United States of America: Introduced California Act regulating Automated decision tools (AB 331)

On 30 January 2023, the Act regulating Automated decision tools (ADTs) (AB 331) was introduced in the California Legislature. The Act aims to prohibit algorithmic discrimination by an ADT. It would require deployers and developers of such tools to perform annual impact assessments, submit these assessments to the state's Civil Rights Department, implement governance programs and safeguards to prevent foreseeable risks of algorithmic discrimination, and publish policies regarding the tools. The amendment also stipulates that deployers must disclose the use of such tools to subjected individuals and accommodate opt-out requests in certain circumstances. Developers are also required to provide deployers with certain disclosures regarding the ADT's use and limitations. The Act further provides a private right of action against any deployer, including employers, for using an ADT that results in algorithmic discrimination.