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Law

Legal Tech

The legal industry is under enormous pressure to improve efficiency and reduce costs. AI is changing how law firms and legal departments work – from contract review to client communication.

Learn how artificial intelligence accelerates legal processes, minimizes risks, and ensures quality.

01 Industry challenges.

The legal sector is under considerable pressure to improve efficiency and reduce costs. Traditionally labor-intensive tasks such as contract review, legal research, and compliance monitoring tie up enormous resources. At the same time, clients expect high-quality and fast legal advice. Law firms and legal departments face many challenges:

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  • Data deluge and information overload : Legal departments and law firms are confronted with a constantly growing volume of documents and data that are difficult to process manually. Especially during due diligence, reviewing large data rooms is extremely time-consuming.

 

  • The complexity and dynamism of legislation : Ongoing changes in laws and regulations necessitate continuous adaptation of legal advice. Maintaining an overview of the multitude of legislative proposals at the national, European, and international levels is virtually impossible.

 

  • Skills shortage and high workload : The shortage of qualified lawyers and the increasing workload make it difficult to provide high-quality services efficiently.

 

  • Acceptance and integration of new technologies : In the traditionally conservative legal sector, the introduction of AI systems often encounters resistance within law firms, especially when there is a lack of training and willingness to change.

02 How AI can help.

AI plays an essential role in overcoming these challenges. By strategically using new technologies, legal departments and law firms gain time for strategic and complex tasks that create real added value for clients. AI can support law firms and legal departments in a wide range of ways:

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  • Automation of repetitive tasks : AI can automate time-consuming routine tasks such as contract review, document creation, and invoicing, freeing up resources for more strategic activities.

 

  • Intelligent data analysis : By using AI, large amounts of data can be efficiently analyzed to recognize patterns, identify risks and make informed decisions, for example when conducting due diligence.

 

  • Knowledge management : AI systems can continuously monitor changes in laws and regulations. Furthermore, Retrieval Augmented Generation (RAG) can make better use of the comprehensive data foundation in law firms and legal departments.

 

  • Optimizing client communication : Chatbots and virtual assistants can make communication with clients more efficient, for example by automatically formulating replies to emails.

03 Use cases and stakeholders.

The legal tech market is represented by a large number of players. Law firms and legal departments need to carefully select their partners and thoroughly evaluate potential use cases.

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  • Contract analysis : Law firms can use AI applications to review contracts for relevant clauses, risks, and deviations, thereby accelerating due diligence. Filevine, Hebbia, Luminance, and other providers enable law firms and legal departments to quickly and accurately analyze large volumes of data.

 

  • Document creation : AI can intelligently fill out templates or generate drafts for legal documents and contracts. By using AI, providers like Harvey, Bryter, and RA-Micro increase the efficiency of law firms and legal departments.

 

  • Research : Tools like vLex, Claid Legal, or Legora enable fast and precise legal research by analyzing relevant case law and literature. While access to some content (e.g., Beck-online) is restricted, these applications still provide a good starting point for exploring legal topics.

4 Challenges in the implementation of AI.

Law firms and legal departments often struggle with the implementation of AI or other new technologies. Common stumbling blocks include the following:

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  • Data quality and accessibility : Unstructured or difficult-to-access data can impair the effectiveness of AI systems. In many law firms, documents are stored only in analog form, templates are scattered across private drives, and emails are archived in an unstructured manner.

 

  • Legal and ethical hurdles : The use of AI raises questions about liability, data protection, and transparency that must be carefully addressed. Particularly in sensitive industries with high demands on confidentiality and information security, companies often prefer to avoid digitization projects for data protection reasons.

 

  • Costs and resources : Implementing AI systems requires investment in technology and training, which can be a challenge for smaller law firms or departments.

 

  • Acceptance within the team : Resistance to change and a lack of training can hinder the successful introduction of AI technologies in the mostly conservative legal sector.

05 How we support you.

Let Sefilex support you in overcoming the obstacles. We help you to use AI in your law firm or legal department in a targeted and profitable way.

  • Analysis and consulting : We evaluate existing processes in your law firm or legal department, identify potential for AI use and develop tailor-made solutions for you.

 

  • Implementation : We support the selection and integration of suitable AI tools to ensure seamless adaptation to existing systems.

 

  • Training and change management : Through targeted training programs, we promote acceptance and empower your team to use AI technologies effectively.

 

  • Legal advice : We provide support in complying with legal requirements and ethical standards when dealing with AI.

 

  • Continuous optimization : We offer ongoing support to ensure that your AI solutions remain up-to-date and efficient.

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