Alaap B. Shah, Member of the Firm in the Health Care & Life Sciences practice, in the firm’s Washington, DC, office, was quoted in Law360 Healthcare Authority, in “Calif. Healthcare Bills: 4 You Need to Know,” by Hannah Albarazi. (Read the full version – subscription required.)

Following is an excerpt:

AI Chatbots

A California bill aimed at preventing generative AI chatbots from impersonating licensed healthcare professionals unanimously passed the legislature and is awaiting the governor's signature.

Assembly Bill 489, authored by Assemblymember Mia Bonta, a Democrat from Oakland, would explicitly prohibit entities and individuals developing or deploying AI from stating or implying that a licensed medical professional, such as a psychotherapist, is providing medical advice or care to users.

The bill follows high-profile lawsuits against chatbot makers brought by families alleging their children were harmed by "companion" bots. …

The law would require AI developers and deployers to quickly ensure that their products are compliant, said Alaap B. Shah, a privacy attorney at Epstein Becker Green.

That would include the "need to scrub products of any design elements — terminology, icons, phrasing — that imply licensed care without adequate evidence to support appropriate licensure and oversight," Shah said.

Another bill regulating generative AI companion chatbots, Senate Bill 243, also passed the California legislature this session.

Authored by Sen. Steve Padilla, a Democrat from San Diego, the bill would require operators to notify and remind minors that chatbots are AI-generated, disclose that they may not be suitable for underage users and follow protocols for addressing self-harm. The legislation would also allow users to pursue a legal action against negligent developers.

The governor has until Sept. 30 or Oct. 12 to sign or veto the bills, depending on when they landed on his desk.

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