Articles Posted in Lawsuit

2FB66764-EA63-40A0-BC70-666BE8EA9BF1-300x200Yes. It has already happened, and the legal defense you might be counting on, “the AI said it, not us,” has already failed in court.

If your business uses any AI tool that talks to customers, drafts content, or answers questions, whether that’s a customer service chatbot, an AI powered search feature on your website, or a marketing team using generative AI to write copy, you need to understand that your business is legally responsible for what that tool says. Not the AI company that built it. You.

The Case That Should Change How You Think About This

D5CD5B04-0609-4107-B18A-7A2E86931444-300x200For twenty years, “cybersecurity” meant one thing for most business owners: protect the network. Firewalls, endpoint protection, employee training on phishing emails. You knew what you were defending and you generally knew what your insurance covered if you failed.

That model is already out of date.

Attackers have shifted targets. Instead of only breaking into your servers, they are going after the AI tools your business now runs on: the chatbot on your website, the AI agent your vendor plugged into your CRM, the automated workflow that reads your inbox and drafts responses. And the legal and insurance world has not caught up to the speed of that shift, which means a lot of business owners are exposed in ways they do not know about yet.

29C4C306-2FC0-4F13-9F04-03F6A7A4E1D3-300x200The call comes in on a Tuesday afternoon.

It sounds exactly like your business partner. Or your CFO. Or the vendor you have worked with for six years. The voice has the same cadence, the same phrasing, the same slight accent you have always recognized. Maybe there is a video call and the face matches too.

There is an urgent wire transfer. A confidential acquisition. A vendor payment that needs to go out before end of business. The request is unusual but the person making it is someone you know, someone you trust, someone you would wire money for without a second thought.

57F447A8-E5FB-4B8F-96B4-E67FF8E5E436-300x200Your employee is not trying to steal anything.

They are trying to finish a task faster. They paste your pricing model into ChatGPT to reformat it as a client proposal. They upload a draft contract and ask the AI to clean up the language. They feed your source code into the prompt to find a bug. They summarize a confidential internal investigation report to save time writing it up.

None of this feels like a security incident. It feels like using a tool.

E5255D17-9A5E-41A9-AE20-4760F309540B-300x200If your promotion process, your DEI initiative, or your last round of layoffs has ever been shaped around demographic targets, the ground under your feet just shifted. On June 5, 2025, the Supreme Court ruled unanimously in *Ames v. Ohio Department of Youth Services* that majority group employees do not have to clear a higher legal bar to sue for discrimination than anyone else. That sentence sounds technical. It is not. It is a direct warning to every Illinois employer who has treated “reverse discrimination” claims as the rare, hard to prove exception.

Here is what changed, why it matters more in Illinois than most employers realize, and what to do about it before a claim lands on your desk.

The Case In Plain English

A430F844-8238-433E-B492-E6F55F8F6901-300x200There is a number that should stop you cold.

As of June 9, 2026, researchers have documented 1,598 court proceedings worldwide in which AI-generated content, fabricated case citations, invented statutes, false quotes from real judgments, was submitted to a court. Of those cases, 496 involved licensed attorneys. The number is growing at roughly 8 new cases per day.

US courts imposed over $145,000 in AI-filing penalties in the first quarter of 2026 alone.

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BIPA Amendment Making Waves in Litigation Trends

The landscape of biometric privacy in Illinois is poised for a significant shift following the recent amendment to the Illinois Biometric Information Privacy Act (BIPA). On August 4, 2024, Governor JB Pritzker signed S.B. 2979 into law introducing a crucial modification that could have far-reaching implications for businesses and the ongoing wave of biometric privacy litigation.

Understanding BIPA: A Background

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Lawmakers Amend BIPA

When a class action lawsuit against the fast food chain White Castle teed up what could have been a $17 billion dollar verdict the Illinois Supreme Court decided to “respectfully suggest” that the state legislature revisit and clarify certain provisions of the Biometric Information Privacy Act (BIPA) of 2008.

That act, as originally written, held that employers who did not obtain employees’ permission when using their fingerprints or other biometric information like face scans in the course of their jobs—or who overlooked the same step if collecting similar information from customers—would be on the hook for $1,000 per “negligent” violation or $5,000 per “reckless” or “intentional” violation.  For example, if a fingerprint ID system was used to sign in/out at work, each sign-in and each sign-in was a separate violation which could cost the employer $1,000 each time an employee signed in or signed out.

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Antitrust Lawsuit
National Association of Realtors

Decades-old norms regarding Realtor commissions and other policies surrounding home buying and selling have been swept away by the March 15 court settlement between the National Association of Realtors and groups of homeowners who filed suit against the realtors’ group arguing that home buyers should pay their agents’ commissions directly and  – most significantly – be able to negotiate that fee.

As a result of the settlement – which is still subject to the approval of the judge overseeing the case – the standard 6% commission on a home sale, heretofore split between the buyers’ and sellers’ agent, will be replaced with a system whereby prospective buyers can shop around for a lower rate and brokers can advertise those rates, even charging flat fees if they wish.

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