AI in Law and Legal Practices – Current AI application in Law
AI in Law and Legal Practices – Current AI application in Law
In the digital world, every business activity you can do virtually. Nowadays, organizations are performing a range of their significant business operations such as sales, purchases, mergers, and acquisitions actively and securely via digital media. These activities will make legally enforceable contracts and are subject to specific rules and regulations of the particular law.
We recognize it or not, and today, we are operating against the milieu of our legal regime and the implicit likelihood of litigation.
UK’s one of the most respected analysts at the intersection of legal and technology believes that this trend will continue to boom in the coming up years.
Artificial intelligence (AI) software development companies are continuously finding ways to develop advanced applications that will efficiently manage assigned tasks automatically with better accuracy and speed. As like how other industries are benefiting from AI-enabled applications and solutions, the technology in the legal practice profession is increasingly supporting clients and lawyers in the same manner.
It’s a fact that the adoption of AI in Law is slowly transforming the profession and shutting down the work done by legal researchers, paralegals, and litigators. Likewise, artificial intelligence in legal profession is further used in many ways such as:
- Helping lawyers perform due to research & diligence
- Giving extra insights & shortcuts through analytics
- Automating creating processes in legal work (Includes legal work)
- AI is allowing machines to handle multiple task, and they can think like human lawyers
These are the best current applications of AI in law enforcement. This growth and craze will make the future of AI in Law firms more hopeful.
In this article, you will obtain to know different ways in which artificial intelligence in law firms is currently applying and how legal advisers are trying to streamline work processes.
Current AI application in Law
We are segregating existing AI applications in Law into six categories based on our assessment of the companies and their offerings. Let’s take a look at the few significant benefits of AI in Law.
Uses Of AI & Tech In The Legal Profession
The impact Of Artificial Intelligence In Law is high than the industry expected. The role of artificial intelligence in the Law industry for dealing with due diligence is the best example of this growth.
It comes under one of the primary tasks of the lawyers to perform on behalf of the customers to confirm the facts & figures and systematically assess a legal condition. It is required for intelligently advising clients on their options and what actions they need to take.
Due diligence can positively affect long-term shareholder returns and the process can also be tedious and a lot time-consuming. Lawyers need to conduct a detailed investigation for precise results, and in some cases, they are too prone to mistakes & inaccuracy while doing spot checks. But, the implementation of AI in law enforcement makes everything smooth and ensures 100% accuracy in results.
It is an offshoot of the German Institute for Artificial intelligence that uses AI to dig out relevant information/data, compile leases, and manage documents in real estate. The cloud-based tool has the capability of reading contracts at a very high speed in 20 various languages.
IT firm Atos sought the help of real estate firm ‘Colliers International’ in the year 2015, which used Leverton in performing due diligence of a company that the former was about to acquire.
With the help of Leverton’s AI software for law, information like maintenance costs, payable rent, and expiration dates, were taken from thousands of documents and then structured on a spreadsheet.
In 2016, JPMorgan developed its in-house legal technology tools, and they named the complete program Short for Contract Intelligence (COIN).
The AI technology has the capability of extracting 150 attributes from 12,000 commercial credit agreements and contacts in a few seconds which is equivalent to 36,000 hours of legal work. This program was developed after the bank noticed an annual average of 12k new wholesale contracts with patent mistakes.
The founder of the company thinks that due diligence errors by junior lawyers occur very often because of various reasons that lead to working late nights and some time on the eve of weekends too, forgetting to perform due diligence before the end of the workweek, and failing to work on it.
Most of the associates are in a certain negative mindset about the efficacy of manual due diligence. Lawyers, being human, get cranky & tired, with unfortunate implications for voluminous due diligence.
The Kira company states that it is capable of performing a more accurate due diligence contact review by highlighting, probing, and extracting pertinent content for examination. The company is claiming that its software can finish the assigned task 40% faster when it is used for the first time and 90% for those with more experience.
In the year 2004, a team of professors from Washington University tested their algorithms’ precision in predicting Supreme Court decisions on all 628 cases that argued in 2002.
