News & Opinion

AI in Law Firms: From Experimentation to Real Impact

Written by Xperate | Aug 10, 2026, 12:32:23 PM

Artificial Intelligence has quickly become one of the most talked-about topics in the legal sector (or any sector for that matter!) Every conference agenda features it. Every legal technology provider has an AI story. Every law firm is asking the same question: "How do we make AI work for us?"

The challenge is that, while interest has accelerated rapidly, implementation has not.

Donna Broadley, recently shared this article with Legal Practice Intelligence.

Many firms have experimented with AI tools. Few have embedded them across the business. The conversation has shifted beyond whether AI has a place in legal practice - it's now about how firms can adopt it safely, responsibly and in ways that genuinely improve how they work.

The firms seeing the greatest success aren't chasing every new AI innovation. They're building thoughtful strategies that balance opportunity with governance.

 

The Gap Between Excitement and Execution

Australian and New Zealand law firms recognise AI's potential. From legal research and drafting through to knowledge management and administrative support, the opportunities are significant.

Yet adoption remains uneven. Concerns around privacy, governance, data security and professional responsibility continue to slow firm-wide implementation.

Donna Broadley, General Manager, APAC at Xperate, says:

"The legal sector has moved beyond asking whether AI is important. The real question now is how to introduce it in a way that people trust - and that's where many firms are still finding their feet."

This caution isn't a weakness. In fact, it's entirely appropriate.

Law firms hold highly sensitive client information. They operate within strict ethical and regulatory frameworks. Taking a measured approach to AI isn't about resisting innovation - it's about protecting clients while embracing it responsibly.

 

Not Everything Labelled AI Is Actually AI

One of the biggest misconceptions surrounding AI is that every intelligent workflow falls into the same category.

In reality, firms often confuse Artificial Intelligence with automation, despite them solving very different problems.

Automation removes repetitive administrative work:

  • Automatically generating documents
  • Triggering workflows
  • Routing approvals
  • Updating client records
  • Sending notifications

Artificial Intelligence, meanwhile, supports professional judgement by helping lawyers:

  • Analyse information
  • Summarise documents
  • Generate first drafts
  • Surface relevant knowledge
  • Explore different legal arguments

"Automation helps people do work faster. AI helps people think differently. The biggest gains come when firms understand where each technology adds the most value." Says Donna.

The distinction matters because many firms can achieve immediate productivity gains through automation while introducing AI more selectively where it genuinely enhances legal expertise.

Governance Before Innovation

One of the biggest mistakes firms can make is introducing AI before establishing clear policies.

Without governance, even well-intentioned use can introduce unnecessary risk.

Questions every firm should be answering include:

Which AI platforms are approved?

What client information can be entered?

How should outputs be verified?

Where does professional responsibility remain with the lawyer?

How will usage be monitored?

Donna says: "Governance shouldn't be seen as putting the brakes on innovation. It gives people the confidence to innovate because everyone understands where the boundaries are."

When expectations are clear, adoption becomes much easier.

 

If You Don't Provide AI, People Will Find Their Own

One reality many firms are now recognising is that lawyers are already using AI.

Whether it's ChatGPT, Copilot, Gemini or another publicly available tool, professionals naturally look for ways to work more efficiently.

Simply banning AI rarely works.

"People don't wake up thinking they want to break policy. They just want to solve problems quickly. If firms don't provide trusted tools, people will naturally look elsewhere." Says Donna.

This is why secure, enterprise-grade AI environments are becoming increasingly important.

Approved platforms provide:

  • Stronger data protection
  • Better governance
  • Greater transparency
  • Confidence that client information remains secure

Rather than preventing innovation, they enable it safely.

 

The Best AI Doesn't Replace Lawyers - It Elevates Them

Despite the headlines, AI isn't replacing legal professionals.

Instead, it's helping them spend less time on low-value activities and more time delivering strategic advice.

The most successful firms are using AI to:

  • Create first drafts that lawyers refine
  • Summarise lengthy documents
  • Accelerate legal research
  • Retrieve internal knowledge faster
  • Support junior lawyers with guided learning

Start Small. Learn Fast. Scale Carefully

Perhaps the biggest lesson emerging from early AI adoption is that firms don't need a sweeping transformation programme from day one.

The organisations making the strongest progress are taking incremental steps.

They identify one or two high-value use cases.

They measure outcomes.

They gather feedback.

Then they expand.

"AI adoption isn't a race to implement the most tools. It's about solving real business problems one step at a time and building confidence as you go." Says Donna Broadley.

 

From Curiosity to Capability

The conversation around AI is maturing.

It's no longer enough to simply say a firm is "using AI." Increasingly, clients, regulators and employees want to know how it's being used, how data is protected, and what governance sits behind it.

The firms that will lead over the next decade won't necessarily be those with the most sophisticated AI platforms and toolkits.

They'll be those with:

  • Clear policies and governance
  • Secure, approved AI environments
  • Practical use cases aligned to business objectives
  • A focus on augmenting lawyers rather than replacing them
  • A culture of continual learning and responsible innovation

Donna says: "The winners won't be the firms that adopted AI first. They'll be the firms that adopted it with purpose. Ultimately, AI (and any other emerging technology) should never be used just for the sake of it. The real value lies in making lawyers more effective, firms more efficient and clients better served.”

Get in touch with our team today if you are interested in hearing more about developing AI and automation within your law firm.