Artificial Intelligence and Generative AI: A New Era for Legal Professionals

Author:  Muhammad Azly Haziq Sazali  & Mohd Ashraf Ramli

Artificial intelligence (AI) has rapidly evolved, revolutionizing various industries. The legal sector, even though usually seen as a bastion of tradition, is no exception. One particularly transformative subset of AI is generative AI, which empowers machines to create new content, such as text, code, or even images. This article delves into the potential of AI, in particular generative AI, in enhancing the capabilities of legal professionals and streamlining legal processes.

Understanding AI

At its core, AI refers to the development of computer systems capable of performing tasks that typically require human intelligence. These tasks encompass a wide range of activities, including learning, reasoning, problem-solving, perception, and language understanding. AI systems are designed to analyze vast amounts of data, identify patterns, and make informed decisions, capable of surpassing human capabilities in terms of speed and accuracy.

The Rise of Generative AI

Generative AI is a subset of AI and is a learning model that produces outputs (this can be text or images or sound) when given a prompt. The outputs are based on probabilistic modelling applied to a set of underlying data. The AI learns from the aggregate underlying data and generates content, which in the context of the legal sector, includes legal documents, contracts, or even persuasive arguments, based on the data it is fed. It is generally trained over a large corpus of data, by recognising relationships between syntax.

Applications of AI and Generative AI in the Legal Field

The integration of AI and generative AI into legal practice offers numerous benefits, including but not necessarily limited to:

• Enhanced Legal Research: AI-powered tools can swiftly analyze vast legal databases, identify relevant case law, and extract key information. This significantly reduces the time spent on research, enabling legal professionals to focus on strategic analysis and client consultation.

• Automated Document Review: Generative AI can automate the review of large volumes of documents, such as contracts, discovery materials, or regulatory filings. By identifying key clauses, potential risks, and compliance issues, AI can streamline the review process and reduce the likelihood of errors.

• Predictive Analytics: AI algorithms can analyze historical data to predict future trends and outcomes in legal cases. This enables lawyers to make more informed decisions, anticipate potential challenges, and develop effective strategies.

• Intelligent Contract Drafting: Generative AI can assist in drafting legal documents by generating initial drafts, suggesting clauses, and flagging potential issues. This not only saves time but also ensures accuracy and consistency in contract language.

• Client Communication and Service: AI-powered chatbots and virtual assistants can provide timely and accurate information to clients, answer frequently asked questions, and schedule appointments. Moreover, generative AI can also assist in the drafting of emails and the generation of reports. By providing timely and informative updates, this enhances client satisfaction and frees up legal professionals to focus on complex legal matters.

Current Legal Stand on the Use of Generative AI for Legal Documents Globally

• European Union: The use of generative AI in legal submissions is subject to the broader regulatory framework established by the AI Act. While judges may allow the use of AI tools for drafting purposes, they emphasize the importance of human oversight. Legal practitioners must ensure that any AI-generated content adheres to the standards set forth in the AI Act, particularly regarding high-risk applications. Courts may require lawyers to certify the accuracy of AI-generated materials before submission.

• United States: Some courts have issued specific guidelines or orders regarding the use of AI in legal filings; at least one federal judge in Texas initially considered banning the use of AI in his courtroom altogether, but ultimately decided to permit lawyers appearing in cases before him to use AI provided that such lawyers certify that AI-generated filings were verified by a human being. That said, American legal professionals are generally expected to exercise caution and ensure the accuracy and reliability of AI-generated content.

• Malaysia: There is currently no binding legal framework governing the use of generative AI in general. Be that as it may, the Malaysian Ministry of Science, Technology and Innovation has published the National Guidelines on AI Governance and Ethics targeting AI end users, policy makers, developers, designers, technology providers, and suppliers. Such guidelines set out seven AI principles, namely:- i. Fairness;

  ii. Reliability, safety, and control;

  iii. Privacy & security;

  iv. Inclusiveness;

  v. Transparency;

  vi. Accountability; and

  vii. Pursuit of human benefit and happiness. From the perspective of a Malaysian legal professional, among the principles especially relevant for legal submissions would be transparency and accountability. Indeed, similar to the practice in the European Union and the United States, Malaysian legal professionals may declare that they have used AI in making their legal documents if they are so required. In addition, they as always are required to exercise caution and ensure that any AI-generated content is thoroughly verified for accuracy and compliance with existing laws, as per the principle of accountability.

Ethical Considerations and Future Implications While AI and generative AI offer significant advantages, it is crucial to address ethical considerations and potential challenges. These include:

• Data Privacy and Security: Legal professionals must ensure that AI systems handle sensitive client data responsibly and comply with data protection regulations.

• Bias and Fairness: AI algorithms can perpetuate biases present in the training data, leading to unfair or discriminatory outcomes. It is essential to develop AI systems that are unbiased and promote fairness.

• Job Displacement: As AI automates certain tasks, there is a concern that it may lead to job displacement for legal professionals. However, AI is more likely to augment human capabilities rather than replace them entirely.

Conclusion

AI and generative AI are reshaping the legal landscape, offering unprecedented opportunities for legal professionals to enhance their efficiency, accuracy, and decision-making capabilities. By embracing these technologies, lawyers can deliver higher-quality services, improve client satisfaction, and stay ahead in an increasingly competitive market. As AI continues to evolve, it is imperative for legal professionals to adapt and leverage its potential to drive innovation and success in the legal industry.