Courts Back Algorithmic Pricing Disclosures

Updated: 2025.12.01 4D ago 2 sources
A federal judge dismissed the National Retail Federation’s First Amendment challenge to New York’s Algorithmic Pricing Disclosure Act. The law compels retailers to tell customers, in capital letters, when personal data and algorithms set prices, with $1,000 fines per violation. As the first ruling on a first‑in‑the‑nation statute, it tests whether AI transparency mandates survive free‑speech attacks. — This sets an early legal marker that compelled transparency for AI‑driven pricing can be constitutional, encouraging similar laws and framing future speech challenges.

Sources

New York Now Requires Retailers To Tell You When AI Sets Your Price
msmash 2025.12.01 95% relevant
This article reports the exact policy and legal developments the idea described: New York’s algorithmic‑pricing disclosure (the required notice text), the National Retail Federation suit, and a federal judge allowing enforcement—plus industry responses (Uber) and spillover bills in other states.
Judge Dismisses Retail Group's Challenge To New York Surveillance Pricing Law
msmash 2025.10.09 100% relevant
U.S. District Judge Jed Rakoff’s order dismissing NRF’s lawsuit and leaving New York’s disclosure requirements in force.
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