# NYC Proposes Chatbot Disclosure Rules

New York City’s Department of Consumer and Worker Protection (DCWP) proposed rules that would require covered merchants to disclose when they use automated customer-service systems, offer a practical way to reach a human or obtain alternative assistance, and retain specified compliance records for at least three years. The proposal is not a government procurement rule, but it could affect contractors that supply or operate customer-service systems for merchants serving NYC consumers. Comments are due November 19, 2026 (23 days from October 27), and proposed penalties range from $525 for a first violation to $3,500 for a third or later violation.

- Companies supplying or operating chatbot and customer-service platforms for covered merchants should assess whether their disclosure, human-escalation, and recordkeeping features can support the proposed rules.
- Contractors and merchants may submit comments to DCWP by November 19, 2026; the proposal could shape customer-service system requirements and implementation plans for NYC-facing businesses.
- The proposed three-year record-retention period and tiered penalties are relevant to system configuration, documentation, and service-support planning if the rules are adopted.

**Jurisdictions:** sled
**Industries:** Information Technology
**Topics:** Regulatory Compliance
**Published:** October 26, 2026

### Government Entities
- New York City Department of Consumer and Worker Protection (DCWP)
- City of New York

### Sources
- [NYC proposes chatbot disclosure and human access rules for customer service | Orrick, Herrington & Sutcliffe LLP - JDSupra](https://www.jdsupra.com/legalnews/nyc-proposes-chatbot-disclosure-and-2190695) - JD Supra