Technology (Consumer Protection)

This bill amends Pennsylvania's Unfair Trade Practices and Consumer Protection Law to explicitly define "dynamic pricing" as a potential unfair practice. It specifically targets the use of artificial intelligence to vary prices for essential goods or services within a 24-hour period based on demand. The legislation includes detailed definitions for artificial intelligence, generative AI, and bona fide pricing to clarify what constitutes deceptive behavior versus legitimate pricing strategies. By adding these specific terms to the law, the bill aims to provide clearer guidance for regulators and businesses regarding AI-driven price fluctuations.

HB 1299 amends Pennsylvania's Unfair Trade Practices and Consumer Protection Law to regulate automatic renewal and continuous service offers. It requires businesses to clearly disclose renewal terms, pricing after trials, and cancellation options in a way consumers can retain, and to allow online cancellation. The law applies to most subscription-based goods/services but excludes health clubs, federally regulated utilities, natural gas/electricity contracts, and insurance entities. Violations would be treated as unfair trade practices under existing enforcement mechanisms.

HB 518 amends Pennsylvania's Unfair Trade Practices law to address consumer guarantees generated by artificial intelligence. It specifically makes it unlawful for businesses to fail to honor written guarantees, warranties, or policies created by consumer-facing AI systems. The bill defines "artificial intelligence" broadly to include systems that perform human-like tasks (e.g., learning, decision-making) without significant human oversight. This directly affects businesses using AI for customer commitments, adding a new prohibited practice under the state's consumer protection law. The change clarifies that deceptive AI-generated promises now fall under existing penalties for unfair trade practices.

SB 355 prohibits using computer programs to buy tickets for resale or circumvent online ticket sales limits, targeting scalpers who use bots. It directly affects ticket resellers using automated tools and protects venues, artists, and ticket platforms (defined as "operators" or "rights holders") from financial harm. The law allows these affected parties to sue violators for $500 per ticket sold illegally, plus legal fees. Key provisions ban automated ticket purchasing, bypassing sales restrictions, and disabling security systems on ticket sites. The bill amends Pennsylvania's consumer protection law to address deceptive ticket resale practices.

HB 1779 requires businesses using algorithms to set prices (like online retailers or service platforms) to disclose how those algorithms work to consumers. It mandates the Pennsylvania Attorney General and Consumer Protection Bureau to develop rules for transparency and investigate unfair pricing practices. The bill directly affects companies that use dynamic or automated pricing models and aims to give consumers clearer insight into how prices are determined. This is a concrete policy change focused on disclosure, not on regulating specific prices or outcomes.