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Bill

HB 580

Consumer Counsel, Division of; establishing mechanisms for receiving and investigating complaints.

2026 Regular Session Introduced by Jackie Glass and 1 co-sponsor

Virginia bill expands Consumer Counsel authority to investigate and enforce protections against artificial intelligence fraud and abuse in consumer transactions.

Signed by Speaker
0
WeVote Research Nonpartisan
Bill Summary · HB 580

Legislative bill overview

HB 580 expands the duties of Virginia's Consumer Counsel and Division of Consumer Counsel to include oversight and enforcement related to artificial intelligence fraud and abuse. The bill adds new regulatory responsibilities for identifying, investigating, and preventing deceptive or harmful AI practices that affect consumers.

Why is this important

As AI systems become more integrated into consumer services—from lending decisions to product recommendations—regulatory gaps have emerged. This bill attempts to address consumer protection in an area where state laws haven't yet caught up to technology, potentially preventing fraud schemes that exploit AI's opaque decision-making or use AI to conduct scams at scale.

Potential points of contention

  • Scope ambiguity: "AI fraud and abuse" lacks precise legal definition, potentially creating enforcement uncertainty about which AI applications fall under the Consumer Counsel's jurisdiction versus federal regulators
  • Resource requirements: Expanding the Consumer Counsel's mandate requires new expertise and staffing (the fiscal impact statement suggests costs), raising questions about whether funding is adequate
  • Regulatory clarity: The bill may conflict with or duplicate existing federal AI oversight frameworks, creating jurisdictional confusion between state and federal authorities

Compiled from official sources — confirm details with the bill’s official record.

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