ConverseNow Stuck With Wiretap Lawsuit Over AI Voice Assistant

ConverseNow Technologies Inc. must face a proposed class action alleging it collected consumers’ customer-service calls through its AI-trained “virtual assistant” software in violation of the California wiretapping statute.

Lead plaintiff Eliza Taylor sufficiently alleged that ConverseNow was a third party to conversations between consumers and the company’s client, Domino’s Pizza, and that its system intercepted the communications in real time, as required for liability under the California Invasion of Privacy Act, said Senior Judge Susan Illston Monday in an opinion for the US District Court for the Northern District of Illinois. Illston denied ConverseNow’s motion to dismiss.

Taylor alleged ...