Anthropic says a group it assesses with high confidence as Chinese state-sponsored jailbroke Claude Code, partly by telling it that it worked for a legitimate cybersecurity firm, and used it to attempt infiltration of roughly thirty targets, succeeding in a small number of cases. The company says AI performed 80-90% of the campaign, while occasionally hallucinating credentials.
US Public Interest Research Group researchers testing three AI toys marketed for ages 3 to 12 found guardrails eroding in longer conversations. FoloToy's Kumma bear told them where to find knives and pills, explained how to light matches and, running OpenAI's GPT-4o, discussed sexual fetishes; Miko 3 told a user set to age five where to find matches.
Seven lawsuits filed in California state courts by the Social Media Victims Law Center and Tech Justice Law Project allege OpenAI released GPT-4o prematurely and that ChatGPT was "dangerously sycophantic and psychologically manipulative." Four concern suicides and three mental health crises. OpenAI called it an "incredibly heartbreaking situation" and said it was reviewing the filings.
A class-action complaint filed in federal court in San Jose alleges Google "secretly turned on" Gemini for all users' Gmail, Chat and Meet accounts on or about October 10, 2025, letting the AI track private communications without consent. Switching it off, the suit says, requires digging deep into privacy settings; it claims violations of California's 1967 Invasion of Privacy Act.
A Louisiana school district expelled an eighth-grade girl who, having reported AI-generated nude images of her to staff, struck one of several boys displaying them on a school bus. A boy has been charged with 10 counts of disseminating AI-created explicit images; the school board upheld her expulsion but let her return on probation.
Who did it: HUMAN Atlanta Community Press Collective
The Atlanta Police Department's Flock audit, obtained by the Atlanta Community Press Collective, shows two people using department credentials ran 15 searches of the licence-plate reader network between March 20 and March 24, 2025, labelled "locate alien" and "ERO assist". The department had said it "has not assisted any federal law enforcement agencies with immigration enforcement activities this year."
US District Judge Michael Simon in Portland declined to formally sanction Buchalter lawyers whose filing for Green Building Initiative contained two non-existent citations, one "totally fake" and one "almost real". Senior associate David Bernstein said an AI tool he used to improve his writing inserted them. The firm offered a $5,000 legal-aid donation and to reimburse fees caused by the mishap.
At a November 13 hearing in Bartz v. Anthropic, Judge William Alsup called ClaimsHero's efforts to lure authors out of the $1.5 billion copyright settlement "a fraud of immense proportions" and gave it 48 hours to change its website, including disclosing it has no litigation experience. ClaimsHero's counsel said the company has not lied and has acted in good faith.
Fireflies CTO and co-founder Sam Udotong wrote on LinkedIn that the AI note-taking startup began in 2017 by "charging $100/month for an AI that was really just two guys": he or co-founder Krish Ramineni dialled into customers' meetings as "Fred" and took notes by hand. He now says early enterprise customers knew there was a "human in the loop."
New York's Appellate Division, First Department publicly censured lawyer Anthony Matos, mirroring a USPTO reprimand after the Trademark Trial and Appeal Board found case law in his brief nonexistent, misquoted or unsupportive. Matos admitted using AI to learn how TTAB proceedings work but denied using it for legal research, saying he found the cases via blogs and articles without reading them.
Who did it: HYBRID AI Hallucination Cases database
The Vermont Supreme Court found attorney Donald P. LoCascio violated Rule 11 by filing a brief quoting language absent from the case it cited; he said his client used an "AI helper" to draft it and he did not check. As a sanction, he must file the court's order in every pending Vermont Superior Court case where he has appeared.
