Though the legal industry landscape can appear static at first glance, the truth is it’s evolving with everything else. One only needs to look at the trends unfolding in 2024, which include the decline of billable hours (with the billable hours for full equity partners in the UK’s largest firms falling by 8.3%) and revenue amid an increasing demand for climate litigation. However, the rising adoption of legal tech is revolutionising the industry the most. A full third of legal departments expect to integrate digital solutions into their operations by 2025.
For the most part, that’s because these tools hold the potential to streamline workflows and increase productivity while reducing errors, minimising risk, and ultimately improving client satisfaction. Here are just a few of the technologies being adapted and how exactly they’re changing the legal profession.
Cloud technology
Law firms can reap plenty of the same benefits other industries do from the cloud and even find its advantages especially useful for their purposes. Cloud providers host networks of servers that allow users to remotely upload and access data. These offer a centralised platform for the quick and easy sharing of documents between firms and clients. It easily integrates with the software a firm may already be using, allowing for enhanced communication, collaboration, and overall task completion. These solutions are also cost-effective: firms can share servers with other companies and only pay for the storage they use without having to invest in the upkeep of physical data infrastructure. That way, they can better reallocate resources towards areas of their operations where they’re needed the most.
Automated software
Countless companies now use software that can automate repetitive and redundant tasks, which helps professionals better focus on duties that require higher skill sets and facilitates improved productivity. That can be especially helpful for responsibilities that require handling hefty amounts of information, as it reduces the amount of human error that carries over into legal documentation. One great example of this is the automated case management software Hoowla, which aims to help firms handle documents more efficiently. By integrating with other technologies like the cloud, it allows users to more easily and conveniently access document templates, legal research, and reference guides as well as track billable hours and manage schedules through shared calendars. Another is eDiscovery software. This tool can automatically file and index metadata across files, which can improve litigation outcomes by streamlining the identification, collection, and production of digital evidence.
Artificial intelligence (AI)
We’ve previously noted the meteoric rise of AI, with the emerging technology levelling the performance gap across the legal workforce to improve productivity and work quality. Some of its business applications include large-scale content production and more accurate data analysis, both of which have their place in the legal profession. As exemplified by law firm Allen & Overy, one of its use cases lies in the AI assistant, which they leverage in drafting memos and conducting legal research. However, the technology can go even further. As demonstrated by the AI-powered proofreading software from Definely, it can check hundreds of legal documents in a fraction of the time. Such tools also go beyond grammar and spelling: they can also detect issues with legal definitions, formatting, and cross-references, making them especially useful for law firms. That’s only the tip of the iceberg for legal AI applications—as they become more widely adopted in the industry, developers are sure to come up with more sophisticated solutions.
Cybersecurity tools
The number of breaches among the UK’s law firms jumped by 36% in the past year alone, presenting a growing threat as hacking strategies become more complex and more challenging to shield against. That’s especially concerning in industries like law that deal with confidential information. Legal cybersecurity software providers can help firms conduct regular cyber audits or full risk assessments to discern the safety of existing company data—including not just those of its documents but other business applications and physical assets—and put measures in place to prevent security breaches. Such digital solutions also help firms more effectively comply with industry regulations, like Anti-Money Laundering and Know Your Customer screenings, increasing client and stakeholder trust along the way.
The legal profession is changing along with the rest of the world. With these technologies, it’s becoming more efficient, effective, and trustworthy—and firms that invest in digital transformations early enough can gain a competitive edge that can help them stand out in the industry.
