NYC MyCity government chatbot tells businesses to break housing, labor, and consumer protection laws

Summary

An investigation by The Markup published on March 29, 2024 found that New York City's official MyCity AI chatbot was systematically providing illegal advice to business owners. The Microsoft Azure-powered bot told landlords they need not accept Section 8 housing vouchers, advised employers they could take workers' tips, stated businesses had no obligation to accept cash, and told employers they could fire harassment complainants — all violations of NYC law. Multiple business owners had relied on the chatbot's incorrect guidance. The bot remained active for months and was eventually shut down by Mayor Mamdani in early 2026.