The New Era of Law: The Integration of AI and LegalTech

On October 26, IE Law School hosted the "Lawyering in the Age of the Acceleration of

Technology" practitioner workshop featuring Prof. Dr. Larry DiMatteo. Dr. DiMatteo

provided invaluable insights into how LegalTech and artificial intelligence (AI) are

revolutionizing the practice of law.

Read my abbreviated, published article for IE University here: https://lawtomation.ie.edu/news-events/2022/11/into-the-new-era-of-law-why-should-you-care-about-the-evolution-of-ai-and-legaltech/

LegalTech encompasses technology and software designed to deliver legal services or

support the legal industry. AI-powered tools are reshaping the legal landscape by generating

and reviewing documents, automating online legal advice systems, and even serving as

virtual lawyer substitutes. Dr. DiMatteo highlighted a notable example of AI’s potential: the

DoNotPay app, the world’s first robot lawyer. This application empowers users to fight

corporations, beat bureaucracy, and sue anyone at the press of a button.

While the disruption AI brings to traditional legal practice may seem daunting, Dr.

DiMatteo’s presentation sought to balance apprehension with optimism. He emphasized that

understanding technology is essential for legal professionals to anticipate changes, overcome

challenges, and seize new opportunities in the field.

Dr. DiMatteo underscored LegalTech’s capacity to enhance the efficiency and quality of

lawyers’ work. He remarked, “Not only will you do your job faster, you will do it better. You

can’t look away anymore.” He also warned that adopting AI tools is not optional for

competitive firms: “If you don’t do it, your competitor is going to do it. They will offer

services at a lower cost.” Legal software can streamline legal research, saving hundreds of

hours, and produce more precise, robust legal contracts.

However, Dr. DiMatteo acknowledged challenges in the global adoption of LegalTech,

particularly the uneven pace of technological advancement across regions. The UK and US

lead in the LegalTech sector, while continental Europe lags behind due to diverse legal,

cultural, and institutional frameworks. These disparities complicate the implementation of AI

and LegalTech for lawyers, avocats, and notaries in Europe.

With any significant transformation comes inherent risks. Dr. DiMatteo highlighted the

widening gap between large and small law firms as a significant concern. Larger firms benefit

from extensive data sets and greater resources to invest in AI. Additionally, AI introduces

ethical dilemmas, including issues surrounding competence, confidentiality, malpractice, and

the replication of human biases by algorithms. Privacy laws and taxation considerations also

play critical roles in integrating AI into legal practice.

When asked about LegalTech’s impact on traditional legal roles and the resulting conflicts,

Dr. DiMatteo was candid: “Technology is disruption. In the future, the nature of law firms has

to change. They will need both lawyers and technicians.” He urged lawyers to embrace

technological expertise in their practice, warning against ignorance. “The solution lies in the

re-regulation of the legal field,” he concluded, advocating for an adaptive approach to

technological integration.

The workshop provided an eye-opening perspective on how technology is reshaping the legal

profession, offering both challenges and opportunities for the next generation of lawyers.