Policy

New York apparel brands face complaints over undisclosed AI models

Two retailers drew consumer complaints under a first-of-its-kind state law requiring disclosure when synthetic performers appear in advertising.

Omega Editorial· August 24, 2026· 3 min read

Two apparel retailers are at the center of the first consumer complaints filed under New York's synthetic performer disclosure law, which took effect in June and requires advertisers to tell shoppers when AI-generated people appear in their marketing materials.

Athletifreak, an athletic apparel seller with locations in New York City suburbs, and British eyewear brand Bloobloom each received anonymous complaints filed with the New York attorney general, according to records reported by Straight Arrow News. The complaints allege the companies displayed products on what appear to be AI-generated models without informing consumers.

Neither company responded to requests for comment, and the attorney general's office declined to discuss the status of the complaints.

Why it matters

The complaints represent an early test of how states will enforce transparency rules as synthetic imagery becomes standard practice in e-commerce. Because many online retailers advertise nationally, New York's disclosure requirement could effectively set a baseline for how companies must label AI-generated content across the country — even if they operate far from the state.

Research shows viewers can't reliably spot AI content

The law addresses a documented problem: research shows people correctly identify AI-generated content only 51 percent of the time, essentially no better than random chance. For shoppers evaluating clothing online, that uncertainty matters. Product photos serve as evidence of how items fit, drape, and appear on actual bodies.

Jacqueline Rodriguez, a Duke University graduate with degrees in computer science and public policy, said AI-generated human models can mislead consumers because "they're not a true display of a product and its usage or its appearance on an actual person."

Rodriguez noted that AI content has become "very pervasive" across platforms, and the technology has advanced to the point where "there are times where it's so realistic that, for a moment, you really see it as true."

National retailers already responding

The New York law's influence extends beyond state borders. Amazon informed third-party sellers in July that images or videos containing "AI-generated people" must include disclosures that comply with New York's standards — a signal that the state's approach is shaping practices for platforms with nationwide reach.

State officials have described the measure as a way to reduce deception while protecting human workers in creative industries.

Rodriguez characterized the disclosure requirement as informational rather than restrictive, comparing it to nutrition labels on packaged food. "It just gives you knowledge and an informed understanding of what you're looking at and not kind of feeling like you're being tricked or something," she said.

She suggested other states could adopt similar rules as AI-generated imagery continues to proliferate in online retail.

These details were first reported by Straight Arrow News.

#ai disclosure#synthetic media#ecommerce regulation#consumer protection#new york law#ai models

This is an original analysis by the Omega editorial team. Source reporting: AI Watch.

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