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AI hallucinations found in high-profile Wall Street law firm filing

AI hallucinations found in high-profile Wall Street law firm filing

Summary

A top Wall Street law firm, Sullivan & Cromwell, told a court that a legal filing it made had errors caused by artificial intelligence (AI) hallucinations, meaning the AI created false or inaccurate information. The firm apologized and submitted a corrected filing after another law firm found the mistakes.

Key Facts

  • Sullivan & Cromwell made mistakes in a court filing due to AI-generated hallucinations.
  • Errors included wrong citations of US bankruptcy law and misquoted court cases.
  • The errors were found by the law firm Boies Schiller Flexner, also involved in the case.
  • Sullivan & Cromwell admitted their AI use policies were not properly followed.
  • They apologized to the court and to the other law firm for the errors.
  • A corrected filing was submitted to the court.
  • The case involves actions against Prince Group, owned by Chen Zhi, linked to fraud and money laundering.
  • Chen was arrested in Cambodia and sent to China, while US authorities seek to seize almost $9 billion in bitcoin tied to the case.
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