My Two Cents: The White House's New Ai Guidelines: What Lawyers Need To Know!

The recent unveiling of the White House's new artificial intelligence (AI) guidelines marks a pivotal moment in the regulation and oversight of AI technologies. This follows from our previous discussion when the White House first announced its AI directive last October. As these guidelines aim to shape the development, deployment, and governance of AI systems, it's essential for legal professionals to grasp their implications. These guidelines are not just a framework for ethical considerations but also set the stage for future regulatory actions that could significantly impact various industries and legal practices.

At their core, the new AI guidelines are designed to ensure that AI technologies are developed and used in a manner that is ethical, transparent, responsible, and aligned with the public interest. They underscore the importance of protecting citizens' rights while fostering innovation and economic growth. For lawyers, this means a careful navigation through emerging legal landscapes shaped by these principles.

One of the key aspects highlighted by these guidelines is accountability. Developers and users of AI systems are encouraged to implement mechanisms that ensure responsibility for the outcomes of these technologies. This includes establishing clear lines of oversight for AI systems' deployment and operation. For lawyers advising companies in tech or other sectors employing AI technologies, this necessitates a thorough understanding of how accountability measures can be integrated into business practices to comply with these new standards.

Lawyers need to learn how AI will impact their practice!

Privacy protection is another critical element addressed by the guidelines. With AI systems often relying on vast amounts of data, including personal information, ensuring privacy compliance becomes paramount. Legal professionals must be adept at navigating both current data protection laws and understanding how these new guidelines augment those protections, specifically in relation to AI usage. This includes advising clients on data minimization practices and consent mechanisms that align with both existing laws and future expectations set forth by these guidelines.

Transparency around how AI systems operate also receives significant emphasis in the White House's framework. The call for understandable explanations about how decisions are made by or with the assistance of AI poses unique challenges for compliance but also opportunities for innovation in explainability methods. Lawyers will need to guide clients on documenting decision-making processes clearly enough that they meet regulatory standards without compromising proprietary technology or methodologies.

Moreover, as these guidelines stress ethical considerations such as fairness and non-discrimination in AI applications, legal practitioners must be vigilant about potential biases inherent in algorithmic decision-making processes. This requires an interdisciplinary approach that combines legal expertise with an understanding of technical aspects related to bias detection and mitigation strategies within AI models.

Given that these guidelines could inform future legislation or regulatory actions at both federal and state levels, staying abreast of ongoing developments is crucial for lawyers advising clients who use or develop AI technology. But remember, these guidelines do not just impact what lawyers need to advise their clients about the use of AI; lawyers need to understand how these guidelines advise lawyers for their own use of AI in their law offices.

lawyers need to stay informed on how ai may impact their clients!

Lawyers need to understand how their own use of AI may impact how they practice law. Their own oversight is not limited to themselves but to everyone working for them. The tools lawyers and their staff use must securely protect a client’s personal identification information (PII) and any confidential issues a lawyer maintains for their client.  They must be transparent in their use of AI in their practice and should not be billing clients for “time saved” when using AI instead of slower, more “traditional” ways.  Lastly, lawyers need to be aware of any potential biases, e.g., discriminatory, political, factual, inter alia., the AI may have embedded (intentionally or not) within it.

Remember, it's crucial for legal practitioners to stay informed about these developments and integrate this knowledge into their practice to effectively represent parties involved with AI technologies. Your bar license could count on it!

MTC

Happy Lawyering!

My Two Cents: Embracing the Future: Navigating the Ethical Use of AI in Legal Practice.

Lawyers need to be mindful of their bar ethics when using Generative aI in their practice of law.

What can the Florida Bar Ethics Opinion 24-1, issued a couple of months ago, provides as guidance for all lawyers on the ethical use of generative artificial intelligence (AI) in their practice. Here are the key teachings and reminders for lawyers, not just in Florida but potentially applicable in any jurisdiction:

1. Confidentiality and Client Information: Lawyers must ensure the protection of client confidentiality when using generative AI. This includes understanding the AI program's policies on data retention, sharing, and learning capabilities to prevent unauthorized disclosure of client information.

2. Competence and Accuracy: Lawyers are responsible for their work product and must ensure that the use of generative AI aligns with their professional judgment and ethical obligations. This includes verifying the accuracy and reliability of information generated by AI tools.

