AI in Legal Practice: Blessing or Curse?

“It’s not only about efficiency. It’s also about quality,” observes Vadym Kuzmenko, Legal Operations Lead at Noerr, during a recent Platforum9 session. Drawing from his experience both in legal tech development and law firm implementation, Kuzmenko shares insights on how artificial intelligence is transforming legal practice โ€“ for better and potentially worse.

The AI Agent Revolution

AI agents represent a significant evolution beyond basic AI tools. “The distinction is how much agency, how much room to make decisions you give to a system,” Kuzmenko explains. These agents can access multiple tools, make independent decisions, and plan execution steps โ€“ capabilities that both excite and concern legal professionals.

The Quality Dimension

While efficiency gains often dominate AI discussions, Kuzmenko emphasizes its quality-enhancing potential. He shares an example where AI helped identify a potential IP infringement in a 600-page due diligence review โ€“ something that might have been missed under traditional time constraints. “You cannot spend hundreds of hours on a due diligence because the client won’t pay for it,” he notes.

Implementation Challenges

For law firms considering AI adoption, budgeting remains a significant challenge. Most firms currently fund AI initiatives through R&D budgets, facing uncertainty about usage patterns and costs. The pricing models vary:

  • License-based subscriptions with per-seat costs
  • Usage-based API pricing depending on token consumption
  • Hybrid models combining both approaches

The Education Imperative

One of the greatest challenges isn’t technological but cultural. “You cannot force someone to be educated,” Kuzmenko notes. The initial fear of AI replacing lawyers has somewhat subsided, potentially reducing urgency around adoption. However, this comfort might be misplaced: “Those who will use AI actively will probably be far better off than the ones who don’t.”

Data Protection and Compliance

For firms concerned about confidentiality and compliance, several options exist:

  • Running open-source tools on internal servers
  • Using hosted models with encryption
  • Working with vendors offering secure infrastructure

Most firms opt out of allowing their content to be used for model training, prioritizing data protection over potential benefits.

Market Recognition

Innovation in AI implementation is increasingly becoming a differentiator. Kuzmenko points to examples like Addleshaw Goddard and Gleiss Lutz winning recognition partly due to their AI initiatives. “If we want to stay relevant, if we want to keep our market share… we need to invest time, invest money, and we need to get IT people into the conversation.”

Looking Forward

As legal practice enters 2025, Kuzmenko anticipates significant progress in AI adoption and mindset changes. The key to success lies not just in implementing technology but in fundamentally rethinking how legal services are delivered.

For firms of all sizes, the message is clear: while AI brings both blessings and curses, staying on the sidelines isn’t a viable long-term strategy. The focus should be on thoughtful implementation that enhances both efficiency and quality while maintaining appropriate safeguards and controls.

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