World

Class action lawsuit on AI-related discrimination reaches final settlement

Published

2 months ago

November 20, 2024

Class action lawsuit on AI-related discrimination reaches final settlement

Mary Louis’ excitement to move into an apartment in Massachusetts in the spring of 2021 turned to dismay when Louis, a Black woman, received an email saying that a “third-party service” had denied her tenancy.

That third-party service included an algorithm designed to score rental applicants, which became the subject of a class action lawsuit, with Louis at the helm, alleging that the algorithm discriminated on the basis of race and income.

A federal judge approved a settlement in the lawsuit, one of the first of it’s kind, on Wednesday, with the company behind the algorithm agreeing to pay over $2.2 million and roll back certain parts of it’s screening products that the lawsuit alleged were discriminatory.

The settlement does not include any admissions of fault by the company SafeRent Solutions, which said in a statement that while it “continues to believe the SRS Scores comply with all applicable laws, litigation is time-consuming and expensive.”

While such lawsuits might be relatively new, the use of algorithms or artificial intelligence programs to screen or score Americans isn’t. For years, AI has been furtively helping make consequential decisions for U.S. residents.

When a person submits a job application, applies for a home loan or even seeks certain medical care, there’s a chance that an AI system or algorithm is scoring or assessing them like it did Louis. Those AI systems, however, are largely unregulated, even though some have been found to discriminate.

“Management companies and landlords need to know that they’re now on notice, that these systems that they are assuming are reliable and good are going to be challenged,” said Todd Kaplan, one of Louis’ attorneys.

The lawsuit alleged SafeRent’s algorithm didn’t take into account the benefits of housing vouchers, which they said was an important detail for a renter’s ability to pay the monthly bill, and it therefore discriminated against low-income applicants who qualified for the aid.

The suit also accused SafeRent’s algorithm of relying too much on credit information. They argued that it fails to give a full picture of an applicant’s ability to pay rent on time and unfairly dings applicants with housing vouchers who are Black and Hispanic partly because they have lower median credit scores, attributable to historical inequities.

Christine Webber, one of the plaintiff’s attorneys, said that just because an algorithm or AI is not programmed to discriminate, the data an algorithm uses or weights could have “the same effect as if you told it to discriminate intentionally.”

When Louis’ application was denied, she tried appealing the decision, sending two landlords’ references to show she’d paid rent early or on time for 16 years, even if she didn’t have a strong credit history.

Louis, who had a housing voucher, was scrambling, having already given notice to her previous landlord that she was moving out, and she was charged with taking care of her granddaughter.

The response from the management company, which used SafeRent’s screening service, read, “We do not accept appeals and cannot override the outcome of the Tenant Screening.”

Louis felt defeated; the algorithm didn’t know her, she said.

“Everything is based on numbers. You don’t get the individual empathy from them,” said Louis. “There is no beating the system. The system is always going to beat us.”

While state lawmakers have proposed aggressive regulations for these types of AI systems, the proposals have largely failed to get enough support. That means lawsuits like Louis’ are starting to lay the groundwork for AI accountability.

SafeRent’s defense attorneys argued in a motion to dismiss that the company shouldn’t be held liable for discrimination because SafeRent wasn’t making the final decision on whether to accept or deny a tenant. The service would screen applicants, score them and submit a report, but leave it to landlords or management companies to accept or deny a tenant.

Louis’ attorneys, along with the U.S. Department of Justice, which submitted a statement of interest in the case, argued that SafeRent’s algorithm could be held accountable because it still plays a role in access to housing. The judge denied SafeRent’s motion to dismiss on those counts.

The settlement stipulates that SafeRent can’t include its score feature on its tenant screening reports in certain cases, including if the applicant is using a housing voucher. It also requires that if SafeRent develops another screening score it plans to use, it must be validated by a third-party that the plaintiffs agree to.

Louis’ son found an affordable apartment for her on Facebook Marketplace that she has since moved into, though it was $200 more expensive and in a less desirable area.

“I’m not optimistic that I’m going to catch a break, but I have to keep on keeping, that’s it,” said Louis. “I have too many people who rely on me.”

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Jesse Bedayn is a corps member for the Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues.

