AI’s impact on the legal industry: Trends and controversie

Summary

Welcome to “AI Lawyer Talking Tech,” your daily source for the latest legal tech news. Today, we’re discussing the impact of artificial intelligence on the legal industry, covering recent controversies and trends that are affecting how lawyers work. We’ll start with the Illinois State Bar Association’s upcoming CLE program, and then move on to discuss the recent open letter calling for a pause in the development of large language-model generative AI. We’ll also look at the potential positive and negative outcomes of chatGPT4, a popular language-model AI tool for legal research, and how it could be used by nefarious actors. We’ll round things up with Goldman Sachs’ report on how AI could automate various legal tasks, potentially affecting 300 million jobs globally. Finally, we’ll take a closer look at Harry Surden’s recent appointment as associate director of the Stanford Codex center and how he plans to drive legal technology innovation through AI. Stay tuned to “AI Lawyer Talking Tech” for news and insights on how AI is changing the legal profession as we know it.

Using Artificial Intelligence to Market Your Law Firm

Date: 18 Apr 2023
Source: Illinois State Bar Association
The Illinois State Bar Association is gearing up for their upcoming Continuing Legal Education (CLE) events, both in-person and on-demand. According to the article, the ISBA recognizes the importance of technology in the legal industry and is offering a wide variety of CLE courses online to accommodate busy schedules. ISBA President Vince Cornelius stated, “Technology is continuing to change the practice of law, and it is critical that attorneys stay informed.” The article provides information on how to register for upcoming events, access online CLE courses, and troubleshoot technical issues.


The AI Genie Isnt Going Back In The Bottle

Date: 18 Apr 2023
Source: Above The Law
In a recent open letter signed by thousands of AI leader influencers, the Future of Life Institute has requested a six-month pause on the use of large language model generative AI, citing concerns about the potential risks to humanity. While this move has been supported by some, others question the feasibility of such a pause given the current competitive landscape of the industry. Despite the risks associated with AI, there are also potential benefits, such as ChatGPT4’s ability to search the internet for authoritative legal references. Nonetheless, legal professionals need to remain focused on preparing and leveraging AI while also addressing the risks it poses.


Stanford CodeX Center Announces Appointment of Harry Surden as Associate Director

Date: 18 Apr 2023
Source: CodeX – Stanford Law School
Stanford Law School’s Codex Center has appointed esteemed legal scholar Professor Harry Surden as Associate Director. Surden, a well-respected authority in the legal technology field of artificial intelligence, will continue to hold his full-time position as a professor of law at the University of Colorado Law School while also taking on the non-resident Associate Director role at Codex. Surden’s expertise in artificial intelligence, legal informatics, and legal automation will be instrumental in driving the center’s mission to develop cutting-edge technology for the legal profession. Surden has published numerous articles in top-tier law journals and is a regular speaker at leading legal technology conferences. He will work closely with the Codex team of researchers, engineers, and legal professionals to develop and implement groundbreaking legal technology projects that seek to reshape the legal landscape and improve access to justice.


Lawyer – You Really Need To Learn About Artificial Intelligence.

Date: 18 Apr 2023
Source: LexBlog
According to LexBlog, artificial intelligence (AI) technology has transformed the legal industry in the past year with the development and widespread adoption of advanced language models like ChatGPT from OpenAI. ChatGPT has the capability to answer legal questions, conduct conversations, and analyze vast amounts of data. Lawyers are using ChatGPT for legal research, analyzing case law and regulation, drafting and reviewing contracts, and assisting with eDiscovery. While ChatGPT has improved efficiency, accuracy, and productivity, lawyers still need to manually check its responses for accuracy and cite sources. Nonetheless, using AI for legal tasks can save time and improve the quality of legal documents.


Construction Associate

Date: 18 Apr 2023
Source: Hound
Legal industry technology blog Hound reports that McNees Wallace & Nurick is seeking a construction associate in Pennsylvania to join their growing real estate and construction group. The national law firm prides itself on offering personalized service and innovative techniques to clients while maintaining a hometown legal feel. The article quotes the firm’s Managing Partner, David Kleppinger, stating, “Our construction attorneys have the experience and knowledge to offer a full scale of services to our clients.”


