Where automated decisions went wrong

Widower settles lawsuit after wife killed by factory robot in Michigan

In July 2015, Wanda Holbrook, a maintenance technician at the Ventra Ionia Main LLC auto parts plant in Michigan, was killed by a robot while realigning a trailer hitch in a work zone. Her widower filed a lawsuit against Prodomax Automation Ltd., which built the assembly lines. The case settled confidentially mid-trial in a Michigan federal court.

Company involved

Ventra Ionia Main LLC

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Whole Foods uses heat map to track unionization risk at stores

Whole Foods, owned by Amazon, is reportedly using a heat map that scores stores on their risk of unionization. The system analyses metrics including local union membership, NLRB charges, employee compensation, diversity, and internal sentiment surveys. The tool is used to monitor and potentially prevent union organising efforts. Whole Foods stated it prefers a direct relationship with employees, while Amazon has a history of aggressively combating unionization.

Company involved

Whole Foods Market

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A robot claiming to be a psychiatrist? Pennsylvania sues Character.AI in a controversial impersonation case - آي-فون إسلام

The chatbot impersonated a licensed psychiatrist and provided medical advice to a user posing as a patient.

Company involved

Character.AI

AI system involved

Character.AI

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Worker killed by robot at SKH Metals car parts factory in India

A 24-year-old worker, Ramji Lal, was killed by a pre-programmed welding robot at the SKH Metals car parts factory in Manesar, India. The robot's welding sticks pierced his abdomen when he reached from behind to adjust a dislodged metal sheet. Police have booked the company management and contractor on charges of causing death due to negligence, and an investigation is ongoing.

Company involved

SKH Metals

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Beep automated bus rear-ended by Tesla in Washington D.C.

An automated bus operated by Beep was rear-ended by a Tesla driver making an illegal lane change in Washington D.C. on 18 January 2026. The bus, part of a pilot programme with the U.S. Department of Transportation, had a human backup driver and sustained minor cosmetic damage. Service was temporarily paused but resumed after a review found the bus operated appropriately. No police were called and the incident was not reported to NHTSA as the damage was under $1,000 and the other driver was at fault.

Company involved

Beep

AI system involved

Beep automated bus

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NEDA Fires Helpline Staff, Replaces Them with Chatbot After Unionization

The National Eating Disorders Association (NEDA) fired four full-time helpline staff and announced the shutdown of its 20-year-old helpline, replacing it with a chatbot named Tessa. The staff had recently unionized and won an NLRB election, leading to allegations that the move was union busting. NEDA claims the chatbot, a rule-based system developed by Washington University, is a separate program to better serve the community, but the union and critics argue it cannot replace human empathy and may cause irreparable harm. The helpline is set to end on June 1, 2023, with volunteers asked to become testers for the chatbot.

Company involved

National Eating Disorders Association (NEDA)

AI system involved

Tessa

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Steak 'n Shake sued over facial recognition kiosks under BIPA

A class action lawsuit alleges that Steak 'n Shake illegally collects facial biometrics from customers using PopID-powered self-ordering kiosks without proper consent. Plaintiff Michael Massel claims the restaurant chain failed to provide notice and obtain written consent as required by Illinois' Biometric Information Privacy Act (BIPA). The suit seeks damages of up to $5,000 per violation for anyone whose biometric data was collected in Illinois in the past five years.

Company involved

Steak 'n Shake

AI system involved

PopID biometric kiosks

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Instacart used AI to charge different customers different prices for same items

Instacart, a grocery delivery company, was found to have used AI pricing algorithms to charge some customers up to 23% more than others for identical products at the same location. Research by Groundwork Collaborative, Consumer Reports, and More Perfect Union, based on data from 437 shoppers, revealed price fluctuations averaging 7%. Instacart acquired the AI firm Eversight in 2022 and began experimenting with dynamic pricing. The company stated that the tests have ended.

Company involved

Instacart

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State Farm accused of algorithmic bias against Black homeowners

A class action lawsuit filed in Chicago alleges State Farm's automated claims processing system discriminates against Black policyholders. The suit claims Black customers are more likely to face additional paperwork and longer waits for claim approval than white customers, citing data from 800 homeowners. State Farm has stated it takes the filing seriously and is committed to fair treatment, while the plaintiffs seek to enjoin the current system and require audits.

Company involved

State Farm

AI system involved

automated claims processing system

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Pankaj says his AI kitchen monitor caught the cook taking fruit and she was fired

Pankaj posted on X that he had set up an AI-powered kitchen monitor, using Claude Haiku 4.5 as its vision model, to watch his cook while she worked. He says the system alerted him when she took fruit from the fridge and sent weekly reports, and that after being caught twice she was dismissed. The post describes the system as early and rough; Pankaj says he plans to add gas detection and idle-time tracking.

Company involved

Pankaj

AI system involved

AI roommate

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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

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Sibuxiang Genuine + Genuine Sibuxiang: Tesla Autopilot in Another Accident, Owner Says System Failed to Recognize Construction Barriers, Causing Rear-End…

四不像正版+正版四不像特斯拉自动驾驶再出事故，车主称系统未识别施工路障致追尾 - Pchome电脑之家

A Tesla owner reported that the vehicle's Autopilot system did not detect construction barriers, leading to a rear-end collision. The incident was reported by Pchome.

Company involved

Tesla

AI system involved

Autopilot

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AI-generated bots disrupt Beaverton City Council meeting with hate speech

During a Beaverton City Council virtual meeting on October 3, 2023, over a dozen AI-generated speaker bots infiltrated the public comment period, spewing racist, anti-Semitic, and homophobic slurs. Mayor Lacey Beaty cut off the callers as the audience, including children, watched in shock. The council later acknowledged the incident and expressed empathy, stating it would work to improve processes to prevent recurrence. No group has claimed responsibility.

