Where automated decisions went wrong

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 →

Two families file lawsuit against AI chatbot service - CBS News

The chatbot provided responses to children

Company involved

character.ai

AI system involved

character.ai

1 source article · read the reporting →

EvenUp AI errors in personal injury demand letters lead to scrutiny

EvenUp, a legal tech startup valued at $1 billion, uses AI to draft personal injury demand letters. Former employees revealed that the AI system frequently makes errors, including missing injuries and fabricating medical conditions. The company defends its hybrid approach with human oversight, but critics allege overpromised AI capabilities.

Company involved

EvenUp

6 source articles · read the reporting →

California judge sanctions law firms for using AI to generate fake legal citations

Two law firms submitted a supplemental brief containing fake legal citations generated by AI systems including Google Gemini and Westlaw's CoCounsel. Judge Michael Wilner imposed $31,000 in sanctions after discovering the citations were fabricated. The lawyers admitted using AI without proper review or disclosure.

Company involved

K&L Gates

AI system involved

Google Gemini, Westlaw Precision with CoCounsel

5 source articles · read the reporting →

Anthropic ordered to respond over alleged AI-hallucinated citation in court filing

A US federal magistrate judge has ordered Anthropic to respond to music publishers' claim that a court filing by Anthropic data scientist Olivia Chen cited a fictitious academic article that may have been generated by Anthropic's AI tool Claude. The publishers' lawyer said he had confirmed with the named author and journal that the article did not exist. Anthropic's lawyer disputed this, saying it was a mis-citation rather than an AI hallucination. The filing was made in an ongoing copyright case brought by Universal Music Group, Concord, and ABKCO against Anthropic over the use of song lyrics to train Claude.

Company involved

Anthropic

AI system involved

Claude

5 source articles · read the reporting →

King Features AI tool produces reading list recommending nonexistent books

King Features, a content syndication unit of Hearst, has acknowledged that a summer reading list it produced for newspapers was created with an AI tool and included books that do not exist. A freelance creator used the AI agent without disclosing it, contrary to King Features' policy. The Chicago Sun-Times, which published the section, removed it from its e-paper and said subscribers would not be charged.

Company involved

King Features

5 source articles · read the reporting →

Voice actors sue LOVO over alleged theft of voices for AI training

Voice actors Paul Skye Lehrman and Linnea Sage filed a proposed class action against AI startup LOVO, alleging the company misappropriated their voices to train its text-to-speech system Genny. The actors claim they were hired on Fiverr under the pretence of academic research but later discovered their voices were used commercially without consent. Lehrman reports a 50% decline in work and loss of control over how his voice is used. The lawsuit, filed in New York federal court, seeks to represent other affected voiceover artists and obtain a court order blocking the practice.

Company involved

LOVO

AI system involved

Genny

6 source articles · read the reporting →

Andrea Bartz and others sue Anthropic PBC over copyright

In August 2024, Andrea Bartz, Kirk Wallace Johnson and Charles Graeber filed a lawsuit against Anthropic PBC in the US District Court for the Northern District of California. The complaint alleges copyright infringement under 17 U.S.C. § 501. Anthropic waived service, and the case was assigned to the court.

Company involved

Anthropic PBC

8 source articles · read the reporting →

Anti-piracy group takes down Books3 dataset used to train Meta's LLaMA

The Danish anti-piracy group Rights Alliance sent a DMCA takedown request to The Eye, which hosted the Books3 dataset containing 196,640 copyrighted books. The dataset was used by Meta to train its LLaMA language model. Authors including Sarah Silverman have filed a class action lawsuit against Meta for using their works without permission. The dataset has been taken offline, but copies remain available.

Company involved

Meta

AI system involved

LLaMA

10 source articles · read the reporting →

Record labels sue AI music companies Suno and Udio for copyright infringement

Major record labels including Universal Music Group, Sony Music Entertainment, and Warner Records, represented by the RIAA, have filed lawsuits against AI music companies Suno and Udio. The lawsuits allege that the companies used copyrighted sound recordings without permission to train their generative AI models, which can produce songs that imitate known artists. The RIAA is seeking damages of up to $150,000 per work. The companies have denied the allegations, with Suno's CEO stating that their technology generates new outputs and does not allow prompts based on specific artists.

Company involved

Suno and Udio

AI system involved

Suno and Udio

10 source articles · read the reporting →

Center for Investigative Reporting Sues OpenAI, Microsoft Over Copyright

The Center for Investigative Reporting, publisher of Mother Jones and Reveal, has filed a lawsuit against OpenAI and Microsoft in federal court, alleging the companies used its copyrighted articles without permission or compensation to train their AI products. The nonprofit argues that the AI-generated summaries of its stories threaten journalism and violate the Copyright Act and the Digital Millennium Copyright Act. The case is pending in the U.S. District Court for the Southern District of New York.

