March 3
Artificial Intelligence in Legal - Friend or Foe?
Industry Insights

Emily Crisp
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Artificial Intelligence is revolutionising the legal industry, and its impact is being felt across the board. In just a few short years, AI has begun to reshape how legal professionals work, transforming roles, workflows, and even the very nature of legal practice.
AI has already made significant changes to the day-to-day lives of lawyers, and the industry is working out how a typically traditional profession can adapt to it. It is transforming industries worldwide, and the legal sector is no exception. From streamlining research and contract analysis to predicting case outcomes and automating routine tasks, it can’t be denied that AI is completely reshaping how legal professionals work. What once required hours of meticulous effort can now be accomplished in minutes, allowing lawyers to focus on higher-value tasks. But with these advancements come critical questions about ethics, bias, and the evolving role of human judgment in the practice of law.
So, let’s delve into the impact of AI on the legal industry, the opportunities it presents, and the challenges that must be navigated to ensure its responsible use.
What are the advantages to using AI in the legal sector?
AI offers law firms the opportunity to provide cost-effective legal services by automating routine tasks, processing vast amounts of legal data quickly and accurately and allowing lawyers to focus on complex, high-value work. Instead of billing clients at high associate rates for time-consuming yet repetitive tasks, firms can leverage AI to handle preliminary work efficiently, reserving human expertise for areas that require deeper legal reasoning and strategic input.Another key advantage of AI in the legal sector is its use in legal research. Traditional research requires lawyers to meticulously comb through case law, statutes, and precedents, summarising key findings into digestible reports. Not only can AI help to identify relevant information, but it can also summarise these findings, reducing hours of work. More generally, lawyers who use AI in conjunction with their day to day activities outside of research, to again summarise documents, look through contracts etc., will find that they have a lot more time for complex work!
AI's attention to detail makes it an invaluable tool for reviewing legal documents. From flagging terms for redaction to identifying inconsistencies in contracts, AI can enhance accuracy and minimise human error. While human oversight remains essential (phew!), AI acts as an extra layer of scrutiny, functioning as a first or second set of eyes in reviewing critical documents.
Additionally, AI can assist in drafting legal documents such as contracts, provided it is given high-quality templates to work from. With proper input and supervision, AI-generated documents can streamline workflows, making routine drafting more efficient.
What are the potential pitfalls of using AI in the legal sector?
AI in the legal sector remains a costly investment. While law firms and external companies are pouring significant resources into its development, the return on investment will take time to materialise. The high upfront costs—whether purchasing existing AI tools or developing proprietary systems—can create a barrier to entry, meaning smaller firms may struggle to access the same technology as their larger counterparts.To a certain extent, AI will always lack the human judgement that is sometimes essential in law. While it can process vast amounts of data and automate tasks with incredible efficiency, it cannot replicate human empathy, nuanced reasoning, or ethical considerations. Moreover, AI systems are inherently shaped by the biases present in the data they are trained on, which can pose significant challenges in a field that relies on fairness and impartiality.
AI is a double-edged sword. While it offers significant benefits—such as reducing the need for first-level document reviewers, thereby cutting costs—it also raises concerns for those who depend on such roles for their livelihood. The legal profession must strike a balance between embracing efficiency and considering the broader implications of AI-driven job displacement.
Another critical challenge is AI’s tendency to learn and perpetuate biases. As Professor Tali Sharot (UCL) explains: "People are inherently biased, so when we train AI systems on datasets produced by humans, the AI algorithms learn the human biases embedded in the data. AI then tends to exploit and amplify these biases to improve its prediction accuracy." This raises ethical concerns, particularly when AI-generated insights influence legal arguments, potentially impacting the fairness of outcomes. Given that lawyers are expected to remain impartial, relying on AI without careful scrutiny could introduce unintended bias into legal decision-making. Sharot’s study of over 1,200 participants further demonstrated that individuals interacting with biased AI systems can themselves develop biases, creating a “snowball effect wherein minute biases in original datasets become amplified by the AI, which increases the biases of the person using the AI.” This underscores the importance of ensuring AI is trained to be as unbiased and robust as possible.
It could be argued then, that in a profession that has strict ethical rules, are there issues around using AI to aid our decision making? And who bears the responsibility and liability for its outcomes - the lawyer, or AI?
One of AI’s most well-documented flaws is its propensity to "hallucinate"—generating fabricated information that appears credible but is entirely false. This is particularly problematic in a profession that demands absolute accuracy. Tools like ChatGPT, Copilot, and Gemini have been found to provide users with fabricated data that appears authentic. An example of this was the Roberto Mata v. Avianca case, a member of Mata’s legal team used ChatGPT conduct research to file a response to Avianca’s dismissal of his personal injury suit. Other cases were filed to show precedent, but these cases had been fabricated by ChatGPT and did not exist. In this case, the lawyer denied responsibility, which truly highlights the challenges of using AI in the legal world - especially when it comes to figuring out who’s actually accountable.
Finally, as AI increasingly integrated into legal workflows, there is of course an additional risk of over-reliance. Consider how mobile phones and GPS technology have changed the way we navigate. For those who grew up with satellite navigation, reading a physical map is now a lost skill—something that was once essential just two decades ago. Similarly, junior lawyers entering the profession today may come to depend heavily on AI for research, drafting, and analysis. While this technology will undoubtedly enhance efficiency, there is an open question: Could over-reliance on AI erode fundamental legal skills in the long run?
So, is AI really a friend or a foe?
As AI continues to evolve, it is crucial to approach its role in the legal profession with both optimism and caution. While it offers powerful tools to enhance productivity and streamline workflows, human judgement, ethical considerations, and critical thinking must remain at the heart of legal practice.Those entering the legal profession will need to adapt and evolve to stay ahead. While AI is unlikely to replace lawyers entirely—since legal work often requires judgement, negotiation, and empathy—it may render some roles redundant. However, as certain positions fade, new opportunities will emerge in response to the evolving legal landscape. So, who knows what exciting new career paths will emerge!
AI has certainly already made a big splash in the legal world, and there’s plenty more to come. As it continues to evolve over time, new challenges will inevitably arise, so it’s important to remain mindful of its limitations and continue to use it wisely in legal settings. After all, we’ve all seen how well it worked out in I, Robot.
Sources:
- https://www.lawsociety.org.uk/topics/ai-and-lawtech/partner-content/how-ai-is-reshaping-the-future-of-legal-practice#:\\\~:text=AI%2Dpowered%20legal%20research,relevant%20information%2C%20and%20summarising%20findings.
- https://www.ucl.ac.uk/news/2024/dec/bias-ai-amplifies-our-own-biases#:\\\~:text=Artificial%20intelligence%20(AI)%20systems%20tend,new%20study%20by%20UCL%20researchers.
- https://mitsloanedtech.mit.edu/ai/basics/addressing-ai-hallucinations-and-bias/.
- https://www.lexisnexis.com/blogs/za/b/legal/posts/balancing-ai-and-human-judgment-ethical-considerations-in-the-legal-profession?srsltid=AfmBOoo8hRJ3bKyUHPPUixrWm1Uz3If-cQbPvQ1rlXm1AHqjTVMa0mI.