What Are the Risks of AI in Law Firms?

In June 2023, two New York attorneys filed a brief written by ChatGPT, which included citations to six nonexistent cases and erroneous quotes. This was one among several high-profile incidents that highlight some of the risks of using artificial intelligence for legal professionals without strong oversight or scrutiny.

Even as generative AI continues to become more sophisticated and have fewer instances of “hallucinations,” there are still issues of inaccuracy, bias, discrimination, and confidentiality that loom especially large in the legal industry. Despite these challenges, AI will continue to transform the legal industry in fundamental ways, including how law firms are structured.

Bloomberg Law is an intelligent approach to legal AI

While large language models can increase efficiency, AI for legal professionals can also introduce significant risks. Lawyers must balance the benefits of utilizing AI with ethical, legal, and professional considerations.

Whether you’re considering using generative AI in your legal practice or advising clients on their risk, Bloomberg Law can help you navigate the legal and ethical risks of AI with confidence. Get the full picture of AI-related legal issues and professional best practices with our extensive Practical Guidance, news, and in-depth analysis of AI-related legal issues.

Watch our on-demand webinar on Generative AI and Legal Ethics for an overview of legal ethical concerns associated with using AI in the practice of law, including takeaways to balance the risks and benefits.

The nuances and challenges of AI aren’t new to us. For more than a decade, we’ve been perfecting the power of AI to help lawyers speed up and simplify legal tasks, and we understand that these advancements require an extraordinary level of testing and discernment. Request a demo to see how Bloomberg Law’s AI-powered tools and comprehensive coverage can transform your legal practice.

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