Facebook and U.S. make deal to stop discriminatory housing ads

NEW YORK –

Facebook will modify its algorithms to stop discriminatory housing advertising. Its parent company will also be subject to court oversight in order to settle a lawsuit brought to it by the U.S. Department of Justice.

A release from the U.S. government explains. saidMeta Platforms Inc., formerly Facebook Inc. saidTuesday saw the settlement reached for the lawsuit that was filed in Manhattan federal Court.

According to the release it was the Justice Department’s first case challenging algorithmic discrimination in violation of the Fair Housing Act. Facebook will now require Justice Department approval and court oversight to implement its ad targeting systems and delivery system.

U.S. attorney Damian Williams called the lawsuit, “groundbreaking.” Kristen Clarke, Assistant Attorney-General, called it “historic.”

Ashley Settle is a Facebook spokesperson saidThe company sent an email stating that they were “building a new machine learning method without our advertisements system that will change how housing ads are delivered to people residing across different demographics in the U.S.”

She saidThe company will expand its new method of advertising for employment and creditThe U.S.

Settle said in an email that “We are excited for this effort,”

Williams saidFacebook’s technology has infringed the Fair Housing Act online in the past “just like when companies engage discriminatory advertising using more conventional advertising methods.”

Clarke said”Companies such as Meta have a responsibility for ensuring their algorithmic tool are not used in discriminatory ways.”

The settlement stipulates that Facebook will cease using an advertising tool to advertise housing ads. saidA discriminatory algorithm was used to locate users “looking like” other users, based on characteristics protected under the Fair Housing Act, Justice Department said. Facebook must cease using the tool “Lookalike Audience” by Dec. 31. This tool relies on an algorithm developed in the U.S. saidDiscriminates on the basis sex, race, and other characteristics.

Facebook will also create a new system within the next half-year to address racial disparities that result from its use personalization algorithms in its delivery system of housing ads. said.

If the new system is not adequate, the settlement agreement may be terminated by the Justice Department said. Meta was also required to pay a penalty of just under US$115,000.

This announcement comes after Facebook has already announced in March 2019 that it will overhaul its ad-targeting system to prevent discrimination in housing. creditEmployment ads and other information as part of a settlement with a group that includes the American Civil Liberties Union, National Fair Housing Alliance, and others.

Advertisers who wanted to manage housing, employment or both were able to make the changes. creditAdvertisements that target people based on their zip code, age, gender, or age will no longer be permitted.

The Justice Department saidTuesday’s settlement for 2019 reduced potentially discriminatory targeting options for advertisers, but did not resolve other problems such as Facebook’s discriminatory delivery to housing ads via machine-learning algorithms.