Plaintiffs' Lawyers Admit AI Generated Erroneous Case Citations in Federal Court Filing Against Walmart

Lawyers Rudwin Ayala, T. Michael Morgan (Morgan & Morgan), and Taly Goody (Goody Law Group) were fined a total of $5,000 after their Wyoming federal lawsuit filing against Walmart cited fake cases "hallucinated" by AI. Judge Kelly Rankin sanctioned them, removing Ayala from the case and noting attorneys must verify AI sources. The filing, flagged by Walmart’s legal team, led to its withdrawal and an internal review.