Via Protos, Facebook has settled and paid a lawsuit about misuse of faces and names. Wissam al-Mana, a Qatar billionaire who was once married to Janet Jackson, sued Facebook for running bitcoin scam (redundant) ads that implied he was endorsing or running the scam.
Legal handling of such ads is based on Adverse Possession, similar to copyright and trademark. The ads aren’t automatically illegal, but the publisher must take down such ads after you credibly complain about them. The billionaire complained repeatedly and Facebook continued running the fake endorsements, so he sued and won.
A primary use of AI is faking images and identities, so this could form a precedent in such situations.
Polistra's Mill 