Maryland Online Data Privacy Act - ADM and profiling provisions

MDFor companies using AIMediumseverityIn effect

In effect since

Overview

Maryland's privacy law requires controllers to handle profiling and automated decision-making with stronger consumer protections, including documented risk assessments and opt-out rights.

This is a privacy law with automated decision-making provisions.

Who this applies to

This regulation applies to companies that use or deploy AI tools and systems built by other vendors. If your company uses AI-powered products in the areas listed below, this regulation may apply to you.

AI categories covered

  • Consumer-facing AI
  • Automated decision-making
  • Algorithmic profiling

Specific AI use cases:

  • Customer profiling and segmentation
  • Credit scoring and risk assessment

What this requires you to do

  • Consumer opt-out required

    Provide an opt-out mechanism. Consumers must be able to opt out of automated decision-making.

  • Profiling disclosure required

    Disclose profiling activities. Inform consumers when you use their data for profiling purposes.

  • ADM impact assessment required

    Conduct an ADM impact assessment. Evaluate how your automated decision-making affects consumers.

Enforcement and penalties

Enforced by the Maryland Attorney General under state consumer protection authority. Civil penalties and injunctive relief apply for non-compliance.

Source

Read the full text

https://mgaleg.maryland.gov/2024RS/Chapters_noln/CH_455_sb0541e.pdf

Always verify current language and amendments at the official source.

Other Maryland regulations

Explore more rules in the same jurisdiction that may apply to your AI systems.

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