how do teams catch AI chatbots giving customers wrong answers? ours promised free repairs

Explain Like I'm Normal

A company's self-hosted RAG system hallucinated a free repair policy by mixing data from two different warranty documents, forcing the firm to honor the false promise. This highlights a growing legal precedent where companies are held liable for their AI's 'misleading' promises, similar to the Air Canada bereavement fare ruling. Builders are finding that fluent, confident responses in logs often mask catastrophic retrieval errors that only surface when the bill arrives.