philip lelyveld The world of entertainment technology

Colorado’s Landmark AI Act: What Companies Need To Know

Colorado has become the first state to enact a comprehensive law relating to the development and deployment of certain artificial intelligence (AI) systems. The Colorado Artificial Intelligence Act (CAIA), which will go into effect on February 1, 2026, adopts a risk-based approach to AI regulation that shares some similarities with the EU AI Act. ...

Key Points

• The CAIA is primarily focused on high-risk artificial intelligence systems, which is defined as any system that, when deployed, makes — or is a substantial factor in making — a “consequential decision.” As discussed further below, consequential decisions generally relate to those involving education, employment, financial services, housing, health care or legal services.
• The CAIA is designed to protect against algorithmic discrimination, namely unlawful differential treatment that disfavors an individual or group on the basis of protected characteristics.
• The law imposes various obligations relating to documentation, disclosures, risk analysis and mitigation, governance, and impact assessments for developers and deployers of high-risk AI systems.
• With respect to all AI systems that interact with consumers, deployers must ensure that consumers are aware they are interacting with an AI system.
• The state attorney general can bring an action for violations of the CAIA as an unfair or deceptive trade practice; there is no private right of action available.

Read the full story here: https://www.skadden.com/insights/publications/2024/06/colorados-landmark-ai-act