3. Billing Practices: The opinion cautions against improper billing practices, such as double-billing for AI-generated work. Lawyers must ensure that fees and costs charged to clients are reasonable and ethically justified.

Generative AI can be a positive contribution to your law firm!

4. Advertising and Communication: When using AI chatbots for client communication, lawyers must comply with advertising restrictions and clearly disclose that the chatbot is an AI program, not a human lawyer or law firm employee.

5. Technological Competence: Lawyers have a duty to maintain competence in technology, which includes understanding the risks and benefits associated with new tools like generative AI.

6. Supervision and Oversight: Lawyers must develop policies for the oversight of generative AI to ensure its use is consistent with ethical standards. This includes reviewing AI-generated work products for accuracy and sufficiency.

7. Ethical Delegation: Lawyers should carefully consider which tasks can be ethically delegated to generative AI, ensuring that the AI does not perform duties that require a lawyer's personal judgment or constitute the practice of law.

8. Client Relationships: Lawyers must be cautious when using AI for client intake or communication to avoid inadvertently creating a lawyer-client relationship or providing legal advice through AI interactions.

… a lawyer may ethically utilize generative AI technologies but only to the extent that the lawyer can reasonably guarantee compliance with the lawyer’s ethical obligation

9. Informed Consent: In certain situations, particularly when using third-party AI services, lawyers may need to obtain informed consent from clients before disclosing confidential information to the AI.

This opinion underscores the importance of ethical considerations in the adoption and use of emerging technologies in legal practice. It encourages lawyers to embrace innovation while remaining vigilant about their professional responsibilities.  I think the opinion summarizes how lawyers can/should use AI wisely: 

In sum, a lawyer may ethically utilize generative AI technologies but only to the extent that the lawyer can reasonably guarantee compliance with the lawyer’s ethical obligations. These obligations include the duties of confidentiality, avoidance of frivolous claims and contentions, candor to the tribunal, truthfulness in statements to others, avoidance of clearly excessive fees and costs, and compliance with restrictions on advertising for legal services. Lawyers should be cognizant that generative AI is still in its infancy and that these ethical concerns should not be treated as an exhaustive list. Rather, lawyers should continue to develop competency in their use of new technologies and the risks and benefits inherent in those technologies.

MTC

Happy Lawyering!

Episode 82: Revolutionizing Legal Review with Chris Ford, The Journey Behind Legalyzed.ai

Welcome to today's episode, in which we dive into the fascinating realm of AI in the legal world!

My next guest is Chris Ford. Chris is the CEO and Founder of Legalyze.ai. Legalyze.ai is a groundbreaking AI application tailored for legal professionals. Legalyze.ai enables lawyers to seamlessly interact with case data and generate legal documents using AI technology. Before his role at Legalyze.ai, Chris was CEO of CGF Systems, a startup consulting firm. He also holds a B.B.A. in Information Systems from Baylor University, Texas.

Chris and I explore how innovative technologies like Legalyze.ai are revolutionizing how attorneys analyze cases, safeguard client data, and navigate the boundaries of creativity. From preventing hallucinations to ensuring confidentiality, get ready for an insightful discussion on the cutting-edge advancements shaping the future of law.

Join Chris and me as we discuss the following three questions and more!

What are the top three things AI can do for attorneys today when analyzing their cases?

What are the top three ways attorneys should expect their AI software to protect their client's PII?

What are the top three ways to prevent hallucinations with their AI?

In our conversation, we cover the following:

[01:05] Chri's Current Setup: Monitors, Podcasting Equipment, Laptops, etc.

[08:04] AI's Impact on Case Analysis

[10:41] Leveraging AI in Case Evaluation with Legalyze.ai

[17:27] How Legalyze.ai Protects Law Firms' Confidentiality

[21:31] Protecting Client Data: AI Safeguards for Attorney Confidentiality

[24:29] Preventing Hallucinations: Ensuring AI Reliability in Legal AnalysisTop of Form

Resources:

Connect with Chris:

• LinkedIn: linkedin.com/in/cgford/

• Website: legalyze.ai/

• Twitter: twitter.com/chrisgford

Hardware mentioned in the conversation:

