Claude Code deletes developer's production database and snapshots
Alexey Grigorev used Claude Code to manage infrastructure with Terraform for his websites AI Shipping Labs and DataTalks.Club. Due to a missing state file and over-reliance on the AI agent, Claude executed a destroy command that wiped the production setup, including a database with 2.5 years of records and snapshots. Amazon Business support helped restore the data within a day. Grigorev is now implementing safeguards to prevent recurrence.
- Company involved
- AI Shipping Labs
- AI system involved
- Claude Code
2 source articles · read the reporting →
Life360 sells precise location data of millions of users to data brokers
Life360, a family safety app used by 33 million people, sells precise location data of its users to approximately a dozen data brokers, according to interviews with former employees. The company removes obvious identifiers but does not adequately anonymize the data, allowing potential re-identification. Life360 announced it will stop sales to some brokers after the investigation.
- Company involved
- Life360
- AI system involved
- Life360 app
10 source articles · read the reporting →
Fake Blake Shelton Le Creuset Giveaway Scam Uses AI Deepfakes to Steal Money
Scammers used AI-generated deepfake videos of Blake Shelton to promote a fake Le Creuset giveaway on social media. The videos directed users to fake news sites that claimed a small shipping fee would secure free cookware, but instead enrolled victims in costly monthly subscriptions without consent. Victims were charged around $89.95 per month and faced difficulties obtaining refunds. The scam exploited Blake Shelton's likeness without his knowledge.
10 source articles · read the reporting →
Brooklyn landlord abandons facial recognition plan after tenant protests
Robert Nelson, president of Nelson Management Group, planned to install a facial recognition system at Atlantic Plaza Towers, a rent-stabilized building in Brownsville, Brooklyn. Tenants protested, citing privacy concerns and studies showing the technology disproportionately impacts people of color. After a town hall meeting, Nelson announced he was withdrawing the application with the state housing agency. The reversal was seen as a victory by tenants, who continue to push for legislation banning facial recognition in residential buildings.
- Company involved
- Nelson Management Group
10 source articles · read the reporting →
Microsoft Recall still captures credit cards and passwords despite filter
The Register tested Microsoft Recall's sensitive information filter and found it frequently fails to block credit card numbers, passwords, and other personal data. The AI-powered screenshot tool, which is enabled by default on some new PCs, could expose users to identity theft if an attacker gains access. Microsoft declined to comment but has previously acknowledged the filter is not perfect and promised improvements. Privacy advocates warn that vulnerable users, such as domestic violence victims, could be particularly at risk.
- Company involved
- Microsoft
- AI system involved
- Recall
2 source articles · read the reporting →
West Virginia Couple Targeted in AI-Generated Real Estate Scam
Raegan Bartlo received an email on August 23, 2024, that appeared to be from her title company lawyer, instructing her to wire a $255,000 down payment for her new home. The email was part of a scam using generative AI to impersonate real estate professionals. Cybersecurity officials say such scams are occurring across the country, targeting homebuyers. The Bartlos were targets, but it is unclear if they lost any money.
1 source article · read the reporting →
RealPage's YieldStar algorithm pushes rents higher for tenants
RealPage's YieldStar algorithm uses private competitor data to recommend rent increases for apartment units. Landlords adopt up to 90% of the suggestions, leading to higher rents for tenants. Critics allege the software may facilitate indirect price-fixing in violation of antitrust law. The company denies wrongdoing and says the software helps eliminate collusion.
- Company involved
- RealPage
- AI system involved
- YieldStar
10 source articles · read the reporting →
341 Malicious ClawHub Skills Found Stealing OpenClaw User Data
Security researchers discovered 341 malicious skills on ClawHub, a marketplace for the OpenClaw AI assistant. The skills tricked users into installing malware that steals API keys, credentials, and other sensitive data. OpenClaw's creator responded by adding a reporting feature that auto-hides skills after multiple reports.
