My presentation at Deutscher Anwaltstag 2017: "Are machines about to take over?"

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Artificial Intelligence and Legal Practice: Are the Machines About to Take Over?

- Some Initial Thoughts -

Siegfried LautenbacherBeck et al. Services GmbHTwitterhandle: @[email protected]


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Source: https://xkcd.com/1838/Source: https://www.linkedin.com/hp/update/6267422045072560128


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What is AI (My PoV)


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„Can you envision a law-focused ‘Watson’ replacing any of the following timekeepers in your firm in the 5 to 10 years?“

Even if there was an increase in the perception of the importance of AI between 2011 and 2015 ...Source: Law Firms in Transition 2015: An Altman Weil Flash Survey


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… ”Few in the profession appear to be doing much about it”

”There should be no argument or surprise that the rise if AI, cognitive computing and machine learning has the potential to revolutionize law practise.”

Source: Law Firms in Transition 2017: An Altman Weil Flash Survey


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Robo - Associates ExoScel-Lawyersor


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Time spent doing the lawyers job

• Percent of invoiced Hours Spent on Various Tasks –2012-2015

• Tasks in order of difficulty to automate

• Current focus of AI activities in legaltech

Source: Remus, Dana and Levy, Frank S., Can Robots Be Lawyers? Computers, Lawyers, and the Practice of Law (November 27, 2016). Available at SSRN:https://ssrn.com/abstract=2701092 or http://dx.doi.org/10.2139/ssrn.2701092

?

> 1.000 lawyers


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Market Segments of AI Enhanced Legal Tech„The question to ask with any technology (AI or not) is whether it helps get what you need done faster, less expensively, and whether the same results would have been much more difficult to achieve with existing processes or tools.“

Infographic: https://www.lawgeex.com/buyersguide/


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Contract Review„At JPMorgan Chase & Co., a learning machine is parsing financial deals that once kept legal teams busy for thousands of hours.

The program, called COIN, for Contract Intelligence, does the mind-numbing job of interpreting commercial-loan agreements that, until the project went online in June, consumed 360,000 hours of work each year by lawyers and loan officers. The software reviews documents in seconds, is less error-prone and never asks for vacation.“

Source, Bloomberg, Feb 17



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Contract Due DilligenceNew AI players in the legal field promise to create time savings of 20–40% on routine tasks.

Main promise: The traditional contract review process involves poring over hundreds or thousands of documents manually. This can be automatized and “structured” appropriately



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Key Enabling Technologies & „Easy“ Example

Machine Learning

Natural Language Processing

Ability to predict the best action or choice based on past casesIdentification of relevant patterns in the text of a document

Clustering Grouping of documents and clauses based on the semantic similarity of their content

“United Widgets appointed Carla Jones as new CEO”

“Carla Jones, die neue Geschäftsführerinder Firma United Widgets, ist…”

“… an interview with Carla Jones, the chief executive of United Widgets, ….”

TYPE: Corporate positionHOLDER: Carla JonesCOMPANY: United Widgets, Inc.POST: Chief executive officer

Extracted pattern


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Legal ResearchRichard Susskind: “If properly primed, (these legal AI searches) are now able, in terms of precision and recall, to outperform paralegals and junior lawyers when reviewing and categorizing large bodies of documents.”

• Respond to legal questions in plain English

• Tools can now predict how courts are likely to rule on new cases, including on areas, such as tax and at more than 90 per cent accuracy rate.

See also:

• ROSS AI Plus Wexis Outperforms Either Westlaw or LexisNexis Alone, Study Finds

• Big law is having its uber-moment



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AI enabled Legal Tech – Situation in Germany (my PoV)

Automate legal work

• Specific projects• Watson based pilots• I don’t see many start-

ups outside English

Consumer rights Marketplaces/ Platforms

Legal ChatbotsMain challenge: Language barriers

Most offerings are in English only


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Example from Financial Industry: Smart KYC

Smart Know Your Customer solution reduces effort per analyst and increases quality


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A lot of languages – a lot of sources


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A lot of “topics”/ rules covered NLP basedrules behind the topics


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Are the Machines About to Take Over?

• AI enabled legal tech will help lawyers to work productively and focused.

• What will be in > 5 years? Nobody knows

• Use AI based collaboration in non-legal situations too (office collaboration, recruiting, )

• Start with small projects to become familiar

• Create more IT know-how internally

ExoScel-Lawyers


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+49 89 5388630

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