Patchwork of state regulations
The current situation in the US where numerous states are creating their own individual AI laws, which is seen as detrimental to innovation and particularly burdensome for startups.
First Mentioned
1/23/2026, 6:57:21 AM
Last Updated
1/23/2026, 7:02:00 AM
Research Retrieved
1/23/2026, 7:02:00 AM
Summary
A patchwork of state regulations refers to a legal landscape where individual states within a country enact diverse and often uncoordinated rules governing specific sectors, such as Artificial Intelligence (AI), food safety, and electronic waste. This fragmentation creates significant compliance challenges and increased litigation costs for businesses operating across state lines, particularly small businesses. In the United States, the debate often centers on whether to allow this 'chaotic' state-level approach or to implement a unified, lightweight federal framework to foster 'permissionless innovation.' This is especially critical in the global AI race against China, where the U.S. federal government has recently moved to preempt state laws that might obstruct national policy. While the U.S. system often results in such patchworks, it contrasts with the more centralized, precautionary approach seen in the European Union.
Referenced in 1 Document
Research Data
Extracted Attributes
Definition
A situation where different states within a country have varying and often uncoordinated rules and laws governing a particular issue.
Small Business Impact
65 percent of small businesses in the U.S. report concern over rising litigation and compliance costs due to conflicting state and local AI laws.
Primary Sectors Affected
Artificial Intelligence, food and beverage, consumer products, and electronic waste recycling.
Federal Restriction Count
1.08 million regulatory restrictions were in effect at the federal level at the end of 2017.
Regulatory Volume Comparison
U.S. states on average have roughly 10 to 20 percent the number of regulatory restrictions as the federal government.
Timeline
- Federal regulatory restrictions reached approximately 1.08 million, serving as a benchmark for state-level regulatory comparisons. (Source: Comparing Regulations across US States | Mercatus Center)
2017-12-31
- Acceleration of state-level ingredient bans and packaging obligations begins to sharply increase over a 12-18 month period. (Source: Quilting Circle: The Growing Patchwork of State Food + Consumer ...)
2024-05-01
- Trade associations raise formal concerns that state-specific bans and testing mandates are undermining the FDA's national regulatory framework. (Source: Quilting Circle: The Growing Patchwork of State Food + Consumer ...)
2025-11-01
- The White House issues a presidential action aimed at eliminating state law obstruction of national Artificial Intelligence policy to ensure a unified framework. (Source: Ensuring a National Policy Framework for Artificial Intelligence)
2025-12-01
Wikipedia
View on WikipediaElectronic Waste Recycling Fee
An Electronic Waste Recycling Fee is a fee imposed by government on new purchases of electronic products. The fees are used to pay for the future recycling of these products, as many contain hazardous materials. Locations that have such fees include the European Union, the US State of California and the province of Ontario, Canada.
Web Search Results
- The Differences between Federal, State, and Local Laws
Text size: A A A. ### Helping you find solutions to legal problems. ### Helping you find solutions to legal problems. Visit LawHelp.org and select your state to find other self-help resources and information about free and low-cost legal aid providers in your area. The information it contains is not legal advice. * PDF File size: 276.89KB. ##### Was this information helpful? ##### LawHelp Interactive helps you create your own legal documents for free. Create complete legal documents to protect your rights in housing, family law, debt collection, and many other types of problems, for free. ##### Immi helps immigrants in the U.S. understand their legal options. Go to our Immigration Legal Help page to learn more about immi and Citzenshipworks. #### Help after a Disaster. Go to our Disaster Legal Help page to learn more about disaster assistance, legal help in your area, and how to appeal a decision from the Federal Emergency Management Agency (FEMA).
- Comparing Regulations across US States | Mercatus Center
More recently, however, State RegData—a database built on the QuantGov platform—gives researchers and policymakers the ability to conduct industry-specific analysis of state-level regulatory restrictions. Extending the logic of the RegData project to US states, State RegData converts regulatory text in state administrative codes into datasets containing statistics about those regulations, such as restriction counts, word counts, and industry relevance. By comparison, there were about 1.08 million regulatory restrictions in federal regulations in effect at the end of 2017, which means that states on average appear to have roughly 10 to 20 percent the number of regulatory restrictions as the federal government. Federal agencies and state governments have different jurisdictions and priorities, and the most regulated industries at the federal and state levels often depend on specific legislation (e.g., Dodd-Frank). When State RegData is used in conjunction with data on federal regulations from RegData, researchers will have the opportunity to work with comprehensive data that use a consistent and comparable metric across time, place, and industry.
- Ensuring a National Policy Framework for Artificial Intelligence
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- Quilting Circle: The Growing Patchwork of State Food + Consumer ...
Over the past few years—accelerating sharply in the last 12–18 months—state legislatures have enacted a broad range of ingredient bans, warning-label mandates, testing and disclosure rules, and packaging obligations that differ substantially from state to state. These bans do not align in chemical definitions, exemptions, or timing, requiring companies to evaluate their product portfolios state by state. In addition to bans, some states require product warnings tied to specific ingredients. Trade associations and individual companies have raised concerns that state-specific bans, warnings, testing mandates, and packaging requirements undermine FDA's national regulatory framework and impose duplicative operational burdens—especially when the underlying scientific standards differ. Companies should anticipate additional ingredient bans, more warning-label mandates, expanded EPR programs, increased product testing and disclosure obligations, and growing emphasis on transparency around chemicals and nutrition. In the absence of federal uniformity, state legislation will continue to define the regulatory environment for food, beverage, and consumer product companies.
- The Hidden Cost of 50 State AI Laws: A Data-Driven Breakdown
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