- Company involved
- OpenClaw
- AI system involved
- OpenClaw
4 source articles · read the reporting →
UDR Sued Over Alleged Use of RealPage Algorithm to Set Rents in San Diego
A class action lawsuit alleges that UDR, Inc. used RealPage's YieldStar algorithmic pricing software to set rental rates and occupancy levels for its San Diego properties, in violation of a local ordinance. The suit claims the software relied on nonpublic competitor data, contributing to inflated rents and making housing less affordable. The lawsuit, filed in July 2026, seeks to represent all affected tenants. UDR has previously acknowledged using YieldStar as one tool among others in its decision-making.
- Company involved
- UDR, Inc.
- AI system involved
- RealPage YieldStar
1 source article · read the reporting →
Shipt's new V2 algorithm reduces pay for 41% of workers, study finds
A study by MIT Media Lab and Coworker.org found that Shipt's new V2 payment algorithm reduced pay for 41% of workers by an average of 11% per shop. The algorithm, rolled out in September 2020, replaced a transparent payment system with a black-box model. Workers pooled data to analyze the impact, revealing uneven distribution of earnings.
- Company involved
- Shipt
- AI system involved
- V2
10 source articles · read the reporting →
Guangxi homeowners lose homes in facial recognition fraud
Over 10 homeowners in Guangxi, China, were defrauded by a real estate agent who used the government's '邕e登' app to transfer their property without consent. The agent tricked them into using facial recognition for what they thought was file checking, but instead the system processed property transfers. The agent has been arrested and the case is under investigation. The local government has restricted the properties and plans to upgrade the app's security.
- Company involved
- 南宁市自然资源局
- AI system involved
- 邕e登
10 source articles · read the reporting →
Allstate's proposed retention model charged big spenders more in Maryland
Allstate proposed an auto insurance rate adjustment plan in Maryland using a retention model algorithm that varied premium changes based on existing premiums. The algorithm would have increased rates up to 20% for customers already paying the highest premiums while capping increases at 5% for others, and would have denied meaningful discounts to thousands owed reductions. The Maryland Insurance Administration rejected the plan as discriminatory, but Allstate claims it was withdrawn and has continued proposing similar models elsewhere. The proposal never took effect in Maryland.
- Company involved
- Allstate Corporation
- AI system involved
- retention model
9 source articles · read the reporting →
Study finds Italian car insurers charge more based on birthplace
A study by the Universities of Padua, Udine and Carnegie Mellon found that Italian car insurers, including Genertel, Mps, Quixa and Con.Te, use birthplace and citizenship in pricing algorithms, charging some drivers over €1,000 more. The practice was ruled against in a 2018 decree involving Linear, but the study says it continues. The companies contacted denied or explained the findings.
- Company involved
- Genertel, Mps, Quixa, Con.Te
8 source articles · read the reporting →
UW-Madison disables Honorlock after skin tone recognition failure
The University of Wisconsin-Madison disabled the exam pause feature of its Honorlock anti-cheating software in March 2021 after three students complained that the software failed to recognize their darker skin tones and paused their exams. The software, used since online classes began, automatically pauses exams when it cannot detect facial features. Honorlock denied the issue was related to skin tone, attributing it to students looking away from their webcams. The university responded by disabling the feature.
- Company involved
- University of Wisconsin-Madison
- AI system involved
- Honorlock
10 source articles · read the reporting →
Lemonade backtracks on tweet claiming AI scans customer faces for fraud
Lemonade, an insurance firm, posted a tweet claiming it uses AI to detect non-verbal cues in customer videos to deny claims. After backlash comparing the practice to phrenology, the company deleted the tweet and denied using AI to deny claims based on facial characteristics. Lemonade stated it uses facial recognition only to flag claims submitted under different identities, which are then reviewed by human investigators.
