New York's AI Disclosure Law Takes Effect June 9, 2026: What Brands Need to Do Now

In just two weeks, New York's new AI disclosure law goes into effect. And here's the headline: any brand using AI-generated humans in advertising (think AI models, AI UGC creators, or AI influencers) needs to label that content as AI. Skip the label and your brand could face fines from $1,000 to $5,000 per image, with penalties escalating for repeat offenses.

Here's what the law means, who it applies to, and exactly how to prepare before the June 9 deadline.

What is New York's SB 8420 AI disclosure law?

SB 8420-A is a New York state law signed by Governor Kathy Hochul in December 2025. It requires advertisers to "conspicuously disclose" when AI-generated "synthetic performers" appear in any advertisement. A synthetic performer is a digitally created person, built or modified using generative AI, that's designed to look like a real human but isn't a recognizable, identifiable person.

In plain English: if your ad features an AI model, AI UGC creator, or AI influencer that looks like a real human, you need to label it.

The law takes effect on June 9, 2026 and applies across every advertising channel: websites, social media, paid ads, email, and more.

Who does the New York AI labeling law apply to?

Any brand or advertiser whose content is viewed by New York residents. You do not have to be based in New York for this law to apply to you. If your website, social posts, or paid ads can be seen by anyone in New York state, you're on the hook.

That means SB 8420 essentially functions as a national standard for any brand with a US digital presence.

What are the fines for not labeling AI content in ads?

Penalties under SB 8420 escalate based on the number of violations:

• $1,000 for a first violation
• Up to $5,000 per violation for repeat offenses

Each unlabeled piece of AI content can be treated as a separate violation. A single campaign with multiple AI-generated images could rack up significant cumulative fines.

How to prepare for the June 9 deadline

So what can you do to be ready for the June 9th roll out? Here's our 3-step plan.

1. Audit your website and social media for AI generated people

Comb through every customer-facing asset: your homepage, product pages, paid ad creatives, organic social posts, email campaigns, and influencer partnerships. Flag anything that features an AI-generated human.

Our recommendation: replace that content before June 9 with real humans, whether that's with a new production or soona UGC creators to avoid having to label the content with AI. Replacing AI content with real human content removes the labeling obligation entirely.

2. Add a clear AI label if you can't replace the content

If you can't change all of that content, you'll need to add a label. Some best practices we recommend:

• A simple "AI" in a circle in the bottom corner of the image, like a watermark
• Make sure the label is large enough to be legible on mobile
• Keep the label visible across cropped or resized versions of the asset (Instagram Stories, Reels, paid ad placements)
• Apply consistent labeling across every channel where the content appears

3. Consider taking a stand and going all human

Some brands are getting ahead of regulation and consumer sentiment by going all human, like Aerie and Dove. AI is not popular with consumers and this labeling may turn people off your business. Going all human is both a compliance strategy and a brand positioning strategy.

Is California passing a similar AI labeling law?

Yes. California is enacting a similar law called the California AI Transparency Act (SB 942) that puts watermarking rules into effect on August 2, 2026. The rule requires an "AI watermark" on AI generated content and fines are similarly going to be $5,000 per offense.

Other states like Colorado, Utah, Illinois, and Texas have passed or are advancing AI transparency laws of their own. We predict that New York's SB 8420 will serve as a framework for future AI regulations across the country over the next 12 to 24 months.

Why this matters for your brand beyond compliance

Compliance is the floor, not the ceiling. The bigger story is that consumer trust in AI-generated content is fragile, and labeling makes that distrust visible. Brands that lean into authentic, human-created content right now are positioned to win on two fronts: they avoid regulatory risk, and they build the kind of brand trust that's increasingly hard to come by in an AI-saturated feed.

Human created content just became even more essential.

Frequently asked questions

When does New York's AI disclosure law take effect?

New York's SB 8420-A takes effect on or around June 9, 2026, which is 180 days after Governor Hochul signed it into law on December 11, 2025.

Does the law apply if my business isn't in New York?

Yes. If your advertising content is viewable by New York residents (including via your website, social media, or paid ads) the law applies to you.

What counts as a "synthetic performer"?

A synthetic performer is any digitally created or AI-modified visual asset designed to look like a human performer who isn't a recognizable, real person. This includes AI models, AI UGC creators, and AI-generated influencers.

Do I need to label AI-generated content that doesn't include people?

SB 8420 specifically targets synthetic performers, meaning AI-generated humans. AI-generated product imagery, backgrounds, or non-human content isn't covered under this particular law, though other state laws (like California's SB 942) may apply.

What's the easiest way to comply?

Replace AI-generated humans with real human content. Working with a UGC creator network like soona eliminates the labeling requirement entirely and gives your brand the authenticity advantage at the same time.

Get ready before June 9

Two weeks isn't a lot of time. Want to learn more about how to start preparing for the June implementation of these rules? Talk to one of our experts on our crew.

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