SEC Takes a Stand Against Artificial Intelligence (“AI”) Washing: Two Investment Advisories That Exaggerated AI to Attract Investors Settled For Making Deceptive Claims
Yelena Ambartsumian Yelena Ambartsumian

SEC Takes a Stand Against Artificial Intelligence (“AI”) Washing: Two Investment Advisories That Exaggerated AI to Attract Investors Settled For Making Deceptive Claims

With their promise of revolutionizing investment strategies and decision-making processes, it’s no wonder that AI-powered models are attractive to both companies and investors. In fact, certain investment advisers realized that they could benefit from AI without even possessing the technology; simply pretending that their investment strategies were driven by a proprietary deep-learning model was enough to create buzz and attract new clients.

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The European Union’s AI Act and What It Means for U.S. Businesses
Yelena Ambartsumian Yelena Ambartsumian

The European Union’s AI Act and What It Means for U.S. Businesses

The EU's Artificial Intelligence Act, which came into force on August 1, 2024, is a comprehensive law designed to regulate AI technologies within the EU, focusing on ensuring AI systems are safe, transparent, and respect fundamental rights. It categorizes AI systems based on risk levels—unacceptable, high-risk, and low-risk—prohibiting those applications it considers unacceptable and imposing strict requirements on higher-risk categories. The Act also emphasizes AI literacy, the promotion of trustworthy AI, and the need for clear responsibilities across the AI lifecycle, from development to deployment.

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The FCC's Proposed New AI Disclosure Rules: What They Mean for Political Advertising
Yelena Ambartsumian Yelena Ambartsumian

The FCC's Proposed New AI Disclosure Rules: What They Mean for Political Advertising

As Generative AI tools grow increasingly capable of creating realistic images and voices, the Federal Communications Commission (FCC) proposed new rules to enhance transparency in political advertising, particularly regarding AI-generated content. Instead of outright banning AI-generated political ads, however, the rules would require disclosures from cable TV, radio, and some online platforms.

(Image Accessibility Description: Feature photo shows a person wearing a suit with a red tie and a mask, resembling Donald Trump's face, as the person points toward the camera)

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