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New York’s AI-ad disclosure law has been in effect since June 9, 2026. It requires a conspicuous notice when a business that produces or creates a commercial ad knows the ad contains a covered AI-generated “synthetic performer.” The law does not ban AI avatars or require a label on every AI-made ad; it targets a defined category of human-like digital performance.
What New York’s law requires
New York General Business Law § 396-b(3) requires a person or business that produces or creates a commercial advertisement for property or services to conspicuously disclose that a synthetic performer appears in it when that party has actual knowledge of the performer’s use. The requirement applies to advertising placed before the public in New York and in any medium. Read the statute.
Gov. Kathy Hochul signed the legislation, identified as S.8420-A/A.8887-B, on December 11, 2025. The governor’s office announced that it took effect June 9, 2026. The measure was presented as a consumer-transparency rule and a protection for performers against replacement or deceptive use. Signing announcement · Effective-date announcement.
This is a disclosure mandate, not a general prohibition on AI-generated advertising. The statute does not require disclosure of every AI-generated image, script, sound, edit, or product visualization.
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Which ads and AI performers may be covered?
The statute defines a “synthetic performer” as a digitally created, reproduced, or computer-modified asset that uses generative AI or a software algorithm, is intended to create the impression of an audiovisual or visual performance, and depicts a human performer who is not recognizable as any identifiable natural performer.
That definition focuses on a human-like digital performance, rather than AI use in general. A realistic digital spokesperson presenting a product, a generated person modeling in a commercial, or a fake influencer demonstrating a service could fall within it. A virtual influencer is not automatically covered: the finished asset and its intended effect must meet the statutory definition.
Examples that need a closer look
- AI-assisted footage of a real actor: Cleanup, retiming, dubbing, or other editing does not automatically make the result a synthetic performer. The question is whether the final asset creates the impression of a performance by a human who is not recognizable as an identifiable natural performer.
- Generated backgrounds or products: A product render, scenery, or background without a synthetic human performer is not clearly within this provision, though other rules may apply to deceptive advertising.
- Recognizable digital replicas: A replica intended to depict an identifiable person may not fit this particular definition, but that is not a safe harbor. It can raise separate consent, likeness, endorsement, contract, or other legal issues.
- Voice clones: Audio advertisements are excluded from this section. A video ad that includes a synthetic on-screen human may still require disclosure even if it also uses a synthetic voice.
What the notice should say and where it should appear
The ad must conspicuously disclose that it contains a synthetic performer. The statute does not prescribe exact wording, font, size, placement, duration, or a technical label. It also does not set out a design safe harbor for what counts as conspicuous. The following are practical examples, not statutory phrases: “This advertisement includes an AI-generated synthetic performer”; “The person shown is digitally generated”; or “This ad uses an AI-generated performer.”
Because the disclosure must appear in the advertisement, do not assume that metadata or a platform’s separate AI label is enough. A prudent approach is to make the notice easy to see and read within the creative itself:
- Video and short-form social: Keep the notice on screen long enough to read; do not rely only on a caption that may be collapsed or separated from the video.
- Display ads: Place readable text in a clearly visible area, ideally near the synthetic performer.
- Print, billboards, and transit: Make the notice legible at the likely viewing distance.
- Streaming and television: Treat the notice as part of the ad, not merely as production metadata.
- Influencer content: Put the synthetic-performer notice in the content itself where the performer appears. Address sponsorship disclosures separately.
These are conservative implementation recommendations, not specific placement rules written into the statute.
Who carries the duty?
The statute places the obligation on a person, firm, corporation, association, agent, or employee that produces or creates the commercial ad and has actual knowledge that it contains a synthetic performer. That makes the production and approval chain important:
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- Advertiser or brand: A brand that commissions or approves an AI performer may have difficulty claiming it did not know about the use.
- Agency and production company: Creative parties involved in producing or creating the ad should identify synthetic performers and ensure the final creative carries the disclosure.
- Influencer or creator: A creator who produces a commercial ad using a synthetic performer may have responsibilities under the law; the contract and the creator’s role matter.
- Publisher or platform: The statute says an advertising medium is not liable under this section merely for publishing or disseminating a violating ad. It lists media such as newspapers, television, streaming services, billboards, and transit advertising. That protection does not shift the creator’s duty to the platform.
