AI's Influence in the Legal Profession
Australian Financial Review
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Details
- Date Published
- 16 Oct 2024
- Priority Score
- 2
- Australian
- Yes
- Created
- 10 Mar 2025, 10:27 pm
Description
The legal fraternity is seizing upon efficiency gains through the use of generative artificial intelligence (gen AI) while keeping a wary eye on the evolving technology.
Summary
The article explores how the Australian legal profession is increasingly utilizing generative AI to enhance efficiency and streamline processes, such as discovery and Technology Assisted Review (TAR). It highlights that while Australia lacks specific AI regulations, existing laws like those related to privacy and consumer protection are often applicable, albeit requiring updates to address AI's novel risks. The global frameworks, such as the European Union's AI Act, suggest an evolving legal landscape where international cooperation might play a vital role. The discussion underscores the balance needed between innovation and regulation, while emphasizing 'Responsible AI' principles such as fairness, reliability, and transparency, all of which are critical as the technology transcends international borders.
Body
Work & CareersWorkplaceHerbert Smith FreehillsPrint articleOct 16, 2024 – 11.44amSaveLog inorSubscribeto save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber?LoginArtificial intelligence (AI) is slowly but surely playing a significant role in the Australian legal system. Even though Australia is yet to enact any specific statutes or regulations that directly regulate AI, its ability to help speed up discovery, establish predictive coding and the use of Technology Assisted Review, are all helping the system move more quickly.Susannah Wilkinson (left) and Emily Coghlan of the Herbert Smith Freehills Digital Legal Delivery practice team.Herbert Smith Freehills“Given the broad potential application of AI, many existing technology-neutral or sector-specific laws already apply to harms arising from AI, such as privacy, and consumer protection,” saysSusannah Wilkinson,Herbert Smith Freehills director of generative AI, Digital Legal Delivery.“However, in some instances, these laws need to be reviewed to ensure they are fit for purpose given the incremental or novel risks arising from AI adoption.“Ultimately, generative AI is another tool in the armoury of efficiency and automation; it’s about figuring out how we reimagine more effective workflows that hold true to the importance of trust and reliability.“Courts, regulators and government agencies will need to sensibly adapt to continued developments in AI capability and use. In some instances, the use of AI will deliver preferable outcomes, and in others it may introduce unacceptable risks.Advertisement“We are already seeing some agencies introduce mandatory declaration of AI use across jurisdictions. It is vital that efficiency gains achieved responsibly are not undermined by unduly onerous or unnecessary reporting and disclosure requirements.”Transcending international bordersAs AI use crosses international borders, it is difficult for countries to regulate in isolation. The European Union, focused by measures like the General Data Protection Regulation (GDPR) and current debates on the planned Artificial Intelligence Act, has adopted a proactive approach to AI legislation. These initiatives aim to set strict guidelines for gathering, using, and preserving personal information.“AI regulation is progressing differently across jurisdictions,” Wilkinson says. “There is no single international AI law. However, there are international ethical frameworks and standards and increasing international cooperation on the overarching objectives of domestic AI law.“Some laws may have extra-territorial effect, such as the European Union (EU) AI Act, which applies to protect users from high-risk AI systems. The EU AI Act could have effect on Australian companies that are providing AI services in Europe. Regulation of emerging technology usually seeks to balance consumer protection and competing commercial interests in innovation.”AI trends in the workplaceA global survey by legal software technology developer Litera revealed that 42 per cent of law firms are already using generative AI for work while another 34 per cent are planning to use it in the next 12 months. But the potential downside of using AI was underscored by 35 per cent of respondents saying they were concerned about accuracy, while another 28 per cent voiced security concerns.“The developers of AI should focus on what we call ‘Responsible AI’ – ensuring that tools are built with fairness, reliability and safety, privacy and security, inclusiveness, transparency, and accountability,” says Adam Ryan, head of product at Litera. “We believe the power of AI can only be harnessed with the oversight of humans. It is the responsibility of all AI users to check and validate its work to ensure their output is to the highest legal standards.“Current laws are primarily focused on transparency which is crucial when it comes to AI. The best practices that we’ve seen is for firms to be transparent with clients about how they use AI technology and the benefits that it ultimately provides the client.”The survey also revealed that a majority of firms (69 per cent) are utilising generative AI for document creation and proofreading, due diligence (54 per cent), content surfacing and suggesting (44 per cent), comparing documents for meaning (40 per cent), and gaining insights into deal terms (38 per cent). This means lawyers will now be able to take less time to get up to speed on cases, instead devoting more time to developing strategies.The court systemIf AI can be adopted into the court system to enable quicker resolution of cases, everyone will benefit in the end, legal experts agree.“Court processes have already adapted to technology, and we expect further adjustments,” saysEmily Coghlan, Herbert Smith Freehills director, legal&legal technology, Digital Legal Delivery.“For example, during the discovery phase of large-scale litigations, the use of advanced analytical capabilities, including conceptual analytics and predictive coding is now commonplace.“The acceptance of predictive coding or Technology Assisted Review (TAR) has grown and has accelerated to coincide with the exponential growth of data. The main purpose of this technology is to find the most relevant material efficiently and to keep legal costs to a minimum. Australia has generally accepted and adopted the benefits of TAR in litigation. This often involves engaging professional review, analytics, coding and eDiscovery providers, and many firms have embedded specialist teams to meet this client need.SponsoredbyHerbert Smith FreehillsThis content has been funded by an advertiser and written by the Nine commercial editorial team.SaveLog inorSubscribeto save articleShareCopy linkCopiedEmailLinkedInTwitterFacebookCopy linkCopiedShare via...Gift this articleSubscribe to gift this articleGift 5 articles to anyone you choose each month when you subscribe.Subscribe nowAlready a subscriber?LoginLicense articleFollow the topics, people and companies that matter to you.Find out moreRead MoreHerbert Smith FreehillsFetching latest articlesOlympic weightlifting is hard. 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