Compliance

Consent Decree (AI)

Court-approved settlement requiring ongoing AI compliance measures and monitoring.

Definition

A Consent Decree is a court-approved agreement resolving litigation without admission of liability. In AI enforcement actions, consent decrees have imposed significant ongoing obligations:

  • Algorithm auditing: Regular third-party audits of AI systems
  • Compliance programs: Implementation of AI governance frameworks
  • Reporting requirements: Periodic reports to regulators on AI practices
  • Prohibited practices: Bans on specific AI applications
  • Consumer remediation: Compensation programs for affected individuals
  • Monitoring periods: Multi-year oversight by regulators or monitors

Notable AI consent decrees have been entered by the FTC, CFPB, EEOC, and HUD, establishing precedents for AI compliance expectations.

Sources

  • FTC Enforcement
  • DOJ Consent Decrees