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Incident Tracker / United States (state)

Strategic Funding Source, Inc. v. STI-NY, LLC

·Supreme Court of the State of New York, New York County·US-STATECosts orderprovisional

On 2026-05-28, in Strategic Funding Source, Inc. v. STI-NY, LLC, Supreme Court of New York awarded $2,000 in costs or fees caused by the defective legal authorities. Counsel filed a motion using authorities used for propositions they did not support.

Court
Supreme Court of the State of New York, New York County
Date
2026-05-28
Who used the AI
Lawyer
AI tool
Not identified in the record
Conduct
Defense counsel admitted lack of diligence in relying on AI and submitted erroneous citations and arguments in motion practice. The court ordered reimbursement of plaintiff’s response costs not to exceed $2,000.
Outcome
Costs order
Penalty
US$2,000
Regulatory outcome
No separate regulatory disposition recorded
Status
Provisional — written by the court-decisions pipeline, awaiting the editor
Last checked
2026-09-07

Primary sources for this incident

Related regulation records for this incident

No related regulation record has been linked to this incident yet.

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Cite this record

SafeLegalAI Global Legal AI Incident Tracker, “Strategic Funding Source, Inc. v. STI-NY, LLC”, safelegalai.com/tracker/strategic-funding-source-inc-v-sti-ny-llc (accessed 2026-10-07). Data: CC BY 4.0.

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