Legal & Regulatory Frameworks Weekly AI News
April 7 - April 15, 2025The European Union rolled out the final phase of its AI Act this week, focusing on high-risk AI like medical diagnosis tools and job screening systems. Companies must now:
- Conduct bias checks before launching AI
- Keep logs of all AI decisions
- Allow human workers to override automated choices. Firms breaking these rules face fines up to 7% of global revenue.
California made two big AI laws:
- SB 942: All AI-generated images/videos must include hidden data stamps showing:
- Creator name
- AI model version
- Creation date
- AB 2013: AI developers must publicly share what training data they used, including any copyrighted material.
In employment news, Colorado’s AI Act (effective 2026) requires companies to:
- Tell job applicants when AI is used in hiring
- Let people challenge AI decisions
- Do yearly bias audits. Pizza Hut and Walmart have already started updating their hiring systems.
Texas proposed the strictest U.S. AI bill yet (TRAIGA), which would:
- Ban AI for social credit scores
- Require government approval for AI in schools
- Create a public list of “approved” AI tools. However, business groups argue it would hurt small tech companies.
Agentic AI (systems that make plans without human input) became a hot topic. The EU is debating whether to:
- Limit how many self-learning cycles these AI can do
- Require emergency stop buttons
- Make developers liable for AI actions. Microsoft recently paused its Project Nomad AI agent over safety concerns.
Globally, 47 countries adopted new OECD AI rules for:
- Transparent decision-making
- Environmental impact reports
- Child protection features. However, China and Russia refused to join, raising fears of a AI regulation split.
Companies are using new tools like Credo AI’s Trust Score to check if their AI meets multiple countries’ rules. IBM released free bias-detection software to help small businesses.
Lawyers warn that AI copyright battles will grow as more artists sue over training data. The U.S. Supreme Court agreed to hear a case about AI-generated music sampling next month.
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