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Generative AI in Law: A New Survey of Lawyer Perspectives and Plans

Stacked3Here is a recent Daily Record column. My past Daily Record articles can be accessed here.

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Generative AI in Law: A New Survey of Lawyer Perspectives and Plans

Have you recently heard the term “ChatGPT” or “generative AI” and wondered what they were? Or maybe you’ve read one or two of my recent columns and have a general sense of what this technology is and what it does. 

But are you using it in your day-to-day workflow? If the answer is “no,” according to a recent survey from the Thomson Reuters Institute, you’re not alone.

Last week Thomson Reuters released a report on the survey, ChatGPT and Generative AI within Law Firms. The report covered the findings from the survey and highlighted the views of legal professionals on this new technology, including their understanding of the risks and benefits. The survey was conducted in March 2023, and the survey respondents consisted of 443 legal professionals from midsize and large firms located in the United States, United Kingdom, and Canada.

According to the Report, the vast majority (91%) of legal professionals are aware of generative AI tools like ChatGPT. Large law firm respondents are the most familiar with the concepts (93%) compared to those from midsize firms (90%).

Not surprisingly, the technology is viewed with skepticism, with approximately 15% of those surveyed reporting that their firms cautioned employees against unapproved generative AI utilization in the workplace. Another 6% mentioned a complete ban. A marginally higher percentage of large law firms (10%) prohibited unauthorized usage compared to midsize law firms, which stood at 4%.

The survey also addressed generative AI adoption levels in law firms, and very few respondents reported that these tools are currently being used in their firms. A mere 3% of those surveyed reported that generative AI is presently employed at their firms. Another one-third of respondents shared that their firms were contemplating its adoption. Notably, 60% of those surveyed indicated that their firms have no immediate intentions to incorporate generative AI into their operations.

Notably, when asked if it could be used for legal work, 82% agreed.

Interestingly, however, the respondents had very different views as to whether generative AI  should be applied to legal work as opposed to non-legal work. They were much more inclined to think it should be used for non-legal work, with nearly three-quarters believing that (72%). But only half (51%) felt that it should be used for legal work. 

Partners had different views than associates as to whether it should be used for legal work, with 59% of partners and managing partners concluding that generative AI should be applied to legal work. In comparison, only 52% of associates and 44% of other attorneys in the firms agreed with that assertion.

In other words, the results seem to indicate that legal professionals tend to be more likely to agree that generative AI should be used to replace or otherwise impact the work performed by those who work for them.

A small minority of respondents are actually using this technology, with 3% of respondents confirming that they currently use generative AI or ChatGPT for law firm operations. An additional 2% said they are actively planning for its use. About one-third of respondents (34%) are still in the consideration phase for generative AI and ChatGPT, and 60% have no current plans to add generative AI to their firm’s IT stack. 

The survey data also showed that only 3% of U.S.-based law firms currently use generative AI or are planning to use it. 64% of respondents from U.S. firms shared that there were no plans to implement generative AI.

Overall, law firm partners seemed to be the most willing to consider adopting the technology into their firms. Forty percent of partners surveyed expressed that they were weighing the decision to utilize the technology, compared to 28% of associates. Notably, over two-thirds (67%) of associates stated they did not intend to employ generative AI, in contrast to 54% of partners or managing partners who shared a similar sentiment.

One reason for the reluctance to immediately utilize generative AI in law firms is risk aversion. According to the report, the majority of respondents, 62%, shared that there were concerns about the risks of using generative AI.

So, while awareness of generative AI tools like ChatGPT is high, implementation and acceptance within law firms remain low. As the legal landscape evolves and generative AI technologies mature, perspectives will change and adoption rates will undoubtedly increase over time, just as they did for email, social media, and cloud computing. 

However, the change will occur much more rapidly than ever before due to the exponential rate of technological advancements in AI on the horizon. At this pivotal moment in time, it’s important to recognize this inevitable shift by embracing innovation and fostering a culture of continuous learning. 

In other words, there’s no better time than now to remain curious about new technologies like ChatGPT. Is your law firm ready for the AI revolution?

