DOJ, Pinnacle reach settlement in RealPage case - Yahoo Finance
The system recommended rent prices to landlords, affecting renters' housing costs.
- Company involved
- Pinnacle Property Management Services
- AI system involved
- RealPage
1 source article · read the reporting →
Expedia hit with antitrust class action over algorithm pricing scheme - Courthouse News
A class action alleges Expedia took part in an algorithmic pricing scheme that inflated hotel room prices for consumers booking through Expedia and other platforms.
- Company involved
- Expedia
1 source article · read the reporting →
Fifa's dynamic pricing for World Cup tickets faces petition from Zohran Mamdani
New York City mayoral candidate Zohran Mamdani launched a petition against Fifa's use of dynamic pricing for World Cup 2026 tickets. The pricing model, which adjusts ticket prices based on demand, is accused of putting profit before fans and making tickets unaffordable for many. Mamdani calls for an end to dynamic pricing, a cap on resale prices, and a set-aside of tickets for local residents. No response from Fifa has been reported.
- Company involved
- Fifa
10 source articles · read the reporting →
Expedia Accused of Using AI to Jack Up Hotel Room Rates - Bloomberg Law News
Set artificially inflated hotel room rates for consumers booking US hotel accommodations
- Company involved
- Expedia Group Inc.
1 source article · read the reporting →
Airbnb bans users in Australia using trustworthiness algorithm
Airbnb is accused of using an algorithm acquired from Trooly to score users' trustworthiness based on publicly available data, including social media and occupation. Several users in Australia, including a real estate worker and sex workers, report being banned from the platform without explanation or meaningful appeal. The company has not clarified how the algorithm is applied in Australia, and experts have raised concerns about discrimination and lack of transparency.
- Company involved
- Airbnb
- AI system involved
- Trooly
4 source articles · read the reporting →
Gas stations accused of using AI to inflate prices in California lawsuit
A class action lawsuit alleges that major gas station chains in California, including Marathon Petroleum, 7-Eleven, Walmart, and Circle K, used Kalibrate's AI-powered pricing software to coordinate and raise fuel prices. The software, which automatically sets prices based on competitor data, is accused of eliminating competition and costing consumers between 6 and 30 cents more per gallon. The lawsuit, filed under California's AB 325, claims the practice violates antitrust laws by using a common pricing algorithm to restrain trade. The case is pending.
- Company involved
- Marathon Petroleum, 7-Eleven, Walmart, Circle K
- AI system involved
- Kalibrate Fuel Pricing
10 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 →
South Korea plans measures against malicious reviews on food delivery apps
South Korea's Korea Communications Commission announced policy measures to curb malicious reviews on food delivery apps, following the death of a small restaurant owner in Seoul who allegedly suffered stress after a customer demanded a refund through Coupang Eats. The regulator plans to overhaul review systems, require companies to submit user protection data, and establish a dispute arbitration committee. The article reports that 63.3 percent of restaurant owners in the Seoul area have suffered damage from malicious customer reviews.
- Company involved
- Coupang Eats
- AI system involved
- Coupang Eats delivery app review system
10 source articles · read the reporting →
Upstart Holdings sued for securities fraud over AI model claims
Upstart Holdings, Inc., a cloud-based AI lending platform, is accused of making false and misleading statements about its AI model's ability to account for macroeconomic factors. The lawsuit, filed on May 13, 2022, alleges that the company's positive statements about its business were materially false. Investors suffered losses when Upstart's stock price fell 56% on May 9, 2022, after the company reduced its fiscal 2022 guidance.
- Company involved
- Upstart Holdings, Inc.
- AI system involved
- Upstart AI lending platform
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 →
Privacy group files complaint against proctoring companies over AI surveillance
The Electronic Privacy Information Center (EPIC) filed a complaint with the District of Columbia attorney general against five exam proctoring companies—Respondus, ProctorU, Proctorio, Examity, and Honorlock—alleging unfair and deceptive business practices. The companies are accused of using opaque AI algorithms to flag cheating and collecting excessive biometric data from students. Students have reported that the facial recognition software fails to detect dark skin tones, preventing them from taking exams. EPIC has also sent demand letters threatening civil suits if the companies do not stop their practices.
- Company involved
- Proctorio, Respondus, ProctorU, Examity, Honorlock
10 source articles · read the reporting →
Cruise recalls 300 robotaxis after crashing into San Francisco bus
On March 23, 2023, a Cruise self-driving robotaxi rear-ended an articulated San Francisco Municipal Transit Authority bus in San Francisco. The low-speed crash caused minor damage to the robotaxi's front fender and no injuries. Cruise filed a voluntary recall with NHTSA and issued a software update, stating that the software inaccurately predicted the movement of articulated vehicles.
- Company involved
- Cruise
- AI system involved
- Cruise self-driving robotaxi
10 source articles · read the reporting →
Amazon accused of using Project Nessie algorithm to inflate prices
Amazon is accused of using a secret algorithm called Project Nessie to inflate prices on its platform. The algorithm monitored competitors' prices and raised its own, then reverted if rivals didn't follow. The practice was revealed through an FTC lawsuit. Amazon says it scrapped the program in 2019 and denies wrongdoing.
- Company involved
- Amazon
- AI system involved
- Project Nessie
10 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 →
Investing.com uses AI to copy competitors' articles without credit
Investing.com, a financial news site owned by Joffre Capital, is accused of using AI to generate stories that closely resemble articles published by competitors such as CryptoNewsLand, The Motley Fool, and FXStreet. The AI-generated pieces often cite the same statistics and sources as the originals but do not credit them. Competitors like FXStreet have expressed concern that this practice threatens original journalism. Investing.com disclosed AI assistance in its stories but did not respond to requests for comment.
- Company involved
- Investing.com
- AI system involved
- Unnamed AI content generation system
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 →
McDonald's Sued for Using AI to Manipulate Menu Prices
تُقاضى شركة ماكدونالدز لاستخدامها الذكاء الاصطناعي للتلاعب بأسعار قوائم الطعام. - Vietnam.vn
McDonald's is facing a class-action lawsuit in the US alleging it used an AI-powered pricing system to coordinate menu prices across franchises, potentially violating antitrust laws. The company denies the claims, stating that franchisees still determine their own prices and that the tools are common in the industry.
- Company involved
- McDonald's
1 source article · read the reporting →
Universal and Warner press court to end US musicians’ lawsuit over Udio, Suno deals - Music Business Worldwide
Record labels licensed union musicians' recordings to AI music companies without additional payment or credit.
- Company involved
- Universal Music Group, Warner Records
- AI system involved
- Suno, Udio
1 source article · read the reporting →