Utah Artificial Intelligence Policy Act (UAIPA) – Deepfake Legality and Implications

1. Overview

The Utah Artificial Intelligence Policy Act (UAIPA) came into force on May 1, 2024, when Governor Spencer Cox signed it on March 13, 2024. Utah makes history as the first state to demand transparency of organizations utilizing generative AI with such a groundbreaking law. The UAIPA aims to defend consumers by limiting defense liability on the basis of the AI-produced output and requiring disclosure of its use in specific communications.

2. Scope of the Law

The UAIPA applies to entities using generative AI systems that: 

• Interact with individuals via text, audio, or visual communication; 
• Generate non-scripted outputs similar to human responses with limited or no human oversight. 

It specifically targets:

• Consumer Transactions: Entities must disclose AI usage when prompted by a consumer. 
• Regulated Occupations: Professionals must proactively inform clients of AI involvement in services. 

The legislation is also establishing the Office of Artificial Intelligence Policy in the Department of Commerce, where AI rules and regulations will be developed and stakeholders consulted.

3. Key Provisions

• Disclosure Requirements:
  • Consumer Transactions: Entities must reveal the use of AI in response to consumer questions. 
  • Regulated Occupations: Individuals should also indicate the presence of the AI in the initial stage of the interaction.
• Liability Limitations: Entities cannot use AI to provide a defence to breaches of consumer protection laws.
• Establishment of Oversight: Development of the Office of Artificial Intelligence Policy that would implement the legislation and guide AI governance.

4. Penalties & Enforcement

The UAIPA violations can lead to:

• Administrative Fines: Up to $2,500 per violation.
• Civil Penalties: The Attorney General can seek penalties for violating administrative or court orders.

The Division of Consumer Protection enforces and is legally represented by the Attorney General.

5. Practical Implications

• To Businesses: When interacting with consumers, make sure that the use of AI is revealed accordingly in industries where its use is under regulation.
• To Consumers: Remember that you can expect to be informed of the AI used in services and interactions.
• To Professionals: Strive to make your use of AI transparent to your clients, especially in the healthcare, legal, and financial sectors.

6. Future Outlook

The UAIPA adopted in Utah will most likely determine future AI regulation in the U.S. In establishing the early disclosure standards, the Act can also motivate other state and federal activities. Under the watchdog of the Office of Artificial Intelligence Policy, Utah establishes an example of blending innovation, consumer protection, and ethics safeguards.