ALL >> General >> View Article
Donotpay To Pay $193k Fine For Untested Ai Lawyer As Ftc Cracks Down On Deceptive Ai Companies

There’s no doubt that advancements in artificial intelligence (AI) and generative AI (GenAI) have transformed industries across the globe. However, this powerful technology has also been misused for harmful purposes. From manipulating consumers to enabling fraudulent transactions, some companies are exploiting AI to mislead and deceive. In addition, generative AI’s infamous "hallucination" problem—where it creates false or misleading information—has further complicated the ethical landscape. The U.S. Federal Trade Commission (FTC) has stepped in to curb such misuse with its new initiative.
The FTC's latest campaign, called Operation AI Comply, aims to crack down on companies leveraging AI for deceptive or unfair practices. This includes businesses that exploit the AI hype to sell unreliable products and services. Among the first targets of this initiative is DoNotPay, an app initially designed to help users contest parking tickets. Over time, the company expanded its offerings, marketing services in areas where it lacked the necessary expertise.
At the heart of the FTC’s complaint is DoNotPay’s launch ...
... of an AI-driven “robot lawyer.” The tool claimed to enable users to “sue anyone with the click of a button.” However, the FTC found these claims to be baseless, as the company had not conducted any testing to ensure the AI tool could operate at the level of a licensed human lawyer. Furthermore, there were no consulting lawyers to verify or oversee the application’s functionality. DoNotPay’s CEO even admitted in 2018 that the legal services were provided with “no lawyer oversight,” which further raised red flags.
Read More: https://www.techdogs.com/tech-news/td-newsdesk/donotpay-to-pay-193k-fine-for-untested-ai-lawyer-as-ftc-cracks-down-on-deceptive-ai-companies
Add Comment
General Articles
1. Prognathism – Types, Causes And DiagnosisAuthor: James Bolte
2. Direct Release Systems: A Game Changer In Fire Protection Technology
Author: oliver
3. How To Buy A Car Online ?
Author: Lavy Johnson
4. How Ai In Web Development Enhances User Experience For Saas Products
Author: david
5. Safety And Style Combined: Why Choosing The Right Capsule Lift Manufacturer In Delhi Is A Long-term Investment
Author: Hybon
6. Discover The Health And Wellness Benefits Of A West Kelowna Sauna
Author: Duke John
7. Did You Know Turnkey Laboratory Solutions Can Cut Your Project Time In Half?
Author: Naveen Sharma
8. Не просто коробки: почему упаковка стала вашим молчаливым менеджером по продажам
Author: Sanya Nekitich
9. Easy Pain Relief Treatment In Kattupakkam - Go Physio
Author: Go Physio
10. Powerful Remedies: Kaal Sarp Dosh Puja Dates, Pitra Dosh In Kundali
Author: Ajay Guruji
11. Key Features Of A Reliable Agentic Ai Development Service In 2025
Author: Albert
12. Hearing Loss: Types, Symptoms, Causes & Treatment
Author: Omkar
13. Todoo Fizo 30000 Disposable Vape Review: Long-lasting Puffs & Rich Flavor
Author: Todoovape
14. Amchur Powder: The Perfect Combination Of Taste And Health
Author: Nitin Bhandari
15. The Best Mens Rolex Watches For Everyday Wear
Author: The Diamond Box