Target's pregnancy prediction algorithm reveals teen's pregnancy to father
Target used a data mining algorithm to predict when customers were pregnant based on their purchases. The algorithm sent baby product coupons to a high school student, leading her father to complain to the store. The father later learned his daughter was indeed pregnant. Target subsequently altered the coupons to disguise the data mining.
- Company involved
- Target
- AI system involved
- Target pregnancy prediction algorithm
9 source articles · read the reporting →
Geico and other insurers charge higher premiums in minority neighborhoods than in white areas with similar risk
ProPublica's analysis of auto insurance premiums in California, Illinois, Texas and Missouri found that major insurers such as Geico, Allstate and Liberty Mutual charge minority neighborhoods up to 30% more than white areas with similar accident costs. The disparity is alleged to result from pricing algorithms that may inadvertently use zip code as a proxy for race. Otis Nash, a 26-year-old Chicagoan, pays $190.69 per month for Geico insurance while a white driver in a safer neighborhood pays $54.67. The insurers deny discrimination, stating they do not collect race data.
- Company involved
- Geico
5 source articles · read the reporting →
Poland's Ministry of Labor profiles unemployed with discriminatory algorithm
In May 2015, Poland's Ministry of Labor and Social Policy introduced an algorithmic system to profile unemployed people into three categories based on their readiness to work, location, and disabilities. The system is accused of being discriminatory and lacking transparency, as it uses default criteria that may lead to social exclusion. A report by the Panoptykon Foundation in October 2015 highlighted these issues and recommended reforms, including granting the right to appeal.
- Company involved
- Ministry of Labor and Social Policy
10 source articles · read the reporting →
Instacart's rating and fraud detection system unfairly penalizes shoppers
Instacart shoppers allege that the company's automated rating and fraud detection system unfairly penalizes them for issues outside their control, such as customer fraud. The system assigns low ratings and blames shoppers for missing items, leading to reduced pay and deactivation. The Gig Workers Collective has sent an open letter to CEO Fidji Simo demanding changes including higher base pay, item commission, and occupational death benefits.
- Company involved
- Instacart
10 source articles · read the reporting →
Tenant screening software denies housing to disabled Latino man in Connecticut
In 2016, Carmen Arroyo requested to move her disabled son Mikhail into a larger apartment in the same complex. The landlord, WinnResidential, used CoreLogic's CrimSafe tenant screening software, which flagged a dropped retail theft charge against Mikhail as disqualifying. The landlord rejected the application without explanation. Arroyo sued CoreLogic and WinnResidential under the Fair Credit Reporting Act and the Fair Housing Act, alleging that the software disproportionately excludes people of colour. The case was scheduled for trial in August 2021.
- Company involved
- WinnResidential
- AI system involved
- CrimSafe
10 source articles · read the reporting →
Adoption algorithm Family-Match produced limited results in multiple states
The AI-powered adoption algorithm Family-Match, developed by Adoption-Share and designed by former eharmony researchers, has produced limited results in states where it was used. Social workers reported that the tool often matched children with unwilling families and failed to generate successful adoptions. Virginia, Georgia, and Tennessee dropped or paused the algorithm after trials, though some later resumed use. The algorithm's creator, Thea Ramirez, disputed the accounts and said the tool is a starting point for social workers.
- Company involved
- Adoption-Share
- AI system involved
- Family-Match
7 source articles · read the reporting →
Prisma Labs wins arbitration in Lensa biometric privacy lawsuit
Artificial intelligence company Prisma Labs is accused of violating Illinois' biometric privacy law by collecting facial geometry data from users of its Lensa app. A proposed class action was filed, but a California federal judge granted Prisma's motion to compel arbitration because users agreed to it during sign-up. The plaintiff alleges the app collected his facial data without consent.
- Company involved
- Prisma Labs Inc.
- AI system involved
- Lensa AI
8 source articles · read the reporting →
Washington Post uses algorithm to set subscription prices based on personal data
The Washington Post is accused of using an algorithm to set subscription prices based on subscribers' personal data. Some subscribers received emails stating that their new price was determined by an algorithm using their personal data. The practice, known as surveillance pricing, has drawn criticism from Democratic lawmakers who have proposed legislation to ban it.
- Company involved
- Washington Post
6 source articles · read the reporting →
Illinois DCFS ends unreliable predictive analytics program for child abuse risk
The Illinois Department of Children and Family Services ended its Rapid Safety Feedback program, which used data mining to predict child abuse risk, after the agency's director called the technology unreliable. The system, developed by Eckerd Connects and Mindshare Technology, assigned risk scores to children but failed to flag several high-profile child deaths. The program was also criticised for overwhelming caseworkers with alerts and for potential bias against poor children of colour. DCFS decided not to renew the contract.
- Company involved
- Illinois Department of Children and Family Services
- AI system involved
- Rapid Safety Feedback
10 source articles · read the reporting →
Amazon Buy Box algorithm accused of overcharging UK consumers by £1 billion
Consumer champion Robert Hammond has filed a collective proceedings order application against Amazon in the UK Competition Appeal Tribunal. The claim alleges that Amazon's Buy Box algorithm manipulated search results to favour products more profitable for Amazon, obscuring cheaper alternatives and causing approximately 49.4 million UK consumers to overpay by more than £1 billion between October 2015 and June 2020. The algorithm determined the first-ranked item in the Buy Box, which consumers accepted over 80% of the time. The case is pending, and similar investigations by the Italian Competition Authority and the UK Competition and Markets Authority are ongoing.
- Company involved
- Amazon
- AI system involved
- Buy Box algorithm
5 source articles · read the reporting →
UK government's Spotlight algorithm denies funding to independent cinemas
The UK government's Culture Recovery Fund used an automated due diligence tool called Spotlight, designed by the Cabinet Office, to process grant applications. The algorithm is accused of excluding smaller, community-focused independent cinemas and arts organizations in favour of larger institutions, a practice the article describes as automated cultural elitism. The National Audit Office has confirmed the criteria, and Arts Council England is investigating cases of potential fraud, while many venues report struggling to survive.
- Company involved
- UK Government Cabinet Office
- AI system involved
- Spotlight
6 source articles · read the reporting →
U.S. Federal Court Allows CIPA Class Action Against AI Customer Service Provider to Proceed - Wilson Sonsini
The AI system intercepted and recorded a customer's phone call and collected her personal and financial information without consent.
- Company involved
- ConverseNow Technologies, Inc.
1 source article · read the reporting →
Patagonia Targeted by Privacy Class Action for Use of Customer Service AI Software - Law.com
The system intercepted, recorded, and mined data from customer service calls, affecting customers' privacy.
- Company involved
- Patagonia
- AI system involved
- Talkdesk
1 source article · read the reporting →
Talkdesk Hit With Class Suit Over Customer Service Software - news.bloomberglaw.com
The system secretly recorded and analyzed customer service conversations of callers to Patagonia and Zumiez without consent.
- Company involved
- Talkdesk Inc.
- AI system involved
- CX Cloud
1 source article · read the reporting →
Who Gives A Crap suspends AI agent after email error said prices would double - SmartCompany
The AI agent incorrectly confirmed a doubled subscription price to a customer.
- Company involved
- Who Gives A Crap
1 source article · read the reporting →
Air Canada says its AI chatbot went rogue, misleading customers - Modern Ghana
The chatbot provided misleading information to customers.
- Company involved
- Air Canada
1 source article · read the reporting →