• videocam Live Webinar with Live Q&A
  • calendar_month July 21, 2026 @ 1:00 PM ET/10:00 AM PT
  • signal_cellular_alt Intermediate
  • card_travel Health
  • schedule 90 minutes

AI in Mental Healthcare: New State Laws Impacting the Use of AI and Companion Chatbots in Patient Care

About the Course

Introduction

This CLE webinar will provide a comprehensive overview of recently enacted and/or pending state legislation governing the use of artificial intelligence (AI) in the treatment of mental health conditions. The panel will closely examine notable state laws, discuss the impact on providers, and offer best practices for compliance in this rapidly evolving regulatory landscape.

Description

A regulatory scheme has recently evolved around the use of AI in treating mental health conditions as knowledge of the risks it poses to the patients seeking treatment becomes clearer. AI has increasingly been used in mental healthcare for supportive functions, including symptom screening, post-visit remote monitoring, and administrative tasks such as notetaking. 

Additionally, with access to mental health therapy being limited for many, the use of AI therapy chatbots has been touted as filling a need. Yet, studies have demonstrated increased risks of using chatbots in mental healthcare, including issues related to bias and privacy, and the inability to respond with critical feedback and necessary intervention.

As a result, and despite the efforts of the current administration to curb state regulation of AI, many states have enacted or are preparing to enact legislation governing the use of AI in mental healthcare. For example, Illinois has enacted the Wellness and Oversight for Psychological Resources (WOPR) Act which prohibits an entity from offering mental health therapy using AI unless the services are provided by a licensed professional. Even then, WOPR prohibits the use of AI to: (1) make independent therapeutic decisions; (2) generate recommendations for treatment or treatment plans without review and approval by the licensed professional; (3) engage directly with a client in therapeutic communication; and (4) detect emotions or mental states.

While California has already enacted pertinent legislation requiring, among other things, that healthcare providers disclose to consumers that communications are generated by AI, most recently, SB 903 was introduced to more closely govern the use of AI in mental healthcare. The bill is making its way through the legislative process. Other states with notable legislation governing the use of AI to treat mental health conditions include New York, Tennessee, Nevada, Utah, and Texas.

Listen as our authoritative panel provides a comprehensive overview of the status of state healthcare legislation governing the use of AI in the treatment of mental health. The panel will examine notable state laws, discuss provider impact, and offer best practices for compliance in this rapidly evolving regulatory landscape.

Presented By

Jeremy D. Sherer
Partner
Orrick, Herrington & Sutcliffe LLP

Mr. Sherer provides business-oriented guidance to help those reshaping the U.S. health care industry, serving as a strategic advisor and "product counsel" to digital health, health tech, and healthcare companies – from seed stage startups to national health systems and publicly traded companies – focusing on regulatory compliance, transactions and innovative business arrangements. Mr. Sherer advises clients on the full range of regulatory health care issues facing digital health stakeholders. His depth and breadth of experience enables him to help established and early-stage companies navigate a complex and ever-changing business and regulatory landscape. Mr. Sherer’s telehealth experience includes advising on compliance with state licensure requirements for physicians and non-physician practitioners, corporate practice of medicine issues, remote prescribing (including controlled substances), patient consent and Medicare, Medicaid and commercial reimbursement. He advises clients on compliance with laws against fraud and abuse, including federal and state anti-kickback and self-referral laws, as well as privacy issues arising under HIPAA and its state-level counterparts. Mr. Sherer has substantial experience pertaining to structuring, operationalizing and scaling “PC-MSO” arrangements across all 50 states. He also advises venture capital and private equity firms conducting regulatory diligence associated with investments in digital health and health care technology ventures, from seed stage funding to nine-figure raises.


Credit Information
  • This 90-minute webinar is eligible in most states for 1.5 CLE credits.


  • Live Online


    On Demand

Date + Time

  • event

    Tuesday, July 21, 2026

  • schedule

    1:00 PM ET/10:00 AM PT

I. Introduction: the risks of using AI in mental healthcare

II. Notable state legislation governing the use of AI in mental healthcare

A. Illinois

B. California

C. New York

D. Tennessee

E. Nevada

F. Others

III. Provider impact

IV. Best practices for compliance


The panel will review these and other important issues:

  • What are the risks of using AI to treat mental health issues?
  • What states have legislation currently enacted or are preparing to enact legislation specifically governing the use of AI in mental healthcare? What do these laws require of healthcare providers?
  • What are best practices for guiding clients through this evolving regulatory landscape?