"Using AI tools to trick, mislead, or defraud people is illegal," FTC Chair Lina M. Khan said. "The FTC’s enforcement actions make clear that there is no AI exemption from the laws on the books.

The finalized order, approved by a unanimous 5-0 vote from the FTC on January 16, 2025, requires the company to pay $193,000 in monetary relief. In addition, DoNotPay must notify consumers who ...

DoNotPay, a company that claimed to offer the “world’s first robot lawyer,” has agreed to a $193,000 settlement with the Federal Trade Commission, the agency announced on Tuesday.

In one notable and instructive case, the FTC took enforcement action against a company called DoNotPay which claimed that its AI-powered legal service was the “world’s first robot lawyer.” ...