Kheir v. Titan Team, The Money Source Inc., and Auction.com
S.D. Texas (Bankruptcy) · Nov 6, 2025
What happened in this matter?
The court sanctioned attorney Derrick D. King for submitting AI-generated legal filings containing fabricated case law and false quotations. The sanctions include a requirement to pay the opposing party's attorney's fees, six hours of mandatory CLE on generative AI, a client notification requirement, and a referral to disciplinary authorities.
- Why the court cared
- Fabricated: Case Law | Plaintiff cited Brasher v. Stewart; Court found no such case and the citation points to an unrelated Sabine Pilot Serv. decision; quoted text not present. || False Quotes: Case Law | Plaintiff quoted language attributed to Reinagel; Court found the quoted text does not appear in Reinagel and the actual holding differs. || False Quotes: Case Law | Plaintiff attributed a definitive statement about 'void assignments' to Morlock; Court found the quoted language not present and that Morlock addressed non-borrower standing. || False Quotes: Case Law | Plaintiff attributed liability language to Miller regarding trustee liability under Tex. Prop. Code §51.007(f); Court found Miller did not contain that language or interpret §51.007(f). || False Quotes: Case Law | Plaintiff cited Slaughter v. Qualls for a requirement tied to the Texas Property Code; Court noted the Texas Property Code was not enacted until 1984 and the quoted text is not in Slaughter. || Fabricated: Case Law | Plaintiff cited DTND Sierra Invs., LLC v. BNY Mellon; Court found no such decision at the cited reporter/location and the citation corresponded to unrelated authority; quoted language not found. || Fabricated: Case Law | Plaintiff cited Gossett v. Fed. Home Loan Mortg. Corp. with a quoted passage; Court found the quoted text not present in the actual Gossett decision and the citation did not support the quoted language.
- Why it matters now
- This record documents a Lawyer filing issue in S.D. Texas (Bankruptcy), with the listed outcome: Costs Order; 6 hours CLE on generative AI; provide order to client; Bar referral..
Why this matter is tracked
In a bankruptcy adversary proceeding, the court sanctioned attorney Derrick D. King for filing a response containing multiple fabricated cases and false quotations generated by AI. The court found that the attorney failed to verify the existence or accuracy of the cited authorities, violating S.D. Tex. General Order 2025-04 and Federal Rule of Bankruptcy Procedure 9011. The attorney admitted to relying on research provided by his client, who used generative AI without access to legal databases. The court ordered the attorney to reimburse the opposing party's attorney's fees, complete six hours of CLE on generative AI, provide the order to his client, and referred him to the Chief District Judge and the State Bar of Texas for potential disciplinary action.
This record documents a Lawyer filing issue in S.D. Texas (Bankruptcy), with the listed outcome: Costs Order; 6 hours CLE on generative AI; provide order to client; Bar referral..
Record details
What the record establishes about AI use
Client admitted using generative AI; attorney acknowledged the source.
Memorandum Opinion and Order following a show cause hearing regarding violations of S.D. Tex. General Order 2025-04 and Bankruptcy Rule 9011.
Correction behavior is not separately verified in the current record.
Tracked discrepancy record
7 citation, quotation, or authority issues are recorded in the source dataset.
- Fabricated: Case Law | Plaintiff cited Brasher v. Stewart; Court found no such case and the citation points to an unrelated Sabine Pilot Serv. decision; quoted text not present.
- False Quotes: Case Law | Plaintiff quoted language attributed to Reinagel; Court found the quoted text does not appear in Reinagel and the actual holding differs.
- False Quotes: Case Law | Plaintiff attributed a definitive statement about 'void assignments' to Morlock; Court found the quoted language not present and that Morlock addressed non-borrower standing.
- False Quotes: Case Law | Plaintiff attributed liability language to Miller regarding trustee liability under Tex. Prop. Code §51.007(f); Court found Miller did not contain that language or interpret §51.007(f).
- False Quotes: Case Law | Plaintiff cited Slaughter v. Qualls for a requirement tied to the Texas Property Code; Court noted the Texas Property Code was not enacted until 1984 and the quoted text is not in Slaughter.
- Fabricated: Case Law | Plaintiff cited DTND Sierra Invs., LLC v. BNY Mellon; Court found no such decision at the cited reporter/location and the citation corresponded to unrelated authority; quoted language not found.
- Fabricated: Case Law | Plaintiff cited Gossett v. Fed. Home Loan Mortg. Corp. with a quoted passage; Court found the quoted text not present in the actual Gossett decision and the citation did not support the quoted language.
Questions this record answers
- What happened in Kheir v. Titan Team, The Money Source Inc., and Auction.com?
- The court sanctioned attorney Derrick D. King for submitting AI-generated legal filings containing fabricated case law and false quotations. The sanctions include a requirement to pay the opposing party's attorney's fees, six hours of mandatory CLE on generative AI, a client notification requirement, and a referral to disciplinary authorities.
- Why does Kheir v. Titan Team, The Money Source Inc., and Auction.com matter for legal AI risk?
- This record documents a Lawyer filing issue in S.D. Texas (Bankruptcy), with the listed outcome: Costs Order; 6 hours CLE on generative AI; provide order to client; Bar referral..
- What does the public record establish about Kheir v. Titan Team, The Money Source Inc., and Auction.com?
- Retained unchanged after audit: the existing summary is source-specific, non-placeholder, and supported by the recorded source link. Read the underlying source before relying on it for legal advice or a filing.
- Which source supports this Kheir v. Titan Team, The Money Source Inc., and Auction.com summary?
- The recorded source is Damien Charlotin case archive. It is classified as publisher document archive; review the linked material and subsequent docket history before relying on this summary.
Related matters
Related by court, jurisdiction, tool, or classified failure pattern. Similarity does not imply the same facts or outcome.