Categories: Financial Scams

FTC Approves Final Order against Workado, LLC, Which Misrepresented the Accuracy of its Artificial Intelligence Content Detection Product

The Federal Trade Commission has given final approval to an order against Workado, LLC, requiring the company to stop advertising the accuracy or efficacy of its artificial intelligence (AI) content detection products unless it has competent and reliable evidence showing those products are as accurate as claimed.

Workado markets its AI Content Detector to consumers seeking to determine whether written content was developed using generative AI technology or if it was written by a human being. The company claimed that its AI Content Detector was developed using a wide range of material, including blog posts and Wikipedia entries, to make it more accurate for average users. The FTC’s April 2025 complaint alleges, however, that the AI model powering the AI Content Detector was trained or fine-tuned to effectively classify only academic content.

The final order is designed to ensure Workado does not engage in similar false, misleading, or unsupported advertising. Under the order, Workado:

  • Is prohibited from making any representations about the effectiveness of any AI content detection product unless it is not misleading, and the company has competent and reliable evidence to support the claim at the time it is made;
  • Is required to retain evidence to support such efficacy claims;
  • Must email eligible consumers about the consent order and settlement with the Commission; and
  • Must submit compliance reports to the FTC one year after the order is issued and every year for the following three years.

Following a public comment period, the Commission voted 3-0 to approve the final consent order and respond to two comments the FTC received on the proposed order.


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