Dananjay Srinivas, Saksham Khatwani, Maria Pachecocs.CL cs.AI
When asked about entities outside their knowledge boundary, LLMs routinely fabricate plausible-sounding details rather than backing off to safer, more general claims. We frame this failure through a Gricean lens: a cooperative speaker who is uncertain about a referent retreats up the specificity hierarchy, trading informativeness for truthfulness. We ask whether LLMs have the ingredients to perform this retreat. Using a T-REx-based benchmark that varies entity familiarity and referent specificity, we probe models to answer two questions: (i) do their activations encode whether a referent falls inside the knowledge boundary, and (ii) do they anticipate the specificity of the referent they are about to generate? We find that the answer to both is yes, but the two signals are not reconciled in generation. Models overwhelmingly prefer specific referents even when the entity is unknown to them, and do so even when offered correct generic alternatives. The substrate for a Gricean retreat is present, but the policy that would act on it is not. We position our findings as a first step toward Gricean alignment, training or steering objectives that couple knowledge-boundary awareness to referent-specificity during generation.
Hallucinations, where language models (LMs) generate factually ungrounded responses, pose serious risks, as users tend to blindly rely on them. This is particularly concerning in high-stakes domains, where consequences of such model behavior can lead to significant harms. Despite notable progress in understanding hallucinations, it remains unclear how reliably these models can recognize the limits of their knowledge. We introduce PhantomBench, the first large-scale benchmark of its kind, comprising more than 60K non-existent terms and entities derived from real concepts across diverse domains. Using our benchmark, we evaluate a total of 21 models of various types and sizes. We show staggering hallucination rates across the board (with average rates as high as 86.7% in some cases), and note that even frontier models surprisingly fail to abstain on non-existent concepts, especially when the input presumes their existence. We then show that PhantomBench can serve as a proxy for studying model behavior on rare concepts for which models are more prone to hallucinate. We also provide a pipeline to construct PhantomBench, enabling scalable generation of non-existent concepts tailored to the specific needs of researchers and practitioners.