Court
Oregon Court of Appeals (state intermediate appellate) (n/a (state court, included as scope expansion because the per-infraction rate framework has been adopted in subsequent federal orders))
Judge
[panel, pending opinion pull]
Order Type
Sanctions Order
Date
2025-12 (exact day pending opinion pull)
Framework
per infraction rate
Category
Judicial
Jurisdiction
State
Subject Matter
civil
Bankruptcy Relevance
Secondary
Verification
Corroborated multi-source (primary pending)

Holding / Framework

Oregon Court of Appeals characterized the proliferation of AI-generated sketchy legal documents as 'a very grave situation' and established a per-infraction sanctions framework: $500 per fabricated citation, $1,000 per fabricated quotation. The framework has been cited in subsequent federal sanctions orders adopting analogous per-infraction calculation.

Triggering Conduct

Portland attorney Gabriel A. Watson filed brief citing two nonexistent cases and one fabricated quotation. Watson initially attempted to attribute the error to his assistant having mistakenly filed a 'draft/placeholder' brief; later acknowledged and apologized for the AI-generated errors. Court rejected the explanation as not constituting a 'clear explanation' of how the errors occurred.

Sanctions / Disposition

$2,000 total. Court established a per-infraction rate framework: $500 per fabricated citation × 2 citations = $1,000; plus $1,000 per fabricated quotation × 1 quotation = $1,000.

Primary Source

https://www.chronline.com/stories/very-grave-situation-oregon-court-slaps-attorney-with-2000-fine-for-ai-errors,392197 · secondary_aggregator (Daily Chronicle / NW Sidebar); primary opinion pull pending

Tags

state_court, oregon, hallucinated_citations, per_infraction_rate, framework_setter, attorney

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