Unlocking the potential of AI for English law

This paper discusses how digital technologies including artificial intelligence (AI) reshape the work of lawyers and the organisations that they work for. We overview how AI is being used in legal services, and identify three distinct impacts: AI substitutes automatable legal tasks; AI enhances productivity of lawyers giving advice on the basis of AI-generated outputs; and legal expertise itself augments the deployment of AI when lawyers work as part of a multi-disciplinary team (MDT) encompassing a range of relevant professional expertise. Our survey of English solicitors shows that AI deployment is associated with MDTs, and that MDTs are less prevalent in law firms than in corporations. This latter finding is due to challenges that law firms face as mono-professional partnerships. We find evidence from our interviews that their challenges lie not so much in capital constraints, relaxed via alternative business structures in the UK, but in traditional law firms' inability to recruit and retain talent other than those in the legal profession. Inadequate adaption is occurring in law firms shifting their structure from a funnel shape to a rocket shape with junior lawyers in partnership tournament working alongside a growing number of non-lawyers whose career paths offer no prospect of partnership.