The record

Where automated decisions went wrong

Incidents gathered from public reporting around the world. Each one links to the articles it came from. None of it is a finding that anyone broke the law.

Reports people file about their own experience are not shown here and never will be without their agreement. Tell us what happened to you.

Clear

102 incidents closest to “Lighthouse Direct” · matched on meaning · public reporting

WF-F7YECE5 May 2026

Jessica Fuller v. Hyde School, et al. (D. Maine): AI-hallucinated content in court filing, CLE; Firm procedures and certification; Serve…

The AI generated fictitious legal citations that were submitted to the court in a legal filing.

AI system involved
ChatGPT or Claude

1 source article · read the reporting →

WF-AJLVH75 Aug 2026

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 →

WF-GK3GP51 Jan 2024

Good Daily operates AI-generated local news network without disclosure

Good Daily Inc., run by Matthew Henderson, operates hundreds of AI-generated local newsletters across the U.S. that aggregate and summarize news from local outlets. The newsletters use large language models without disclosing this to subscribers, and feature fabricated testimonials. Some readers reported being signed up without their consent. Local news outlets have criticized the network for not driving meaningful traffic and for undermining trust.

Company involved
Good Daily Inc.
AI system involved
Good Daily

3 source articles · read the reporting →

WF-L8981D29 Jan 2025

DeepSeek exposed user data via open ClickHouse database

Cloud security firm Wiz discovered a ClickHouse database belonging to DeepSeek that was open to the internet without authentication, containing over a million lines of logs with chat histories, secret keys and backend details. Wiz disclosed the breach to DeepSeek, which promptly locked down the database. The incident highlights security risks in rapidly deploying AI services.

Company involved
DeepSeek
AI system involved
DeepSeek-R1

5 source articles · read the reporting →

Presto Automation uses off-site human agents to double-check AI drive-thru orders

Presto Automation Inc, which markets an AI voice assistant for drive-thru ordering, used off-site human agents in countries including the Philippines to double-check orders in more than 70% of customer interactions, according to SEC filings reported by Bloomberg. The company told Bloomberg that the process helps train its system and should reduce human intervention over time. Presto's drive-thru AI is used in more than 400 restaurants, including Del Taco, Carl's Jr and Checkers, and its stock fell more than 10% after the reports.

Company involved
Presto Automation Inc.

8 source articles · read the reporting →

BC Tribunal Confirms Companies Remain Liable for AI Chatbot-Created Information - Lexology

The AI chatbot provided inaccurate information to a user.

1 source article · read the reporting →

Late Night with the Devil directors confirm use of AI-generated images

The horror film 'Late Night with the Devil' used AI-generated images for three still interstitials. The directors confirmed the use after viewers noticed and criticized it online. The controversy highlights ongoing concerns about AI replacing human artists in entertainment.

8 source articles · read the reporting →

WF-4N6UFD1 Mar 2021

Baltimore schools monitor student laptops for suicide signs using GoGuardian Beacon

Baltimore City Public Schools uses GoGuardian Beacon software to monitor student laptops for signs of suicide. Since March 2021, the system has flagged 786 alerts, with nine students taken to emergency rooms. Privacy advocates warn the monitoring could lead to disciplinary actions, outing of LGBTQ students, and disproportionately affect disadvantaged students. School officials defend the practice as a safeguard.

Company involved
Baltimore City Public Schools
AI system involved
GoGuardian Beacon

10 source articles · read the reporting →

WF-G9ODUL11 Jun 2024

Luma's Dream Machine generates video with Disney character

Luma's AI video tool Dream Machine generated a trailer that included a recognizable character from Disney's Monsters, Inc. The company's CEO said a user uploaded an image containing the character, which the system then animated. The incident raises concerns about lack of transparency in training data and potential copyright infringement. Disney has not publicly commented.

Company involved
Luma
AI system involved
Dream Machine

7 source articles · read the reporting →

DWP algorithm approved Kickstart gateways with no trading history or based abroad

An FE Week investigation found that the Department for Work and Pensions (DWP) approved dozens of companies as Kickstart gateways through automated due diligence checks using the Cabinet Office Spotlight Tool, although some had little or no trading history or were based abroad. The DWP said gateways were subject to stringent checks and later said human checks were also used. After the findings were shared with the Treasury and the DWP, the department stopped taking gateway applications and scrapped the requirement for small employers to use gateways from 3 February.

Company involved
Department for Work and Pensions
AI system involved
Cabinet Office Spotlight Tool

3 source articles · read the reporting →

WF-EBIPSN1 Dec 2025

Amazon's AI shopping tool lists products from retailers without consent

Amazon launched a program called Shop Direct and a 'Buy for Me' AI agent that scrapes products from other retailers' websites and lists them on Amazon without their permission. Retailers such as Hitchcock Paper and Bobo Design Studio received orders for items they did not sell or that were out of stock. Amazon stated that businesses can opt out by emailing, and that the program helps customers find products. Some retailers have accused Amazon of exploiting their businesses.