GOP Candidates Election Challenge in Arizona AG Race Receives New Life Following Ballot Review

Date: 18 Apr 2023
Source: Western Journal
The Western Journal reports that an Arizona judge has ordered oral arguments for next month in Republican Abe Hamadeh’s election challenge to Democrat Kris Mayes’ win as state attorney general. Mayes defeated Hamadeh by 280 votes out of 2.5 million cast in November’s midterm elections. Following certification of Mayes as the winner in December, a mandatory hand recount in Pinal County revealed that 507 ballots had been counted in error due to a vote tabulator machine and human error. Hamadeh’s legal team, supported by the Republican National Committee, submitted a motion for a retrial, arguing that a physical inspection and hand count of all ballots in Pinal County could change the outcome of the election. The judge set a May 16 hearing date for the oral argument regarding a new trial.


How To Market Your Law Firm Like A Millennial

Date: 18 Apr 2023
Source: Above The Law
Legal industry technology blog, Above The Law, discusses the shift in lawyer marketing practices towards a web-first approach, particularly among millennial attorneys. In a recent episode of the podcast, Noneventcast, Giselle Rodriguez, a millennial lawyer from Boston school and New School, shares her marketing strategy for building a successful marketing plan. She also discusses using social media platforms like TikTok to promote her business and repurpose content on other platforms like Instagram and Facebook. Jared Correia, a consultant and legal technology expert, hosts Noneventcast, which features discussions on topics such as CRM, big law, small law firms, and in-house counsel.


The Good and the Bad of Solo Practice, Per Clio’s Latest Legal Trends Report for Solos

Date: 18 Apr 2023
Source: LawSites
The latest legal trend report from law practice management company Clio reveals that the “Great Resignation” may be leading to increased numbers of lawyers leaving their jobs to start solo practices in 2022. The report, which uses anonymized data from Clio’s customers as well as surveys of legal professionals and consumers, details the unique challenges and advantages of practicing law alone. Solo lawyers enjoy the freedom to run their practice as they see fit, including implementing new legal technology, but face the sole responsibility of every aspect of their business. Solo practices also have a lower overall cost of operation and hourly rates, making them more accessible to clients, but struggle to bring in business compared to larger law firms.


DIFC launches data protection law consultation

Date: 18 Apr 2023
Source: IAPP.org
According to IAPP.org, the Dubai International Financial Centre has proposed amendments to its data protection law regulation to establish additional areas of regulation to support a robust implementation of the law. The proposed updates will cover topics such as data breach controller and processor obligations, digital enablement technology systems incorporating privacy design default and the deployment of artificial intelligence. The public comment deadline is May 17, and DIFC plans to use the feedback to refine the proposed amendments.


Esteemed Worldwide Panelists To Lead Two-Day Symposium On The Metaverse and Decentralized Digital Technology

Date: 18 Apr 2023
Source: New York State Bar Association
The New York State Bar Association is hosting an event aimed at exploring the transformative impact of decentralized digital technology on the legal profession. The two-day symposium will feature 30 experts from around the world, including leading attorneys and industry professionals, who will discuss the regulation and legislative landscape around web3, the metaverse, and digital assets. The program will also cover topics such as digital copyright, NFTs, and smart contracts. Sherry Levin Wallach, president of the New York State Bar Association, said that the rapidly growing digital space continues to have a profound impact on the legal profession and that the symposium offers a unique opportunity for attorneys to engage with world leaders in the field. The event will take place on April 28-29 at New York University’s School of Professional Studies.


