BREIN takes down AI dataset for copyright infringement
Stichting BREIN took down a large Dutch-language dataset used to train AI models after discovering it contained illegal copies of tens of thousands of books, news articles, and subtitles. The dataset was compiled from copyrighted material without permission. The maker of the dataset signed a declaration promising not to infringe and provided information about recipients. BREIN is investigating which AI models used the dataset.
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Deloitte software glitches wrongly remove Texans from Medicaid
Advocacy groups filed a complaint with the Federal Trade Commission alleging that Deloitte's eligibility software, TIERS, used by Texas Medicaid, wrongly disenrolled qualified recipients due to glitches. Nearly 1.8 million Texans lost coverage after the pandemic pause ended, with many errors attributed to procedural issues but some linked to system malfunctions. Deloitte denies the claims, while the state says it restored care for at least 90,000 people. The FTC has not yet responded to the complaint.
- Company involved
- Texas Health and Human Services Commission
- AI system involved
- TIERS
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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.
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Didi fined for over-collecting personal data of users
The Cyberspace Administration of China fined Didi Global Inc. for violating data protection laws. The investigation found that Didi had over-collected personal data from passengers and drivers, including facial recognition, location, and clipboard information, totaling billions of records. The violations began in 2015 and continued until the investigation in 2021. Didi was ordered to pay a penalty and correct its practices.
- Company involved
- 滴滴全球股份有限公司 (Didi Global Inc.)
- AI system involved
- Didi ride-hailing apps
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NHS faces legal action over Palantir data contract extension
The NHS is being taken to court by campaign group Open Democracy over its contract with data firm Palantir. The legal action alleges that the extension of Palantir's involvement in analysing NHS patient data for pandemic response and beyond lacked a proper Data Protection Impact Assessment. The contract, initially an emergency response, was extended for two years at a cost of £23.5m. The case is pending.
- Company involved
- NHS
- AI system involved
- Palantir data analysis platform
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Ola drivers file GDPR lawsuit over algorithmic management and data access
Two ride-hailing drivers are taking Ola to court in Amsterdam, alleging the company violated GDPR data access rights by not providing full personal data, including GPS and ratings information. They argue this hinders their ability to challenge algorithmic decisions, such as a driver who had pay docked after Ola's system incorrectly flagged trips as invalid. The case, supported by the App Drivers & Couriers Union, seeks to compel Ola to comply with data protection law and faces fines for non-compliance. Ola says it has not received notification and complies with all applicable laws.
- Company involved
- Ola
- AI system involved
- Guardian
1 source article · read the reporting →
Ninth Circuit Sanctions Attorneys Over AI-Hallucinated Legal Briefs
The Ninth Circuit sanctioned immigration attorneys from Sethi Law Group after they filed briefs containing AI-generated false cases and quotations. The court imposed monetary sanctions, a six-month suspension from Ninth Circuit practice, and referred the matter to the California State Bar. The court also required future filings to disclose AI use and certify that all citations were verified. The case is Lnu v. Blanche.
- Company involved
- Sethi Law Group
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Mississippi Judge Removes All Attorneys Over AI-Hallucinated Citations
In Withers v. City of Aberdeen, a contract dispute, both sides' attorneys submitted briefs containing fabricated case citations generated by AI tools. The court identified six non-existent citations and sanctioned all four attorneys, revoking pro hac vice admissions, imposing fines, and referring them to state bars. The drafting attorneys had used AI research and drafting tools without verifying outputs, while local counsel signed filings without review. The ruling emphasises that attorneys cannot delegate verification duties to AI and that ignorance of AI risks is no defence.
- AI system involved
- First Drafts
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Ex-Pikesville athletic director used AI deepfake to impersonate principal
Dazhon Darien, former athletic director at Pikesville High School, used artificial intelligence to create a deepfake audio clip in 2024 that made it appear as though principal Eric Eiswert made racist and antisemitic comments. The clip spread widely online, severely damaging Eiswert's reputation. Darien was arrested and later pleaded guilty to unrelated child sex crimes. Eiswert sued Baltimore County Public Schools and reached a settlement.
- Company involved
- Baltimore County Public Schools
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Disney sends cease and desist to Character.AI over copyright
Walt Disney Company sent a cease and desist letter to Character.AI, alleging that the chatbot developer uses Disney's copyrighted characters without authorization. Disney expressed concern that the platform could damage its brand long term. The letter demands immediate action to stop using the characters.