• Hyperx Quadcast Microphone: hyperx.com/products/hyperx-quadcast-usb-microphone

• Nintendo Switch: nintendo.com/us/switch/

• Spedal Camera: spedal.cc/index.html

Software, Apps, & Cloud Services mentioned in the conversation:

• Adobe Acrobat adobe.com/acrobat.html

• Anthropic: anthropic.com/

• AWS: aws.amazon.com/

• Google Cloud: cloud.google.com/

• Legalyze.ai: legalyze.ai/

• LexisNexis: lexisnexis.com/en-us/gateway.page

• Llama: llama.meta.com/

• Menuwhere:manytricks.com/menuwhere/

• Microsoft Presidio: microsoft.github.io/presidio/

• OpenAI: openai.com/

• Thomson Reuters: thomsonreuters.com

My Two Cents: Happy New Year! AI Is Going To Be The Biggest Game Changer For Lawyers In 2024!

Lawyers celebrating 2024 with AI - at least according to DALL*E!

Artificial Intelligence (AI) has been making significant strides in various industries, and the legal profession is no exception. As technology continues to evolve, I believe that AI will become the biggest game changer for lawyers in 2024. Law practice management platforms are already integrating AI into their software, allowing attorneys to streamline their workflows and enhance their overall efficiency. While some concerns have been raised regarding AI's potential to replace attorneys entirely, Chief John Roberts, in his 2023 report, believes that AI will not replace lawyers (or at least judges). 🤗 However, legal professionals must remain cautious of the limitations of AI technology, as highlighted by former Trump attorney fixer Michael Cohen.

AI has the potential to automate repetitive tasks and streamline complex legal processes, allowing attorneys to focus more on strategic and high-value work. Law practice management platforms are incorporating AI-powered features that assist with various aspects of legal practice, from research document analysis to contract review and client communication.

Traditionally, lawyers spend countless hours sifting through vast amounts of information to find relevant cases, statutes, and regulations. However, with AI-powered research tools integrated into law practice management and legal research platforms, attorneys can now conduct comprehensive searches in a fraction of the time. These tools utilize machine learning algorithms that continuously learn from past searches and user interactions to deliver highly accurate results tailored to specific legal queries.

CJ Roberts has an opinion about AI’s Place in the practice of law.

In addition to research assistance, AI is also transforming how lawyers manage documents. Document analysis tasks that were once tedious and time-consuming can now be automated using advanced natural language processing techniques. Law practice management platforms equipped with AI capabilities can quickly analyze contracts, identify key provisions or clauses, and generate summaries or comparisons. This not only saves valuable time but also reduces the risk of human error inherent in manual document review processes.

Client communication is another crucial aspect of legal practice that benefits from AI integration. Law firms often handle large volumes of client inquiries via emails or phone calls. By utilizing AI-powered chatbots or virtual assistants embedded within law practice management software, attorneys can provide prompt responses while managing multiple client interactions simultaneously. These intelligent assistants can understand natural language queries, offer basic legal advice based on predefined parameters set by attorneys themselves, or redirect clients to appropriate resources within the platform.

AI is not going to be replacing lawyers but lawyers who do not use AI will be replaced.

But will AI replace lawyers?  A recent federal case in a U.S. District Court in Illinois dismissed a case against the "robot lawyer" DoNotPay, Inc.  The defendant "...offers an online, subscription-based service that it claims will help consumers “[f]ight corporations, beat bureaucracy and sue anyone at the press of a button.” It offers services related to marriage annulment, speeding ticket appeals, timeshare cancellation, breach of contract, defamation, copyright, child support, restraining order"  This non-lawyer is currently free to operate.  But since it was dismissed on standing issues, I won't be surprised if this case (and others similar to it) won't find its way to the courthouse.

Despite this news, Chief John Roberts asserts that AI will not replace attorneys entirely.  He argues that while AI can assist lawyers by handling repetitive tasks or providing legal insights, the human element of legal practice, such as critical thinking and empathy, remains irreplaceable. AI's limitations in understanding nuance and complex emotions make it unlikely to replace the nuanced advice and strategic thinking that lawyers provide their clients.