Nationally Recognized Legal Ethics Lecturer Lisa G. Lerman To Receive the Sanford D. Levy Award

Date: 18 Apr 2023
Source: New York State Bar Association
The New York State Bar Association has awarded the Sanford Levy Professional Ethic Award to David Alexander Catholic University of America professor emerita Lisa G. Lerman for her lifetime of work in the field of professional ethics. Lerman has been a dedicated educator, author, spokesperson, and mentor in the field of professional responsibility and family law. She has also been a leading scholar and teacher in the field of legal ethics for the past decade, and her work is grounded in 35 years of teaching a clinical course where students represent clients in actual cases. The Levy Award recognizes individuals or institutions that have made significant contributions to the advancement of professional ethics.


Stalkerish’ Behavior Is Not The Way To Sell Your Legal Tech Product: Real Talk From A CLO

Date: 18 Apr 2023
Source: Above The Law
Legal technology blog Above The Law recently interviewed Jenny Hamilton, Chief Legal Officer at Exterro, about her experience as a woman in the male-dominated legal industry and her perspective on evolving technologies in eDiscovery. Hamilton emphasized the importance of trusting one’s instincts in both personal and professional life and finding a balance in gender representation. She also discussed the rising privacy regulations and increasing volume of data that today’s legal departments face. The interview was conducted on the Jabot Podcast, an offshoot of the legal brand Law.com.


Indiana Latest State Aiming to Protect Consumers’ Privacy

Date: 17 Apr 2023
Source: CSP Daily News
According to CSP Daily News, Indiana is poised to become the seventh state with a comprehensive consumer privacy law. The State House unanimously passed Senate Bill 5 on April 12, and Indiana Governor Eric Holcomb is expected to sign the bill. The law would take effect on January 1, 2026, giving consumers control over the personal data companies collect and share for marketing purposes. This presents a larger risk for companies as they collect and process data. Kimberly Dickson, General Counsel at Ebbo Loyalty Marketing Company, stated that the theme is a patchwork law for privacy space, with states enacting laws to make it difficult to navigate. The law would be enforceable based on the individual’s address or where the company is located.


2023 Social Media Advertising Landscape: An Update from a Senior FTC Official

Date: 18 Apr 2023
Source: Holland & Knight
Holland & Knight hosted a webinar with Michael Ostheimer, a Senior Attorney at the Federal Trade Commission (FTC), on April 6, 2023. Ostheimer answered various questions regarding social media advertising, marketing practices, and regulations in the industry. Some of the topics covered included social media advertising trends, the role of disclosure and disclaimer, the use of celebrity influencers, and the FTC’s guide to promotional endorsements. The webinar also discussed risk management and compliance issues and recommended policies and procedures for businesses to minimize risks associated with social media advertising and marketing. The webinar offers valuable insights and best practices for companies looking to enhance their regulatory compliance programs.


If you don’t know what CX is . . . you need to read this!

Date: 18 Apr 2023
Source: LawVision
According to LawVision, law firms often differentiate themselves in limited ways, with four categories being price, service, innovation, and client experience (CX). CX is becoming increasingly important in today’s competitive climate, with 88% of customers surveyed in a 2022 Salesforce report stating that experience is as important as the actual product or service. Steven Keith, founder of CX Pilot, emphasizes the importance of providing a holistic client experience that goes beyond just delivering legal services and includes every interaction with the firm. Clients are not just looking for quality work, but also timely communication and frictionless interactions.


How Legal Cloud Technology Improves Productivity and Profitability for Law Firms

Date: 18 Apr 2023
Source: The Cloud Awards, SaaS Awards & Security Awards
According to The Cloud Awards, SaaS Awards & Security Awards, legal cloud technology has revolutionized the way law firms conduct business by increasing productivity, efficiency, profitability, and client satisfaction. Many law firms still use legacy on-premises software programs, but early adopters of legal cloud software are already reaping its benefits. Cloud technology refers to the storage of information online in public, private, or hybrid clouds. It provides increased security, lower costs, and robust data backup. As a result, 31% of lawyers have already switched to the cloud, and today’s law firms should understand that cloud technology encompasses much more than just using email or social media. Andy Kundin, the Director of Presales at LEAP Legal Software, won the Best SaaS Product for Law at the Legal Service SaaS Award 2022.


