United States of America: Announced FTC lawsuit against Rytr LLC for allegedly generating false reviews with AI-powered tools

Description

Announced FTC lawsuit against Rytr LLC for allegedly generating false reviews with AI-powered tools

On 25 September 2024, the US Federal Trade Commission (FTC) announced a lawsuit against Rytr LLC for allegedly engaging in deceptive practices that violate the Federal Trade Commission Act. The allegations state that Rytr operates an AI writing service that generates detailed and realistic-sounding reviews, many of which are false. This service misleads consumers about the quality of products and services, harming both consumers and honest competitors. Rytr's platform allows subscribers to produce an unlimited number of reviews, enabling users to generate tens of thousands of misleading testimonials in a short period. As a result, consumers may rely on these fake reviews when making purchasing decisions.

Original source

Scope

Policy Area
Consumer protection
Policy Instrument
Fair marketing and advertising practice requirement
Regulated Economic Activity
ML and AI development, platform intermediary: other
Implementation Level
national
Government Branch
judiciary
Government Body
court

Complete timeline of this policy change

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2024-09-25
under deliberation

On 25 September 2024, the US Federal Trade Commission (FTC) announced a lawsuit against Rytr LLC fo…