The FTC has taken legal action against five companies for deceptive AI claims, emphasizing that using AI to defraud individuals is illegal and will be punished.
Lina Khan stated, 'Using AI tools to trick, mislead, or defraud people is illegal.' This reinforces the FTC's stance that AI does not exempt firms from existing laws.
The FTC’s enforcement actions serve to protect consumers and level the playing field for honest businesses and innovators by cracking down on deceitful practices.
Of the two settled cases, DoNotPay had previously challenged legal limits for AI usage in court but has faced scrutiny for its claims about AI capabilities.
Collection
[
|
...
]