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World

Ohio State QB Will Howard sets CFP title-game record with 13 straight completions vs Notre Dame

Published

4 hours ago

January 20, 2025

Press Room

Ohio State QB Will Howard sets CFP title-game record with 13 straight completions vs Notre Dame

ATLANTA (AP) — Ohio State quarterback Will Howard connected on his first 13 passes against Notre Dame on Monday night to set the record for consecutive completions in a College Football Playoff championship game.

He tied the mark late in the second quarter when he hit Carnell Tate for 20 yards on third-and-7, then broke it with a 15-yard pass to Jeremiah Smith two plays later.

Howard’s streak ended when Notre Dame safety Xavier Watts broke up his pass intended for TreVeyon Henderson near the goal line.

Alabama’s Mac Jones set the previous record with 12 completions in a row against Ohio State in the 2021 title game.

Howard finished the first half 14 of 15 for 144 yards, including touchdown passes of 8 yards to Smith and 6 yards to Quinshon Judkins.

Howard came into the championship game with a hot hand. He had completed 73.8% of his passes for 919 yards with six TDs and two interceptions during the Buckeyes’ first three CFP games.

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World

Freed Israeli hostage speaks out for first time, says she has 'returned to my life' following Hamas captivity

Published

4 hours ago

January 20, 2025

Press Room

Freed Israeli hostage speaks out for first time, says she has 'returned to my life' following Hamas captivity

One of the three Israeli hostages released by Hamas is speaking out after spending nearly 500 days in captivity, saying that she has “returned to my life.”

In a post on Instagram, Emily Damari, 28, also wrote, “Thank you, thank you, thank you, I’m the happiest in the world just to be.”

Damari is a dual Israeli-British citizen who lost two fingers during Hamas’ Oct. 7, 2023, attack on Israel, the Associated Press reported, citing authorities. She was said to be in stable condition on Sunday after being freed from the Gaza Strip.

“Yesterday, I was finally able to give Emily the hug that I have been dreaming of,” her mother Mandy Damari also said Monday in a statement released by the Hostage and Missing Families Forum, which has been advocating for the release of the captives.

ISRAEL RELEASES 90 PALESTINIAN PRISONERS AS PART OF CEASE-FIRE DEAL TO FREE HOSTAGES

Emily Damari, right, and her mother Mandy are seen together after Emily was released from captivity by Hamas militants in Gaza on Sunday, Jan. 19, 2025. (AP/Israeli Army)

“I am relieved to report that after her release, Emily is doing much better than any of us could ever have anticipated,” her mother continued. “In Emily’s own words, she is the happiest girl in the world; she has her life back.”

Mandy Damari described her daughter’s release as an “incredibly happy moment for our family” but said “we must also remember that 94 other hostages still remain.”

“The ceasefire must continue and every last hostage must be returned to their families,” she added.

ISRAEL, HAMAS CEASE-FIRE DEAL COULD ENABLE REARMING OF GAZA TERRORISTS

Former hostage British-Israeli Emily Damari and her mother Mandy hold a video call with Emily's brother Tom Damari

Former hostage Emily Damari and her mother Mandy hold a video call with Emily’s brother Tom Damari on Sunday, Jan. 19, after she was released from Hamas captivity.

“As wonderful as it is to see Emily’s resilience, these are still early days. As you will have seen yesterday, Emily lost two of the fingers on her left hand,” Mandy Damari also said. “She now needs time with her loved ones and her doctors as she begins her road to recovery.”

Damari was one of three hostages released by Hamas on Sunday as part of a cease-fire agreement.

In exchange, Israel released 90 Palestinian prisoners in the West Bank.

Romi Gonen, right, and her mother Merav hold each other near kibbutz Reim in southern Israel after Romi was released from captivity by Hamas militants in Gaza. (AP/Israeli Army)

The other two Israeli hostages that were freed were identified as Doron Steinbrecher, 31, and Romi Gonen, 24.

Greg Norman is a reporter at Fox News Digital.

World

EU digital enforcement barometer amid rising pressure from US Big Tech

Published

5 hours ago

January 20, 2025

Press Room

EU digital enforcement barometer amid rising pressure from US Big Tech

The European Commission will conclude several investigations launched against Big Tech in the coming months. As US tech giants pressure the EU to retreat and align with laissez faire tone struck by the incoming Trump administration, we take stock of the ongoing probes.

The two-year anniversary of the introduction of the EU Digital Markets Act (DMA) – rules that aim to ensure fair competition in online platforms – is approaching, and with it come deadlines in outstanding probes into US tech giants Apple, Meta and Alphabet.

