By: Sean Boelman

Artificial intelligence has become a transformative force in the world of business, changing how people work — for better or worse. For business leaders looking to integrate this bustling technology into their operations, there is no better model to look towards than the legal sector. 

Law firms and legal services providers are multifaceted businesses with several complex moving parts that must all work together to keep the ship sailing smoothly. In other words, if a lawyer can use a tool to make their job easier, it probably makes other jobs easier, too.

Like in many industries, lawyers have found ways to use artificial intelligence to automate some of the more monotonous and routine tasks of the legal profession, from using large language models (LLMs) to draft emails to training a chatbot on how to field basic client communications. However, innovators in the legal sector have begun to pioneer new uses of artificial intelligence that will have an even more profound impact on lawyers’ day-to-day operations.

How Lawyers Are Using Artificial Intelligence

Some lawyers have begun to find use cases for artificial intelligence tools that streamline more complex tasks in the legal profession. For example, an exciting and practical application of AI for lawyers is AI-powered document review, in which a model is trained to identify problematic clauses in contracts. By training AI models on historical data like case files and past contracts, lawyers can teach these tools to identify anomalies that could give rise to serious consequences.

This use case is the foundation of Lawbie, an AI-powered MSA review tool developed by Rob Scott, Chief Innovator at legal services provider Monjur. As a leading legal services provider specializing in contracts-as-a-service (CaaS), Monjur and its team have to review countless contracts and agreements on a daily basis. Lawbie has become an invaluable resource for the Monjur team in streamlining their workload and allowing them to provide their clients with ideal legal services.

“After two decades of serving as a legal resource for MSPs, we have gained valuable insights into protecting our clients through well-crafted legal agreements that provide thorough legal safeguards,” Scott explains.

Using Lawbie, Scott and his team automate MSA reviews to ensure any gaps in legal protections are addressed. They dive deep into three primary areas: protection against cyber threats, vendor risks, and regulatory compliance. 

Some of the common gaps exposed by Lawbie’s legal reviews include:

• Does your MSA clearly stipulate client responsibilities, especially if they fail to adhere to security recommendations?
• How does your MSA approach the limitation of liability? Is it in your best interests?
• Is your indemnity section in sync with your insurance coverage, ensuring you won’t face unexpected out-of-pocket expenses?
• Does your MSA have clear clauses protecting you from the multifaceted regulatory risks associated with data privacy laws?
• How does your MSA protect you against ransomware and other malicious acts?

“Using the AI tool Lawbie, we can streamline contract reviews and conduct a risk-free assessment for prospective clients at no cost, significantly boosting the efficiency and precision of our services,” explains Scott.

Benefits of Artificial Intelligence for Lawyers and Business Leaders

The advanced data analytics capabilities of an artificial intelligence model like Lawbie allow it to identify potential areas of concern to lawyers almost instantaneously. Beyond that, however, the labor-intensive and incredibly detail-oriented nature of the process means that even experienced lawyers are susceptible to mistakes during the legal review process. Because of this, AI tools have the potential to impact not only the speed and efficiency of lawyers as they complete their work but also their accuracy and reliability.

The level of accuracy provided by artificial intelligence tools is paramount in an industry like the legal sector, where mistakes can have costly and catastrophic consequences. Errors in legal reviews can cause legal troubles, not just for a lawyer’s client but also for the lawyer themselves. Anything from administrative errors to outright negligence can cause a client to turn the tables and file suit against their former legal representation. Since AI tools can help reduce these errors, lawyers are protecting themselves from potential lawsuits.

Yet, even in best-case scenarios, artificial intelligence tools will prove useful for lawyers because they free up lawyers’ time to focus on what matters most: providing excellent service to their clients. By automating routine tasks like document review and case research, lawyers no longer have to waste time focusing on minutiae. Instead, they can engage with their clients in the type of strategic decision-making that will help them win their case.

Indeed, artificial intelligence seems poised to inspire a revolution in the legal services sector by allowing lawyers to be more efficient and provide the level of service their clients expect. By following the precedent set by the legal sector, business leaders can make their operations significantly more efficient.

“At Monjur, we are using AI to free up time for important tasks of collaborating with our clients to solve legal challenges,” Scott concludes. “I recommend business owners explore the potentials of AI in enhancing client value by automating tasks and creating space for more strategic endeavors.”

Published by: Annie P.