Georgia enacted Senate Bill 540, the Conversational AI Safety Act, in spring 2026. Governor Brian Kemp signed the bill into law. The Act takes effect on 1 July 2027. Operators have until that date to build out the new compliance program.
SB 540 targets AI companion chatbots, defined as systems that simulate sustained human-like relationships by remembering past interactions, asking personal questions, and engaging in ongoing interactions. The Act sets disclosure, parental control, and age assurance duties. Operators must deploy commercially reasonable age assurance methods before providing access to features that may generate sexually explicit content. Operators serving minor users must furnish parental and minor controls covering screen time, privacy, notifications, safety settings, and relationship-simulation features. The Act ties enforcement to the Georgia Fair Business Practices Act and grants the Attorney General civil enforcement authority.
Direct-to-consumer AI companion app operators, generative chatbot platforms, AI character marketplaces, and large language model providers offering anthropomorphic conversation features face the Georgia obligations once they offer service to Georgia residents. Edtech vendors with AI tutoring bots, mental wellness chatbot publishers, and video game studios shipping AI characters need to assess scope. The Act applies extraterritorially where operators serve Georgia users.
The Attorney General may seek civil penalties of up to 10,000 dollars per knowing violation, plus compensatory damages and attorneys' fees. Georgia joins a growing list of states with chatbot safety statutes, including California, New York, and Utah. Operators should expect rulemaking and enforcement guidance from the Attorney General before the 1 July 2027 effective date. Operators should also expect coordination with state Attorneys General in jurisdictions with parallel chatbot statutes.
Licentium advises AI product teams, chatbot publishers, and consumer platforms on US state AI compliance, including Georgia SB 540 readiness. Our partner network includes US-licensed counsel for state filings. Contact our team to scope your US chatbot compliance program. Work we undertake includes state AI law mapping, parental control flow design, age assurance vendor selection, sexually explicit content classifier reviews, and Attorney General enforcement response planning.
Source: Georgia General Assembly, Senate Bill 540 (Conversational AI Safety Act), enacted spring 2026, effective 1 July 2027, https://www.legis.ga.gov/api/legislation/document/20252026/247521, confirmed 21 May 2026.
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