San francisco: With the increasing enforcement of U.S. federal and state AI laws, Southeast Asian legal-tech firms that want to enter the U.S. market must comply with U.S. federal and state laws before approaching U.S. investors or launching a product for U.S. customers. Orrick's AI Law Center U.S. AI Law Tracker monitors disclosure, transparency, and biometric laws across the states.
According to BERNAMA News Agency, there are specific AI regulations that these companies need to be aware of. These include a federal law and two state-specific laws that govern AI use. The federal law, which applies nationwide, outlines requirements for AI systems in terms of transparency and accountability. Meanwhile, state-specific laws vary, with some focusing on biometric data usage and others on disclosure requirements for AI technologies.
Southeast Asian legal-tech startups must conduct thorough due diligence to understand these regulatory requirements. Failing to comply with these laws can result in legal challenges and hinder entry into the U.S. market. Thus, it is crucial for these firms to engage with legal experts familiar with U.S. AI regulations to navigate this complex legal landscape effectively.