We look at the enforcement action the European Commission has taken up till now, and what to expect under the EU executive’s new mandate and the second administration of US President Donald Trump.

Incoming Trump administration

In September 2023 the Commission identified six gatekeepers under the Digital Markets Act: Alphabet, Amazon, Apple, ByteDance, Meta and Microsoft, who together account for 22 core platform services that fall under the scope of the rules. Last year, it added hotel renting website Booking.com to the list. They all had six months to comply with the rules.

Under the DMA, these companies need to ensure they offer more choice and more freedom to end users and business users.

However, the new Republican administration led by Donald Trump, which will be inaugurated on 20 January, is likely to pose new challenges for the Commission.

Some of the Big Tech CEOs have spoken out against stringent EU regulation, and changed some of their fact-checking and inclusion policies in the US. If those changes were to apply in the EU as well, that would raise questions about the compliance with the DMA’s sister-legislation, the Digital Services Act (DSA), which obliges platforms to tackle illegal content and protect minors online.

Meta CEO Mark Zuckerberg has sought to improve his relationships with the incoming president: following Trump’s election victory in November, Zuckerberg flew to Florida and dined with the Republican at his Mar-a-Lago club.

Earlier this month, Meta announced that it would replace Meta’s fact-checkers in the US with a “community notes” system similar to Elon Musk’s platform X.

EU Commission changes

Henna Virkkunen, the EU Commissioner for Tech Sovereignty, Security and Democracy, told a press conference last week that despite these developments, the Commission is “fully enforcing the regulations – both the DSA and the DMA – there have not been any delays.”

“Everyone doing business here needs to respect the rules. What we want to achieve is a fair and safe environment,” she added.

J. Scott Marcus, a researcher at the Brussels based think tank the Centre for European Policy Studies (CEPS), told Euronews that the change of US administration “will create far more political tensions relative to the DSA than it does for the DMA.”

“The Trump administration is likely to complain incessantly about the protections that DSA provides for, against dissemination of lies and disinformation into the EU. The DMA, by contrast, is largely a matter between the firms and the EU, and the US government is not as much involved,” he added.

On the EU-side, the situation has changed as well: the DMA was spearheaded by Margrethe Vestager, long-time EU competition chief who dealt with many high-profile competition cases, but will now be taken over by Spain’s Teresa Ribera, who has a background as a national energy minister.

Antitrust is just part of her portfolio, she is also in charge of climate and industry dossiers. Whether this will mean a change of course, remains to be seen.

Daniel Friedlaender, Senior Vice-President at tech lobby CCIA, said that the DMA process was “needlessly politicised, moving away from the intended goals and towards decisions by tweet.”

“If a review can help get back to the initial clear objectives, namely to increase contestability and fairness, then a pause for reflection can help,” he added.

Outstanding probes

The Commission started its first DMA probes last year. On 25 March, the EU executive opened non-compliance investigations into Alphabet – Google’s owner – Apple and Meta. In the meantime, the EU enforcer has sent preliminary findings to Apple and Meta.

Regarding Apple, the investigation found in June that the App Store rules were in breach of the DMA as they prevent app developers from freely steering consumers to alternative channels for offers and content.

Concerning Meta, the Commission considered in July that its binary decision to force citizens to either pay or give up their data to use the service does not comply with the DMA.

After receiving the findings, gatekeepers can defend themselves and reply in writing. The Commission has 12 months starting from the opening of the proceedings to adopt a non-compliance decision. In case of an infringement, the gatekeepers risk fines up to 10% of their total worldwide turnover and up to 20% in case of repeated infringements.

The other investigations launched in March 2024 concern Alphabet’s rules on steering in Google Play, whether Alphabet favours its own services such as Google shopping in search results on its search engine and whether Apple’s measures prevent users from freely choosing browsers outside Apple’s ecosystem.

The Commission has also said that it has started gathering information to clarify whether Amazon may be preferencing its own brand products on the Amazon Store.

A third non compliance investigation aimed at Apple was also opened in June into the tech giant’s new contractual terms for developers to access alternative app stores and the possibility to offer an app via an alternative distribution channel.

A Commission spokesperson said last week that the technical phase of those investigations were still ongoing, adding “we need to be sure we win those cases in court, we need to be strong enough.”