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Sidley AI Monitor

Latest AI Developments

Jurisdictions and Industries:

On January 20, 2026, the European Data Protection Board and the European Data Protection Supervisor adopted Joint Opinion 1/2026 on the Digital Omnibus on AI. While the Joint Opinion supported the Digital Omnibus on AI's general objective to ease administrative burdens relating to the implementation of the EU AI Act, it also raised concerns that certain proposals under the Digital Omnibus on AI could undermine the protection of individual rights. Accordingly, the Joint Opinion recommended reconsideration of, or changes to, several proposals, including those that would eliminate the obligation of AI providers and deployers to ensure AI literacy of their staff and delay the implementation of the EU AI Act's provisions governing high-risk AI systems.January 20, 2026

European Union

New Jersey Senate Bill 735, introduced on January 13, 2026 by Sens. John Burzichelli (D) and Vin Gopal (D), would prohibit developers and deployers of AI systems from advertising or representing to the public that an AI system is, or is able to act as, a licensed mental health professional.January 13, 2026

North America

On January 14, 2026, Senate Bill 245 was introduced to the Virginia Senate by Sen. Christopher Head (R). The bill would require operators of AI systems to, among other things, protect consumers from algorithmic discrimination, clearly disclose to consumers that they are interacting with an AI system, implement certain privacy and security measures, and register with the Secretary of the Commonwealth of Virginia.January 14, 2026

North America

On January 9, 2026, the U.S. Attorney General issued a Memorandum establishing an AI Litigation Task Force whose sole purpose is to challenge state AI laws deemed inconsistent with federal policy, in accordance with Executive Order 14365 (Ensuring a National Policy Framework for Artificial Intelligence).January 9, 2026

North America

On January 7, 2026, House Bill 227 (An act relating to addictive online platforms) was introduced to the Kentucky House of Representatives. The bill would require large social media and AI companion platforms to, among other things, periodically estimate accountholders' ages, comply with restrictions on features deemed addictive (e.g., infinite scrolling, autoplay video), and provide certain parental consent and monitoring rights. The bill would also establish a private right of action for a child or parent for negligent or intentional violations.January 7, 2026

North America

On January 7, 2026, House Bill 201, which would prohibit landlords from using algorithmic devices to advise them in considering the amount of rent charged to residential tenants, was introduced to the Kentucky House of Representatives. "Algorithmic devices" are defined as devices and products that use algorithms to perform calculations of data, including data concerning local or statewide rent amounts being charged to tenants by landlords. However, the prohibition would exclude any product designed internally and used exclusively by a landlord or its affiliates.January 7, 2026

North America

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