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 →

Lawyer Under Fire Over ‘AI Slop’ Court Filing - jdjournal.com

Generated legal filings that were submitted to a court, potentially affecting the client's case and the court's proceedings.

Company involved

Jaclyn R. Soroka

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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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The New York Times sues Perplexity for copyright infringement

The New York Times filed a lawsuit against AI startup Perplexity, alleging the company illegally scraped and distributed its copyrighted content to generate search responses. Perplexity's spokesperson dismissed the suit, comparing it to past unsuccessful legal actions against new technologies. The case is pending in the Southern District of New York.

Company involved

Perplexity

4 source articles · read the reporting →

Authors protest Meta's use of pirated books for AI training

Authors and publishing professionals protested outside Meta's London office after discovering their copyrighted books were used to train Meta's AI models via the LibGen shadow library. A US court filing alleged that CEO Mark Zuckerberg approved the use of the database, which contains over 7.5 million books. The Society of Authors delivered a letter demanding accountability, and a group of authors is suing Meta for copyright infringement in the US. Meta stated that its use of information is consistent with existing law.

Company involved

Meta

4 source articles · read the reporting →

Meta used AI to target workers with medical conditions for layoffs, lawsuit claims - ddnews.gov.in

Selected employees for layoff, disproportionately affecting those with disabilities or on medical leave

Company involved

Meta Platforms

AI system involved

Metamate

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Man claims Meta fired him after he refused to sign a Green Card letter for a Chinese visa worker, seeks…

Man claims Meta fired him after he refused to sign a Green Card letter for a Chinese visa worker, seeks $ The Times of India

Company involved

Meta

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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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Lawyers fined $5,000 after citing fake ChatGPT-generated cases in court

Two lawyers from Levidow, Levidow, & Oberman used ChatGPT to research legal precedents for a client's personal injury case against Avianca. The AI chatbot generated six non-existent cases, which the lawyers submitted to a federal court without verification. After the opposing party and the judge questioned the citations, the lawyers initially stood by them before admitting the error. The judge dismissed the case and imposed a $5,000 fine on the lawyers for bad faith conduct.

Company involved

Levidow, Levidow, & Oberman

AI system involved

ChatGPT

10 source articles · read the reporting →

Meazure Learning Agrees $1.35m California Bar Exam Class-Action Settlement - Lawyer Monthly

The exam software experienced technical failures that prevented candidates from logging in or completing the California bar exam.

Company involved

Meazure Learning

AI system involved

ProctorU

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OpenAI and Microsoft Accused of Copyright Infringement: Two Media Outlets File Lawsuit - Судово-юридична газета

AI-generated texts provided an alternative to original news articles, reducing website visits and potentially attributing false information to the outlets.

Company involved

OpenAI,Microsoft

1 source article · 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 →

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

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Crisis Text Line shares data with for-profit spinoff Loris.ai

Crisis Text Line, a nonprofit mental health support service, uses an AI-driven chat system to collect data from conversations with people in distress. The organization shares anonymized data with its for-profit spinoff, Loris.ai, which uses it to develop customer service software. Critics raise ethical concerns about privacy and consent, though Crisis Text Line asserts the data is stripped of identifying details.

Company involved

Crisis Text Line

AI system involved

Crisis Text Line's AI-driven chat service

10 source articles · 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 →

NYT sends cease and desist to Perplexity over content use

The New York Times sent a cease and desist letter to AI search engine Perplexity, alleging that the startup has been using its copyrighted journalism without a license. The letter claims Perplexity has been 'unjustly enriched' by using the publisher's content. Perplexity had previously assured the Times it would stop crawling its content, but the Times says its content still appears in Perplexity's results.

Company involved

Perplexity

AI system involved

Perplexity

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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

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Mag 7 Ltd. et al. v. Tederi et al. (District Court, Tel Aviv-Yafo): AI-hallucinated content in court filing, Monetary Sanction;…

The AI generated fabricated case law that was submitted to the court, affecting the legal proceedings.

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Calcutta High Court questions ChatGPT exclusion of IndiaMART from search results

IndiaMART, an Indian B2B online marketplace, has petitioned the Calcutta High Court alleging that ChatGPT deliberately excluded it from search results. The company claims the exclusion was based on a United States Trade Representative report and caused loss of goodwill, reputation and commercial injury. The court observed there appeared to be selective discrimination but declined to pass interim orders before hearing the other side. The matter is listed for 13 January 2026.

Company involved

OpenAI

AI system involved

ChatGPT

4 source articles · read the reporting →

Joel A. Rivera v. Triad Properties Corporation, et al. (N.D. Alabama): AI-hallucinated content in court filing, Public Reprimand; Disqualification; Bar…

The AI generated fabricated legal citations that were presented to the court, affecting the defendants and the judicial process.

Company involved

Burrill Watkins LLC

AI system involved

ChatGPT

1 source article · read the reporting →

CanLII sues Caseway AI for scraping legal database

The Canadian Legal Information Institute (CanLII) has filed a lawsuit in British Columbia Supreme Court against Caseway AI, alleging that the company's AI chatbot scraped approximately 3.5 million records from CanLII's database in bulk, violating its terms of service and copyright. CanLII claims it adds value to public court records through hyperlinks and corrections, which it says constitute protected copyrighted work. Caseway AI argues the information is public and accessible elsewhere, and that it did not use CanLII's enhancements. The lawsuit was settled in March 2026, with terms undisclosed.

Company involved

Canadian Legal Information Institute (CanLII)

AI system involved

Caseway

5 source articles · read the reporting →

TOV Realty, LLC v. Suarez; Kosel Equity, LLC v. MacGregor (SC Connecticut): AI-hallucinated content in court filing, 6 hours CLE;…

The AI generated legal briefs containing fabricated citations, which were submitted to the Connecticut Supreme Court.

Company involved

GLG Law LLC

AI system involved

ChatGPT

1 source article · read the reporting →

Quinteros v. Harbor Distributing, LLC (CA California (1d)): AI-hallucinated content in court filing, Monetary Sanction; Bar referral

AI generated hallucinated legal citations that were filed in court, misleading the court and opposing counsel.

Company involved

Lipeles Law Group

1 source article · read the reporting →