California Enacts First US Limits on AI Use by Arbitrators and Counsel

Mayer Brown reports that California has become the first US state to legislate limits on the use of artificial intelligence by arbitrators and counsel. Because the material available for this briefing is limited to the firm's publication title and date, the statute's specific provisions, effective date and enforcement mechanism are not established here, and the "first" characterization is the firm's.

For major-firm clients and counsel, a state-law constraint on AI use in arbitration is a cross-practice compliance event rather than a single matter: arbitration clauses and protocols, arbitrator onboarding and disclosure statements, and any firm policy on generative-AI research or drafting all sit within potential reach. Counsel appearing before California arbitrators would need to know what is prohibited, what must be disclosed, and whether breach carries fee-shifting or disciplinary consequences, particularly if California is a venue with material caseload.

Practical next steps: audit engagement letters and internal AI-use policies for California relevance, revisit arbitration-agreement language and arbitrator disclosures, and track any implementing guidance, since a first-of-its-kind statute is likely to be tested and refined. Also watch whether other states follow, which would turn a local rule into a multi-state compliance patchwork.