S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8833
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               June 9, 2025
                                ___________
 
 Introduced  by M. of A. BORES -- read once and referred to the Committee
   on Science and Technology
 
 AN ACT to amend the general business law, in  relation  to  establishing
   the understanding artificial intelligence act
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:

   Section 1. The general business law is amended by adding a new article
 45-A to read as follows:
                               ARTICLE 45-A
                   UNDERSTANDING ARTIFICIAL INTELLIGENCE
                                    ACT
 SECTION 1510. SHORT TITLE.
         1511. DEFINITIONS.
         1512. ARTIFICIAL INTELLIGENCE; LIABILITY FOR INJURIES.
   § 1510. SHORT TITLE. THIS ACT SHALL BE KNOWN AND MAY BE CITED  AS  THE
 "UNDERSTANDING ARTIFICIAL INTELLIGENCE ACT".
   § 1511. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE, THE FOLLOWING TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   1.  "ARTIFICIAL  INTELLIGENCE"  MEANS  AN  ENGINEERED OR MACHINE-BASED
 SYSTEM THAT VARIES IN ITS LEVEL OF AUTONOMY AND THAT CAN,  FOR  EXPLICIT
 OR IMPLICIT OBJECTIVES, INFER FROM THE INPUT IT RECEIVES HOW TO GENERATE
 OUTPUTS THAT CAN INFLUENCE PHYSICAL OR VIRTUAL ENVIRONMENTS.
   2.  "COVERED  MODEL"  MEANS  AN  ARTIFICIAL INTELLIGENCE MODEL TRAINED
 USING A QUANTITY OF COMPUTING POWER GREATER THAN 10º26 INTEGER OR FLOAT-
 ING-POINT OPERATIONS, THE COST OF  WHICH  EXCEEDS  ONE  HUNDRED  MILLION
 DOLLARS WHEN CALCULATED USING THE AVERAGE MARKET PRICES OF CLOUD COMPUTE
 AT THE START OF TRAINING AS REASONABLY ASSESSED BY THE DEVELOPER.
   3.  "DEVELOPER" MEANS A PERSON THAT PERFORMS THE INITIAL TRAINING OF A
 COVERED MODEL BY TRAINING A MODEL USING A SUFFICIENT QUANTITY OF COMPUT-
 ING POWER AND COST.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD02147-04-5
 A. 8833                             2
              

 
   4. "FINE-TUNING" MEANS  ADJUSTING  THE  MODEL  WEIGHTS  OF  A  TRAINED
 COVERED MODEL BY EXPOSING IT TO ADDITIONAL DATA.
   §  1512.  ARTIFICIAL  INTELLIGENCE;  LIABILITY FOR INJURIES. 1. EXCEPT
 WITH RESPECT TO ANY CAUSES  OF  ACTION  FOR  DEFAMATION,  DEVELOPERS  OF
 COVERED  MODELS  SHALL  BE  STRICTLY LIABLE, REGARDLESS OF THE DEGREE OF
 CARE THEY EXERCISED, FOR ALL INJURIES TO A NON-USER OF THE COVERED MODEL
 THAT SATISFY THE ACTUAL HARM ELEMENT OF AN ORDINARY NEGLIGENCE CLAIM IF:
   (A) THOSE INJURIES ARE FACTUALLY AND PROXIMATELY CAUSED BY  A  COVERED
 MODEL  THAT  ENGAGES IN CONDUCT THAT, IF UNDERTAKEN BY AN ADULT HUMAN OF
 SOUND MIND, WOULD SATISFY THE ELEMENTS OF NEGLIGENCE OR ANY  INTENTIONAL
 TORT OR CRIME; AND
   (B)  THAT  CONDUCT WAS NEITHER INTENDED NOR COULD HAVE BEEN REASONABLY
 ANTICIPATED BY: (I) THE USER OF THE MODEL; OR (II) ANY INTERMEDIARY THAT
 FINE-TUNED, SCAFFOLDED, OR OTHERWISE MODIFIED THE MODEL.
   2. (A) FOR THE PURPOSES OF THIS SECTION, FOR ANY TORTS FOR  WHICH  THE
 MENTAL  STATE  OF  THE ALLEGED TORTFEASOR IS RELEVANT TO ELEMENTS OF THE
 TORT, THERE SHALL BE A REBUTTABLE PRESUMPTION THAT THE ARTIFICIAL INTEL-
 LIGENCE SYSTEM SATISFIES THE RELEVANT MENTAL STATE IF THE FINDER OF FACT
 DETERMINES BY A PREPONDERANCE OF THE EVIDENCE THAT, IF A NATURAL  PERSON
 UNDER  SIMILAR  CIRCUMSTANCES TO THE ARTIFICIAL INTELLIGENCE SYSTEM TOOK
 ACTIONS SIMILAR TO THOSE TAKEN BY THE  ARTIFICIAL  INTELLIGENCE  SYSTEM,
 THAT NATURAL PERSON WOULD HAVE ACTED WITH THE RELEVANT MENTAL STATE.
   (B)  UNLESS  THE  COURT DETERMINES THAT THE PRESUMPTION ESTABLISHED IN
 PARAGRAPH (A) OF THIS  SUBDIVISION  IS  NOT  APPLICABLE,  IF  THE  PARTY
 AGAINST  WHOM  THE  PRESUMPTION  IS INVOKED PRESENTS EVIDENCE TENDING TO
 REBUT THE PRESUMPTION ESTABLISHED IN PARAGRAPH (A) OF THIS  SUBDIVISION,
 THE  COURT  SHALL  INSTRUCT THE FINDER OF FACT TO FIND THAT THE PRESUMED
 FACTS EXIST UNLESS THE FINDER OF FACT IS  PERSUADED  THAT  THE  PRESUMED
 FACTS DO NOT EXIST.
   (C)  FOR  THE PURPOSES OF THIS SECTION, IT SHALL NOT BE A DEFENSE THAT
 ARTIFICIAL INTELLIGENCE SYSTEMS ARE INCAPABLE OF HAVING MENTAL STATES.
   3. (A) IT SHALL BE AN AFFIRMATIVE DEFENSE TO STRICT LIABILITY  IF  THE
 DEVELOPER  ESTABLISHES  THAT THE COVERED MODEL SATISFIED THE STANDARD OF
 CARE APPLICABLE TO HUMANS WHO PERFORM THE SAME FUNCTION THAT THE COVERED
 MODEL WAS ENGAGED IN PERFORMING WHEN ITS CONDUCT  ALLEGEDLY  CAUSED  THE
 PLAINTIFF'S INJURY.
   (B)  IT  SHALL  BE  AN  AFFIRMATIVE DEFENSE TO STRICT LIABILITY IF THE
 DEVELOPER ESTABLISHES THAT THE INJURIES TO A NON-USER  AS  DESCRIBED  IN
 THIS SECTION WERE A RESULT OF A CAPABILITIES FAILURE, IN WHICH A COVERED
 MODEL  FALLS  SHORT OF PERFORMING THE INTENDED OR REASONABLY ANTICIPATED
 PERFORMANCE OF THE USER, BUT THE CONDUCT OF THE SYSTEM WOULD NOT SATISFY
 THE ELEMENTS OF NEGLIGENCE OR ANY INTENTIONAL TORT OR CRIME  IF  ENGAGED
 IN BY AN ADULT HUMAN OF SOUND MIND.
   § 2. This act shall take effect immediately.