Target Warns Customers to Pay for AI Shopping Agent's Mistakes

Retail giant shifts liability for errors made by its upcoming Gemini AI assistant.

Apr. 5, 2026 at 1:41pm

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Target has updated its terms and conditions to make it clear that customers, not the company, will be responsible for any mistakes or unauthorized transactions made by its upcoming Gemini AI shopping assistant. The new policy states that any activity performed by the AI agent will be considered authorized by the customer, meaning they will have to foot the bill for any errors, such as purchasing the wrong item or an expensive version without consent.

Why it matters

This policy shift highlights the growing trend of retail giants embracing AI technology while distancing themselves from its failures. It reveals a double standard where companies are eager to deploy AI assistants but unwilling to stand behind them, potentially leaving customers vulnerable to costly mistakes.

The details

According to the updated terms, if a customer uses the Gemini AI agent to do their shopping, 'any transaction performed by the AI would be considered transactions authorized by you.' This means that if the AI agent makes a mistake, such as buying the wrong item or an overly expensive version, the customer will be responsible for the charges. The policy also states that 'Target does not purport to guarantee that an Agentic Commerce Agent will act exactly as you intend in all circumstances,' and customers should 'review orders, account activity, and settings regularly'.

  • Target updated its terms and conditions in April 2026 to include the new policy regarding its upcoming Gemini AI shopping assistant.

The players

Target

A major American retail corporation that has embraced the use of AI technology, including an upcoming Gemini AI shopping assistant.

Gemini

An AI agent developed by Google that will power Target's upcoming shopping assistant.

Walmart

Another major retail giant that has also updated its terms of use to cover mistakes made by its AI shopping assistant, Sparky.

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What’s next

As more retailers embrace AI-powered shopping assistants, it will be important for consumers to closely monitor their account activity and be vigilant about any unauthorized transactions or errors made by these AI agents.

The takeaway

This policy shift by Target highlights the growing disconnect between the enthusiasm for AI technology in retail and the willingness of companies to stand behind its performance. Customers may find themselves bearing the brunt of AI mistakes, underscoring the need for greater transparency and accountability around these emerging technologies.