But caution must still be exercised when relying on AI technology. Michael Cohen, former Trump attorney fixer, serves as a reminder that AI is not infallible. Cohen's experience with using AI-powered software for document review revealed its limitations: He provided in a "sworn declaration in federal court in Manhattan that he did not realize the citations generated by Google Bard [that he provided his attorney] were fictitious.[1] (Why his attorney, i.e., the party who signed the legal pleading, did not check the citations before submitting the pleading to the court is something I have warned about in the past.) This emphasizes the importance of lawyers remaining vigilant and thoroughly reviewing AI-generated results to ensure their accuracy.

Lawyers should be celebrating 2024 with AI as it will likely be part of the practice of law!

I predict AI to be the biggest game changer for lawyers in 2024. As technology continues to advance rapidly, embracing AI as a valuable tool while acknowledging its limitations will be essential for legal professionals in navigating the ever-changing landscape of the legal profession.

MTC

Happy New Year and Happy Lawyering!

[1] https://www.reuters.com/legal/ex-trump-fixer-michael-cohen-says-ai-created-fake-cases-court-filing-2023-12-29/

Podcast Episode #77: CLIO Con 2023: Third-Party Apps, CLIO and More, with Shubham Datta

Our next guest is Shubham Datta, the Vice President of Corporate Development at CLIO. As a key figure in overseeing the development and execution of CLIO's strategic growth strategy through acquisitions and investments, Shubham brings forth a wealth of knowledge and a unique perspective on the intricacies of how CLIO collaborates with third-party integrations and more. Shubham is a seasoned Mergers and Acquisitions (M&A) professional driving innovation in the legal tech space. With an extensive background in both buy-side and sell-side M&A, he spearheads efforts to align CLIO's product roadmap with cutting-edge companies.

Join Shubham and me as we discuss the following three questions and more!

1. What are the top three criteria to prioritize when evaluating third-party application integrations?

2. How to determine what might be considered unnecessary or incompatible with CLIO platform, possibly without the requirement for specific categories?

3. In what aspects should legal professionals focus on when assessing new third-party applications for use in CLIO or when comparing them to competitors?

In our conversation, we cover the following:

[01:44] The Three Pillars of Effective Third-Party Integration in CLIO's Legal Tech Ecosystem

[05:13] Core Legal Workflows in CLIO's Ecosystem

[06:55] App Adoption and Integration Challenges in Legal Tech

[09:00] Empowering Legal Innovation: Nuanced Challenges in App Integration

[10:42] A Guide for Lawyers in Choosing Third-Party Apps for CLIO and Beyond

[11:25] Future-Forward Legal Tech

[13:12] AI Innovations to Elevate Legal Practice

[14:58] CLIO: Redefining Legal Practice Management

Resources:

Connect with Shubham:

LinkedIn: linkedin.com/in/shubhamdatta/

Software mentioned in the conversation:

CLIO: CLIO.com/

My Two Cents: How President Biden’s Executive Order on AI Impacts the Practice of Law - it does and doesn't.

President Biden's recent Executive Order (Order) on Safe, Secure, and Trustworthy Artificial Intelligence marks a significant milestone in the governance of AI technologies. This comprehensive directive aims to establish robust standards for AI safety and security. Its goals include protecting privacy and civil rights while promoting innovation and protecting intellectual property rights. For attorneys, this announcement is of paramount importance as it directly impacts the practice of law, introducing new dimensions to legal compliance, ethical considerations, and the overall legal landscape. Legal innovators and industrialists like Jack Newton, CEO of CLIO, see this Order as an important step taken by the government: I am hopeful that the newly introduced AI legislation will not only uphold the highest standards of security and privacy but also ensure equitable access and unbiased application within legal frameworks.

Here is a summary of the impact it will have on lawyers:

AI Safety and Security:

The Order mandates developers of powerful AI systems to share safety test results and critical information with the U.S. government. For attorneys, this introduces a new layer of compliance and due diligence. Legal professionals will need to guide their clients through these requirements, ensuring that AI systems adhere to the mandated safety and security standards. This is particularly crucial for companies dealing with AI technologies that pose serious risks to national security or public health. Likewise, lawyers representing parties who have been harmed by a company's use of AI will need to know the latest in AI technology in order to advocate the best strategy for their clients.

