Amazon Facing Class-Action Lawsuit in New York for Not Notifying Customers of Facial Recognition Technology

Amazon introduced its Go stores in 2018, which allows customers to shop without having to check out.[0] The stores use computer vision, deep learning algorithms, and sensor fusion to track customers’ “virtual carts” and charge their accounts when they leave.[0] Amazon also offers Amazon One, its contactless, palm-based identity and payment service, in select stores.[1] However, a class-action lawsuit has been filed against Amazon in Illinois, claiming that the company illegally required job applicants to provide family medical history as part of the hiring process.[2]

In New York, Amazon is now facing a class-action lawsuit for not informing customers that their biometric data was being tracked at its Go stores. According to the lawsuit, Amazon was in violation of the Biometric Identifier Information Law passed in 2021, which requires all New York City establishments to post a sign informing customers or visitors that their biometrics are being recorded. The lawsuit was filed by Alfredo Perez, who claims that Amazon failed to notify customers that they were being monitored by facial recognition technology.[3]

It was only after a story in The New York Times called out the lack of such disclosures by Amazon that the company finally posted signs informing customers of its use of facial recognition technology.[3] This lawsuit serves as an example of how local laws can protect consumers’ privacy even in the absence of federal legislation. As Albert Cahn, project director, said in a text message, “It means that even a global tech giant can’t ignore local privacy laws.[3] As we wait for long overdue federal privacy laws, it shows there is so much local governments can do to protect their residents.[3]

0. “Amazon Go Store Accused of Violating NYC Facial Recognition Laws” Gizmodo, 16 Mar. 2023, https://gizmodo.com/amazon-amazon-go-amazon-prime-facial-recognition-1850234189

1. “Amazon sued for failing to notify customers of biometric data tracking at Manhattan stores” 1010 WINS, 16 Mar. 2023, https://www.audacy.com/1010wins/news/local/amazon-sued-over-biometric-data-tracking-at-manhattan-stores

2. “Amazon Faces Ill. Privacy Suit For Seeking Medical Histories” Law360, 8 Mar. 2023, https://www.law360.com/employment-authority/articles/1583770/amazon-faces-ill-privacy-suit-for-seeking-medical-histories

3. “Amazon sued for not telling New York store customers about facial recognition” msnNOW, 16 Mar. 2023, https://www.msn.com/en-us/news/technology/amazon-sued-for-not-telling-new-york-store-customers-about-facial-recognition/ar-AA18Iqr4?li=BBnbcA1