Macy's, Sunglass Hut Sued for $10 Million After Facial Recognition Software Wrongly Identifies Man Accused of Robbery Harvey Murphy Jr., 61, was jailed for nearly two weeks.

By Emily Rella

Opinions expressed by Entrepreneur contributors are their own.

The debate over whether AI is a friend or foe is ongoing.

A Texas man named Harvey Murphy Jr. is suing both Macy's and Luxottica Group (the parent company of retailer Sunglass Hut) after Macy's facial recognition software mistook him for a man who committed armed robbery, landing him in jail for almost two weeks.

Murphy is seeking $10 million for the incorrect arrest. Prosecutors were able to verify that Murphy, 61, was not in the state when the robbery occurred at a Sunglass Hut in Houston in January 2022.

The robbery was committed by two armed men who threatened employees at gunpoint before stealing money and multiple pairs of glasses.

Related: Your Face Is Now a Concert Ticket, Alcohol ID, Boarding Pass

It's unclear why Sunglass Hut sought out Macy's technology specifically, but video surveillance of the robbery was brought to the department store where the facial recognition software was implemented.

After the facial recognition was brought to local police, a Sunglass Hut employee who was present during the robbery was asked to identify the suspect out of a lineup of photos and chose Murphy.

Murphy was later arrested at the Department of Motor Vehicles in October 2023, even though he had been in Sacramento at the time of the crime. When his alibi checked out, he was released.

"After reviewing the documents, it appears to us that the police were trying to do their job," Murphy's lawyer, Daniel Dutko, told CNN. "They were misled by Sunglass Hut and Macy's and the reason why Murphy was jailed is because of the actions of these companies. We may find information that causes us to add them later, but right now we feel like we have properly named the true bad actors."

Macy's did not comment on the "pending litigation."

The Houston Police Department is not named in the suit.

Emily Rella

Senior News Writer

Emily Rella is a Senior News Writer at Entrepreneur.com. Previously, she was an editor at Verizon Media. Her coverage spans features, business, lifestyle, tech, entertainment, and lifestyle. She is a 2015 graduate of Boston College and a Ridgefield, CT native. Find her on Twitter at @EmilyKRella.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Starting a Business

Is Acquiring a Business Right For You? Here's How to Know If You Should Buy a Business or Start From Scratch

Building a business isn't for everyone, and neither is acquiring one. Some people are better suited to doing things solo and in their own way. Here's how you know which is right for you.

Business News

How Do Billionaires Become Best Friends? They Launch Rockets on the Same Day. That's What Elon Musk and Jeff Bezos Did.

Elon Musk and Jeff Bezos high-fived with friendly tweets after SpaceX and Blue Origin launched rockets on Thursday.

Leadership

Steve Ballmer or Satya Nadella? Leadership Lessons Every Entrepreneur Can Learn from Microsoft

The contrasting leadership styles of Steve Ballmer and Satya Nadella highlight how understanding your entrepreneurial archetype — Creator, Builder, or Opportunist — can shape business success through a balance of stability and innovation.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Productivity

9 Simple Ways to Transform Your Morning Routine and Boost Productivity

What you do as soon as you wake up can make a huge difference in the productivity of your entire day.