AI in Practice: Governance, not gadgets
The debate around artificial intelligence in legal practice has moved on remarkably quickly. A year ago, many firms were deciding whether generative AI had a place within their business. Today, the more pressing question is whether governance arrangements have kept pace with its adoption. Regulators are increasingly focused not on whether firms use AI, but on how they supervise it and manage the associated risks.
For many firms, AI is already supporting document review, legal research, drafting and administrative tasks. The efficiencies are obvious, particularly as firms seek to improve productivity and control costs. However, responsibility for the final work product remains with the solicitor and firm. Existing SRA obligations apply regardless of whether work is produced by a fee-earner or assisted by technology.
One of the most significant compliance risks is overreliance on AI-generated content. Generative AI can produce highly persuasive outputs, but it can also generate inaccurate analysis, fictitious authorities and incomplete advice. Recent scrutiny of AI-related errors demonstrates that technology can support professional judgement, but it cannot replace it. The more capable these systems become, the more important effective human oversight becomes.
Confidentiality remains another key concern. Firms must understand what information is being entered into AI systems, where data is stored and how it may be used. Client confidentiality and data protection obligations are unchanged, meaning compliance teams should apply the same level of scrutiny to AI providers as they would to any other outsourced service.
For COLPs, COFAs and management teams, the priority should be governance rather than procurement. The real question is not whether a product can save time, but whether the firm has appropriate policies, training, supervision and accountability to support its use. Compliance professionals should resist viewing AI as simply a technology project. It is fundamentally a risk management issue, and the firms that will prosper will be those that embrace innovation without losing sight of their regulatory obligations.
How Compli can help…
The Compli Solicitor Regulatory and Professional Discipline Team can provide expertise and advice on risk and compliance, AML, disciplinary assistance etc. If we can help in any way, please get in touch at compli@weightmans.com