BRAZIL Law and Practice Contributed by: Lucia Ancona Lopez de Magalhães Dias, Maria Fernanda Saab Nersessian and Camila Emi Tomimatsu, Magalhães e Dias
Consequently, even if a contractual relationship has been established a priori to send products or provide services continuously (for a fee), to avoid allegations of abusive practice and related penalties, the prior and express consent of the consumer should be procured for the renewal.
audience over 18 years of age, as well as cases of restricted advertising where the AI failed in its targeting efforts. Finally, it also reviewed cases involving inaccurate or potentially misleading ads based on AI-generated images. 8.2 AI-Related Claims Notwithstanding the non-existence of special rules in Brazil related to making claims that a product was developed using AI, is powered by AI or has AI-relat - ed capabilities, a claim has already been submitted before CONAR concerning the use of AI in an adver - tisement (by Volkswagen, as mentioned in 7.1 AI & Advertising Content ). Claims have also been made in relation to programmatic advertising, deepfakes, ste - reotypical ads using AI-generated images and inac - curate offers. 8.3 Chatbots There are no special rules or guidance in Brazil spe - cifically on the use of chatbots. However, the use of chatbots must abide by the general rules on personal data protection, provided for in Law 13,709/2018 of the LGPD, considering that chatbots often involve the collection of personal data – which requires the explicit consent of the users in several instances. Furthermore, there is a bill still under discussion (Bill 2,338/2023) that provides stricter guidelines on the use of chatbots, enhancing transparency and per - sonal data protection. 9. Web 3.0 9.1 Cryptocurrency and Non-Fungible Tokens (NFTs) Since 22 December 2022, Law 14,478/2022 (the Legal Framework for Crypto Assets) has been in force in Brazil, setting forth guidelines to be observed in rela - tion to the provision of virtual asset services and the regulation of virtual asset service providers. It estab - lishes that the provision of virtual asset services must comply with certain principles, such as the protection and defence of consumers and users (Article 4 (IV)), and that the provisions of the CDC apply to trans - actions conducted on virtual assets markets – which
8. Artificial Intelligence 8.1 AI and Advertising Content
Except for a regulation on electoral advertisements (Resolution 23,610/2019 of the Superior Electoral Court, which provides for restrictions on the use of artificial intelligence (AI) in such advertisements), there is no legislation in Brazil that specifically regulates the use of AI, either in general or specifically in connection with the development of advertising content. Moreo - ver, there are bills currently under discussion aimed at regulating AI in Brazil, such as Bill 2338/2023, which proposes general rules for the development, implementation and use of AI systems in Brazil, and Bill 4/25, currently before the Senate, which aims to modify the Civil Code in relation to several subjects, including AI. It is worth highlighting the following self-regulation initiatives. • In August 2023, CONAR took on its first prominent case involving AI – a complaint against an adver - tising campaign by Volkswagen that featured an AI-generated likeness of the famous singer Elis Regina, who died in the 1980s, singing a song with her daughter. CONAR concluded that there was no obligation to include information to clarify that the content of the advertisement had been generated by AI, considering the use of AI to be self-evident in this case; thus, it closed the proceeding without penalties. • In 2024 and 2025, CONAR heard several cases involving AI, particularly regarding the fraudulent use of deepfakes and misleading advertising. • Ads that used stereotypical AI-generated images (which reinforced ableism) or could lead to social washing were rejected. • CONAR also heard cases involving programmatic advertising failures, where ads were targeted at an
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