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THE FUTURE OF AI IN THE LEGAL INDUSTRY

Home / The Future of AI in the Legal Industry
 * Tags: AI, Artificial Intelligence, Author-Opsitnick, document review,
   eDiscovery, Litigation Management

 * 29 September, 2023

Our team recently returned from CLOC EMEA in London, and what an amazing
experience it was. Beyond the networking and collaboration, the event provided a
stage for some of the most pressing topics in the legal field today.

Throughout the discussions, there was a theme that seemed to appear more than
most: Artificial intelligence (AI) in the legal industry. Many conversations
circled around how AI is currently influencing legal processes and where it
might take us in the near future.

With this fresh perspective, I gathered those reflections and took it a step
further. So, let’s unpack the evolving role of AI in our industry and consider
its broader implications.

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THE FUTURE OF AI IN THE LEGAL INDUSTRY

Artificial Intelligence (AI) is no longer a futuristic concept confined to
science fiction or theoretical discussions. It’s a present-day reality impacting
various industries, including the legal sector. AI is set to become a
game-changing force in the practice of law. It has the ability to process large
amounts of data, automate complex tasks, and generate coherent and logical
text. 

So powerful is this technology that its impact on the legal field has been
likened to that of the internet. Its application, however, comes with its own
set of challenges, from quality and grounding to confidentiality and ethical
concerns. This article aims to examine the role and future of AI in the legal
industry.


AI IS HERE TO STAY

Given AI’s potential, it’s clear that this technology is more than a passing
trend. In fact, the legal profession is uniquely situated to benefit from this
technology, particularly generative AI.

Legal work often involves creating complex, coherent, and highly structured
text, whether in the form of contracts, briefs, or opinions. Generative AI can
assist in these assignments, offering the ability to create initial drafts based
off of templates or assist in legal research, thus potentially revolutionizing
traditional legal tasks. 


THE COST & EFFICIENCY FACTOR

In addition, one cannot ignore the immediate benefits that AI can bring to the
legal sector, especially in terms of cost and efficiency. Cutting costs while
enhancing the quality of service is a universal goal across all industries.

Legal services, known for their high fees, stands to benefit substantially from
this technology. Lawyers can allocate time-consuming and mundane tasks to AI,
allowing them to focus more on client interactions and strategic endeavors. The
end result? Better, faster and more cost-effective legal services.


AI IN LEGAL SEARCHES

The potential of AI isn’t confined to just automation. It also brings a new
level of sophistication to tasks like legal research. Searching through legal
databases and repositories has traditionally been a time-consuming, cumbersome
process, often requiring hours of manual labor to find relevant case law,
academic articles, and even evidentiary support for legal arguments. Artificial
Intelligence is set to disrupt this traditional model by introducing efficiency
and adding a layer of depth to legal searches like never before.


TRANSPARENCY

While efficiency is compelling, it’s only part of the equation. Lawyers require
more than just results. They need the methodology behind the response so they
can defend its integrity in court or in legal documents. To assist with adoption
in the legal sector, AI searches may need to include a clear explanation of how
each result is formed, including the data sources used and the weight given to
each. This will add an essential layer, allowing lawyers to verify the content
before using it. In fact, there may come a time when it will be required to
check your work using AI.


CHALLENGES IN AI ADOPTION


CONFIDENTIALITY & PRIVATE AI

It’s important to note that the ethical duty of competence will demand that
lawyers appreciate and understand AI—both benefits and limitations. Up until
this point, the advantages seem overwhelming, but they are not without their
challenges, especially around confidentiality and privacy. Every lawyer knows
that client confidentiality is sacred. Indeed, lawyers have a duty of
confidentiality. Balancing the demands of AI, which thrives on data, with the
strict requirements of client privacy is a serious hurdle.

This, however, is where private or enterprise, on-premise AI solutions are
stepping in. This approach keeps sensitive data within the controlled
environment of the organization, allowing lawyers to tap into AI’s potential
while still protecting confidentiality and client privacy.


QUALITY CONCERNS

Quality is another concern that needs to be addressed. It’s no secret that law
demands precision. In fact, we have an ethical duty to supervise non-lawyers,
and that includes AI. It’s promise of efficiency means very little if it can’t
maintain quality. The key lies in careful testing and regular updates to ensure
AI continues to meet the legal sector’s high standards.


HALLUCINATIONS & GROUNDING

While discussing quality, the limitations and potential pitfalls of AI must also
be addressed. AI isn’t perfect and can sometimes generate incorrect or
misleading information, known as “hallucinations.” This is often a result of
inadequate or biased training data, or the limitations of the algorithm itself,
which might make overly confident predictions or assumptions.

For AI to be truly useful in the legal sector, it needs to be grounded in
well-established legal principles. This involves linking the AI’s processes to
validated legal databases, adding an extra layer of reliability and
accountability.


TCDI'S APPROACH TO LEGAL AI

Long before the current excitement around artificial intelligence, TCDI has been
harnessing various forms of AI to optimize legal workflows. TCDI has implemented
analytics and machine learning algorithms to assist with document review, case
management, and other critical tasks for decades. This long-standing experience
has equipped us to better understand both the capabilities and the limitations
of AI.

Like many other companies in this space, TCDI is in the pilot stage of
incorporating advanced AI technologies into our software tools. We hope that AI
delivers on the promise of revolutionizing many traditional legal tasks.


LOOKING AHEAD

In conclusion, the influence of AI on the legal industry is undeniable and
growing. This transformation, however, is more likely to be a gradual evolution
rather than a sudden revolution. As Bill Gates once said, “We always
overestimate the change that will occur in the next two years and underestimate
the change that will occur in the next ten. Don’t let yourself be lulled into
inaction.”

It’s tempting to get caught up in the excitement and promise that AI offers, to
imagine a future where it takes on increasingly complex legal tasks, especially
those tasks that are tedious and lack enjoyment. A future where it transforms
practices and perhaps even the profession itself.

The responsibility, however, is on innovative legal professionals, firms, and
technology companies to be proactive in shaping this future. By maintaining a
balanced perspective and taking thoughtful steps today, we are more likely to
create a future where AI serves the legal profession in ethical, efficient, and
effective ways.

Tim Opsitnick
Author
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Timothy M. Opsitnick is at the forefront of practitioners addressing issues
involved in the security and discovery of electronically stored information. His
consulting focuses on electronic discovery, information governance,
cybersecurity, computer forensics, and cloud-based document management systems.
In addition, Tim has served as an expert witness and special master.

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