The receipts / Accuracy monitoring in production

Rite Aid: facial recognition with no accuracy audit, for years

Banned December 2023 Found by a Reuters investigation in 2020

Store facial recognition generated thousands of false-positive matches that disproportionately harmed women and Black, Latino, and Asian customers, with employees told not to discuss the program. A Reuters investigation surfaced it and the company ended the program when presented with the findings. Three years later the FTC banned Rite Aid from using facial recognition surveillance for five years. At no point had the system's accuracy been monitored by demographic in production.

Primary source: FTC

The record

What the verified record says.

Organizations
Rite Aid; US Federal Trade Commission
When
2012Resolved December 19, 2023
Failure class
Accuracy never monitored unmonitored-accuracy
Discovered by
Journalists journalist Not caught by the organization running the AI
Missing control
Accuracy monitoring in production. Measuring what the system actually does after launch: error rates, bias, drift against outcomes. Full definition and the other incidents in this group Watch this kind of control catch a planted failure
What would have caught it
An accuracy audit of the matching system before and during deployment, with false-positive rates measured by demographic group.
Sources
Verification
Adjusted: the incident is real, and details were corrected against the primary source before publication. The discovery credit belongs to a July 2020 Reuters investigation. Rite Aid ended the program when presented with its findings, and the FTC complaint followed three years later. Verified against the primary source on August 12, 2026. Published on this site August 13, 2026, updated September 1, 2026.

This record is one of 26 in The receipts, each checked against a primary source before it is published. How the list is built