The Federal Trade Commission announced on January 3, 2025, a proposed settlement with software provider accessiBe over alleged misrepresentations about its AI-powered web accessibility tool. According to the FTC, the company marketed and sold a software plug-in claiming it could automatically make any website compliant with the Web Content Accessibility Guidelines (WCAG) within 48 hours. AccessiBe will pay $1 million in penalties and be prohibited from engaging in deceptive practices.

The FTC's complaint alleges that, contrary to accessiBe's promises, its plug-in failed to make many basic website components accessible, such as navigation menus, form fields, and image descriptions. These components are essential for users who rely on assistive technologies like screen readers. It also alleges that accessiBe deceptively formatted advertisements as impartial third-party reviews and articles, without disclosing they paid for those endorsements.

This enforcement action is the latest example of the FTC’s ongoing, concerted effort to rein in harms related to AI-related marketing claims. In September 2024, it announced five settlements with companies over alleged deceptive or unfair advertising or marketing practices. December saw a similar action against an AI-powered facial recognition software developer. Last week, the Commission’s Office of Technology and Division of Advertising Practices issued a joint blog post to companies about “AI’s potential for and real-world instances of harm,” comprising warnings about inflated claims harming consumers.

Key Takeaways for Businesses

Tread carefully with sensitive areas. Businesses must meticulously vet their claims to avoid misleading implications, especially in protected areas. Examples of common past enforcement topics include health and medical claims, addiction recovery, weight loss and diet products, children’s advertising, non-English speaking groups, alcohol and tobacco marketing, and facial recognition technology. Website accessibility falls squarely within this effort to protect vulnerable populations given the clear connection it can have to consumer harm.

Avoid obfuscating endorsement. The FTC demands transparency: businesses cannot disguise paid endorsements as independent reviews. In this case, accessiBe allegedly paid for reviews and articles on third-party websites while making them appear to be independent content. Any relationship affecting the endorsement’s weight or credibility must be disclosed clearly and in close proximity to the endorsement. Avoid burying disclosures in fine print or using hyperlinks or pop-ups, and do not ask reviewers to omit or remove the disclosure of such connections.

Ensure products work across different user needs and contexts. AccessiBe’s product failed to account for consumers using screen readers, keyboard navigation, and other assistive technologies. Businesses should thoroughly test products for various user needs and contexts, especially when dealing with accessibility.