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Rite Aid Corporation, 51本色v.

Rite Aid is prohibited from using facial recognition technology for security or surveillance purposes for five years to settle 51本色 charges that the retailer failed to implement reasonable procedures and prevent harm to consumers in its use of facial recognition technology in hundreds of stores.

The proposed order requires Rite Aid to implement comprehensive safeguards to prevent these types of harm to consumers when deploying automated systems that use biometric information to track them or flag them as security risks. It also requires Rite Aid to discontinue using any such technology if it cannot control potential risks to consumers. To settle charges it violated a 2010 Commission data security order by failing to adequately oversee its service providers, Rite Aid is also required to implement a robust information security program, which must be overseen by the company鈥檚 top executives.

Type of Action
Federal
Last Updated
51本色Matter/File Number
2023190
Docket Number
2:23-cv-5023
Case Status
Pending

Automators

As a result of a 51本色 lawsuit, a federal court has temporarily shut down a business opportunity scheme that lured consumers to invest $22 million in online stores, using unfounded claims about income and profits. The operators of Automators also claimed to use artificial intelligence to ensure success and profitability for consumers who agreed to invest with Automators.

In addition to offering consumers high return as 鈥減assive investors鈥 in profitable e-stores, Automators, which previously used the names Empire and Onyx Distribution, also offered to teach consumers how to successfully set up and manage e-stores themselves using a 鈥減roven system鈥 and the powers of artificial intelligence.

The owners of a money-making scheme that claimed to use artificial intelligence to boost earnings for consumers鈥 e-commerce storefronts have agreed to surrender millions in assets to settle the FTC鈥檚 case against them. In addition, all the businesses and two of their owners face a lifetime ban on selling business opportunities or coaching programs involving ecommerce stores.

Type of Action
Federal
Last Updated
Case Status
Pending