Is It Too Early to Adopt AI in Law?
- Yashar Daf
- Sep 21
- 4 min read
Short answer: no. It’s too early to outsource judgment to AI but it’s too late to ignore it. The firms winning right now are treating AI like email in the 90s: adopt early, govern hard, measure impact, and keep humans accountable.
In this article, I want to step back and analyze this question deeply. I’ll look at adoption trends, regulatory guidance, where AI is ready today (and where it isn’t), and the practical playbook I recommend for firms. My perspective comes from working closely with legal professionals and regulators who are wrestling with these very questions in real time.
The timing question (what the data says)
Adoption is real but uneven. Clio’s 2024 Legal Trends Report reported a dramatic jump in firms using AI (from ~19% to ~79% year over year), signaling a mainstream shift—especially among small and midsize practices. (Clio) At the same time, the ABA’s 2024/2025 TechReport finds lawyers are concentrating AI on specific, bounded tasks (drafting aids, research support, transcription/summary), not end-to-end lawyering—which is exactly where the maturity curve should be. (American Bar Association)
Costs and incentives are aligning too: large firms are investing heavily in genAI while rates and expenses rise, indicating AI is being funded as an operational priority rather than a side experiment. (Reuters)
The regulatory ground is already moving
Ethical competence: U.S. lawyers have a duty of technological competence under Model Rule 1.1 (Comment 8), adopted in most states; this frames AI as something you must understand well enough to use—or decline—competently.
Canada (Ontario focus): The Law Society of Ontario’s April 2024 White Paper offers concrete guidance, checklists, and a quick-start for responsible AI use tied to existing conduct rules (confidentiality, supervision, advertising, etc.).
UK: The Solicitors Regulation Authority emphasizes confidentiality, privilege, and data protection when adopting AI; the Law Society has practical “essentials.”
EU: The EU AI Act entered into force in August 2024 with phased obligations through 2025–2026, signaling where risk-based compliance is headed—even for non-EU firms touching EU matters.
Courts: After high-profile hallucination incidents (e.g., Mata v. Avianca), several judges now require disclosure or certification of AI use; others are clarifying limits on AI-drafted evidence. Expect more local rules—not fewer.
Closer to home: Canadian bar regulators have investigated AI misuse (e.g., fake case citations), underscoring the “verify everything” doctrine.
Implication: “Too early” isn’t the right frame. The rules of engagement already exist: use AI, but stay within your existing duties of competence, confidentiality, supervision, and candor.
Where AI is ready today (and where it isn’t)
High-confidence, low-regret uses (start here):
Summarization & transcription (depositions, discovery, medical/AB records): accelerates throughput without replacing analysis; easy to verify against source.
Search & retrieval augmentation: faster document and precedent triage; still requires lawyer validation.
Drafting helpers & proofreading: structure, clarity, issue-spot prompts—with human edits and citations verified by you.
Proceed carefully (pilot under stricter controls):
Factual or legal conclusions without citations (hallucination risk).
Client-specific predictions or “credibility scoring.” Treat as experimental analytics unless validated with clear methodology and client consent where appropriate. (Regulators flag bias, transparency, and explainability concerns.)
The real risks (and how to control them)
Confidentiality & privilege: Don’t paste sensitive matter data into tools that train on inputs or store data offshore without safeguards. Use enterprise controls, DPAs, retention limits, and encryption at rest/in transit. (LSO/SRA guidance)
Accuracy & hallucination: Require human verification of cases, quotes, and record cites; log reviews; forbid “AI cites” that you haven’t independently found. (Courts have sanctioned for this.)
Supervision: Treat AI like a non-lawyer assistant , define permissible uses, train staff, and document oversight.
Disclosure: Know when disclosure is required (by judge, client agreement, or your own policy). Keep a template disclosure and certification on hand.
Cross-border compliance: If you handle US/CAD/EU data/clients, map AI uses to AI Act risk tiers and data-protection rules.
A pragmatic adoption playbook (crawl → walk → run)
Crawl (0–30 days): governance & guardrails
Adopt an AI Use Policy tied to your existing duties: scope of uses, verification steps, forbidden uses, logging, disclosures.
Vendor due diligence: data handling (training/no-training guarantees), residency, retention, audit logs, SSO/MFA, encryption, breach terms. (Map to your jurisdiction—PHIPA/PIPEDA/GDPR as relevant.)
Court & client readiness: maintain a live tracker of jurisdictions and judges with AI rules; prep disclosure language and a verification certificate.
Walk (30–90 days): measurable pilots
Pick 2–3 well-bounded use cases (e.g., transcript/record summaries; drafting first-pass memos; proofreading). Define a verification checklist and a ground-truth set for comparison.
Measure: cycle time per task, cost per matter, citation error rate, and lawyer time reallocation.
Train & supervise: short playbooks, red-team exercises for hallucinations, quarterly refreshers; partner sign-off remains mandatory.
Run (90–180 days): operationalize
Integrate with DMS/knowledge systems for secure retrieval-augmented workflows and auditable source links.
Codify “verification before filing” as a mandatory step, with automated checklists and sign-offs.
Expand responsibly to higher-value tasks (issue spotting, chronology building, limited drafting) after pilots show stable quality.
What good looks like (signals you’re doing it right)
There’s a published AI policy; staff can explain it in plain English.
Matter teams know exactly which tasks may use AI and how they must be verified.
You can show before/after metrics (turnaround time, realization rate, lawyer hours reallocated to higher-value work).
Clients are not surprised by your AI practices and your engagement letters clarify cost treatment and verification.
So…is it too early?
It’s too early to treat AI as a replacement for legal judgment. It’s not too early to use AI to remove drudgery, reduce cycle time, and improve quality and under a policy, with verification, and within existing professional duties. The firms that wait for “perfect” guidance will find themselves competing against those that quietly built capability, discipline, and trust.
References:
Clio 2024 Legal Trends Report
ABA TechReport 2024/2025 (AI adoption and competence)
Model Rules of Professional Conduct, Rule 1.1 Comment 8 (technological competence)
Law Society of Ontario White Paper on Generative AI (April 2024)
Solicitors Regulation Authority (UK) guidance on AI use
The Law Society of England and Wales – “AI and the Legal Profession: Practical Essentials”
EU AI Act (entered into force August 2024, phased obligations 2025–2026)
Mata v. Avianca (Southern District of New York, 2023) – sanctions for AI-generated fake cases
Federal and state court AI disclosure orders (U.S., 2023–2024)
Canadian bar regulator investigations into AI misuse (fake citations)
Australian case law examples on AI citations (2023–2024)
U.S. insurance market commentary on professional liability and AI coverage (2024)




Comments