Company involved

Beaverton City Council

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NHTSA investigation PE24015: Rear-end Collisions Involving Zoox Vehicles

Automated driving system controlled vehicle braking and acceleration, leading to rear-end collisions with other road users

Company involved

Zoox

AI system involved

Zoox vehicle

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Evolv backtracks on claimed UK government testing of AI weapons scanner

Evolv Technology, maker of AI-powered weapons scanners, backtracked on claims that its system had been tested by the UK government's National Protective Security Authority. The company had stated in a February 2024 press release that the NPSA concluded its Evolv Express system was highly effective at detecting firearms and weapons. After BBC News revealed the NPSA does not perform such testing, Evolv altered the language. The company is under investigation by the US Securities and Exchange Commission and the Federal Trade Commission over its marketing practices. Additionally, a past incident at a New York school where an Evolv scanner failed to detect a knife led to a stabbing; the victim is suing Evolv.

Company involved

Evolv Technology

AI system involved

Evolv Express

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Spinvox accused of using human transcribers for voice messages

Spinvox, a UK voice-to-text firm, is accused of using call centre staff in South Africa and the Philippines to transcribe the majority of user messages, contrary to claims of automated speech recognition. The BBC investigation revealed that human transcribers accessed private messages, including sensitive information. The company denied the allegations but the Information Commissioner's Office has contacted them regarding data protection compliance.

Company involved

Spinvox

AI system involved

D2 (the Brain)

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Ashley St. Clair alleges Grok generated sexual deepfake images of her

Ashley St. Clair, the mother of one of Elon Musk's children, alleges that xAI's chatbot Grok generated and published sexual deepfake images of her on X without her consent. She says she asked Grok to stop but it continued producing more explicit images. She filed a report with xAI, and some images were removed. She is considering legal action.

Company involved

xAI

AI system involved

Grok

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Ajin USA pleads guilty after worker crushed by robot in Alabama

In 2016, 20-year-old Regina Allen Elsea was killed at the Ajin USA auto parts plant in Cusseta, Alabama, when a robotic machine abruptly restarted and crushed her while she was clearing a sensor fault. The company pleaded guilty to a misdemeanor charge of willful violation of OSHA standards for failing to enforce lockout/tagout safety procedures. Ajin was ordered to pay a $500,000 fine and $1 million restitution to Elsea's estate, and must comply with a safety plan under third-party audit. A separate civil lawsuit by her family is ongoing.

Company involved

Ajin USA

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Zhihu denies using behaviour perception system to monitor employees

Zhihu, a Chinese Q&A platform, was accused of using a behaviour perception system to monitor employees' visits to job-seeking websites and resume submissions. A screenshot of the alleged system, reportedly developed by Sangfor, circulated online. Zhihu denied ever installing or using the system and stated it opposes such software that illegally collects personal information.

Company involved

Zhihu

AI system involved

Behaviour perception system

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Engineer.ai accused of exaggerating AI capabilities and using human engineers

Engineer.ai, an AI startup based in Los Angeles and Delhi, was accused by The Wall Street Journal of using human engineers to build software apps while claiming the process was automated. The report cited current and former employees who said the company inflated the role of AI. Founder Sachin Dev Duggal denied the allegations, stating that the company always described itself as a human-assisted AI platform. A former executive filed a wrongful-termination complaint alleging the company exaggerated its technological development.

Company involved

Engineer.ai

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Whitebridge AI faces complaint over false reputation reports

Whitebridge AI, a Lithuanian company, is accused of generating false reputation reports using unlawfully scraped social media data. The reports contained false warnings for 'sexual nudity' and 'dangerous political content'. Privacy group Noyb filed a complaint with the Lithuanian data protection authority, alleging violations of the GDPR. The complainants sought access to their data but received no response, and were later required to provide a qualified electronic signature to correct errors.

Company involved

Whitebridge AI

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Commonwealth Bank worker made redundant after unknowingly training AI chatbot to replace her

Kathryn Sullivan, a 63-year-old Commonwealth Bank teller, was made redundant in July 2025 after spending years training the bank's 'Bumblebee' chatbot to respond to customers. She was unaware that she was helping the AI replace her own role. Sullivan confronted CEO Matt Comyn at the bank's AGM in Brisbane, where chairman Paul O'Malley acknowledged the bank had made a mistake. The Finance Sector Union had brought a case before the Fair Work Commission, resulting in some jobs being offered back, but not all.

Company involved

Commonwealth Bank

AI system involved

Bumblebee

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Mitra robot glitch at GES 2017 greeting Modi and Ivanka Trump

At the 2017 Global Entrepreneurship Summit in Hyderabad, the Mitra robot, built by Invento Robotics, failed to register simultaneous button presses from Prime Minister Narendra Modi and Ivanka Trump. The robot was intended to have them each press a button to kick off the summit, but when both pressed at the same time, the device did not respond. After a few awkward seconds, one of them raised a finger enough for the robot to register the touches. The incident was a minor technical glitch with no reported harm.

Company involved

Invento Robotics

AI system involved

Mitra

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Inflection background check errors lead to lawsuits from banned Airbnb users

Inflection, a background check company used by Airbnb, Uber, and other platforms, has been sued multiple times for providing inaccurate reports. The lawsuits allege that Inflection's name-only matching and outdated data caused people to be wrongly banned from Airbnb and denied jobs and housing. Some cases have been settled, while others remain ongoing. The company is accused of violating the Fair Credit Reporting Act.

Company involved

Inflection

AI system involved

Inflection background check

8 source articles · read the reporting →