significant milestones; and 19 (B...

...S S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB27 •S 2892 ISnecessary or beneficial to improving the automated 1 decision system, augmented critical decision process, 2 or the impact assessment of such system or process, 3 in areas such as— 4 (A) performance, including accuracy, 5 robustness, and reliability;...

...th such requirements, which may in- 22 clude— 23 (A) the absence of certain information 24 about an automated decision system developed 25 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00027 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB28 •S 2892 ISby othe...

...ers, licensees, part- 4 ners, and other persons, partnerships, or cor- 5 porations are deploying an automated decision 6 system in their augmented critical decision 7 processes; 8 (C) a lack of demographic or other data 9 required to assess differential performance be- 10 cause such data is too sensitive to ...

...covered entity is required 11 to submit under subparagraph (D) or (E) of section 12 3(b)(1) for any automated decision system or augmented 13 critical decision process shall, to the extent possible— 14 (1) contain information from the impact assess- 15 ment of such system or process, as applicable, in- 16 cl...

...nson on DSK7ZCZBW3PROD with $$_JOB30 •S 2892 IS(C) the covered entity’s intended purpose 1 for the automated decision system or aug- 2 mented critical decision process; 3 (D) an identification of any stakeholders 4 consulted by the covered entity as required by 5 section 3(b)(1)(G) and documentation of the ...

...e stakeholders and the covered entity; 8 (E) documentation of the testing and eval- 9 uation of the automated decision system or aug- 10 mented critical decision process, including— 11 (i) the methods and technical and 12 business metrics used to assess the per- 13 formance of such system or process and a 14...

...2 IS(F) any publicly stated guard rail for or 1 limitation on certain uses or applications of the 2 automated decision system or augmented crit- 3 ical decision process, including whether such 4 uses or applications ought to be prohibited or 5 otherwise limited through any terms of use, li- 6 censing agreeme...

...ion about the data or other 9 input information used to develop, test, main- 10 tain, or update the automated decision system 11 or augmented critical decision process includ- 12 ing— 13 (i) how and when the covered entity 14 sourced such data or other input informa- 15 tion; and 16 (ii) why such data or oth...

...al to improve the perform- 22 ance of impact assessment or the development 23 and deployment of any automated decision sys- 24 tem or augmented critical decision process that 25 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZB...

...regated statis- 23 tics, and anonymized lessons learned about per- 24 forming impact assessments of automated decision 25 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00033 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB34 •S 2892 ISsystems or augmented cri...

...icly accessible repository designed to 13 publish a limited subset of the information 14 about each automated decision system and 15 augmented critical decision process for 16 which the Commission received a summary 17 report under subparagraph (D), (E), or 18 (F) of section 3(b)(1) in order to facilitate 19...

...repos- 4 itory established under subparagraph (A) are— 5 (i) to inform consumers about the use 6 of automated decision systems and aug- 7 mented critical decision processes; 8 (ii) to allow researchers and advocates 9 to study the use of automated decision sys- 10 tems and augmented critical decision proc- 1...

...mented critical decision processes; 8 (ii) to allow researchers and advocates 9 to study the use of automated decision sys- 10 tems and augmented critical decision proc- 11 esses; and 12 (iii) to ensure compliance with the re- 13 quirements of this Act. 14 (C) C ONSIDERATIONS .—In establishing the 15 reposit...

...roviding such information; 22 (ii) what information, if any, to in- 23 clude regarding the specific automated de- 24 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00035 Fmt 6652 Sfmt 6201 E:\BILLS\S2892.IS S2892kjohnson on DSK7ZCZBW3PROD with $$_JOB36 •S 2892 IScision systems deployed in th...

...t- 1 egory of the critical decision; 2 (III) any publicly stated prohib- 3 ited applications of the automated de- 4 cision system or augmented critical 5 decision process, including whether 6 such prohibition is enforced through 7 any terms of use, licensing agreement, 8 or other legal agreement between enti...

...ormation sharing and enforcement ac-22 tions taken regarding the development or deployment of 23 an automated decision system to make a critical decision 24 or of an augmented critical decision process. Such agree-25 VerDate Sep 11 2014 04:13 Sep 23, 2023 Jkt 039200 PO 00000 Frm 00044 Fmt 6652 Sfmt 6201 E:\B...

... Federal law within such agencies’ ju-4 risdictions regarding the development or deployment of an 5 automated decision system to make a critical decision or 6 of an augmented critical decision process by a covered en-7 tity. 8 SEC. 9. ENFORCEMENT. 9 (a) E NFORCEMENT BY THE COMMISSION .— 10 (1) U NFAIR OR DEC...

