GenAI, in practice, complements rather than replaces human expertise.
300,000,000. In words: 300 million. That's the staggering number of jobs Goldman Sachs predicts could be lost or transformed in the coming years due to the rise of generative artificial intelligence, commonly referred to as genAI. GenAI mimics human intelligence processes using computerized systems by analyzing datasets to find patterns and make predictions depending on the task. However, an unexplored gap in this broad discussion remains: Will generative AI ever replace lawyers?
Earlier this year, Clayton Utz, a leading Australian big-6 law firm, announced their pioneering use of AI to revolutionize legal operations. By leveraging advanced technologies such as OpenAI, and Lexis+AI, the firm aims to automate a wide range of legal tasks including generating documents like client advice and certain court filings, significantly reducing manual workload and enhancing time-efficiency. This adoption of genAI reflects major law firms’ commitment to delivering efficient client service and staying at the forefront of innovation in the legal sector.
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Ashurst, a fellow big-6, emphasized in their 2023 report the crucial role of General Counsels (GCs) and in-house counsels in guiding organizations through AI's impact. They claim that counsels focus on ensuring ethical compliance, transparency, and rigorous supervision in AI processes to mitigate biases and ensure accuracy. Despite AI's efficiency gains, GCs stress the need for "human in the loop" to manage errors and unexpected outcomes effectively.
Lander & Rogers also integrated AI, employing tools like Microsoft Copilot for tasks such as contract drafting and composing thousands of emails on a day-to-day basis within their non-law business development group's AI lab. A UK magic circle firm, Freshfields Bruckhaus Deringer, faced a critical task under new British healthcare bribery laws to accurately and time-efficiently review thousands of pages of contracts. Many such contracts had clauses that posed potential legal risks and liabilities. For this challenge, they used genAI softwares under direct human supervision of experienced lawyers and efficiently identified key clauses and such risks, to extract and analyze data from contracts in different languages.
The genAI softwares looks all set to revolutionize the industry, enhancing productivity and transforming traditional legal practices. According to Goldman Sachs, 44% of current legal tasks could be automated by AI, underscoring its potential as a productivity tool. However, there are several foundational legal skills that generative AI has yet to master, including oral communication, building client relationships, emotional intelligence, and the independence required for negotiation and judgment. GenAI, in practice, complements rather than replaces human expertise. It excels at routine tasks and data processing, but complex legal work requires human skills such as judgment, emotional connection, strategic thinking, and on-the-spot decision-making. Lawyers can utilize AI to streamline workflows, thereby making more time for client interaction, negotiation, and high-level strategic roles that are uniquely suited to human professionals. As AI evolves, lawyers will increasingly focus on higher-value tasks and innovation, empowering junior lawyers, paralegals, and assistants to work on more strategic roles early in their careers. Global law firms of all scales now have introduced legal technology solutions and AI regulation into their practice. Evidently, the subtle distinction between an average lawyer and a great lawyer in the new-age is how well they can use AI in their everyday legal practice efficiently in their favor.
In today's legal landscape, mastering AI isn't merely about competitiveness—it's about reshaping the essence of legal excellence. The strategic adoption of genAI is poised to increase the demand for lawyers who can harness its unfathomed capabilities. Google CEO Pichai endorsed this argument, suggesting that while AI may bring unforeseen impacts, the legal profession will likely see growth in the coming years. Law schools, firms, and corporations worldwide, including those in Nepal, should prioritize teaching and integrating genAI into their practices, albeit with some guardrails in place.
