News & Analysis as of

Unfair or Deceptive Trade Practices Artificial Intelligence

Cozen O'Connor

FTC Calls Out Workado’s Misleading AI Detection Claims

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The FTC approved a final order against Workado, LLC, a company that markets artificial intelligence (AI) content detection products, over claims that it misrepresented the accuracy and efficacy of its technology....more

Paul Hastings LLP

Colorado Delays Enforcement of AI Act

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On August 28, Colorado Gov. Jared Polis signed SB4, delaying the effective date of the Colorado AI Act (CAIA) from February 1, 2026, to June 30, 2026. Earlier this summer, Gov. Polis called the Colorado Legislature into a...more

Husch Blackwell LLP

FDIC Removes Disparate Impact Theory from Compliance Exam Manual

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Before the Labor Day holiday weekend, the Federal Deposit Insurance Corporation (FDIC) updated the fair lending and unfair, deceptive act or practices (UDAP) chapters of its Consumer Compliance Examination Manual to remove...more

Hudson Cook, LLP

FTC Issues Final Order Against AI Developer Over False Accuracy Claims in AI Content Detection

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On August 21, 2025, the Federal Trade Commission (FTC) issued a final Decision and Order against an artificial intelligence (AI) developer (the "Company"), concluding an enforcement action first announced in April 2025....more

Loeb & Loeb LLP

Two Recent GenAI Controversies Highlight Brand/PR Risks of Use

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Two recent stories highlight how the use of AI can create challenges around perception and trust. The first involves Will Smith. ...more

Mintz - Antitrust Viewpoints

Some Congressional Dissent to Trump Administration’s AI Chip Sales to China; FTC Cracks Down on AI Marketing Claims — AI: The...

Congressional representatives and senators, principally Democrats, have criticized the Trump administration’s approval of advanced semiconductor exports to China, citing national security and legal issues as issued in three...more

DLA Piper

FTC’s Latest AI-washing Case: A Focus on Agentic AI and Productivity Claims

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On August 25, 2025, the Federal Trade Commission (FTC) announced a new AI-washing case against Air AI, a company selling business coaching and support services. The FTC alleged that the company made deceptive marketing claims...more

Cozen O'Connor

When Algorithms Deny: AI and the New Frontier of Bad Faith

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As industries across the board adopt artificial intelligence (AI), insurers have likewise recognized its potential to enhance efficiency in claims administration. Yet with this opportunity comes tension: consumers expect both...more

Hudson Cook, LLP

Texas AG Opens Investigation into AI Developers for Allegedly Misleading Children with AI-Generated Mental Health Services

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On August 18, 2025, Attorney General Ken Paxton announced the opening of an investigation into two artificial intelligence (AI) developers for potential deceptive trade practices and misleading marketing. According to the...more

Fox Rothschild LLP

When It Comes to AI, Transparency Is Key

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If you use a bot powered by artificial intelligence to interact with consumers, you need to disclose it. A new law in Maine that goes into effect in September 2025 requires businesses to notify consumers in a clear and...more

Morrison & Foerster LLP

MoFo’s State + Local Government Enforcement Newsletter (August 2025)

Morrison Foerster’s State and Local Government Task Force is pleased to provide our bimonthly newsletter summarizing some of the most important and interesting developments from state attorneys general (“State AGs”) across...more

Klein Moynihan Turco LLP

New York Enacts First-Of-Its-Kind Dynamic Pricing Law

On May 9, 2025 New York Governor Kathy Hochul signed the Algorithmic Pricing Disclosure Act (the “Act”) into law. This is the first time that a state jurisdiction has mandated use of certain disclosures if consumer data has...more

Troutman Pepper Locke

Troutman Pepper Locke Weekly Consumer Financial Services Newsletter – July 2025 # 5

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To keep you informed of recent activities, below are several of the most significant federal and state events that have influenced the Consumer Financial Services industry over the past week....more

Womble Bond Dickinson

From Data to Decisions: Navigating Privacy and Litigation Risks in the AI Era

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While many systems that are described as AI have been around for decades (e.g., internet search engines), today’s AI tools are much more powerful and are widely accessible. Generative AI and agentic AI extend the power of...more

Hudson Cook, LLP

No AI Law? No Problem. How Massachusetts Attacked AI Underwriting Under Existing State Statutes

Hudson Cook, LLP on

On July 10, 2025, the Massachusetts Attorney General (AGO) entered into an Assurance of Discontinuance (AOD) with a private student loan lender (the Company), resolving allegations that the Company's underwriting practices...more

Ballard Spahr LLP

Massachusetts AG reaches settlement with student loan company, Earnest Operations LLC

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Massachusetts Attorney General Andrea Joy Campbell has reached a $2.5 million settlement with Earnest Operations LLC, a Delaware-based student loan company....more

Kelley Drye & Warren LLP

State AGs, and Mark Twain, Hold Companies Accountable for AI Use

This week, two state attorneys general on very different ends of the political spectrum announced separate actions related to purported discrimination by AI services. Missouri sent inquiry letters to four Big Tech companies...more

Orrick, Herrington & Sutcliffe LLP

Massachusetts attorney general settles with student lender for $2.5M for UDAP and fair lending violations from alleged AI...

On July 10, the attorney general from Massachusetts (AG) announced a settlement with a student lender for alleged unfair and deceptive acts and practices in violation of consumer protection and lending laws leading to, among...more

Troutman Pepper Locke

Mass. AG Emerges as Key Player in Consumer Protection

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Massachusetts Attorney General Andrea Campbell has emerged as a significant figure in the landscape of consumer protection and corporate accountability. Her actions and initiatives have positioned her as a thought leader...more

Wiley Rein LLP

Wiley Consumer Protection Download (July 1, 2025)

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New York Legislature Passes FAIR Business Practices Act. On June 18, the New York state legislature passed the Fostering Affordability and Integrity through Reasonable Business Practices Act (FAIR Business Practices Act),...more

Verrill

Maine Law Now Requires Limited Disclosures of Artificial Intelligence Technology

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Maine has joined the list of U.S. states requiring disclosures of Artificial Intelligence (A.I.) technologies. This is due to a new law signed by Governor Janet Mills on June 12, 2025, the Act to Ensure Transparency in...more

Eversheds Sutherland (US) LLP

New York’s proposed FAIR Business Practices Act – potential implications for business

The Consumer Financial Protection Bureau recently signaled a retreat from its regulatory and enforcement posture by outlining its 2025 supervisory and enforcement priorities and rescinding 67 regulatory guidance documents. In...more

Holland & Knight LLP

FTC Evaluating Deceptive Artificial Intelligence Claims

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The Federal Trade Commission (FTC) has shown a growing interest in scrutinizing deceptive claims related to artificial intelligence (AI). This interest stems from the agency's core mission to protect consumers and ensure fair...more

Holland & Knight LLP

Compliance Needs are Alive and Well: FTC's Recent Enforcement Activity

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In this episode of "Clearly Conspicuous," consumer protection attorney Anthony DiResta provides an early analysis of the Federal Trade Commission's (FTC) direction under Chair Andrew Ferguson, emphasizing that the agency is...more

Cozen O'Connor

The State AG Report – 05.29.2025

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Here are curated AG and federal regulatory news stories highlighting key areas in which state and federal regulators’ decisions are having an impact across the US: • NY Fights FAIR to Expand State Consumer Protection Law - ...more

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