ARTICLE
18 June 2026

Synthetic Performers, Real Consequences: Implications Of Trailblazing New York AI Ad Law

CM
Crowell & Moring LLP

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On December 11, 2025, New York Governor Kathy Hochul signed S.8420-A/A.8887-B into law. This first-in-the-nation legislation, called the New York AI Synthetic Performers Disclosure Law...
United States New York Media, Telecoms, IT, Entertainment
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What You Need to Know

  • Key takeaway #1

    Effective June 9, 2026, New York law now requires conspicuous disclosures whenever a visual or audiovisual advertisement distributed to a New York audience features an AI-generated synthetic performer – a fabricated human likeness that does not depict a real person.

  • Key takeaway #2

    The law applies to any company whose ads reach consumers in New York, regardless of where the advertiser is headquartered.

  • Key takeaway #3

    Civil penalties of $1,000 for a first violation and $5,000 per subsequent violation apply.

On December 11, 2025, New York Governor Kathy Hochul signed S.8420-A/A.8887-B into law. This first-in-the-nation legislation, called the New York AI Synthetic Performers Disclosure Law, is intended to protect consumers and promote transparency in the age of AI advertising. This law represents a meaningful shift in the legal landscape for AI advertising. For the first time in any U.S. jurisdiction, the mere use of an AI-generated human likeness in a commercial advertisement triggers an affirmative disclosure obligation. The practical implications are significant, particularly for e-commerce retailers, digital advertisers, and agencies that have integrated AI-generated human imagery into high-volume creative workflows.

Under the new law, any visual or audiovisual advertisement distributed to a consumer located in New York must include a conspicuous disclosure if the advertisement features a synthetic performer, or an AI-generated human likeness that does not depict an actual living person. The law covers a broad range of advertising, including but not limited to television, digital advertising, and social media content. The law also only applies when AI is used to depict a human being, not when AI is used to enhance advertising featuring a real human likeness or when AI is used to create ad imagery that does not feature human likenesses.

The new law reflects the growing concern that consumers may be deceived by AI-generated ads. Where traditional disclosure rules focus on whether the content of the ad is misleading to consumers, this law focuses on the fundamental nature of the speaker or visual subject, and whether consumers could falsely believe it is a real human being. Failure to comply can result in civil penalties of $1,000 for a first violation and $5,000 for each subsequent violation.

The use of AI-generated lifestyle models in e-commerce has grown rapidly as a cost-efficient alternative to traditional photo shoots. Brands and marketplace sellers that have adopted this practice at scale face an immediate audit obligation. Any listing currently live that features a synthetic performer requires a disclosure, and any creative currently in production should be evaluated before it goes live.

As the New York AI Synthetic Performers Disclosure Law goes into effect, retailers should take prompt steps to:

  1. Audit all live ad creatives. Identify every piece of visual or audiovisual advertising currently in circulation that reaches New York consumers and determine whether it features a synthetic performer.

  2. Apply disclosures to ads featuring synthetic performers. For any live ad creatives that features a synthetic performer and does not currently carry a disclosure, implement a conspicuous disclosure immediately. Consult with legal counsel on appropriate disclosure language and placement for each format.

  3. Audit e-commerce product listings. Retailers and marketplace sellers should audit all product and lifestyle imagery in listings accessible to New York consumers. Where AI-generated human models are used, disclosures should be applied or the imagery should be replaced.

  4. Update vendor and agency agreements. Ensure that production agreements, agency service agreements, and platform terms address responsibility for compliance with disclosure obligations for AI-generated content.

  5. Establish an ongoing AI creative review protocol. Going forward, embed a disclosure checkpoint into the creative review and approval process for all visual and audiovisual advertising.

We will monitor for any developments, including guidance from New York authorities on acceptable disclosure formats and enforcement priorities.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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