I remember one of the disputes an LLM helped me with. The human beings on the other end threatened me with mall security and I had to record them (legal where I live), write to the company's HQ and to the consumer ombudsman to get a refund honored. In the end they had to concede. I would have given up before LLMs: finding all the relevant case law and statutes cost 10 times as much effort back then.
I have a feeling that some people were sheltered by the system in their belief that they don't have to take responsibility for what they sign with their own name. I had zero issues with LLM writing so far, I think it's because I always pay lots of attention to what I sign with my own name, no matter how exactly it was written. People like the person you describe, ones willing to apply the tech mindlessly, get found out. Maybe it's ultimately for the better.