In a recent Platforum9 Session, Chris Williams, an expert in legal technology and AI, shared valuable insights on building and implementing AI platforms in law firms. As a representative of Leya, an AI platform designed to support lawyers in review, research, and drafting tasks, Williams offered a comprehensive view of the challenges and opportunities in this rapidly evolving field.

The Current State of AI in Legal Services

Williams highlighted that the legal sector is at the forefront of AI adoption, noting that it’s one of the most valuable areas for AI implementation. He referenced a study showing that “the biggest opportunity for AI… was within sectors that had the highest value work, and I’d actually put legal work right at the top of the bucket as the most valuable area to focus on.”

Key Considerations for Law Firms

1. Education First: Williams emphasised the importance of education as the first step for law firms looking to adopt AI. He stated, “The very first step is around education. There’s so much nuance in understanding how these language models work, having a solid foundation in terms of education, understanding things like what the limitations are, what are the tools, what is it, what are they good at?”
2. Identify Use Cases: While there are common use cases across firms, such as due diligence and contract review, Williams stressed the importance of identifying specific needs within each firm.
3. Leverage Existing Technology: Rather than building or fine-tuning models internally, Williams advised firms to utilise existing technology, saying, “Right now, it’s not necessarily a great thing to be building models or to be fine tuning models… You’re never going to have the same funding as open AI to develop these models.”
4. Lawyer-in-the-Loop Approach: Williams advocated for a “lawyer-in-the-loop” approach, emphasising that AI should augment rather than replace human expertise. He noted, “I really don’t believe that AI is at a level yet where it can be autonomous.”
5. Address Accuracy Concerns: While AI accuracy is improving, Williams noted that it’s important to maintain realistic expectations, stating, “It’s still a lot more accurate than a lot of early people coming out of university. It’s able to achieve on a fairly high standard, but as humans we have this ability to go, Oh, it’s a robot. It’s not allowed to make mistakes.”

Implementing AI in Law Firms

Williams shared several strategies for successful AI implementation:

1. Find Champions: “Embrace those who lean into innovation because they’re the ones that actually want to try it, want to learn about it, and they will become your super users and start, you know, once they find success with it, they will start spreading the news.”
2. Start Small: Begin with specific practice areas or use cases where AI can provide immediate value, then gradually expand.
3. Provide Proper Instructions: Williams emphasised the importance of clear communication with AI tools: “You have to give it the right context, the right constraints, and the right direction.”
4. Integration is Key: “I do really wish that there were more collaborations on the tech side… to provide more connectivity between these platforms.”
5. Measure ROI: Implement tools to track usage and demonstrate the return on investment, which can help in decision-making and internal adoption.

Challenges in AI Adoption

Williams highlighted several significant challenges facing law firms in their AI adoption journey:

1. Billable Hours Conflict: There’s a potential conflict between AI efficiency and the traditional billable hours model. Williams noted, “If you’re going to speed up legal work and make it more efficient, then there’s this gap of time that the lawyer has now that needs to be filled up.” He emphasised that this additional work needs to be of higher value for it to make sense for lawyers.
2. Vendor Overload: Law firms are inundated with AI product offerings, making it difficult to choose the right solutions. Williams observed, “There’s new players that are popping up all the time. So, how do you know who’s going to be around tomorrow?” He suggested relying on industry experts who constantly evaluate different vendors to help navigate this challenge.
3. Change Management: Implementing AI requires significant change management efforts within law firms. Williams stressed the importance of education and collaborative approaches: “The only way that I can be successful with the technology that I’m selling is to really sit and be super collaborative with any firm that I’m working with and really sit there, get them to explain what it is that they’re trying to solve.”
4. Political Considerations: The role of technology directors in law firms can be politically sensitive, impacting AI adoption decisions. Williams acknowledged this, saying, “There’s quite a lot of nuance in dealing with the internal politics of a law firm and then the way that the noise of all the vendors.”
5. Integration Issues: The lack of integration between different legal tech tools can create a fragmented user experience. Williams expressed frustration about this: “I do really wish that there was more collaboration on the tech side… to provide more connectivity between these platforms.”
6. Proper Use of AI Tools: Williams highlighted the challenge of lawyers effectively communicating with AI tools. He shared an anecdote: “I met with a partner of a law firm who was getting frustrated that the AI wasn’t giving them the desired result… when I sat down with them… you kind of see that the instruction provided was super thin, no context.”

The Future of Legal AI

Williams sees a future where collaboration between legal tech companies becomes crucial. He anticipates that most, if not all, legal tech solutions will incorporate AI elements, making integration between different tools increasingly important.

Conclusion

The adoption of AI in legal services presents both significant opportunities and challenges. While AI has the potential to greatly enhance efficiency and provide valuable insights, its successful implementation requires careful planning, education, and a willingness to adapt traditional practices.

For law firms considering AI adoption, the key takeaways are:

1. Invest in AI education for lawyers and staff.
2. Start with specific, high-value use cases.
3. Choose AI tools that integrate well with existing systems.
4. Implement change management strategies to support adoption.
5. Continuously measure and demonstrate the value of AI tools.

As the legal industry continues to evolve, those firms that can effectively leverage AI while maintaining the crucial human elements of legal practice will likely find themselves at a significant advantage in an increasingly competitive market.