Fintech News

FTC Alleges AccessiBe Made Deceptive Claims About Services

the Federal Trade Commission (FTC) aims to require software providers accessiBe to pay $1 million to settle agency allegations that the company made fraudulent claims about its product and failed to disclose its material connections to online reviewers.

The agency proposed order will also prohibit accessiBe from engaging in allegedly illegal conduct, the FTC said on Friday (Jan. 3) press release.

AccessiBe did not immediately respond to PYMNTS’ request for comment.

The company sells an artificial intelligence (AI) powered web accessibility software plug-in called accessWidget and says it enables any website to comply with the Web Content Accessibility Guidelines (WCAG), according to the FTC’s press release.

The FTC COMPLAINT says the company’s claims are misleading because the tool doesn’t make all user websites WCAG compliant, the release said.

The complaint also alleges that accessiBe deceptively made third-party articles and reviews appear to be the independent opinions of unbiased authors, failing to disclose that the company had material connections to those reviewer, every release.

“Companies looking for help making their websites WCAG compliant need to be confident that the products will do what they are advertised to do,” Samuel Levinedirector of the FTC’s Bureau of Consumer Protection, said in the release. “Overstating a product’s AI or other capabilities without sufficient evidence is deceptive, and the FTC will act to prevent it.”

The proposed agreement will be subject to public comment for 30 days after its publication in the Federal Register before the FTC decides whether to make it final, according to the release.

WCAG is often cited in Americans with Disabilities Act (ADA) decisions, so follow it digital accessibility standards could have definite legal implications, according to the February 2022 edition of PYMNTS Intelligence’s “Digital First Banking Tracker®.”

The FTC’s announcement of its proposed order against accessiBe came the same day the agency said it had approved a final order against Sitejabbera company the agency accused of misleading people about consumer reviews shown for companies and their products.

In that case, the FTC prohibited Sitejabber from making or facilitating misrepresentations about ratings and reviews.


https://www.pymnts.com/wp-content/uploads/2024/07/FTC-Federal-Trade-Commission.jpg

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button