Nicole Black is a Rochester, New York attorney, author, journalist, and the head of SME and External Education at MyCase  law practice management software, an AffiniPay company. She is the author of the ABA book Cloud Computing for Lawyers, co-authors the ABA book Social Media for Lawyers: the Next Frontier, and co-authors Criminal Law in New York, a Thomson Reuters treatise. She writes legal technology columns for Above the Law and ABA Journal and speaks regularly at conferences regarding the intersection of law and technology. You can follow her on Twitter at @nikiblack or email her at [email protected].


The Legal Software Shift: Recent Report Highlights Efficiency and Flexibility Gains

Stacked3Here is a recent Daily Record column. My past Daily Record articles can be accessed here.

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The Legal Software Shift: Recent Report Highlights Efficiency and Flexibility Gains

Technology is advancing at a rapid clip, and keeping up isn’t easy, especially when you’ve got a busy caseload to manage. When faced with looming court deadlines, constant client phone calls, and an overflowing inbox, the prospect of incorporating new technologies into your daily workflow can sometimes seem daunting.

Fortunately, new technologies are increasingly user-friendly and it’s easier than ever to implement new software tools into your law firm. The results of a recently released legal industry report confirm this premise and show that legal professionals are embracing new technologies and reaping the benefits.

According to data from the MyCase and LawPay 2022 Legal Industry Report, lawyers are taking advantage of cloud computing tools at rates never before seen. The survey data indicated that 80% of the legal professionals reported that their firms now use cloud-based legal software, and 47% invested in cloud-based remote working tools within the past year. The top remote working tools invested in by law firms were: video conferencing (73%), e-signature (60%), communication software (42%), billing software (34%), and law practice management software (32%).

Another way that lawyers are using technology is to increase payment flexibility for their clients thus ensuring prompt payment of legal bills. Data from the Report indicated that 80% of law firms now accept online payments via credit card or e-check, and 75% rely on legal-specific payment processing tools to collect payments. Notably, 61% of the legal professionals surveyed reported that their firms collected more money as a result of using online payment processing software, and the collection rates for firms that accepted online payments were nearly 10% higher than those that didn’t.

Similarly, the data showed that the turnaround time for receiving payment was reduced when online payments were accepted. For starters, according to the data, firms that accepted online payments received invoice payments 32% faster than those that didn’t users. 

The same was true for consultation fees, with 26% of firms using online payments reporting that the turnaround time was reduced by 2-5 days, and 13% shared that it was reduced by more than five days. Firms that accepted online payment for consultation fees also collected additional money over the period of one year than those that didn’t to the tune of $12 million more.

The data also showed that law firms are increasingly offering clients multiple ways to pay legal fees, with 49% of respondents sharing that their firms offer or would consider offering their clients the ability to pay legal fees using legal fee loans. Another 65% provide clients with the option to set up payment plans for legal fees. 

Finally, the Report included data on how much customization legal professionals seek in their firm’s primary operating software, such as law practice management or project management software. The top features that the respondents sought to have included in their primary operating software were time tracking and billing (65%), calendar management (59%), document management (54%), online payment processing (47%), email management (38%), e-signature (31%), and task management (29%).

In comparison, the top tools that law firms chose to integrate with their primary operating software included: email (45%), document storage (43%), accounting (29%), and document automation (23%). 

Finally, data from the Report showed that the top functions that firms outsourced rather than handling within the firm were: website maintenance (53%), website development 52%), email marketing (35%), and accounting (33%).

No matter how you look at it, one thing is clear: the legal industry is in the midst of a transformative shift that is revolutionizing the way legal professionals work and deliver legal services. This Report highlights not only the increased efficiency and flexibility that technology offers legal professionals but also the broader implications of this impactful transition. 

Legal professionals navigating the technology landscape must adapt to these emerging trends or risk falling behind. In other words, for lawyers seeking to maintain a competitive edge, embracing the potential of legal technology is no longer optional; it’s a necessity.

Nicole Black is a Rochester, New York attorney, author, journalist, and the head of SME and External Education at MyCase  law practice management software, an AffiniPay company. She is the author of the ABA book Cloud Computing for Lawyers, co-authors the ABA book Social Media for Lawyers: the Next Frontier, and co-authors Criminal Law in New York, a Thomson Reuters treatise. She writes legal technology columns for Above the Law and ABA Journal and speaks regularly at conferences regarding the intersection of law and technology. You can follow her on Twitter at @nikiblack or email her at [email protected].