Role of AI in Law: Changing the Legal perspective
Artificial Intelligence (AI) has made itself infinitely useful across industries. It has altered several industries and helped businesses digitize and evolve into more functional, effective, and efficient entities.
AI has been a massive part of what is known as the “fourth digital revolution” spurred on by the global pandemic of 2020.
While artificial intelligence has had a disruptive influence on every business and profession, its promise for application in the legal industry has not been fully realized. Then why should legal practices be deprived of the advantages of AI?
Read along to learn about how Artificial intelligence can revolutionize legal undertakings.
Contracts are the foundation of any economic structure, and they are required for just about all business transactions. However, the entire process of mediating, negotiating, and ultimately settling a contract, is a tedious task.
Both parties’ attorneys are expected to personally review, revise, and exchange papers regularly.
This approach can be time-consuming, leading to the postponement of negotiations and the company’s commercial goals to be hampered. Furthermore, due to the importance placed on details as well as the length of the papers, errors are bound to occur.
This entire procedure has a lot of room for automation. Several startups have made strides in this direction.
These companies have been developing AI systems that can automatically internalize proposed contracts, correctly analyze them using natural language processing or NLP technology, and determine which portions of the contract are acceptable and/or problematic.
Studying Contract Analytics
Following the contract signing, supervision and monitoring can become a challenge. That is particularly applicable for large corporations with many pending contracts and diverse counterparties across many divisions.
Numerous NLP-powered systems that extract and evaluate critical facts across a firm’s contract database have begun to be produced. These systems work to simplify the firm’s business commitments.
These technologies will allow sales teams to keep updated about when contracts renewals are due, allowing them to gain an advantage in income and investment opportunities. It will also enable procurement departments to maintain track of existing agreement specifics, allowing them to amend these documents if and when necessary.
The finance department can also remain ahead of the flock concerning mergers and acquisitions. This insight can also help regulatory bodies establish a general outlook on a company’s activities to maintain compliance standards.
Expediting Due Diligence
Legal firms can automatically produce due-diligence reports using AI and ML applications, resulting in significant time and cost-saving.
Due diligence could be performed efficiently using technology since most of it is mechanical. AI software can complete it by putting in a set of requirements and documentation, after which a fairly good NLP can deconstruct the data.
AI replaces legal chores, such as reviewing contracts for favorable and unfavorable terms. These tasks can be undertaken more efficiently by a machine. AI can also evaluate documents, which is especially useful when the document analysis requires a high level of accuracy and assurance as part of the investigative work.
Assist Legal Research
Another application of AI is in legal research. A judge spends a considerable amount of time examining a case. They study comparable situations, determine the actual damages, and review previous verdicts.
By using AI technologies, they can rapidly identify a pattern, perform detailed study and comparison, and choose a likely conclusion, making their job much more straightforward.
AI solutions can also assist them in delivering fair sentences that remove human prejudices, such as denying different prison sentences to two criminals in similar cases.
Simplify Legal Jargon
Lawyers need years of intense schooling to understand and decipher legal jargon. Clients who request consultations often cannot comprehend the legal jargon.
Before meeting with a lawyer, AI systems can assist them in understanding the fundamentals of any legal document by reducing legal terminology for the clients.
Most AI-enabled software allows ordinary people to upload legal papers and receive abridged versions of those documents in minutes. Based on the study, AI solutions suggest how a lawyer might assist clients without spending time in the process of discovery.
Users upload files, and AI creates a case file automatically. The attorneys can then review it, eventually saving them and the general public time and money.
Enhancing Litigation Prediction
Several AI teams have begun creating machine learning models to predict the outcomes of future trials by considering the factual pattern of a case and the relevant assumptions.
Various legal firms have started using these models to plan litigation strategies, quicken settlement negotiations, and limit the number of cases sent to trial.
These models ultimately reduce the burden upon the legal system itself, allowing the judge to preside over far more consequential cases.
It can be hard to estimate productive billable hours accurately. Using smart computing tools and data, an AI-powered system may assist legal firms in simplifying the invoicing and tracking aspects of the task.
AI can handle invoicing tasks and automatically send chargeable bills to clients. It can also use process automation techniques to follow up on overdue payments.
To Wrap Up
Law is a domain based upon the evaluation and interpretation of data. It helps society attain justice. A combination of AI and data can significantly impact legal firms and how they operate.
Predictive analysis, for example, will provide future attorneys with relevant information and help common folk clearly understand legal jargon.
Given the breakthroughs in AI and law, the implementation of AI may significantly reduce the time required to close a case. It can also reduce any administrative work and help cut costs while also increasing the accuracy of tasks.
AI can also assist in legal research and improve the speed at which documentation is assessed to predict case outcomes. It is evident that soon all legal firms will follow suit and turn to digital assistance to help their firms achieve peak efficiency.
Also Read: Adoption of AI In Automotive industry