The professors compared their algorithm results with a team of expert’s findings. In this analysis, the researcher’s statistical model proved to better predictor with 75% accuracy with experts’ 59% accuracy.
Nikolaos Aletras of University College Lond and his crew used machine learning to analyze case text of the European court of human rights and reported a 79% precision on their outcome prophecy.
Prof.Daniel Kantz, in his 2002 research paper, stated that “Quantitative right prediction already plays a great role in some practice areas and this role is likely growing as greater access to appropriate legal data becomes available.”
Ravel Law is another tool that identifies outcomes based on relevant case law, referenced language, and judge rulings from 400+ courts.
The dashboard of the judge contains cases, circuits, decisions, and citations of a particular judge that is said to aid lawyers in understanding how a judge is likely to rule the case.
The firm’s claimed that Ravel Law could aid in litigation strategy by giving information on how judges make decisions.
Case documents & docket entries provide additional insights during litigation by lawyers. Existing AI tools claim that today’s software products can extract key data points from these documents to support arguments.
Hogan Lovells litigation attorney uses Lex Machina software to figure out ‘who is their counsel, who is the plaintiff, who else they have sued, and who have they represented.’
The software can generate data that can be used to examine an opposing counsel’s likelihood of losing or winning a case. The attorney claims to save time with the help of analytics results when creating a narrative.
An intellectual property lawyer used the software when she was representing a generic pharma company. While she is using the software, she found that the judge’s history of ruling cases tends to errand cases like her. Both sides are settled at the end, which was a better resolution, according to the lawyer Huong Nguyen.
Just keep in mind that legal analytics has some limitations. The CEO of settlement analytics said in his paper that there is uncertainty in producing results with a high level of precision with this type of technology.
It comes in petite sizes after cognitive biases, filtering, the tendency to interpret random trends as valid patterns that consist of a lot of noise that may affect the decision-making process.
Work automation will most likely be one of the top disruptions in the global economy. Some law firms already started to adopt such technology by drafting documents via automated software.
Many software companies claim that the final report will take days to months with human drafting, but it is a matter of a few minutes for software. Most of the companies in the finance and banking industry are starting to use this technology.
Neota logic system
The company claims that its software ‘PerfectNDA’ minimizes the NDA process by offering templates selected by AI based on the user’s scenario. It also enables feature document filling & integrated e-signatures to streamline the related manual process involved in NDA drafting.
It is one of the top benefits of AI in Law. Unlike other applications, the impact of Artificial Intelligence in Law for securing intellectual property is widely gaining popularity across the industry.
Securing copyrights, patents, and trademarks are the toughest things, and it is often the best thing left to law expertise. And we all know that the entire patent practice can be lengthy and laborious.
According to the US patent attorney, ‘you only have one year from the first time your invention publicly first issued to file a patent application. If suppose you are a business owner and launched a product within one year, then you need to talk to the patent attorney immediately to safeguard your patent.
This cloud-based application is mainly designed for drafting prosecution and patents. The company datasheet told it is the first patent application tool for lawyers to save 20 hours on non-provisional patent applications and 4 hours for provisional patent applications.
This tool is also used to detect bugs in a document, formatting detects, and circular claims apart from automatically generating literal claims support.
This company is taking some of the manual knowledge work of intellectual property application with Artificial intelligence. The company uses a sophisticated algorithm that is said to curtail week-long searches for patents, trademarks, registered products using the Trademark clearance platform that returns search results in less than 15 seconds.
It can analyze the results and rank them based on relevance to the user, as identified by the algorithm.
Here are the key roles of artificial intelligence in the Law industry. All these are the most recognized benefits of artificial intelligence in the legal profession. AI software algorithms will fasten document processing while finding bugs and other concerns.
Most of the top AI companies will believe that a wide range of adoption of AI in legal services may begin with a pool of small, medium, and nimble legal firms that will combine and emerge as a group of firms from the beginning focus on efficiency and maximal automation.
At USM Business Systems, we help legal and professional service enterprises to find out how AI technology will free up their professionals and lawyers to focus on high ROI work for more clients.
Are you running a law firm?
Are you planning to develop or integrate AI tools into your law practice? Read the benefits of AI in Law in 2022.