“Actual knowledge” is a fact-specific qualifier; the statute does not define a particular audit standard or say that every failure to discover an AI performer is enough. Internal approvals, source files, prompts, vendor communications, and invoices could be relevant to what a company knew. Vendor assurances and contract terms can help document a process, but should not be treated as automatic immunity.
Exceptions and boundaries
Section 396-b(3) includes several specific exceptions. They apply to this disclosure provision and do not resolve every other advertising, privacy, or likeness issue.
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1Repair Windows errors before they cause bigger problems2Fix the driver behind crashes, sound loss and screen glitches3Clear out junk files and repair common Windows errors- Promotion of expressive works: Ads or promotional materials for expressive works—including films, television programs, streaming content, documentaries, video games, and similar audiovisual works—are excluded when the synthetic performer’s use in the promotion is consistent with its use in the work. The exception should not be assumed to cover an unrelated product endorsement.
- Audio advertisements: Audio-only ads are excluded from this section. Other laws or platform policies may still apply to synthetic voices, impersonation, endorsements, or deception.
- Translation-only use: An ad is excluded when AI is used solely to translate the language of a human performer. “Solely” matters: combining translation with facial replacement, a generated body, or other synthetic-performance elements may take the work outside the exception.
- Advertising media: The medium is protected from liability under this section merely for publishing or disseminating the ad; this is not an exemption for the advertiser or creator.
New York reach and national campaigns
The statute refers to advertisements placed before the public in New York and applies across media. The text does not spell out how to handle an ad created elsewhere but served algorithmically to New York users, accidental impressions, or the details of geofencing. The governor’s office specifically pointed to the growth of AI performers in social media and digital advertising.
For a national campaign, New York distribution could therefore affect the creative or review process. A business may choose a New York-compliant version or use a consistent disclosure across markets, but the statute does not expressly resolve every territorial scenario. Have counsel assess campaigns where state targeting or distribution is material rather than assuming that out-of-state production settles the question.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Penalties and separate legal risks
The statute sets civil penalties of $1,000 for a first violation and $5,000 for each subsequent violation. Its text establishes these penalties but does not expressly create a private right of action. The financial penalty is only one potential cost: a campaign may also face rejection or takedown, replacement expense, client disputes, reputational damage, or claims under other laws or contracts.
Disclosure and permission are separate questions. A notice does not authorize use of a real person’s identity, likeness, voice, or performance, and permission does not necessarily remove the disclosure obligation if a covered synthetic performer remains in the ad. New York also enacted a separate measure concerning commercial use of a deceased person’s name, image, or likeness, including consent by heirs or executors; it is distinct from § 396-b(3). The governor’s signing announcement describes both measures.
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Advertisers should separately review likeness and publicity rights, endorsement implications, performer agreements, labor obligations, sponsorship disclosures, and platform policies. The AI-performer disclosure is not a substitute for those checks.
A practical review process for advertisers
- Classify the creative: Confirm that it is an ad for property or services and identify any human-like digital performer. Ask whether the asset uses generative AI or an algorithm, is intended to appear to perform visually or audiovisually, and depicts a performer not recognizable as an identifiable natural person.
- Check knowledge and exceptions: Record what the brand, agency, production company, and creator know about the asset. Assess whether the expressive-work, audio-ad, or translation-only exception applies.
- Assess New York distribution: Determine whether the ad will be placed before the public in New York. For national or algorithmically delivered campaigns, get legal advice on territorial uncertainty.
- Build the notice into each creative: Use plain language and make it readable in the actual format. Review video, image, print, billboard, transit, and social versions separately; do not rely solely on platform metadata or a collapsible caption.
- Document the chain: Add an AI-performer question to creative intake. Ask vendors to identify synthetic performers in scripts, storyboards, source files, and delivery notes. Preserve relevant tool and source information, edits, approvals, and final exports.
- Review changes and variants: Recheck ads after material edits and inspect automated or dynamically generated combinations, not just the approved master. Verify that cropping, captions, autoplay, and platform interface elements do not obscure the notice.
- Align contracts and rights review: Make responsibilities clear in agency and production agreements, and separately verify consent and other rights for any identifiable person whose likeness, voice, or performance is used.
A platform’s AI label, watermark, or provenance metadata may be useful, but the statute does not say that any of those automatically satisfies the in-ad disclosure requirement.
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