FILE – A Rite Aid sign is displayed on the facade of a store in Pittsburgh, Jan. 23, 2023. Rite Aid has been banned from using facial recognition technology for five years over allegations that a surveillance system it used incorrectly identified potential shoplifters, especially Black, Latino, Asian or female shoppers. The deal announced late Tuesday, Dec. 19, settles Federal Trade Commission charges that the struggling drugstore chain didn’t do enough to prevent harm to its customers and implement “reasonable procedures,” the government agency said. (AP Photo/Gene J. Puskar, file)

Rite Aid has been banned from using facial recognition technology for five years over allegations that a surveillance system it used incorrectly identified potential shoplifters, especially Black, Latino, Asian or female shoppers. The deal announced late Tuesday settles Federal Trade Commission charges that the struggling drugstore chain didn’t do enough to prevent harm to its customers and implement “reasonable procedures,” the government agency said. Rite Aid said it disagrees with the allegations, though the company is pleased to reach an agreement to resolve the issue. It noted that any agreement will have to be approved in U.S. Bankruptcy Court.