Genie AI Achieves 30x Growth in One Year, Attracting Major Organisations

Date: 18 Apr 2023
Source: News Anyway
Legal AI startup Genie AI has witnessed a 30-fold rate of growth in the past year without any marketing spend, following the adoption of its technology by 100 new organizations. The London-based firm has achieved several significant milestones, including the release of £75m worth of open-source legal templates, the creation of a free collaborative legal editor, and the operation of the world’s first free-to-use plain language clause library. Genie AI has attracted clients from a range of sectors, including one of the largest banks in the US and the UK’s leading supermarket chains, as well as thousands of micro-businesses.


Understanding What Constitutes Consent Across the Various U.S. State Laws That Make up the Data Privacy Legal Patchwork Quilt

Date: 18 Apr 2023
Source: LexBlog
The LexBlog article highlights the importance of understanding what constitutes consent in various data privacy laws throughout certain states in the US, particularly the Colorado Privacy Act (CPA) and the Virginia Consumer Data Privacy Act (VCDPA). Janelle Lewis, an attorney and business strategist, emphasizes that to bridge the gap between law and business strategy, it is essential for business owners to understand what constitutes consumer consent according to each law. The CPA requires clear affirmative actions for consent to be obtained, while the VCDPA defines consent as an unambiguous agreement given in writing or through an unambiguous action. Companies must comply with these laws and also consider the Children’s Online Privacy Protection Act (COPPA) to meet consent obligations.


The Legal Software Shift: Recent Report Highlights Efficiency and Flexibility Gains

Date: 17 Apr 2023
Source: LexBlog
According to a recent report by MyCase and LawPay, the legal industry is embracing new technology and reaping benefits. The report shows that 80% of legal professionals reported using cloud-based legal software and 47% invested in cloud-based remote working tools within the past year, with video conferencing being the top remote working tool invested in by law firms. The report also indicates that 80% of law firms accept online payments via credit card or e-check, and users reported a reduction in turnaround time for receiving payments when online payments were accepted. Overall, the report suggests that lawyers are using technology to increase payment flexibility for clients and ensure prompt payment of legal bills.


Out of the Box Ways of Using AI

Date: 18 Apr 2023
Source: ILTA – International Legal Technology Association
ILTA recently highlighted a podcast session discussing creative ways AI is being used inside corporate law firms. The main theme of the article is exploring the question of how AI can be used outside the box. The speaker, Andy Ward, Vice President of Machine Learning at Laurel Inc., provided a specific example of using AI for compliance risk evaluation to ensure the output is useful. The session highlights the tradeoff between a specific, non-generalized AI solution versus a generalized one. The moderator, Ryan Gerlach, legal analyst for the State of California Office of the Attorney General, and the speakers emphasized the importance of finding a balance and approaching AI implementation with a clear strategy.

Closing the Trust Gap is Critical to Generative AI Adoption Among Legal Professionals

Date: 18 Apr 2023
Source: Legal Technology News – Legal IT Professionals | Everything legal technology
According to a recent report by Thomson Reuters, legal professionals are increasingly placing trust in AI-powered technology. The report found that adoption of AI is expected to rise, especially in areas such as legal research and contract review. Legal professionals see AI as a way to improve productivity and efficiency, but also acknowledge the need for human oversight in order to ensure accuracy and fairness. “AI is here to help us do our jobs better, but we need to be vigilant about ensuring that it doesn’t replace our critical thinking and judgment,” says Gina Jurva, manager of strategic content for Thomson Reuters.


