As the use of artificial intelligence tools expands in the legal landscape, concerns are rising about their reliability, particularly in the realm of government contracting. Stephen Bacon, a partner in the Government Contracts Practice Group at Rogers Joseph O’Donnell, highlighted a troubling trend: contractors are increasingly filing bid protests using AI-generated arguments that include fictitious legal citations. This phenomenon, which has been observed in recent decisions from the Government Accountability Office (GAO), raises significant questions about accuracy and accountability in legal filings.
In an interview with Terry Gerton on The Federal Drive, Bacon noted that many of these protests are being filed by individuals or companies without legal representation, making use of AI tools like ChatGPT or Claude to craft their arguments. While the intent may be to streamline the process and reduce legal costs, the reliance on AI has led to the inclusion of “hallucinated” citations—references to cases that do not exist or are misrepresented. “It’s happening in court across the country,” Bacon remarked, emphasizing the broader implications for the legal system.
The GAO has specific rules governing the filing of bid protests, and the inclusion of inaccurate citations can lead to severe repercussions. According to Bacon, if a protest relies on fabricated legal authority, the GAO has the power to dismiss the protest, regardless of its substantive merits. This strict stance underscores the importance of maintaining the integrity of legal processes, even as AI tools become more prevalent in drafting legal documents.
In recent months, the GAO has issued warnings to contractors that using AI-generated filings that contain inaccurate citations may lead to sanctions. Although initial warnings did not result in dismissals, a notable shift occurred when the GAO dismissed multiple protests from the same company due to the inclusion of fake citations. This marked a significant moment in the ongoing dialogue about the intersection of AI and legal accountability.
Bacon pointed out that the current landscape reflects a dual challenge: contractors face a reduction in available legal resources while attempting to navigate new Federal Acquisition Regulation (FAR) rules. The prospect of increasing protests filed by unrepresented parties using AI could lead to a surge in cases being reviewed by the GAO. “If they feel like they can use an LLM to help them challenge an award decision, we may see more of that at GAO,” he explained.
The shift towards greater use of AI in legal contexts raises questions about fairness and equality in the protest market. While AI can lower barriers for smaller contractors, it also risks inundating the GAO with filings that may lack credibility. “GAO wants to maintain the integrity of that process,” said Bacon, highlighting the necessity for companies to verify the legal citations generated by AI tools. He emphasized that any party considering using AI to draft a protest must ensure that the citations are accurate and valid, as oversight could lead to procedural missteps that render a filing untimely or invalid.
As contractors adapt to these evolving dynamics, Bacon offered crucial advice: “If you’re going to do it, you have to verify that the citations are accurate.” This includes checking against GAO’s database of decisions to confirm that both the citations and the legal propositions they support are legitimate. The need for rigorous quality control becomes even more critical when using AI, which may not adequately account for intricate procedural requirements.
With the legal landscape in flux and AI’s role continuing to grow, the challenge for contractors will be to balance innovation with accountability. As the GAO strives to effectively manage an increasing volume of protests, the onus will be on contractors to ensure that their filings meet established legal standards. The implications of these trends could reshape the protest process itself, as stakeholders navigate the complexities of using AI in an environment where precision and accuracy are paramount.
For further insights on the impact of AI in legal contexts and government contracting, visit govinfo.gov, or explore the GAO’s official website at gao.gov.
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