EnactedCalifornia· Effective: August 2, 2026
SB 942
California AI Transparency Act
By Asım Ünlü · Founder
Published Reviewed
Requires businesses that use AI to make consequential decisions to disclose the AI’s involvement and to provide consumers an opt-out mechanism.
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Maximum penalty: $5,000 per day, per violation
Non-compliance can carry significant liability — verify against the official text below.
Bill / statute
SB 942
Jurisdiction
California
Status
Enacted
Effective / deadline
August 2, 2026
Maximum penalty
$5,000 per day, per violation
Who it affects
Businesses operating in California that use AI systems to make or substantially inform consequential decisions about consumers.
Official source & full context
Other landmark AI laws
SB 24-205 — Colorado AI Act
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S6953B — New York RAISE Act (frontier-AI safety)
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Local Law 144 — NYC Local Law 144 (automated employment decision tools)
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HB 1414 — Tennessee ELVIS Act (AI voice & likeness)
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Editorial standards
Anchored to the primary government source (statute, bill text, or agency rule) and verified directly against it · Last verified Apr 22, 2026. See our methodology.
Primary sources · SB 942 — California AI Transparency Act
- ↗leginfo.legislature.ca.govhttps://leginfo.legislature.ca.gov/faces/billNavClient.xhtml?bill_id=20232024…
- ↗jonesday.comhttps://www.jonesday.com/en/insights/2023/12/california-sg-942-ai-transparenc…