Next-Gen Bar Exam That Truly Tests Daily Practice Skills Must Include Technology

Date: 18 Apr 2023
Source: Law Technology Today
According to Law Technology Today, a recent court ruling, James v. Nat’l Fin. LLC, CV 8931-VCL (2014), highlights the growing importance of technological competency in the legal profession. The American Bar Association (ABA) Model Rule of Professional Conduct 1.1 includes comments emphasizing the importance of maintaining technological competence when providing legal services. The ABA also added Comment 8 to the model rule, which states that “a lawyer should keep abreast of changes in the law and its practice, including the benefits and risks associated with relevant technology.” The article suggests that law schools have a duty to teach students the necessary technological skills to become competent lawyers, and the upcoming next-generation bar exam will test candidates not only on legal doctrine, but also on technology-related skills such as client counseling and relationship management. The article cites legal tech consultant Casey Flaherty, who believes that lawyers are generally deficient when it comes to using technology tools, and Jim Calloway, management assistance program director for the Oklahoma Bar Association, who emphasizes the importance of lawyers developing basic technology know-how.


Legal NLP releases Legal Summarization, 15 new NDA NER models, 5 Legal Clasification models, and…

Date: 18 Apr 2023
Source: Legaltech on Medium
In a recent article on Legaltech on Medium, it was reported that the John Snow Labs’ Natural Language Processing (NLP) platform has added a lot of new capabilities, including over 800 models and 125 language models which were already available in the past. According to David Talby, the company’s CTO, this update will allow their platform to have better accuracy and wider coverage across various language domains. With this development, legal professionals can expect more accurate and reliable results when using NLP technology in their practice.


A “light touch” approach to AI regulation in the UK

Date: 18 Apr 2023
Source: Technology Law Dispatch
The UK government has published a white paper on its “pro-innovation” approach to the development of artificial intelligence (AI), while outlining the necessary evidence required to support it. The Department for Science, Innovation, and Technology (DSIT) published the evidence in line with the government’s summary of regulatory frameworks and options for AI governance. The regulatory framework may include the existing regulator or a regulatory member from the Digital Regulation Cooperation Forum (DRCF), which comprises organizations such as the Competition & Market Authority, the Information Commissioner’s Office, Ofcom, and the Financial Conduct Authority. The white paper also sets out five cross-sectoral principles for AI regulation, including transparency and explainability. The UK government is soliciting responses to questions in a consultation set.


China’s cyberspace regulator releases draft measures for managing generative AI services

Date: 18 Apr 2023
Source: Technology’s Legal Edge
According to Technology’s Legal Edge, the Chinese regulator Cyberspace Administration China (CAC) has released a draft measure for managing generative AI service, citing concerns about the proliferation of similar technology after the launch of OpenAI’s GPT chat in China. The draft measure seeks to regulate generative AI technology by imposing direct obligations on “providers” defined as organizations or individuals who use generative AI products to provide chat, text, image, sound generation including supporting others in generating text image sound and providing a programmable interface. The measure is aimed to reduce the risk of misuse of AI technology and provide developmental guidance to the AI industry, aligning with China’s core socialist values, social morality, public order, and relevant laws and regulations. The measure is open for public comment until May 10th, 2023.


Law Firm Cadwalader Faces Class Action After Data Breach

Date: 18 Apr 2023
Source: Sensei Enterprises, Inc.
According to a Bloomberg Law report, Cadwalader Wickersham & Taft, a New York law firm, is facing a proposed class action lawsuit over a data breach in November 2022 that exposed personal information of more than 93,000 people. The lawsuit, filed by Ohio-based attorney Patrick Perotti in the Southern District of New York, alleges that the firm failed to adhere to commonly accepted security standards and detect the breach, putting identifying information at risk of credit fraud and identity theft. The breach caused many of the firm’s internal systems to go offline. Cadwalader has yet to comment on the situation.


Ediscovery Challenges with Slack and MS Teams


TR, Everlaw + Robin AI Join Legal Innovators California, June 7/8

Date: 18 Apr 2023
Source: Artificial Lawyer
According to Artificial Lawyer, Thomson Reuters’ eDiscovery company, Everlaw, is teaming up with the AI-backed Robin AI to provide a leading solution in the legal tech industry. Everlaw CEO, AJ Shankar, says the collaboration will allow for more efficient and accurate document review with the use of generative AI. Robin AI co-founder, Alex Hafez, emphasizes the importance of combining human expertise with AI technology in the legal space. This partnership shows the continued growth and evolution of AI in the legal industry.

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