When an AI product causes harm or skirts consumer-protection rules, responsibility can extend beyond the model to the people and businesses deploying it. Products create expectations, expose reputations, and can trigger lawsuits or new regulatory duties. section 12.2.1
Utah SB-149
Utah’s Artificial Intelligence Amendments bill introduced liability for actors using LLMs to evade consumer-protection laws. Its definition of artificial intelligence covers systems making predictions, recommendations, or decisions that influence real or virtual environments. section 12.2.1
Practical implications include:
- Treat legal exposure as a production concern rather than waiting for regulations to become fully settled. section 12.2.1
- Recognize that broad statutory definitions may cover systems ranging from simple conditional logic to LLM agents. section 12.2.1
- Account for precedent risk: one lawsuit can encourage additional lawsuits and reshape expectations for similar products. section 12.2.1
