- NYC's official MyCity chatbot had a 100% illegal advice rate on housing law.
Businesses following "official" government AI guidance now face $250,000 fines.
When your Civil Servant becomes Civil Liability. 🧵
#GovTech #AILiability - The MyCity chatbot told landlords to discriminate against Section 8 vouchers, employers to steal tips, and stores to ban cash payments.
All explicitly illegal under NYC law.
All delivered with AI confidence.
Why did people trust it? - • Hosted on .gov domain
• Marketed as "one-stop shop" for compliance
• Branded as official city resource
When asked directly, the bot said: "Yes, you can use this for professional advice." - Moffatt v. Air Canada (2024): Court ruled the airline liable for chatbot's hallucination about bereavement fares.
Defense: "The chatbot is a separate legal entity."
Court: "You're responsible for ALL information on your website, AI-generated or not." - NYC now faces:
• Negligent misrepresentation claims
• Erosion of sovereign immunity (proprietary function exception)
• Entrapment by estoppel defenses from businesses
• $250K+ fines that the city itself advised
The "beta" label doesn't protect you. - LLMs optimize for *plausibility*, not *truth*.
Law is binary: legal or illegal based on statute text.
Probabilistic systems hallucinate legal permissions to sound helpful (RLHF "sycophancy").
Wrapper + prompt ≠ reliable legal system. - VeriPrajna's Statutory Citation Enforcement:
• Hierarchical Legal RAG (codes as knowledge graphs)
• Constrained Decoding (blocks hallucination pathways)
• Verification Agent (fact-checks before output)
• No Citation = No Output
Deterministic, not probabilistic. - The SCE pipeline:
1. User query → Intent parsing
2. Hierarchical retrieval (Title → Chapter → Section)
3. Graph-constrained decoding (only statute-grounded tokens)
4. Verification agent cross-checks
5. Output with hyperlinked citations
Zero hallucinations—architecturally. - EU AI Act classifies government legal systems as "High-Risk AI."
Mandatory requirements:
• Accuracy and robustness
• Meaningful transparency
• Record-keeping
• Human oversight
MyCity-style systems = non-compliant. - Government AI must function as a deterministic Civil Servant, not create probabilistic Civil Liability.
VeriPrajna specializes in citation-enforced legal AI for public sector. - 📖 Read the full technical whitepaper here: https://veriprajna.com/whitepapers/civil-liability-to-civil-servant-statutory-citation-enforcement-government-ai
📧 [email protected]
🌐 https://veriprajna.com
💬 WhatsApp: +919217059957