Hi Marketing Wranglers,

AI is revolutionizing marketing, but staying compliant has never been more important. This week, we dive into how algorithmic marketing is changing the game and why staying on top of regulatory shifts is crucial.

And speaking of regulation, did you catch the recent story about New York’s push to ban AI-generated images in political campaigns? It’s a perfect example of how quickly AI’s impact on marketing is being scrutinized.

Let’s dive in!

🔍 Deep Dive: AI and Algorithmic Marketing Are Not Neutral

🗳️ AI in Campaigns: New York Moves on Regulation

📡 Regulatory Radar: Compliance signals you can’t ignore

🙋 Ask Austin: Straight answers to your marketing puzzles

Warrant's founder & CEO Austin Carroll delivered a direct message in her "Comply or Die" keynote, unpacking the marketing compliance landmines that are currently attracting FTC attention and triggering lawsuits that cost companies millions.

Non-compliant marketing isn't just a legal headache anymore, it's an existential threat and brands need to beware.

AI now powers how marketing content is written, who sees ads, and what messages are amplified. Most teams treat this as a performance upgrade.

Regulators see it differently. AI does not replace human judgment. It automates decisions, and those decisions can violate marketing, consumer protection, and anti-discrimination rules at scale.

This is not about whether AI is allowed. It is about who is responsible when algorithms get it wrong.

Many marketing teams assume they are safe because they do not explicitly target by protected characteristics. AI does not work that way. Algorithms often optimize for engagement or clicks, which can produce unintended bias.

Even if no one programmed discrimination, the outcome can still violate fairness or anti-discrimination laws in some jurisdictions. The principle is clear: intent does not override impact.

The FTC has started taking enforcement action against companies making false or misleading AI marketing claims.

Examples include:

The FTC has also made it clear that fake reviews or testimonials generated by AI are prohibited, with penalties for violations. The message: AI does not create a legal exemption.

Global regulators are converging on one principle: it is not whether AI is used, but whether humans remain accountable for outputs.

Oversight is critical. Even AI-generated content may require final human approval, documentation of decisions, and careful monitoring of outputs.

Teams that use AI responsibly focus on three things:

AI governance – Know every AI tool in use and its risk profile.

Human oversight – Humans refine the final outputs, not just stamp approvals. Document decisions.

Bias monitoring – Review results for unintended patterns. Even without discriminatory intent, outcomes can still create liability.

AI marketing is not risky because it is new. It is risky because it operates at scale, often without visibility, under rules that already exist. Compliance must be adhered to at every step.

Brands that win are the ones that can explain how algorithms work, who approved outputs, and why it was safe to ship. AI marketing is not ending. It is growing up.

The Setup: Gov. Kathy Hochul wants to curb AI misuse in political campaigns in New York ahead of elections.

What’s Being Proposed: Ban AI-generated images of candidates or voters without consent within 90 days of an election. Outlaw deliberate spread of false election info, including dates and times. Allow lawsuits for violations.

The Context: AI has been used to create misleading or defamatory content, like fake videos of candidates and manipulated depictions of supporters. Incidents in recent New York races show the speed misinformation can spread.

The Takeaway: Hochul is aiming to protect voters and set a national standard for responsible AI in politics. Campaigns using AI will need clear review processes or risk legal consequences.

Source: The New York Times

Political campaigns must label AI or digitally altered ads and submit them to the Secretary of State, with fines up to $50K per violation. Read more

Draft rules would require visible labels and machine-readable markers on AI-generated content, with enforcement expected by August 2026. Read more

New laws require age checks, safety protocols, and higher penalties for distributing non-consensual explicit or AI-manipulated content. Read more

Limited-time promotions create excitement—but without compliance, they can create risk. Here’s a practical checklist:

AI moves fast. Compliance can’t fall behind. Warrant OS and Warrant Reach help you review, approve, and archive all marketing content so every AI-generated or employee-shared post meets regulatory standards before it goes live.

Newsletter subscribers get early beta access. Reply "REACH" to get set up.

Got a horror story? A question? A regulatory update I missed? Hit reply.

— Austin | Founder, Warrant | hellowarrant.com

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