...idance on 8 how the head of an agency can— 9 (A) use technology (including algorithmic 10 tools and artificial intelligence) to more effi- 11 ciently, cost-effectively, and accurately conduct 12 any retrospective review of the existing regula- 13 tions of the agency, including how to identify, 14 procure, and use such tec...

...image, or likeness of an actual 15individual created using a computer, algorithm, software, 16tool, artificial intelligence, or other technology that is 17fixed in a sound recording or audiovisual work in which that 18individual did not actually perform or appear, and which a 19reasonable person would believe is that part...

...d believe is that particular 20individual's voice, image, or likeness being imitated.21 "Generative artificial intelligence" means an automated 22computing system that, when prompted with human prompts, 23descriptions, or queries, can produce outputs that simulate 24human-produced content, including, but not limited to, t...

...ividual's voice, image, or likeness being imitated.21 "Generative artificial intelligence" means an automated 22computing system that, when prompted with human prompts, 23descriptions, or queries, can produce outputs that simulate 24human-produced content, including, but not limited to, the 25following:26 (1...

...representation of the voice, image, or likeness of an actual 15individual created using a computer, algorithm, software, 16tool, artificial intelligence, or other technology that is 17fixed in a sound recording or audiovisual work in which that 18individual did not actually perform or appear, and which a 19r...

...utational process, in- 8 cluding a computational process derived from ma- 9 chine learning or other artificial intelligence tech- 10 niques, that processes data to recommend or set a 11 price or commercial term that is in or affecting 12 interstate or foreign commerce. 13 SEC. 3. COMPETITION LAW ENFORCEMENT AUDIT. 14 (a) ...

...r independent con- 5 tractor for services provided. 6 (9) P RICING ALGORITHM .—The term ‘‘pricing 7 algorithm’’ means any computational process, in- 8 cluding a computational process derived from ma- 9 chine learning or other artificial intelligence tech- 10 niques, that processes data to recommend or set a ...

... COMPETITION LAW ENFORCEMENT AUDIT. 14 (a) I NGENERAL .—A person using or distributing a 15 pricing algorithm, upon a written request by the Attorney 16 General or the Commission, shall, not later than 30 days 17 after the date of the written request, or any later date 18 approved by the Attorney General or ...

...ation on whether the person is re- 1 sponsible for the development or distribution of the 2 pricing algorithm, or whether a third party is re- 3 sponsible for the development or distribution of the 4 pricing algorithm, including the identity and contact 5 information of any other person responsible for the 6...

...m, or whether a third party is re- 3 sponsible for the development or distribution of the 4 pricing algorithm, including the identity and contact 5 information of any other person responsible for the 6 development or distribution of the pricing algorithm; 7 (2) information on whether the pricing algo- 8 rith...

... 5 information of any other person responsible for the 6 development or distribution of the pricing algorithm; 7 (2) information on whether the pricing algo- 8 rithm autonomously sets prices or commercial terms 9 and whether there is human review of any rec- 10 ommendation or decision of the pricing algorith...

...ial terms 9 and whether there is human review of any rec- 10 ommendation or decision of the pricing algorithm; 11 (3) an explanation of the rules or processes that 12 the pricing algorithm uses to set or recommend 13 prices or commercial terms; 14 (4) a description of all data the pricing algo- 15 rithm uses...

...ision of the pricing algorithm; 11 (3) an explanation of the rules or processes that 12 the pricing algorithm uses to set or recommend 13 prices or commercial terms; 14 (4) a description of all data the pricing algo- 15 rithm uses to set or recommend prices or commer- 16 cial terms, including data used to tr...

...d collection processes, includ- 19 ing the frequency of collection, of any data that the 20 pricing algorithm uses to set or recommend prices or 21 commercial terms; 22 (6) whether the pricing algorithm engages in 23 price discrimination by setting or recommending dif- 24 ferent prices or commercial terms fo...

...ricing algorithm uses to set or recommend prices or 21 commercial terms; 22 (6) whether the pricing algorithm engages in 23 price discrimination by setting or recommending dif- 24 ferent prices or commercial terms for— 25 VerDate Sep 11 2014 18:00 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201...

...iating among such employees or independent 8 contractors; and 9 (7) any changes made to the pricing algorithm 10 between the date of receipt of the request under sub- 11 section (a) and the date of certification under sub- 12 section (c). 13 (c) C ERTIFICATION OF REPORT .—The Chief Execu- 14 tive Officer, Ch...

...5 GORITHMS. 6 (a) I NGENERAL .—It shall be unlawful for a person 7 to use or distribute any pricing algorithm that uses, incor-8 porates, or was trained with nonpublic competitor data. 9 (b) C IVIL ACTION .—If the Commission or the Attor- 10 ney General has reason to believe that a person has vio-11 lated su...

