Ashhurt Law Firm (June 10, 2024)
Vox PopulAI: Lessons from a Global Law Firm's Exploration of Generative AI, Tara Waters and Sarah Chambers, Ashhurt, June 10, 2024
The report "Vox PopulAI: Lessons from a Global Law Firm's Exploration of Generative AI" by Tara Waters and Sarah Chambers, published on June 10, 2024, summarizes Ashurst's comprehensive trials with generative AI (GenAI) conducted from November 2023 to March 2024 across 23 offices in 14 countries. The trials involved 411 participants and revealed that GenAI significantly aids in creating first drafts quicker, saving approximately 80% of time on drafting UK corporate filings, 59% on industry-specific research reports, and 45% on legal briefings. The study highlighted the value of GenAI in enhancing efficiency, its potential to blur the lines between AI-generated and human-generated content, and the multi-dimensional nature of quality in legal work. Despite its benefits, the report stresses the importance of human oversight and proper training to mitigate risks associated with AI inaccuracies. Ashurst's findings suggest that while GenAI can improve productivity and prepare staff for future demands, it is crucial to implement robust safeguards and maintain a continuous dialogue about its use and impact.
Law360 Pulse (April 2024)
AI Survey: Where Artificial Intelligence Stands in the Legal Industry, Law360 Pulse, April 2024
The Law360 Pulse AI survey, conducted from December 12, 2023, to February 28, 2024, aimed to understand AI and large language model adoption in the legal sector, gathering 384 submissions primarily from male partners aged 40 to 69. The survey reveals a cautious yet growing interest in generative AI, with 41% of firms working with at least one AI provider. Usage is mainly for legal research and document creation, but only 16% of firms encourage AI use, and 14% offer training. Concerns about AI replacing human jobs, ethical implications, and the accuracy of AI-generated content are prevalent. While some firms see AI's potential to improve efficiency and handle mundane tasks, many remain skeptical about its role in complex legal work, emphasizing the need for human oversight. The survey highlights the legal industry's careful approach to AI, balancing its potential benefits with significant concerns about ethics and job security.
Ironclad (April 2024)
2024 Report on the State of AI in Legal, Mary O’Carroll, April 2024
The 2024 Report on the State of AI in Legal by Ironclad, authored by Mary O’Carroll, explores the growing impact of AI on legal services. Based on a double-opt-in survey conducted by OnePoll between March 6 and April 1, 2024, with 1,600 legal professionals, the report reveals that 71% trust AI tools, 74% use them, and 92% report improved performance. It highlights higher adoption rates among in-house teams compared to law firms, identifies key AI applications like contract review and legal research, and discusses concerns about AI accuracy, security, and company policies. The report underscores the dual nature of AI adoption in the legal industry, highlighting both the promising potential and the challenges faced during implementation.
Lighthouse (April 2024)
State of AI in eDiscovery Report, Lighthouse, April 2024
The "State of AI in eDiscovery Report" by Lighthouse, based on a survey of 268 eDiscovery experts, explores the current landscape and future outlook of AI within the legal and eDiscovery industries. The survey includes respondents from both law firms (56%) and corporate entities (44%), with a majority having over six years of experience. There is significant interest in AI, with 87% expressing interest, although many remain neutral or undecided about its impact on the legal field. Familiarity with AI is moderate, with 75% being slightly to fairly familiar with its use in legal practices. Despite this interest, active AI adoption is relatively low, with only 20% of companies currently using AI and 40% evaluating options. Respondents see AI's potential to enhance productivity and scalability but are wary of data privacy, security, and ethical issues. While there is comfort in using AI for automated, repetitive tasks, there is hesitation in applying AI to more complex tasks like legal writing or case strategy. The need for constant verification of AI outputs is highlighted as a major barrier, emphasizing the necessity for improved algorithm accuracy to realize AI's full potential in legal applications.
Bloomberg Law (January 2024)
2024 Legal Ops and Tech Survey, Bloomberg Law, January 2024
In January 2024, Bloomberg Law surveyed 168 legal professionals regarding their use of legal operations and technology. The survey found that 86% of respondents cited security concerns as significant barriers to implementing new legal technology. While a majority of law firms (57%) and in-house legal departments (45%) have full-time legal operations functions, these teams are generally small. Notably, 40% of organizations have no data specialists and no plans to hire any. Generative AI is seen as an enhancer rather than a disruptor, with in-house professionals expecting it to increase workflow automation and reduce time spent on higher-level tasks, while law firms anticipate more work from in-house clients and increased attorney time on billable tasks. However, many remain unsure about the potential benefits of generative AI. Security remains a primary concern, with only about 10% using generative AI for proactive threat protection. The report highlights the need for improved data security, lower maintenance costs, and a better onboarding process for new technologies.
