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Governance, Risk, Audit & Privacy · Advanced

Automated Decision-Making Technology (ADMT)

US privacy law term for technology that processes personal information to replace or substantially replace human decision-making.

Definition

California's CPPA regulations finalized in 2025 require businesses using ADMT for significant decisions (such as financial services, housing, education, employment, and health care) to provide pre-use notices, opt-out or appeal rights, and access to information, and to conduct risk assessments, with compliance phasing in from 2027. Other state laws grant rights to opt out of profiling in furtherance of decisions with legal or similarly significant effects.

Example

An employer using AI to screen resumes in California must provide a pre-use ADMT notice.

Exam tip

Compare ADMT rules with GDPR Article 22 and the Colorado AI Act.

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