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

TL;DR

Sullivan & Cromwell apologises to New York federal judge for string of errors in documents for Prince Group case Business live – latest updates The elite Wall Street law firm Sullivan & Cromwell has told a court that a major filing it made in a high-profile case contained errors resulting from hallucinations generated by artificial intelligence. Andrew Dietderich, the co-head of the firm’s global restructuring group, apologised in a letter to the New York federal judge Martin Glenn on Saturday for the string of mistakes, which included inaccurate citations. Continue reading...

Nauti's Take

AI hallucinations in a high-profile legal filing are no longer a theoretical risk — Sullivan & Cromwell's case shows how costly unchecked AI use can be in legal work. For law firms, this is a hard signal that AI-generated content needs a mandatory human verification step, not an optional one.

The opportunity is still real: AI can accelerate legal research enormously, but only when paired with rigorous review protocols.

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