ProPublica has a great op-ed about Making Algorithms Accountable. The story starts from a decision from the Wisconsin Supreme Court on computer-generated risk (of recidivism) scores. The scores used in Wisconsin come from Northpointe who provide the scores as a service based on a proprietary alogorithm that seems biased against blacks and not that accurate. The story highlights the lack of any legislation regarding algorithms that can affect our lives.
Update: ProPublica has responded to a Northpointe critique of their findings.