Feb. 4, 2026

Preparing for Compliance With the NY Raise Act

New York has joined California as a leading regulator of frontier AI developers and models. In December, Governor Hochul signed the Responsible Artificial Intelligence Safety and Education (RAISE) Act into law and announced an agreement with the New York State Legislature to amend that law to further harmonize it with California’s Transparency in Frontier Artificial Intelligence Act (TFAIA). This article discusses the principal features of the proposed amended RAISE Act and some distinctions from the TFAIA. It also offers compliance measures for covered companies to consider, with insights from experts at Davis Wright Tremaine, DLA Piper, Eversheds Sutherland, Gibson Dunn and Morrison Foerster. See our two-part series on California’s landmark AI transparency law: “Covered Entities, Reporting Requirements and Penalties” (Oct. 29, 2025), and “Compliance Considerations” (Nov. 5, 2025).

Illusory Systems Settlement Shows FTC Active and Focused on Crypto

The FTC’s recent settlement with Illusory Systems, a blockchain infrastructure company, highlights the increasing sophistication of regulators when it comes to identifying perceived deficiencies and risks in rapidly evolving technologies. The settlement also indicates that the FTC under the second Trump administration is still an active enforcer, and that it is focused on cryptocurrency. With insights from Cooley, Covington and Robinson+Cole, this article examines Illusory’s alleged security failures, the reasons behind the FTC’s investigation and key settlement terms. It also offers practical compliance lessons. See “SEC Commissioners Urge Balance of Crypto Innovation and Privacy” (Jan. 21, 2026).

Recent Developments and Upcoming Obligations Under the E.U. AI Act

The E.U. AI Act (Act) continues to reshape the regulatory landscape for AI. As the world’s first comprehensive AI framework, it sets obligations that will define how organizations design, deploy and manage AI systems. This article, distilling insights offered during a recent Bird & Bird presentation, covers significant developments under the Act, including the obligations that came into force in 2025, those taking effect in 2026 and strategies for meeting those obligations. It also reviews existing and anticipated guidance, transparency obligations and a pending proposal to amend the Act, which could extend certain compliance deadlines and ease some requirements. See our three-part series answering top questions about the E.U. AI Act: “Reach and Unique Requirements” (Apr. 24, 2024), “Risk Tiers and Big-Player Transparency” (May 1, 2024), and “Practical Steps and What’s Next” (May 8, 2024).

Kelley Drye Strengthens Privacy and Information Security Practice in California and Texas

Kelley Drye has announced the addition of two lawyers to the firm’s privacy and information security practice group. Kate Black joins as a partner in San Francisco and is associated with the firm’s Los Angeles office, and Mason Fitch joins as special counsel in Houston. Both attorneys arrive from Hintze Law. For insights from Kelley Drye, see “CPPA’s Tractor Supply Decision Offers Lessons As Enforcement Focus Moves From Education to Deterrence” (Oct. 22, 2025); and “Healthline’s Record-Setting CCPA Settlement Offers Lessons on Transparency and Opt-Outs” (Aug. 6, 2025).

Cybersecurity Partner Joins Cipriani & Werner in Philadelphia

Cipriani & Werner has welcomed Cristina Di Maria as a partner in its cybersecurity group in Philadelphia. She arrives from the Beckage Firm.