Company involved
Amazon
AI system involved
Shop Direct / Buy for Me

5 source articles · read the reporting →

Adobe Firefly trained on thousands of Midjourney images, Bloomberg reports

Bloomberg has reported that Adobe's Firefly image generator was trained using thousands of images from competitor Midjourney. Adobe says these made up about 5% of the training data and were part of the Adobe Stock library. The company has marketed Firefly as ethically trained and offered enterprise customers indemnity against copyright claims. Adobe responded that all Adobe Stock images undergo moderation, but the report has raised questions about Firefly's copyright safety.

Company involved
Adobe
AI system involved
Firefly

7 source articles · read the reporting →

Users jailbreak Luma Labs Dream Machine to generate porn

Users have jailbroken Luma Labs' Dream Machine, an AI video generator, to create explicit videos. The system's safeguards were bypassed to generate pornographic content. The videos are crude but demonstrate the potential for widespread AI-generated porn. Luma Labs' terms of service prohibit such content.

Company involved
Luma Labs
AI system involved
Dream Machine

3 source articles · read the reporting →

WF-DFMQ9J1 Mar 2024

Insurer drops California homeowner after aerial photo analysis

Cindy Picos was dropped by her home insurer after the company used aerial photos to assess her roof. The insurer refused to let her see the photos, and she believes her roof is in fine shape. The incident highlights the growing use of drones and aerial imagery by insurers to inspect properties without in-person visits.

2 source articles · read the reporting →

WF-S7REOZ18 May 2026

Herbert Brooks v. Lowes Home Centers LLC (W.D. Louisiana): AI-hallucinated content in court filing, Monetary Sanction; CLE

Generated a legal brief with hallucinated case law, filed in court.

AI system involved
Claude

1 source article · read the reporting →

DOJ, Pinnacle reach settlement in RealPage case - Yahoo Finance

The system recommended rent prices to landlords, affecting renters' housing costs.

Company involved
Pinnacle Property Management Services
AI system involved
RealPage

1 source article · read the reporting →

WF-TF37IC13 Nov 2025

Flock seeks to have security researchers' map of Flock cameras taken down — unauthenticated flaw exposed 335,701 camera locations nationwide…

The system captured license plate data and vehicle locations of individuals passing the cameras.

Company involved
Flock Safety
AI system involved
Flock Safety cameras

1 source article · read the reporting →

New Meta smart glasses class action gives employers a reason to write the policy they've been puttin - hcamag.com

The smart glasses recorded bystanders without their consent and sent the footage to Meta for AI training.

Company involved
Meta Platforms
AI system involved
Meta AI-enabled Ray-Ban and Oakley smart glasses

1 source article · read the reporting →

Mr Craig Hadley wrongly accused of fraud at Sports Direct shop using Facewatch facial recognition.

Mr Craig Hadley was wrongly accused of being a fraudster at a Rotherham Sports Direct shop using facial recognition technology supplied by Facewatch. The system flagged him as a known fraudster, but the alert was later attributed to human error. Big Brother Watch, a privacy campaign group, has raised concerns about the lack of due process in such systems.

Company involved
Sports Direct
AI system involved
Facewatch

2 source articles · read the reporting →

WF-9D8L0R21 Aug 2026

Capital Standard, LLC v. U.S. Bank National Association (CA Florida (2d)): AI-hallucinated content in court filing, Monetary Sanction; Adverse Costs…

The AI generated false legal citations that were included in a court filing, misleading the court.

1 source article · read the reporting →

WF-O05GRZ3 Oct 2023

Disney accused of using AI imagery for Loki promotional materials

Disney is accused of using AI-generated imagery in promotional materials for the second season of the Disney+ series Loki. An illustrator on X flagged the image, pointing out telltale signs of AI generation in the background. The article states that the image appears to be based on a Shutterstock stock photo, and that Disney did not respond to the allegations. The use of AI is alleged to harm artists and photographers who rely on licensing income.

Company involved
Disney

8 source articles · read the reporting →

WF-RODNM31 Mar 2020

UK government's Spotlight algorithm denies funding to independent cinemas

The UK government's Culture Recovery Fund used an automated due diligence tool called Spotlight, designed by the Cabinet Office, to process grant applications. The algorithm is accused of excluding smaller, community-focused independent cinemas and arts organizations in favour of larger institutions, a practice the article describes as automated cultural elitism. The National Audit Office has confirmed the criteria, and Arts Council England is investigating cases of potential fraud, while many venues report struggling to survive.

Company involved
UK Government Cabinet Office
AI system involved
Spotlight

6 source articles · read the reporting →

Patagonia Targeted by Privacy Class Action for Use of Customer Service AI Software - Law.com

The system intercepted, recorded, and mined data from customer service calls, affecting customers' privacy.

Company involved
Patagonia
AI system involved
Talkdesk

1 source article · read the reporting →

MAJOR LAWSUIT ALERT!: Home Depot And Google Facing CIPA Lawsuit For Use Of Google’s Cloud Contact Center AI - natlawreview.com

The system recorded and transcribed customer service calls without consent, affecting the privacy of callers.

Company involved
Home Depot
AI system involved
Google Cloud Contact Center AI

1 source article · read the reporting →

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