Privacy and Data Protection:

With AI’s capability to extract and exploit personal data, the Order calls for heightened privacy protections. The directive’s emphasis on privacy-preserving techniques and evaluation of data collection practices necessitates an attorney’s thorough understanding of AI technologies and their implications on privacy. Attorneys will play a crucial role in advising clients on data protection strategies, ensuring compliance with privacy laws, and navigating the legal complexities of AI-driven data processing. Attorneys must also ensure their use of AI in their practice protects their client’s Personal Identifiable Information (PII).

Equity and Civil Rights:

The Order addresses the potential of AI to perpetuate discrimination and bias, particularly in sectors like housing, healthcare, and criminal justice. Legal professionals will need to stay vigilant, ensuring that AI systems employed by their clients do not result in discriminatory outcomes or violate civil rights. Likewise, Attorneys who are prosecuting parties using AI to discriminate against members of the public will need to have a solid understanding of how AI works in these matters.

Consumer Protection:

the president’s order will likley set forth new regulations and policies that will affect most practicing lawyers.

AI technologies can potentially transform consumer experiences but also raise concerns about potential harms and deceptive practices. The Executive Order calls for standards and best practices to detect AI-generated content and authenticate official communications. Attorneys working in consumer protection will need to familiarize themselves with these standards, advising clients on compliance, advising clients who are victims, and addressing potential legal challenges arising from AI-driven consumer interactions.

Immigration Law

Although the Order is not directly focused on immigration law, it could indirectly affect the field. One specific aspect of the Order calls for using existing authorities to expand the ability of highly skilled immigrants and nonimmigrants with expertise in critical areas, including AI, to study, stay, and work in the United States. This could lead to changes in visa criteria and processes, potentially affecting how immigration attorneys advise clients in the tech sector. The emphasis on AI could lead to a higher demand for skilled workers in this field, possibly influencing the landscape of employment-based immigration. Immigration lawyers may need to stay updated on any new policies or procedural changes resulting from this Order to guide their clients through the visa application process.

Supporting Workers:

The impact of AI on the workforce is a critical aspect of the Order. Attorneys specializing in labor law will find this directive particularly pertinent, as it addresses issues related to job displacement, workplace equity, and labor standards. Legal professionals will play a vital role in navigating the legal complexities of AI in the workplace, ensuring that workers’ rights are protected, and advising employer-clients on best practices to mitigate potential harms.

Promoting Innovation and Competition and Protecting Intellectual Property:

The Order emphasizes the need to maintain America’s leadership in AI innovation and competition. For attorneys working in intellectual property, technology, and antitrust law, this directive underscores the importance of fostering a competitive AI ecosystem while protecting intellectual property rights. Legal professionals will need to stay abreast of developments in AI technologies, advising clients on innovation strategies, and ensuring compliance with copyright, intellectual property, and antitrust laws.

Attorneys Working for the Government:

The Order will affect government attorneys twofold -

First, government attorneys must be abreast of the same issues discussed in this post, like any private attorney. Government attorneys basically have the same legal and ethical duties as private attorneys. They, too, have the same security, bias, privacy, civil rights, and intellectual property concerns private practitioners have with this Order.

Second, government attorneys will be tasked with ensuring that government agencies comply with enhanced AI safety and security protocols, protect privacy, advance equity, defend civil rights, and promote innovation while protecting intellectual property rights. They will also play a critical role in developing and enforcing guidelines for the ethical use of AI within federal operations, potentially influencing procurement processes and the deployment of AI in public services. Moreover, as the government seeks to lead by example in the responsible use of AI, these attorneys will be instrumental in setting precedents that could shape future AI governance across all sectors.

Conclusion:

Lawyers already have an ethical duty to stay abreast of technology advancements including ai.

It is not surprising that as AI continues to evolve, legal professionals will play a crucial role in guiding their clients through this complex terrain. But, the Order does not bring anything new to an attorney’s quiver of responsibilities. With or without the Order, attorneys already have the Model Rules of Professional Conduct to guide them on their duties around technology (including AI). The Rules require us to stay current on AI, its constant changes, and how it may impact their clients—whether attorneys are using AI to assist their clients or if their clients or those whom attorneys are advocating against are using AI in their business.  Reference Model Rules 1.1, 1.1[8], 1.3, 1.4 & 1.6.  So, don't let the Order serve as a starting point.  Let it serve as a reminder that we must stay competent in our use and understanding of technology as it applies to our work in the legal arena.