Am Law 100 (January 2024)
Am Law 100 Law Firm Generative AI Survey, Am Law, January 29, 2024
Reveals that at least 41 of the highest-grossing U.S. law firms are integrating generative AI (Gen AI) into their operations. These firms primarily use Gen AI for drafting documents, legal research, generating marketing materials, and creating client alerts from public data to enhance efficiency. The report notes a cautious approach to AI adoption, particularly after a high-profile incident involving AI-generated legal briefs with inaccuracies. Firm leaders emphasize the balance between leveraging AI for productivity and maintaining rigorous human oversight to ensure accuracy. Some firms, like Crowell & Moring and Husch Blackwell, have successfully utilized Gen AI for tasks that do not involve client-specific data, such as drafting client alerts and creating associate biographies. Despite the efficiency gains, there are concerns about AI's impact on traditional training paths for junior lawyers and the potential disruption to the business models of top law firms. The article is part of a series, with subsequent parts focusing on AI policies and the balance between developing proprietary tools and using third-party solutions.
LexisNexis (January 2024)
2024 Investing in Legal Innovation Survey: The Rise of GenAI at Top Firms & Corporations, LexisNexis, January 2024
The 2024 Investing in Legal Innovation Survey by LexisNexis, conducted in January 2024, surveyed 266 senior leaders from large law firms and Fortune 1000 legal departments, revealing that generative AI (GenAI) is driving significant changes in the legal industry. Key findings include 70% of law firm leaders recognizing GenAI's value in enhancing client services, with over half of Am Law 200 firms adopting AI solutions. Additionally, 47% of firms are exploring new business opportunities through AI, particularly for routine tasks, while 90% expect increased AI investments over the next five years. The survey also highlights a trend towards hiring more technologists, with 38% of Am Law 200 firms planning to recruit data scientists and engineers. Despite concerns about the impact on traditional legal roles, the overall outlook indicates that GenAI is becoming integral to legal operations, prompting firms to adapt rapidly to this technological shift.
Thomson Reuters (January 2024)
The 2024 Report on the State of the US Legal Market, produced by Georgetown Law's Center on Ethics and the Legal Profession and the Thomson Reuters Institute, examines the significant transitions in the legal industry. Highlighting the shift since the Great Financial Crisis of 2008-2011, the report identifies changes in demand for legal services, different strategies adopted by various law firm segments, and the potential impact of generative artificial intelligence (Gen AI) on the legal profession. It draws a parallel with Pan Am Airways' downfall due to failing to adapt to market changes, suggesting law firms could face similar fates if they don't respond to evolving marketplace dynamics.
The report notes a shift from the "Transactional Decade" of the 2010s to increased demand for counter-cyclical practices like litigation, bankruptcy, and labor & employment. It also observes a rapid increase in law firm rate growth since 2023, exceeding 6%, and varying approaches to staffing, with larger firms reducing associates while midsize firms increase them. Challenges include faltering realization rates and clients shifting to lower-cost firms. Additionally, the report discusses potential scenarios for Gen AI's role in legal services, emphasizing the need for law firms to adapt to these technological advancements.
ABA Report (January 2024)
2023 Artificial Intelligence (AI) TechReport, Darla Wynon Kite-Jackson, ABA, January 15, 2024
The report explores the use and perceptions of artificial intelligence (AI) in the legal profession based on the ABA Legal Technology Survey. The report discusses current attitudes, training needs, and the risks and benefits associated with AI-based tools in law practice. Despite generative AI tools like ChatGPT passing legal exams, concerns about technology competence, data security, and potential job displacement remain prevalent. The survey revealed a significant knowledge gap, with over half of respondents indicating they did not know enough about AI to assess its interest or impact. However, the adoption rate is rising, especially among solo and small firms, driven by the need for efficiency and time-saving benefits. The report highlights the necessity of training in emerging technologies and underscores the importance of ethical use and human oversight in leveraging AI tools in legal practice.
FTI Technology (2024)
The General Counsel Report 2024:General Counsel Indicate Tipping Points in Strategy, Technology Adoption and Operations, FTI Technology, 2024
The 2024 General Counsel Report by FTI Technology and Relativity highlights significant shifts in legal strategies, technology adoption, and operational management within legal departments. Digital risks and regulatory compliance emerged as top concerns, with many legal departments feeling less prepared compared to previous years. Over 90% of legal leaders anticipate increased risks, prompting many to overhaul their approaches, including adopting new technologies like generative AI, which 75% expect to use more in the coming years. The report also indicates a growing need for specialized technologists to manage these advancements, with 42% of departments now employing dedicated legal operations professionals. Despite budget constraints, there's a strong push towards proactive risk management and technological innovation to enhance efficiency and strategic decision-making. The study underscores the evolving role of general counsel in navigating these complexities, emphasizing the importance of staying ahead of technological trends and regulatory changes to manage increasing demands effectively.
