DoNotPay misled consumers into believing its AI could draft legal documents effectively without any validated testing, leading to the settling of $193,000 with the FTC.
The complaint highlights that DoNotPay's claims of replacing the legal industry with AI were made without comprehensive testing on a corpus of laws and without employing qualified legal expertise.
DoNotPay's assertions, such as allowing consumers to sue for assault through its platform, were misleading and ultimately ineffective, prompting regulatory action from the FTC.
As part of the settlement, DoNotPay will warn consumers about the limitations of its services, acknowledging that it did not have the legal backing to support its claims.
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