Jack Schlossberg Urges FTC Probe Of Hertz AI Damage Scans
Jack Schlossberg urged the Federal Trade Commission to investigate Hertz's use of AI to scan rental-car damage, saying consumers were being squeezed.
In a wider pitch he unveiled a plan to crack down on what he called a "new frontier" of AI, calling recent practices a "harbinger" of consumer harm. He argued that automated scans can misidentify damage and inflate charges, prompting calls for oversight from regulators such as the FTC.
The push reflects growing scrutiny of automated decision tools in consumer markets as advocates and some lawmakers press for stronger enforcement when companies deploy AI that affects billing and disputes.
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📌 Key Facts
- Jack Schlossberg, a Democratic House candidate in New York, called on the FTC to investigate Hertz’s AI damage-scanning system
- He outlined four requested FTC actions, including an unfair-practice review and AI guidelines for consumer financial decisions
- Hertz uses AI from Israel-based Uveye to scan returned cars, and at least one customer reported a $440 charge for a 1-inch scuff
- Schlossberg framed the issue as a broader warning about AI being used to price gouge and overcharge consumers
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