- Company involved
- Character.AI
- AI system involved
- Character.AI
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California AG declares out-of-state ALPR data sharing unlawful
California Attorney General Rob Bonta issued guidance confirming that sharing automated license plate reader (ALPR) data with out-of-state or federal agencies violates state law SB 34. The decision follows years of advocacy by EFF and the ACLU, who demonstrated through public records that many California law enforcement agencies were sharing data with hundreds of external agencies, including ICE and CBP. The guidance mandates that all California agencies review their data sharing and cut off access to out-of-state and federal entities.
- Company involved
- California law enforcement agencies
- AI system involved
- Automated license plate readers (ALPRs)
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Secret Desires AI image generator exposed millions of explicit deepfake photos
Secret Desires, an erotic chatbot and AI image generator, left cloud storage containers publicly accessible, exposing nearly two million images and videos, many of them nonconsensual explicit deepfakes of private citizens. The leaked data included women's names, workplaces, and universities, with some file names referencing '17-year-old'. After 404 Media contacted the company, the files became inaccessible, but Secret Desires did not respond to a request for comment. The incident highlights ongoing issues with AI-generated deepfake abuse, and Congress recently passed the Take It Down Act to combat such images.
- Company involved
- Secret Desires
- AI system involved
- Secret Desires
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Clearview AI settles with ACLU over facial recognition database sales
Clearview AI has agreed to stop selling its facial recognition database to most private US companies as part of a proposed settlement with the ACLU. The company scraped billions of images from social media without consent to build its database, violating Illinois' Biometric Information Privacy Act. The settlement requires Clearview to delete old facial vectors and allow Illinois residents to opt out. The company can still sell its technology to law enforcement and government agencies.
- Company involved
- Clearview AI
- AI system involved
- Clearview AI facial recognition database
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ICE Agents Stored Photos and License Plates of Protest Observers in Palantir-Built Database, Court Filing Reveals - Latin Times
A court filing alleges ICE agents stored photos and license plates of protest observers in a Palantir-built database, labeled some of them as threats, and ran facial recognition searches on them.
- Company involved
- U.S. Immigration and Customs Enforcement (ICE)
- AI system involved
- ICM (Investigative Case Management system)
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
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CommNV vs Uprise (Nevada DC): AI-hallucinated content in court filing, Monetary Penalty OR Order to volunteer and teach about AI…
The AI system generated fabricated legal citations that were included in a court filing, misleading the court and opposing counsel.
- Company involved
- Christopher Day
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
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Oakland County investigating alleged misuse of Flock camera data by former deputy - WXYZ 7 News Detroit
The Flock camera system collected and stored license plate data, and a former deputy allegedly accessed it without authorization.
- Company involved
- Oakland County Sheriff's Office
- AI system involved
- Flock camera
1 source article · read the reporting →
$30M Equifax hard inquiry dispute class action settlement - Top Class Actions
A class action, settled for $30 million, alleged that Equifax automatically rejected consumers' disputes of hard inquiries on their credit reports, sending a form letter instead of investigating.
- Company involved
- Equifax Information Services LLC
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Hallucination-laced TRO raises alarm bells on AI use by courts - Massachusetts Lawyers Weekly
A generative AI tool drafted a temporary restraining order in Jackson Federation of Teachers v. Fitch containing fabricated parties, declarations, and statutory language, affecting the state of Mississippi and the plaintiffs.
- Company involved
- U.S. District Court for the Southern District of Mississippi
1 source article · read the reporting →
Illinois appeals court fines lawyer $15,000 for fictitious citations in Scott v. Illinois Human Rights Commission
In Scott v. Illinois Human Rights Commission, an Illinois Appellate Court case, a lawyer's filings contained fictitious legal citations and misquoted statutes. The court fined the lawyer $15,000 and referred the matter to the bar.
- AI system involved
- ChatGPT
1 source article · read the reporting →
Pearl Gardner v. Nationstar Mortgage LLC (D. Arizona): AI-hallucinated content in court filing, Bar Referral
Pro Se Litigant | D. Arizona | State(s): USA. AI tool: Clearpoint. Problem: Fabricated: Case Law. Consequence: Bar Referral.
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Del Biaggio v. Bansen (CA California (4d)): AI-hallucinated content in court filing, Monetary Sanction
The AI generated fake legal citations that were included in an appellate brief, affecting the court and the client.
- Company involved
- Carlton Floyd
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New York federal court sanctions lawyer for non-existent quotations after ChatGPT research
In Tiekert v. Village of Mamaroneck in the Southern District of New York, the court found that the plaintiff's lawyer filed briefs containing non-existent quotations and misrepresented authorities. In a filing to the court, the lawyer said ChatGPT had been used to assist with legal research. On September 14, 2026, the court imposed Rule 11 sanctions: $500 payable to the court and two New York continuing legal education credits in ethics on the use of AI.
2 source articles · read the reporting →
