This paper explores critical privacy risks associated with generative AI, focusing on Generation Z. Using qualitative interpretive research conducted at a US public university, the study reveals that privacy concerns related to generative AI differ from traditional issues. Additionally, biases, toxicity, and misinformation in AI systems contribute to growing skepticism. Intellectual property challenges further complicate the acceptance of AI-generated outputs. To build trust, it is essential to implement robust verification mechanisms, enhance transparency, and educate users on the limitations and appropriate applications of AI in research and other contexts.