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1 Knowledge Management CLE Course Materials Practical Applications of AI Technology in Law Presented by Lucy Dillon and Kevin Miller ( LegalSifter) July 11, 2018
2 Practical Applications of AI Technology in Law Presentation Slides Page 3 How AI Is Changing Contracts, Beverly Rich, Harvard Business Review (Feb. 12, 2018) Collaborative Intelligence: Humans and AI Are Joining Forces, H. James Wilson and Paul R. Daugherty, Harvard Business Review (July- August, 2018) How to Make AI That s Good for People, Fei-Fei Li, The New York Times (March 7, 2018) Legal Tech Is Opening the System to Those Who Need Legal Representation the Most, Shannon Farley, TechCrunch (March 13, 2018) Video of My LSC Keynote on the Innovation Gap in Access to Justice, Robert Ambrogi, LawSites (Jan. 17, 2018) The Sedona Conference Journal, Volume 18 (2017) Online link Online link Online link Online link Online link Online link
3 Knowledge Management Practical Applications of AI Technology in Law Presented by Lucy Dillon and Kevin Miller July 11, 2018 Agenda Introductions What is AI? Why is it important to the practice of law? How AI is used today in legal practice Technology demonstration Q&A 2 1
4 3 A picture of a AI 4 2
5 And another 5 And more 6 3
6 November Which option is the Google Translate Japanese-to-English version? Option I Kilimanjaro is a mountain of 19,710 feet covered with snow and is said to be the highest mountain in Africa. The summit of the west is called Ngaje Ngai in Masai, the house of God. Near the top of the west there is a dry and frozen dead body of leopard. No one has ever explained what leopard wanted at that altitude. Option II Kilimanjaro is a snow-covered mountain 19,710 feet high, and is said to be the highest mountain in Africa. Its western summit is called the Masai Ngaje Ngai, the House of God. Close to the western summit there is a dried and frozen carcass of a leopard. No one has explained what the leopard was seeking at that altitude. Opening to Ernest Hemingway s The Snows of Kilimanjaro November
7 Google Translate Japanese-to- English version Option I Kilimanjaro is a mountain of 19,710 feet covered with snow and is said to be the highest mountain in Africa. The summit of the west is called Ngaje Ngai in Masai, the house of God. Near the top of the west there is a dry and frozen dead body of leopard. No one has ever explained what leopard wanted at that altitude. Google Translate Japanese-to-English version one day earlier Option II Kilimanjaro is 19,710 feet of the mountain covered with snow, and it is said that the highest mountain in Africa. Top of the west, Ngaje Ngai in the Maasai language, has been referred to as the house of God. The top close to the west, there is a dry, frozen carcass of a leopard. Whether the leopard had what the demand at that altitude there is no that nobody explained. Opening to Ernest Hemingway s The Snows of Kilimanjaro November Natural language processing Machine-learning algorithms 10 5
8 Barney Barrister The Legal AI Landscape is growing 6
9 Legal Research Westlaw / LexisNexis have long-since moved us away from paper, but the last 20 years have not seen dramatic change ROSS and LexisNexis are working on the next inflection point with analytics and natural language search Searching will still prevail, but it will be simpler and more wide reaching ROSS, Cara, Fastcase, Westlaw, LexisNexis, Bloomberg 13 Prediction AI is proving a powerful force in analyzing the data in legal judgments and predicting future outcomes Scale and access to legal materials are the challenges for these providers Visualization and more contextualization in the results Query how the judiciary, and others, will react to the results Lex Machina and Ravel Law (both now LexisNexis), Westlaw and Bloomberg 14 7
10 Legal Analytics Analytics is the watchword for legal ops professionals in 2018 a general realization that data is the new gold Challenges are the volume and quality of legal data AI technology has the capability to cut through the quality point However, clean data should still be a key focus, and processes and tools to collect clean data should not be abandoned PowerBI, Clocktimizer, PacerPro, Lex Predict 15 Expertise automation The use of decision logic to create legal advisory platforms is increasingly common, particularly for highly regulated practice areas Allows advice to be delivered in a truly digital format Currently, no extensive use of AI More sophistication in this growth area, with a watchful eye on content management Neota Logic, ebrevia, ThinkSmart 16 8
