Wisner Baum Warns Law Firms of AI Hallucination Risks and Malpractice Exposure

In a press release, Wisner Baum LLP warned that law firms face growing malpractice risks from unverified AI-generated content in legal filings. The firm cited recent court sanctions where attorneys were penalized for submitting briefs containing hallucinated or fabricated citations produced by AI tools.

A Mississippi federal judge recently sanctioned attorneys from both sides of a case for failing to prevent AI hallucinations in submitted documents, disqualifying them and barring their court appearances for two years. Similar sanctions have been issued in other cases across the United States. Courts have documented nearly 100 incidents of AI-related filing errors since mid-2023, according to reports referenced by the firm.

Wisner Baum’s partner Crawford Appleby stated that lawyers remain responsible for all case citations and arguments, regardless of whether AI tools contributed. The firm emphasized that AI cannot replace professional judgment and attorneys must verify all research and citations through trusted legal databases before submission.

The American Bar Association previously issued guidance requiring lawyers using generative AI to maintain competence, confidentiality, and diligence. Wisner Baum has implemented an internal policy restricting AI use to approved tools with mandatory human verification before any AI-assisted work is filed in court.

Appleby advised law firms to limit AI use to targeted research, ensure all material is checked manually, and establish policies for supervision and verification. He noted that sanctions may not be the only risk, as AI errors could also lead to professional liability claims.