General requirements to tell customers, employees, or the public when AI is being used in decisions. Here is what Maine businesses need to know in 2026.
Maine has enacted LD 1727 — Transparency in Consumer Transactions Involving AI (10 M.R.S. §1500-DD). A person may not use an AI chatbot (or other computer technology) in trade or commerce in a way that could mislead a reasonable consumer into believing they are dealing with a human, unless the consumer is clearly and conspicuously notified that they are not. A violation is a violation of the Maine Unfair Trade Practices Act. Enacted 2025 (P.L. 2025, ch. 294), codified at 10 M.R.S. §1500-DD.
State law does not replace federal law — you must comply with both. These federal rules apply to ai disclosure nationwide:
It depends on the thresholds written into the specific statute, and those are not comparable across laws — some key on employee count or revenue, others on user volume or on the kind of system you deploy. We do not publish a generic small-business exemption for Maine, because stating one the statute does not contain would be worse than stating none. Read the primary source linked from our Maine law page to confirm whether you are in scope.
The key deadline in Maine is Enacted June 12, 2025 (P.L. 2025, ch. 294). This law is already in effect — you must comply now.
Maine penalties for AI non-compliance: Enforced as a violation of the Maine Unfair Trade Practices Act. Who enforces, and how, varies by statute — check the primary source linked from our Maine law page for the enforcement authority and process that actually applies to you.
Federal law does not currently preempt state AI law. Maine's AI statutes apply independently of federal rules, and federal laws like ECOA, FCRA, and HIPAA apply alongside them — so you must comply with both.
Best practice: document all AI systems used, conduct an internal audit, implement required disclosures, and keep records for at least 3 years. For high-risk uses like ai disclosure, consider hiring an independent third-party auditor to validate compliance.
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