A bill in New Jersey's Assembly would classify AI chatbots as products under state product-liability law. This would expose providers to lawsuits over injuries linked to their systems, including self-harm, even if they had taken reasonable precautions. Assembly Bill A5607 was introduced on 5 October.
What we know
Global Dating Insights, citing reporting by Law.com, says the bill defines chatbots broadly as software that simulates human conversation through text, images, audio or video. This would bring companion apps, romantic chatbot services and conversational features on dating platforms within its scope. The bill text states that a provider can be liable for an injury even if it took every reasonable care in design and distribution.
The bill would also require monthly risk assessments, limit how chat logs and personal data are stored and used, including for advertising, and require users' consent before their conversations are used to train models. Certain violations carry a $5,000 civil penalty, and injured users could sue for damages beyond that.
The privacy group EPIC says the bill is based on a "People-First Chatbot" model bill drafted by EPIC, the Consumer Federation of America and Fairplay. EPIC reports that an Assembly committee has voted to advance it, while bill trackers still listed it as in committee in mid-October.
Why it matters
Strict liability is the most consequential part of the bill. Most US cases against chatbot companies so far have turned on whether the company was negligent. Under A5607, the question would become whether harm occurred and whether the chatbot caused it. That would change insurance costs and the risk calculation for any operator with New Jersey users. The consent requirement for training would also cut off a data source that many companion apps rely on to improve their models. If the model bill spreads to other states, operators could face a patchwork in which emotionally engaging products are treated more like physical consumer goods than like publishing.
What to watch
Whether A5607 reaches a floor vote, and whether other states take up the same model text.
Written by the AI Companion Wire newsroom from public reporting, credited above. Image via Global Dating Insights.
