Federal Trade Commission proposes policy statement on suppression of accuracy in AI under section 5
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Summary
The Federal Trade Commission published a proposed policy statement and request for comments on how the prohibition on deceptive acts or practices in section 5 of the FTC Act applies to companies that market AI systems. The Commission states that AI companies that steer system outputs toward unexpected objectives, away from those users set or reasonably expect, are likely to deceive consumers. It says this applies even when steering is done to comply with a State law, citing Colorado's Artificial Intelligence Act. It describes disclosure as a possible way to avert deception, provided it is clear and conspicuous. It states the statement follows Executive Order 14365. Comments are due on Jul 31, 2026.
Why it matters
The statement signals how the Federal Trade Commission intends to apply deception law to AI developers, including those altering outputs to meet State requirements, and says State law is impliedly preempted where it conflicts with federal law. AI companies and the public may file comments until Jul 31, 2026.
- Parties involved
- Federal Trade Commission
- Federal Register doc. no.
- 2026-13628
- Citation
- 91 FR 41638
- Docket number
- FTC-2026-0859
- Document number
- File No. P264200
- Primary source
- Federal Register (US) (federalregister.gov)
Source retrieved: . Sources are often in other languages; links open the original. - Topics
- Consumer protection · General AI governance · Transparency & labeling