The Hidden Compliance Gap in Every Enterprise RAG Pipeline

Every week, another enterprise announces a RAG-powered AI assistant. Legal teams get a contract review bot. Hospitals get a clinical decision support tool. Banks get a loan advisory chatbot. Universities get a student advising system. Nearly all of them have the same structural compliance problem. And almost none of their builders have noticed it yet. What RAG Actually Does Retrieval-Augmented Generation works like this: User query → Embedding model → Vector store retrieval → LLM → Response The