...inues to occur; or 21 (B) the sum of the price of each product 22 or service sold using the pricing algorithm in 23 violation of subsection (a); and 24 VerDate Sep 11 2014 18:00 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S232.IS S232ssavage on LAPJG3WLY3PROD with BILLS9 •S 232 IS...

... ALGORITHMIC PRICE FIXING. 6 (a) P RESUMPTION OF AGREEMENT .—With respect to 7 the use of a pricing algorithm that would violate section 8 4 of this Act, there shall be a presumption for purposes 9 of section 1 of the Sherman Act (15 U.S.C. 1) that the 10 defendant entered into an agreement, contract, combin...

...ce in the 20 same market or a related market; or 21 (B) and 2 or more persons used the pric- 22 ing algorithm to set or recommend a price or 23 commercial term of a product or service in the 24 same market or a related market; or 25 VerDate Sep 11 2014 18:00 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00009 Fmt 665...

...\S232.IS S232ssavage on LAPJG3WLY3PROD with BILLS10 •S 232 IS(2)(A) the defendant used the pricing algorithm 1 to set or recommend a price or commercial term of 2 a product or service; and 3 (B) the pricing algorithm was used by another 4 person to set or recommend a price or commercial 5 term of a product ...

...m 1 to set or recommend a price or commercial term of 2 a product or service; and 3 (B) the pricing algorithm was used by another 4 person to set or recommend a price or commercial 5 term of a product or service in the same market or 6 a related market. 7 (b) R EBUTTAL .—The presumption under subsection 8 (a...

...n 8 (a) shall not apply to a defendant if the defendant did 9 not develop or distribute the pricing algorithm and the de-10 fendant demonstrates by clear and convincing evidence 11 that the defendant did not have actual knowledge or could 12 not have reasonably known that the pricing algorithm used 13 nonpub...

... the defendant did not have actual knowledge or could 12 not have reasonably known that the pricing algorithm used 13 nonpublic competitor data. 14 (c) J OINT AND SEVERAL LIABILITY .—In a civil case 15 in which the presumption under subsection (a) is applica-16 ble, any persons that distributed the pricing a...

...ch the presumption under subsection (a) is applica-16 ble, any persons that distributed the pricing algorithm and 17 knew, or could reasonably have known, that the pricing 18 algorithm would use, incorporate, or be trained with non-19 public competitor data shall be jointly and severally liable 20 for any vi...

... distributed the pricing algorithm and 17 knew, or could reasonably have known, that the pricing 18 algorithm would use, incorporate, or be trained with non-19 public competitor data shall be jointly and severally liable 20 for any violation of section 1 of the Sherman Act (15 21 U.S.C. 1) or section 5(a) of...

.... 7 (a) I NGENERAL .—Any person that has $5,000,000 8 or more in annual revenue that uses a pricing algorithm 9 to recommend or set a price or commercial term shall 10 clearly disclose, as applicable— 11 (1) to a customer, before the customer pur- 12 chases the relevant product or service, that the price 13 ...

...ice, that the price 13 or a commercial term, as applicable, is set or rec- 14 ommended by a pricing algorithm; and 15 (2) to a current or prospective employee or 16 independent contractor that the price or a commer- 17 cial term for services rendered as an employee or 18 independent contractor is set or reco...

...services rendered as an employee or 18 independent contractor is set or recommended by a 19 pricing algorithm. 20 (b) A DDITIONAL DISCLOSURES .— 21 (1) P RICE DISCRIMINATION .—If applicable, a 22 disclosure under subsection (a) shall state that the 23 pricing algorithm sets or recommends different 24 prices ...

...ISCRIMINATION .—If applicable, a 22 disclosure under subsection (a) shall state that the 23 pricing algorithm sets or recommends different 24 prices or commercial terms for— 25 VerDate Sep 11 2014 18:00 Feb 19, 2025 Jkt 059200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\S232.IS S232ssavage on LAPJG3WLY3PR...

... ALGORITHM .—If applicable, a 5 disclosure under subsection (a) shall— 6 (A) state that the pricing algorithm was 7 developed or distributed by a person other than 8 the person making the disclosure; and 9 (B) provide the identity of the person that 10 developed or distributed the pricing algorithm. 11 (c) E...

...sclosure; and 9 (B) provide the identity of the person that 10 developed or distributed the pricing algorithm. 11 (c) E NFORCEMENT .—Failure to provide a disclosure 12 under subsection (a), including the information required 13 under subsection (b), shall constitute an unfair or decep-14 tive act or practice...