The growth of AI in the legal field has been a slow process in some parts of the world. As per some studies, around 4% of lawyers in some segments use AI for their work. However, once you get a hold of Artificial Intelligence and its importance, you will realize why adding this to the legal field is necessary.
The law ensures that there remains a decorum within the society. There is not a business that hasn’t been influenced by it. Everything involves a legal contract, from selling to purchasing, partnerships, and more.
Without a solid intellectual property law structure, there won’t be any scope for any progress or innovation. The legal industry, which is robust, is aware of the value of technology. It further knows how technology is paving its way across all areas.
With legal operations becoming automated, lawyers and paralegals are trying to gain proficiency in operations like presenting data, word processing, and telecommunications. Right now, law technology has touched every corner of the legal field.
Advancing technologies like AI and Big Data help modern software to focus on legal documents, simplifying communications and discovering casework for law professionals. Much like AI transforming the IT sector, this technology is ready to revolutionize the legal world.
AI in law — the recent applications:
Some current AI applications fall under particular categories depending on the company assessments made and offerings in the legal field. Let’s find out more about those points.
- Helping out with electronic billing:
Thanks to AI, the lawyer’s billable hours will be computed automatically. AI enables businesses to cut back on paper expenditures, lessen human mistakes, and gain more comprehensive insights into their legal spending.
- Intellectual property:
The AI tools are perfect for guiding lawyers to analyze more extensive IP portfolios and draw insights from the content.
According to IBM, leveraging AI can lower the time lawyers spend assessing the contents of trademark searches in half. Organizations with various brands to advertise online must keep an eye on more than 30 digital channels to safeguard their trademarks.
AI can manage business-related intellectual property tasks such as invention disclosures, docketing, application filing, IP portfolio valuation, and budgeting.
- Automating the documentation process:
Law firms are now using software templates based on AI for creating filled-out documents. All these documents are based on data input.
Legal document automation can save time and help avoid mistakes. With AI, businesses can quickly create a variety of legal papers for their clients and proofread them to catch any errors.
These records may include wills, trusts, non-disclosure agreements, and business contracts.
- Legal analytics:
Lawyers now get the chance to use data points from past case law. They can further procure win and loss rates and the history of the judge. All these legal points are used for understanding the changing patterns and trends.
Large businesses will have a large number of open contracts with various counterparties across several divisions. As a result, keeping up with all the specifics and commitments of the business takes time and effort.
Legal departments and corporations can get essential insights by utilizing AI to evaluate already-existing contracts, which will help various teams better their workflows:
Sales: Businesses may keep track of when contracts are up for renewal and take advantage of upselling chances to increase income.
Purchasing: Businesses can know the specifics of current contracts and renegotiate with clients as needed.
Compliance: If businesses adhere to regulatory requirements, monitoring is simple.
Finance: Businesses are always prepared for situations such as mergers and acquisitions (M&A) and due diligence.
- Prediction technology:
AI software helps generate results, forecasting the litigation outcome over here. It helps out legal professionals in a different way.
- Due diligence:
Litigators are known to perform due diligence with help from AI tools. It helps in uncovering background information. This section can include legal research, electronic discovery, and contract review.
Usage of AI in the legal field:
Within the current law sector, various aspects have been highlighted to prove the promising use of AI. Let’s learn about those changes in detail.
Review of the contract and legal docs:
Contracts will work out as the backbone of the economic structure. They are indispensable for any form of business transaction. But, the entire mediation process, negotiation, and settling a contract is a hassle.
The lawyers are asked to manually inspect, refine, and then repeatedly swap the red-lined documents. It is a tedious procedure and might lead to the postponement of deals and hindrance to accomplishing the primary goal.
There are also chances of making mistakes with crucial stress on minute details and lengthy documents. Automation comes into action to help one out with the whole stretched task. Various startups are now making headway toward automated versions.
Legal firms are now creating AI systems to absorb the proposed contracts automatically and get them examined without making a mistake. AI has used NLP technology to decide which contract aspects are agreeable and which are to be avoided.
Deep analytics:
After signing the contract, overseeing and supervising the same will be tedious. The big firms, especially, have extensive pending agreements with counterparties across multiple divisions.
Different NLP-centric solutions have been developed to help derive and appraise crucial data across the core contracts of the firm. This step helps simplify the firm’s business commitment nature for the stakeholders.
AI technologies have helped legal firms stay updated when contracts need to be renewed to get an edge on revenues and promote opportunities.
It further helps the procurement departments to keep track of present agreement details. If needed, those details can be remediated.
At the same time, the finance departments will always remain prepared for mergers and acquisitions. Regulatory departments and M&A will focus on the extensive outlook regarding the firm’s operations for compliance results.
Predicting the litigation:
Many AI development companies are now working hard to develop machine learning models that can help predict the results of significant cases by focusing on the case’s actual pattern and the bulk of the relevant paradigms.
- Multiple businesses and law firms have adopted these models already.
- It helps them to prepare the litigation processes properly and speed up the settlement negotiation.
- Furthermore, by preliminary scrutiny, AI helps reduce the case numbers to be forwarded to trial.
Dealing with legal research and its help:
Some of the more enormous online legal data resources, like Practical Law and LexisNexis, have been working hard to enhance search algorithms. The main goal is to help solicitors to discover proper case-centric materials.
At the same time, some AI tools will help lawyers to form an extraordinary case approach, depending on the former results in similar cases.
The final say:
With the addition of AI in the legal field, there has been a lot of focus on this technology. Even to this date, Artificial Intelligence has a firm grip over legal families. It invites both challenges and opportunities to move on with. With the legal market growing, adding AI will make the process run smoothly. Understanding its concept and how it operates in AI is a wise course of action.