11 E-discovery Providers have been incorporating elements of AI in their tools for a number of years There are many factors based on data type/volume and the goal for the particular the type of litigation AI will continue to improve the search and extract capabilities for e-discovery purposes and will, in due course, improve general information governance Relativity, Logikcull, Brainspace, Gravity Stack 17 Contract due diligence Key area of focus for AI technology providers From a customer s perspective, delivery is taking longer than expected, as initial expectations were probably too high This will be mainstream, probably within three years - sooner for areas where contract terms are more standardized (Real Estate and Employment, for example) Legal Sifter, Kira, Luminance, RAVN (imanage), Heretik, ebrevia 18 9
12 Contract Management Crowded contract lifecycle management (CLM) market has 150+ players, few of which have AI Customers largely dissatisfied because they feel like contract librarians; electronic file cabinet with reports Most have not bought a system The best solution for keeping track of your contracts likely does not yet exist SharePoint, Salesforce.com, and any number of CLMs 19 ebilling Most companies that have enough outside counsel spend to justify a dedicated legal expenses software solution have already bought one AI largely absent AI will help interpret the bills and squeeze out another percentage or two of inefficiencies and overbilling Legal Tracker, TyMetrix, Tali, Lexis Nexis CounselLink 20 10
13 Intellectual Property AI has made some inroads Lots of money spent on IP + lots of words in IP + rising costs and frustrations with IP + publicly-available data + AI = lots of opportunities for AI + enterprising law firm(s) to create new solutions that are faster, cheaper, and better ClearAccess IP, TurboPatent, Anaqua, TrademarkNow and law firms that adopt these solutions 21 Drafting AI largely absent; products are rule-based and templatestyle AI will check for missing concepts and check formatting Contract / Document Review suppliers will enter this market Products that combine expertise, a good user interface (UI) and AI will win HotDocs, Contract Express, Bloomberg Law Draft Analyzer, and LexCheck, LegalZoom plus unknown number of new entrants 22 11
14 Contract / Document Review You can buy it today for business-as-usual contracts You will buy it tomorrow for complicated and simple documents Grammar check for documents - Upload your contract and make sure you do not sign something you should not You ll buy it from an attorney, not just the suppliers below LawGeex, ThoughtRiver, LegalSifter 23 Technology Demonstration 24 12
15 Customers Served per day Customers Served per day $2T Global Market for Legal Services + = $750B Global Market for Legal Services Lawyers delivering Full- Service Only A.I. Lawyers delivering Full-Service, Partial- Service, and Self- Service
16 Watch the videos from FutureLaw 2016 & 2017 We don t need fewer lawyers. We need cheaper ones. - Martha Bergmark, Executive Director of Voices for Civil Justice 28 14
17 7.5B people in the world 80% of them live on $10 / day or less The only lawyer they will all ever be able to afford will be one using A.I. 29 Questions? 30 15
18 Thanks for your time and attention! ABU DHABI ATHENS AUSTIN BEIJING CENTURY CITY CHICAGO DUBAI FRANKFURT HONG KONG HOUSTON KAZAKHSTAN LONDON LOS ANGELES MIAMI MUNICH NEW YORK PARIS PHILADELPHIA PITTSBURGH PRINCETON RICHMOND SAN FRANCISCO SHANGHAI SILICON VALLEY SINGAPORE TYSONS WASHINGTON, D.C. WILMINGTON is a dynamic international law firm, dedicated to helping clients move their businesses forward. Our long-standing relationships, international outlook, and collaborative structure make us the go-to partner for speedy resolution of complex disputes, transactions, and regulatory matters. This document is not intended to provide legal advice to be used in a specific fact situation; the contents are for informational purposes only. refers to LLP and related entities. LLP 2018 reedsmith.com 31 Knowledge Management Practical Applications of AI Technology in Law Presented by Lucy Dillon and Kevin Miller July 11,
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