Where automated decisions went wrong

DataOne asks court to toss noise lawsuit over Vineland data center - Courier-Post

The data center generated excessive and intrusive noise affecting neighbors in East Vineland.

Company involved

DataOne USA LLC

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Lawyers from Ellis George and K&L Gates Sanctioned for AI-Generated Fake Citations

Attorneys from Ellis George LLP and K&L Gates LLP submitted a brief to a special master in the U.S. District Court for the Central District of California containing numerous hallucinated legal citations generated by AI tools including CoCounsel, Westlaw Precision, and Google Gemini. The lawyers failed to verify the citations, and even after being alerted to errors, filed a corrected brief that still contained fake authorities. Special Master Michael Wilner found the conduct tantamount to bad faith, struck the brief, denied discovery relief, and ordered the firms to jointly pay $31,100 in the defendant's legal fees.

Company involved

Ellis George LLP and K&L Gates LLP

AI system involved

CoCounsel, Westlaw Precision, Google Gemini

3 source articles · read the reporting →

In-house counsel group accuses rival of training AI on its materials - Reuters

In-house counsel group accuses rival of training AI on its materials Reuters

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Who's Suing the Georgia Meta Platforms Data Center? - Law.com

A Meta Platforms data center in Georgia allegedly ran afoul of local nuisance and trespassing laws, affecting local residents.

Company involved

Meta Platforms

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NAACP sues xAI, alleging unlawful operation of gas turbines in Southaven

The NAACP, represented by the Southern Environmental Law Center and Earthjustice, sued xAI and its subsidiary MZX Tech, alleging it ran dozens of methane gas turbines in Southaven, Mississippi, without a Clean Air Act permit to power its Colossus 2 AI data centre. The groups say the plant may be the largest industrial source of smog-forming nitrogen oxides in the Memphis area and that nearby, largely Black neighbourhoods bear the pollution. The US Justice Department later moved to have the case dismissed, citing national security.

Company involved

xAI

AI system involved

Colossus 2 power plant

1 source article · read the reporting →

Melbourne lawyer referred for using AI-generated fake case citations in family court

A Melbourne lawyer used AI software Leap to generate a list of case citations for a family court hearing. The citations were fake, causing the hearing to be adjourned. The lawyer apologized and paid costs, but was referred to the Victorian Legal Services Board and Commissioner for investigation. The software vendor Leap stated that a verification process was available but not used by the lawyer.

AI system involved

Leap

4 source articles · read the reporting →

Class action claims Checkr misreported criminal records in background checks

Checkr's system misreported criminal records belonging to someone else on Natasha Davis's consumer report, impeding her ability to gain employment.

Company involved

Checkr Inc.

1 source article · read the reporting →

Single mom loses six-figure job after alleged background check errors

The background check system flagged discrepancies in employment history, causing the employer to rescind a job offer to Krishan Tucker.

Company involved

HireRight

AI system involved

HireRight

1 source article · read the reporting →

SafeRent Settles Class Action Over Tenant Screening for Voucher Holders

Mary Louis and Monica Douglas filed a class action lawsuit in 2022 alleging that SafeRent Solutions' SafeRent Score product discriminated against rental applicants in Massachusetts who held public housing vouchers, violating fair housing and consumer protection laws. SafeRent denied wrongdoing. The court approved a settlement in November 2024, and payments were distributed to eligible class members in 2025 and 2026.

Company involved

SafeRent Solutions, LLC

AI system involved

SafeRent Score

5 source articles · read the reporting →

Lieff Cabraser and Greer Injury Lawyers Announce Federal Class Action Lawsuit Against X.AI Corp and MZX Tech LLC for Nuisance,…

The data centers and gas turbines emitted constant noise, vibrations, and particulate matter, affecting residents' ability to use and enjoy their properties.

Company involved

X.AI Corp and MZX Tech LLC

AI system involved

Colossus I, Colossus II, MACROHARDRR, Minihard data centers and gas turbines

1 source article · read the reporting →

Flock lawsuit accuses tech company of exposing citizens to rogue police tracking - Top Class Actions

The system recorded and tracked the locations of vehicles and their owners without consent.

Company involved

Flock Group Inc.

AI system involved

Flock

1 source article · read the reporting →

Attorneys in three lawsuits aimed at Nebius AI Factory work to consolidate parts of cases - WVTM

The Nebius AI Factory data center construction produced noise, dust, vibrations and raised concerns about power and water use affecting nearby residents and the Greater Birmingham Humane Society.