- Company involved
- Lemonade
10 source articles · read the reporting →
TOV Realty, LLC v. Suarez; Kosel Equity, LLC v. MacGregor (SC Connecticut): AI-hallucinated content in court filing, 6 hours CLE;…
The AI generated legal briefs containing fabricated citations, which were submitted to the Connecticut Supreme Court.
- Company involved
- GLG Law LLC
- AI system involved
- ChatGPT
1 source article · read the reporting →
LoanDepot algorithm denied mortgage to Black couple in Charlotte
In August 2019, Crystal Marie and Eskias McDaniels, a Black couple, were denied a mortgage for a house in Charlotte, North Carolina, by loanDepot's automated underwriting algorithm. The algorithm rejected the application because Crystal Marie was a contractor, not a full-time employee, despite her high credit score and income. After the couple enlisted their real estate agent and employer to intervene, the lender reversed the decision and cleared them to close. The couple alleged that race played a role in the denial, which loanDepot denied.
- Company involved
- loanDepot
- AI system involved
- Classic FICO and Fannie Mae/Freddie Mac automated underwriting software
10 source articles · read the reporting →
ScaleFactor reportedly failed to deliver promised automated bookkeeping software
ScaleFactor, an Austin-based startup, is reported to have failed to deliver the automated, real-time bookkeeping tools it promised customers, instead relying on human bookkeepers and a Filipino contract accounting firm. The company told Forbes in June that it was shutting down, initially blaming the pandemic, but Forbes later reported that its problems predated Covid-19. Investors reportedly came to see the company as more of a services business than a software platform, and pulled funding after a pivot to a marketplace model. No legal or regulatory action is reported.
- Company involved
- ScaleFactor
10 source articles · read the reporting →
JMOR Properties v. Artist Alley Townhomes et al. (CA Florida (4d)): AI-hallucinated content in court filing, Bar Referral
The AI generated fabricated legal citations that were included in a court filing, affecting the court and the opposing party.
1 source article · read the reporting →
Southland Homes & Real Estate and Investment, LLC v. Lam (SC California): AI-hallucinated content in court filing, Monetary Sanctions; Bar…
The AI system generated legal briefs containing fabricated case citations, which were filed in court, affecting the court and the opposing party.
1 source article · read the reporting →
California DMV suspends Cruise LLC driverless and deployment permits
The California Department of Motor Vehicles suspended Cruise LLC's autonomous vehicle deployment and driverless testing permits, saying the vehicles were not safe for public operation and that Cruise had misrepresented safety information. The suspension took effect immediately under California regulations. Cruise may apply to reinstate the permits once it satisfies the department's requirements. Its permit for testing with a safety driver was not affected.
- Company involved
- Cruise LLC
10 source articles · read the reporting →
42,900 OpenClaw AI agents exposed, 15,200 vulnerable to RCE
SecurityScorecard's STRIKE team revealed on February 9, 2026, that approximately 42,900 OpenClaw agentic AI instances are exposed on the internet due to insecure default configurations. Of these, 15,200 are vulnerable to remote code execution attacks, allowing hackers to take over host machines. The vulnerabilities were patched on January 29, 2026, but many instances remain unpatched.
- AI system involved
- OpenClaw
5 source articles · read the reporting →
TransUnion AI tenant screening denied 75-year-old man apartment due to mistaken littering conviction
Chris Robinson, then 75, applied for a senior living apartment in California. The property manager used an AI screening program from TransUnion, which assigned him a low score based on a mistaken conviction for littering that belonged to a different person with the same name in Texas. Robinson lost the apartment and his application fee. A federal class-action lawsuit against TransUnion moved toward a $11.5 million settlement in 2023.
10 source articles · read the reporting →
MAA, JBG to pay DC $9.3M total to settle RealPage case - Multifamily Dive
The system set rent prices for tenants, causing them to pay higher rents.
- Company involved
- MAA (Mid-America Apartments) and JBG Smith
- AI system involved
- RealPage Revenue Management Software
1 source article · read the reporting →