DISCO and The Cowen Group (Spring 2024)
Generative AI and the Legal Profession, DISCO and The Cowen Group, Spring 2024
The report explores the transformative impact of generative artificial intelligence (gen AI) on the legal profession. Based on responses from 69 legal practitioners, the report highlights a rapid adoption trend, with 72.5% of respondents either already using or planning to integrate gen AI within two years. Key drivers for adoption include efficiency boosts, enhanced data analysis, and faster evidence discovery. The report predicts that gen AI will streamline routine tasks, enabling lawyers to focus on complex legal analysis and strategic work. While there is optimism about the technology's potential, concerns around data security, accuracy, and ethical issues remain significant obstacles. Gen AI is expected to revolutionize tasks like document review, fact investigation, and legal research, with 81% of respondents anticipating immediate impacts in these areas. The report underscores the need for legal professionals to become adept with emerging technologies to maintain a competitive edge, while also highlighting the importance of developing regulations and ethical guidelines to address the associated risks.
Thomson Reuters (August 2023)
Thomson Reuters Future of Professionals Report, Thomson Reuters, August 2023
The report examines how AI is transforming the professional landscape, focusing on productivity, value, and responsibility. AI is seen as a major driver of operational improvements, client service enhancements, and talent value, with 67% of surveyed professionals anticipating high-impact changes within five years. The report identifies AI's potential to streamline routine tasks, enabling professionals to focus on higher-value work, while also raising concerns about data security, ethics, and job displacement. Professionals expect AI to become integral, necessitating upskilling and clear regulatory frameworks. Overall, the report underscores the need for a balanced approach to AI adoption, combining technological advancements with ethical considerations to maximize benefits and minimize risks.
Wolters Kluwer/Above the Law (July 2023)
Generative AI in the Law: Where Could This All Be Headed?, Wolters Kluwer/Above the Law, July 2023
The report, "Generative AI in the Law: Where Could This All Be Headed?" by Wolters Kluwer and Above the Law, presents findings from a survey conducted in early 2023 with 275 legal professionals. It explores the anticipated impact of generative AI on the legal industry, revealing that 62% of respondents believe effective use of AI will distinguish successful law firms within the next five years. Over 80% foresee transformative efficiencies in research and routine tasks, though skepticism remains regarding AI's ability to handle high-level legal work. The report also highlights concerns about job displacement, especially for document review lawyers and knowledge management professionals, and identifies corporate, trusts & estates, litigation, intellectual property, and tax as the most likely practice areas to be affected. Despite challenges like data security, accuracy, and ethical issues, there is a cautious optimism about the potential benefits of AI in enhancing efficiency and reducing costs in legal practices.
Litify (July 2023)
2023 State of AI Report, Litify, July 2023
Litify released the 2023 State of AI Report, detailing AI's use and impact on the legal sector. Commissioned by an independent firm, the report found that 62% of legal professionals aren't using AI, with 60% feeling the industry isn't ready. Barriers include security and privacy concerns and lack of staff knowledge. However, among those using AI, 95% are saving time, primarily in document management. While there's recognition of the transformative potential of AI in legal work, with 75% believing AI will positively impact the industry, the report highlights significant reluctance and indicates more readiness work is needed.
Thomson Reuters Report (April 2023)
ChatGPT and Generative AI within Law Firms
In March of 2023, the Thomson Reuters Institute conducted a survey of over 440 lawyers from large and midsize law firms in the US, UK, and Canada, gathering insights on ChatGPT and generative AI's applicability in legal work. The survey found that 82% believed that the technology can be applied to legal work, and 51% thought it should be applied. Approximately 15% of respondents reported that their firms had warned employees against unauthorized use of generative AI, and 6% had banned it entirely, indicating a recognition of the importance of applying controls to its use. The survey also found that 62% of respondents had concerns about using ChatGPT and generative AI at work, including 80% of partners or managing partners.
LexisNexis (April 2023)
Generative AI & the Legal Profession 2023 Survey Report, LexisNexis, April 2023
A survey conducted in March 2023 by LexisNexis Legal & Professional® involving 4,180 participants (1,176 lawyers, 1,239 law students, and 1,765 consumers) revealed high awareness of generative AI tools like ChatGPT among lawyers (86%), compared to 57% of consumers. While 36% of lawyers have used AI for tasks such as research and drafting, concerns about ethical implications and data security persist. The legal community is cautiously optimistic, recognizing AI's potential to increase efficiency while emphasizing the need for human oversight and ethical considerations.