Company involved

Nebius AI Factory

AI system involved

Nebius AI Factory

1 source article · read the reporting →

Fake AI law firm sends DMCA threats for SEO backlinks

Ernie Smith, writer of the Tedium newsletter, received a DMCA copyright notice from 'Commonwealth Legal', a firm that appears to be entirely fabricated using AI-generated images and text. The notice demanded he add a backlink to the gadget review site Tech4Gods for a keyfob photo legitimately sourced from Unsplash. The scheme is designed to generate fake SEO gains through backlinks, and Smith did not receive any follow-up after the stated deadline.

Company involved

Commonwealth Legal

AI system involved

Generative Adversarial Network (GAN) model

1 source article · read the reporting →

Chicago Tribune sues Perplexity AI for copyright infringement

Chicago Tribune Company, LLC filed a lawsuit against Perplexity AI, Inc. in the Southern District of New York on December 4, 2025. The complaint alleges copyright infringement under 17 U.S.C. § 501. The case is assigned to Judge Loretta A. Preska.

Company involved

Perplexity AI, Inc.

5 source articles · read the reporting →

Woody Nora v. M & A Transport, Inc., et al. (E.D. Louisiana): AI-hallucinated content in court filing, Monetary Sanction; 1…

The AI tool generated fictitious case law citations that were included in a court filing, affecting the plaintiff and the court.

AI system involved

Westlaw Precision

1 source article · read the reporting →

Bunce v. Visual Technology Innovations (2) (E.D. Pennsylvania): AI-hallucinated content in court filing, Monetary Sanction, Additional CLE

The AI generated fabricated legal citations in a court filing, misleading the court and opposing counsel.

Company involved

Mr. Rajan

1 source article · read the reporting →

Perplexity sued by Dow Jones for alleged copyright infringement

Perplexity, an AI search engine, was sued by Dow Jones, the publisher of the Wall Street Journal and New York Post, on October 21, 2024. The lawsuit alleges that Perplexity's AI reproduces copyrighted articles without permission. Perplexity denies the allegations and states it responded to outreach from News Corp before the lawsuit was filed.

Company involved

Perplexity

AI system involved

Perplexity

10 source articles · read the reporting →

SenseNets silent after data leak exposes millions of people's records

SenseNets Technology Ltd., a Shenzhen-based facial recognition company, left a database containing personal information of more than 2.5 million people publicly accessible without password protection for months. Dutch security researcher Victor Gevers and the GDI Foundation discovered the exposure in July and warned the company, which did not respond. The database was secured in February after the leak was reported, and the company is reported to be conducting an internal investigation. SenseNets has declined to comment publicly.

Company involved

SenseNets Technology Ltd.

10 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 →

Cense exposed 2.5 million records of auto accident victims online

On July 7, 2020, a security researcher discovered 2.5 million records containing personal and medical data of auto accident victims exposed online. The records, belonging to New York-based AI company Cense, included names, insurance policy numbers, claim numbers, and medical diagnosis notes. The data was labeled as staging data, possibly intended for temporary storage before being loaded into an AI system. After the researcher sent a responsible disclosure notice, Cense restricted public access to the database.

Company involved

Cense

AI system involved

Cense

5 source articles · read the reporting →

Momus Analytics' jury-selection algorithm criticised for racial bias

Momus Analytics, a legal technology company, uses machine learning to rank potential jurors for attorneys. Experts and researchers who reviewed the company's patent application say the algorithm relies on demographic characteristics such as race, which may violate constitutional prohibitions against discriminatory jury selection. The company claims its software has helped secure verdicts worth over $940 million, but did not respond to requests for comment.

Company involved

Momus Analytics

AI system involved

Momus

9 source articles · read the reporting →

The People v. Raziel Ruiz Alvarez (CA California): AI-hallucinated content in court filing, Published order; monetary sanction payable by Counsel…

The AI generated fabricated legal citations that were included in a court filing, affecting the defendant's legal representation and the court's resources.

Company involved

Attorney Siddell

1 source article · read the reporting →

Russell v. Mells (CA Florida): AI-hallucinated content in court filing, Bar Referral

AI generated fabricated case law citations that were included in a court filing, potentially misleading the court in Russell v. Mells.

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Michael L. Ruiz v. Magellan Financial & Insurance Services (2) (D. Arizona): AI-hallucinated content in court filing, Formal public reprimand

AI-hallucinated fake quotations were included in court filings submitted by counsel Elizabeth Tate, misleading the court.

1 source article · read the reporting →