Judge Excludes Expert Opinion Citing AI Hallucinations
Translated & summarized from Bizportal by baba
Judge Shaden Nashaf Abu Ahmed removed an expert opinion from a Nof HaGalil court case after discovering it was based on fabricated legal references generated by artificial intelligence. The opinion was submitted by senior banker Avi Bazura in a lawsuit concerning alleged trustee negligence. The judge cited "AI hallucinations" and distorted legal sources as grounds for excluding the opinion, stating it constituted a serious misrepresentation and abuse of process. The attorney who submitted the opinion was ordered to pay NIS 5,000 in costs.
The story in 5 lines · by baba
- Judge Shaden Nashaf Abu Ahmed removed an expert opinion due to AI-generated fabricated legal references.
- Senior banker Avi Bazura's opinion cited non-existent case law and distorted legal statutes.
- The opinion was submitted in a lawsuit where attorney Lital Mordechai is accused of trustee negligence.
- The judge stated that using fictional sources constitutes a serious misrepresentation and abuse of process.
- The attorney who submitted the opinion was ordered to pay NIS 5,000 in legal costs.
A senior banker's expert opinion, submitted to the court in the city of Nof HaGalil, was exceptionally removed from the case file by Judge Shaden Nashaf Abu Ahmed due to the inclusion of fabricated artificial intelligence-generated legal references. Avi Bazura, a former CEO of Jerusalem Bank and director at Bank Leumi, who currently heads Pai Pay Finance since 2024, authored the opinion.
The case involves Ofer Abergel suing attorney Lital Mordechai for NIS 360,000, alleging negligence as a trustee. Abergel claims Mordechai transferred the sum to his former partner, Edna Yaakov, instead of to him. Mordechai, in turn, filed a third-party claim against Mizrahi-Tefahot Bank and Mercantile Discount Bank and submitted Bazura's opinion as part of her defense.
Judge Abu Ahmed detailed how Bazura's opinion cited non-existent legal precedents, including a Supreme Court ruling and a book by Professor Ricardo Ben-Oriel. Bazura also incorrectly referenced sections of the Payment Services Law. Mercantile Bank argued that Bazura relied on AI hallucinations for these citations. The judge confirmed that the cited case, "Ahroni precedent," could not be found and that the case number referenced for a Supreme Court ruling was incorrect, with the actual ruling originating from a district court.
"Submitting an expert opinion based on fictional sources, distorted legislation, and non-existent case law constitutes a serious misrepresentation to the court and an abuse of legal proceedings," stated Judge Abu Ahmed. She emphasized that the time for patience with erroneous legal filings due to uncontrolled AI use has passed, and parties are obligated to rigorously verify all cited precedents and authorities. The judge concluded that the opinion, based on clear AI hallucinations and a complete distortion of law and case law, lacked professional value, invalidated its credibility, and necessitated its immediate removal from the case file before the evidentiary stage.
Mordechai was ordered to pay NIS 5,000 in legal costs.