Company involved

OpenAI and Microsoft

6 source articles · read the reporting →

Prosecraft shut down after using authors' books without consent for AI analytics

Prosecraft, a fiction analytics site, used the full text of over 25,000 books without author consent to train its AI algorithms and provide writing statistics. Authors protested on social media, demanding removal of their works. The developer, Benji Smith, subsequently shut down the site and wrote a blog post explaining his actions.

Company involved

Prosecraft

AI system involved

Prosecraft

10 source articles · read the reporting →

Condé Nast accuses Perplexity of plagiarism in cease-and-desist letter

Condé Nast, the media conglomerate, sent a cease-and-desist letter to AI search startup Perplexity, accusing it of plagiarism for using content from its publications in AI-generated responses without permission. The letter demands that Perplexity stop using the content. Perplexity has been criticized for ignoring robots.txt and scraping content. The incident highlights ongoing tensions between publishers and AI companies over unauthorized use of content.

Company involved

Perplexity

AI system involved

Perplexity

4 source articles · read the reporting →

Lattice cancels plan to give AI digital workers employee records after backlash

Lattice, an HR software company, announced on July 9th that it would give AI digital workers official employee records. After strong backlash from HR professionals and others on LinkedIn, the company canceled the feature on July 12th, stating it 'will not further pursue digital workers in the product.' The feature was intended to manage AI bots such as Devin and Piper, but the company reversed course.

Company involved

Lattice

AI system involved

Lattice

6 source articles · read the reporting →

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 →

Authors sue OpenAI and Microsoft for copyright infringement over AI training

In January 2024, journalists and authors Nicholas Basbanes and Nick Gage sued OpenAI and Microsoft for copyright infringement. The lawsuit alleges that the companies used their published journalism to train large language models without permission or compensation. The case has been folded into a class action brought by the Authors Guild. The AI firms have denied any wrongdoing, and the case is still making its way through the legal system.

Company involved

OpenAI

AI system involved

Large language model (ChatGPT)

8 source articles · read the reporting →

Meta's AI sticker tool generates lewd, rude, and nude images

Meta's new AI-generated sticker feature on Facebook Messenger allowed users to create inappropriate images, including child soldiers, nude politicians, and sexualised characters. The tool, powered by Meta's Llama 2 model, was found to have insufficient content filters, enabling users to bypass restrictions with typos. Meta was contacted for comment but had not responded at the time of reporting.

Company involved

Meta

AI system involved

AI-generated sticker tool

1 source article · read the reporting →

Thomson Reuters wins copyright lawsuit against AI startup Ross Intelligence

In 2020, Thomson Reuters filed a copyright lawsuit against legal AI startup Ross Intelligence, alleging that Ross reproduced materials from its Westlaw legal research service. In February 2025, a US District Court judge ruled in Thomson Reuters' favor, finding that Ross infringed copyright and that fair use did not apply. Ross Intelligence had shut down in 2021 due to litigation costs.

Company involved

Ross Intelligence

AI system involved

Ross Intelligence

4 source articles · read the reporting →

Publishers sue AI startup Cohere over alleged copyright infringement

A consortium of 14 publishers including Condé Nast, The Atlantic, and Forbes filed a lawsuit against Cohere, alleging that the generative AI startup engaged in massive, systematic copyright infringement by using at least 4,000 copyrighted works to train its AI models and display large portions of articles, harming referral traffic. Cohere denied the allegations, calling the lawsuit misguided and frivolous.

Company involved

Cohere

AI system involved

Cohere's AI models

8 source articles · read the reporting →

Tyrone Walker v. Juliane Pierre (CA Massachusetts): AI-hallucinated content in court filing, Struck from the record

The AI generated nonexistent legal citations that were included in a court filing, causing the court to strike them from the appellant's brief.

1 source article · read the reporting →

Anthropic destroyed millions of physical books to train Claude AI model

Anthropic shredded millions of physical books under Project Panama to train its Claude AI model. Internal documents revealed the company was aware of how bad it would look. A lawsuit by authors led to a $1.5 billion settlement. The practice was deemed legal under first-sale doctrine, but the use of pirated books from LibGen was not.

Company involved

Anthropic

AI system involved

Claude

5 source articles · read the reporting →

Meta Smart Glasses Lawsuit Claims Sex, Bathroom Footage Was Sent to Overseas AI Workers - Law Commentary

Recorded and transmitted private footage of users and bystanders to overseas AI workers

Company involved

Meta

AI system involved

Meta Smart Glasses

1 source article · read the reporting →

iTutorGroup to Pay $365,000 to Settle EEOC Discriminatory Hiring Suit

The system automatically rejected tutor applicants aged 55+ (women) or 60+ (men).

Company involved

iTutorGroup

1 source article · read the reporting →

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 →