Judge Fines Three Lawyers for Citing AI-Generated Fake Cases in Walmart Lawsuit

Judge Fines Three Lawyers for Citing AI-Generated Fake Cases in Walmart Lawsuit

A Wyoming federal judge has fined three lawyers for citing eight fake AI-generated cases in a lawsuit against Walmart. 

The Court imposed a $3,000 fine on Rudwin Ayala of Morgan & Morgan and removed him from the case, while two other lawyers were fined $1,000 each for failing to verify filings drafted by Ayala.

The judge criticized them for not checking sources and warned about AI’s hallucination risks. Ayala apologized for the mistake.

The lawsuit alleges that a defective Walmart hoverboard caught fire, burning down the plaintiff's house. The trial is set for March 2025, with Walmart denying the allegations. 

Court order / 4 months ago

 Nishtha GuptaBookmark