December 2, 2024
A First-of-Its-Kind AI Regulatory Relief Agreement for Utah With Teen Mental Wellness App, ElizaChat
SALT LAKE CITY – The Utah Office of Artificial Intelligence (OAIP) signed its first regulatory mitigation agreement with ElizaChat, a company developing an app that schools can offer to teenage students to enable them to improve their mental wellness. The app aims to facilitate discussions around enhancing relationships, managing emotions, and setting personal goals. This agreement underscores ElizaChat’s commitment to adhering to industry best practices, such as data privacy, promoting positive mental health practices, and incorporating adult supervision in sensitive situations.
“This agreement marks a significant step forward in our commitment to fostering innovation while ensuring the safety and well-being of consumers in the AI landscape,” said Utah Department of Commerce Executive Director Margaret Busse. “By establishing regulatory guardrails and providing certainty, we are advancing technology while ensuring AI products are responsibly developed and deployed—which is particularly crucial in healthcare and mental health industries.”
A regulatory mitigation agreement is a contractual arrangement between a company, OAIP, and possibly relevant state regulators that outlines how they can use AI in Utah. This agreement may provide limited exemptions from existing laws, offer reduced fines for regulatory violations, or implement other strategies to foster responsible AI development while still ensuring safety. OAIP establishes these agreements case-by-case, reflecting a collaborative approach to balancing innovation and regulatory compliance.
This agreement requires ElizaChat to implement a robust internal safety protocol for escalating severe cases to trusted adults. It grants a 30-day period to rectify instances where the app may inadvertently engage in conversations that fall under the “practice of mental health therapy,” which requires state licensure.
If the app treads into conversations only a licensed therapist could legally lead, ElizaChat is responsible for connecting users with licensed therapists and providing the necessary support to mitigate any potential impacts on users.
“This is an example of how regulatory mitigation can empower innovative companies. Through our collaborative discussions with ElizaChat, we connected them with regulators to create a framework that safeguards consumers while allowing their service to flourish,” said Zach Boyd, Director of the Utah Office of AI Policy.
This is the first regulation mitigation agreement that OAIP has facilitated since the office was established in 2024 through SB149, which Sen. Kirk Cullimore and Rep. Jefferson Moss sponsored.
ElizaChat will pilot its app with trusted testers, including OAIP, and will gradually expand its user base to ensure safety throughout the deployment. ElizaChat designed the app to complement, not replace, human therapists and personal relationships, offering a vital resource for young users.
The agreement aims to create transparency in regulation while affording ElizaChat a meaningful opportunity to develop its transformative service without fear of regulatory uncertainty. It does not exempt the company from consumer protection laws that ensure accountability and safeguard users.
OAIP invites companies developing AI products for any industry and would like to have a regulatory mitigation agreement to email them at ai@utah.gov.
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About OAIP:
The Utah Office of Artificial Intelligence Policy (the Office) is one of ten divisions and offices of the Utah Department of Commerce. The Office is dedicated to establishing trust and fostering innovation in AI technologies across Utah. As a first-in-the-nation entity, the Office collaborates with businesses, academia, and various stakeholders to discuss and shape regulatory frameworks that encourage innovation while ensuring public safety. The Office positions Utah at the forefront of AI policy, regulation, and innovation by developing data-driven policies, making timely regulatory adjustments, and providing regulatory relief. Through its authority to create regulatory mitigation agreements, the office supports the deployment of AI in new and innovative ways, thereby setting a benchmark for the nation in AI innovation and regulation.
Media Contact:
Melanie Hall
Communications Director
Utah Department of Commerce
melaniehall@utah.gov
Office: (801) 530-6646
Cell: (385) 290-0719