People outsource their critical thinking all the time, but with computers the failures are more egregious. There is less recourse to correct things, and information propagating through systems can make the error more persistent. Also: people take the verdict from a computer as a given even when reality and computer disagree.
I've used this story a couple of times before on HN, and if it hadn't happened to mother's coworker, I would have thought it a preposterous joke. Mom's colleague was buying something during her lunch break, and had her card rejected. Got the same result in another store, so obviously thought her card had just broken.
Went to her local bank branch to ask what's wrong. The clerk took the card, looked up from her screen and against the evidence in front of eyes declared: "You are dead." Once that kind of flag starts to make its way through our computerised systems, it is very difficult to reverse. It took several weeks to get the error corrected, and in the meanwhile other systems that trusted the bank as a source of truth had picked up the information and started to apply it to their accounts.
Eventually it came to light that a full namesake's estate had had their accounts finally closed, and the clerk doing that had done only a name search when applying the "account terminated, owner deceased" flag to the accounts. Bank never took responsibility for their process failure. They fought for a good time to even have to accept that there had been an error in the first place.
Which incidentally is not entirely unlike the situation in this perversion of justice.