AI as a Legal Consultant
Exploring AI’s potential in legal matters
This week we’ll explore the use of AI to help us understand legal frameworks and concepts. While AI isn’t a replacement for human legal counsel, it can assist in exploring legal principles, learning about laws and regulations specific to your location, and draft preliminary legal documents for review.
A staggering 43% of lawyers at large law firms already integrate generative AI into their work, highlighting the growing role of LLMs in transforming the legal landscape. The legal field can be intimidating, especially for those without the resources or expertise to navigate it. AI presents new opportunities to streamline legal tasks and make legal information more accessible.
Keep in mind that the typical caveats apply here – always double check anything before you rely on the information for anything important. There's a big difference between using AI effectively and relying on it entirely - you don’t want to be like this guy!
Legal Learning Made Easy
AI is a fantastic tool for learning, and we can apply that to complex legal concepts. Let’s start with a basic but fundamental area – tort law. Most of us learn the basics of what you can and cannot do in society, but there’s almost certainly more to learn and understand about the laws that govern wrongful action in society.
📝 Example Prompt: Provide an overview of tort law along with a list of key areas of tort law that every American should understand.
The results will be straightforward, but I bet a quick read will result in learning something new. From here you can ask it to dive into each area that you want to know more about, especially those that might apply to you and your professional work.
You can also make this more relevant by bring geography into it. I asked GPT to provide more information specific to my residence in Virginia, and I thought the results were useful.
You could ask it for all sorts of legal areas that affect your personal life, such as family law, estate planning, consumer protection, personal injury, criminal law, and others.
Using AI to Navigate Business Laws and Regulations
Taking this one step further, let’s use AI to explore what it would take to start a local business in my hometown of Alexandria, VA.
I love a good crumpet, and I haven’t been able to find a good one locally, so let’s go with a bespoke crumpet bakery. I started by asking it to help me explore what a food-based business would entail here.
📝 Example Prompt: Help me understand necessary business laws in the city of Alexandria Virginia that I would need to consider before starting a crumpet bakerty business. I want to understand if this is a good city to incorporate and do business in compared to other alternatives nearby.
The results were solid, helping me understand what kind of licenses and whatnot I would need to obtain before being able to legally sell food. It also indicated that I might be covered under the “Virginia Cottage Food Laws” that include “Bakery products that don’t need to be refrigerated” which is good to know. Just in case though, it suggested that I look into local business bakery shared spaces and created a nice little interactive map for me to explore local results – pretty cool!
Again, before I actually went and started this businessI would want to do some additional research including Virginia’s official business website, but this is a nice way to explore and research options first.
Using AI-Powered Legal Research
Now that we know how to use AI Research tools, we can use them to search for specific due diligence and legal research. While this isn’t something a non-attorney may frequently need, it can be useful for deep-diving into legal topics.
AI research tools can assist by:
Analyzing large volumes of legal documents quickly
Finding relevant precedents and statutes
Summarizing key points from lengthy case law
Identifying potential counterarguments
The challenge here is that you’ll only be able to search on what is publicly available. To really explore in full, you’d need to access a proper legal database like LexisNexis, but it would still provide valuable preliminary insights.
Decoding Legal Jargon with AI
We’ve also covered how AI is great at summarizing and simplifying information, and a great use-case is to use it on complex legal agreements.
Who has the time to read through the terms and conditions that you accept before using a service? Let’s be real – you’re probably going to accept them if you want to use the service – but you also might want to take a few minutes to understand what you’re agreeing to first.
Use Gmail? Let’s explore the terms that you agree to by using their service (which you can find here). Create a new chat, reference this webpage, and ask AI to help you understand its contents.
📝 Example Prompt: I will provide a document or URL. Your task is to act as an expert in the subject matter covered by that source. Only use the source material—no outside knowledge. If something is unclear, say so instead of guessing. First summarize the contents and then I’ll ask questions: https://policies.google.com/terms?hl=en
I thought the output was useful!
This approach provides a concise understanding of your “deal” with Google (or any other service provider) without the hassle of wading through pages of legal jargon.
Legal Document Drafting: AI’s Role and Limitations
I hesitated to include this section, but I think it’s worth discussing—with a significant caveat: AI-generated legal documents should always be reviewed by a professional.
Some examples of straightforward legal documents that AI could help you with, from GPT, are below. Not sure I would recommend using AI for all of these, but to start the brainstorming process:
Personal Legal Documents
Will & Testament – Outlines how your assets will be distributed upon your death.
Living Will (Advance Directive) – Specifies your medical wishes if you're unable to communicate.
Power of Attorney (POA) – Grants someone authority to handle your financial or medical decisions if you're incapacitated.
Healthcare Proxy – Assigns someone to make medical decisions on your behalf.
Prenuptial or Postnuptial Agreement – If needed, to establish financial terms in marriage.
Family & Parental Documents
Guardianship Designation – Specifies who will take care of your child in case of an emergency.
Parental Consent Forms – For medical decisions, travel, or school-related matters.
Employment & Business Documents
Employment Agreement – If you ever hire employees or contractors for your side businesses.
Non-Disclosure Agreement (NDA) – Protects confidential information in business or real estate dealings.
Independent Contractor Agreement – If you hire freelancers or independent workers.
Real Estate & Tenant Documents
Lease Agreements – Outlines rental terms, tenant responsibilities, and landlord duties.
Eviction Notices – Legally required documents to remove a tenant if needed.
Lease Renewal Agreements – Extends an existing lease under new or similar terms.
Property Management Agreement – If you hire someone to manage your rental properties.
Notice to Enter Premises – Formal notice to tenants before entry for maintenance or inspection.
Security Deposit Return Letter – Details how and when deposits will be returned.
Property Sale Agreement – If you decide to sell a property without a realtor.
Financial & Tax Documents
Promissory Note – A loan agreement if lending or borrowing money.
Debt Settlement Agreement – If you need to settle debts.
LLC Operating Agreement – If you form an LLC for asset protection.
Partnership Agreement – If you enter into a real estate or business partnership.
📝 Tip: If you go this route, take the time to craft a detailed prompt. Provide AI with relevant details about your personal or business situation, location, and objectives.
If you go to a law firm with your AI document in hand, know that they might use their own templates instead of your AI’s format. Fair enough. However, AI can help draft a preliminary version, which could save time and money when consulting with an attorney.
Leave the complicated stuff to the professionals though. For instance, I wouldn’t try and set up a family trust without outside help (but I would spend an hour asking AI about all my options before going into the meeting).
Most importantly, AI doesn't carry malpractice insurance. If it makes a mistake, you're the one who bears the consequences.
Conclusion: Augmentation, Not Replacement
For businesses and individuals, AI offers a way to better understand legal concepts, prepare initial drafts, and come to attorney meetings more prepared. This can reduce costs and improve outcomes. For legal professionals, AI provides tools to work more efficiently, focus on higher-value activities, and potentially serve more clients at different price points.
Disclaimer: This blog post is for informational purposes only and does not constitute legal advice. Always consult with a qualified attorney for advice specific to your situation.
