By Doug Hargrove, Senior Vice President of Legal and Professional Services, OneAdvanced
Artificial intelligence (AI) is rapidly reshaping industries worldwide, and the legal sector is no exception. While AI offers immense opportunities to enhance efficiency, reduce manual effort, and improve client outcomes, its implementation must be approached with care. Striking the right balance between innovation and responsibility is key for law firms looking to harness AI's power to its full potential.
The Legal Trends Report 2025 reveals that only 10% of law firms have fully integrated AI, with another 16% exploring its applications. This cautious approach reflects understandable concerns, including risks of unreliable outputs, ethical challenges, and data readiness issues. However, a responsible, incremental approach to AI adoption ensures that firms can minimise risks, build trust, and take advantage of AI’s many benefits.
Addressing the concern
Despite AI’s potential, law firms face significant challenges when integrating it into their practice. A major concern is the reliability of AI-generated outputs—if the underlying data is flawed or biased, AI tools may produce inaccurate results. Additionally, 32% of lawyers feel they lack the expertise to implement AI effectively, highlighting a knowledge gap that can slow adoption.
Ethical considerations also weigh heavily on legal professionals. Ensuring AI does not replace human judgment in critical legal decisions, maintaining client confidentiality, and adhering to regulatory requirements are all crucial concerns. Furthermore, 23% of firms report that their data is not well-structured enough for AI use, raising questions about data readiness.
These concerns are valid but should not deter firms from adopting AI. Instead, law firms must take a measured and strategic approach, supported by training, governance, and careful selection of AI tools.
The benefits of responsible practices
AI is already proving valuable in various legal functions. Our research found that 33% of AI-using firms leverage it for document drafting and legal research, while 32% use it for eDiscovery. By reducing administrative burdens, AI allows legal professionals to focus on high-value tasks like case strategy and client advisory.
The University of Minnesota and University of Michigan have demonstrated how AI technologies can significantly enhance the quality and efficiency of legal work. Their study found quality improvements of 10% to 28% across varied tasks when lawyers worked with AI systems. This proves that, when used properly, AI can elevate legal practices to new levels without compromising their accuracy or integrity.
Erik Brynjolfsson, Director of the Stanford Digital Economy Lab, succinctly summarises the importance of collaboration with AI: "Lawyers working with AI will replace lawyers who don’t work with AI." Highlighting a fundamental truth about AI adoption. It’s not a question of whether AI should be used, but how it can be implemented responsibly while safeguarding the core values of the legal profession.
Best Practices for Implementing AI in Law
To fully harness the benefits of AI, firms must adopt deliberate strategies that prioritise responsibility, governance, and human oversight:
1. Integrate AI with human oversight
AI is not a replacement for legal expertise; instead, it is a powerful tool that augments it. AI can rapidly process and analyse vast amounts of data, but human lawyers must critically review AI-generated insights to ensure their accuracy and legal soundness. Law firms should establish workflows that blend AI-driven efficiencies with human judgment at key decision points.
Clear AI protocols are vital. The UK Judicial Office, for example, has emphasised that AI is expected to deliver a “better, quicker, and more cost-effective digital justice system”. This vision underscores the importance of combining the speed of AI with the analytical depth and discretion of human professionals.
2. Invest in training and education
With 32% of lawyers telling us a lack of expertise is a barrier; upskilling initiatives are crucial. Law firms should create training programs that ensure staff understand the capabilities, limitations, and ethical implications of AI technologies.
Workshops, partnerships with AI specialists, and online courses can demystify AI for legal professionals. Not only does this support seamless integration, but it also helps lawyers focus on high-value tasks such as case strategy and client advising. Upskilling fosters continuous professional growth and adaptability in an industry defined by innovation. Encourage lawyers and support staff to keep up to date with publishing from bodies such as The Law Society which aims to widen their resource offering this year to identify and address the risk, challenges and ethics of AI.
3. Enhance data governance and quality
AI relies on robust, structured data to produce reliable recommendations. However, a quarter of firms report their data lacks the quality needed for AI applications. Poorly structured or outdated data can lead to biased or inaccurate outputs, compounding risk instead of reducing it.
Firms must prioritise data governance to enable AI success. Cleaning and structuring datasets, auditing data frequently, and complying with data-specific regulations (e.g., GDPR) are vital steps. Governance structures should also ensure transparency, protecting client confidentiality and reinforcing trust.
4. Adopt incremental implementations
Implementing AI shouldn’t involve a wholesale transformation overnight. Instead, firms should take targeted approaches, introducing AI tools where they provide the most value.
For instance, a third of firms using AI employ it for document drafting and research, while another third uses it for eDiscovery. Automation of routine tasks, such as time capture or document assembly, allows lawyers to focus on strategic work. Starting small and scaling based on success enables firms to maintain control and evaluate AI’s impact effectively.
A study by the London School of Economics observed that while up to 44% of legal tasks can be automated, analytical and strategic decision-making will remain firmly in the hands of humans. By addressing repetitive tasks first, law firms can combine the power of technology with human expertise to deliver better client outcomes.
5. Build ethical and regulatory frameworks
AI adoption must revolve around ethical practices and adherence to industry regulations. Governance frameworks should address potential biases, ensure transparency in AI-driven decisions, and protect client confidentiality at all costs. Firms looking to understand best practice can look to recent publishing's such as “The Cambridge Handbook of the Law, Ethics and Policy of Artificial Intelligence”
Law firms must aim to stay ahead of regulatory developments. For example, Lord Chancellor Shabana Mahmood emphasised that “Artificial Intelligence has the capacity to radically improve the responsiveness and effectiveness of services and turbocharge economic growth. However, we must not let AI shape us – we must shape AI”. Industry bodies like The Judicial office, and The Law Society are actively working to influence policies for AI’s safe adoption. By aligning with these initiatives, firms can build AI policies that instil confidence and reflect sector-wide best practices.
AI as an asset, not a threat
The legal sector faces an unprecedented opportunity to bolster its capabilities with AI. Concerns about reliability, bias, and ethics are valid, but they should drive caution—not avoidance. By addressing these challenges directly, law firms can transform AI from a potential risk into a powerful ally.
AI is not here to replace lawyers but to make them more efficient, insightful, and client focused. Legal professionals who adopt AI responsibly will lead the way in creating a more innovative and responsive legal system. With careful governance, data integrity, and focused training, firms can ensure that they use safe, secure, and compliant AI that empowers the legal industry to thrive well into the future.
By taking deliberate and measured steps today, law firms will position themselves as leaders in an AI-driven tomorrow. Those who combine technology’s potential with ethical, human-centred practices will define the next great chapter in the legal profession.