One of Wall Street’s most prestigious and oldest law firms found itself in an uncomfortable spotlight, not for a high-stakes deal or landmark case, but for submitting a court filing riddled with AI-generated errors, including fabricated case citations. Sullivan & Cromwell (S&C), a firm known for representing major corporations, high-profile clients (including President Trump in certain appeals), and handling complex restructurings, had to issue a formal apology to a federal bankruptcy judge after opposing counsel caught the mistakes.
The incident is a stark reminder: no matter how respected or well-resourced a firm is, artificial intelligence is not a substitute for human diligence. When lawyers cut corners or fail to follow basic training protocols, AI’s notorious “hallucinations” can lead to professional embarrassment, potential sanctions, and wasted court time.
