Course outline
Module 1
Module 1: Introduction to AI in Legal Practice
Introduction to AI in Legal Practice
Knowledge check
Q1. Which of the following best describes artificial intelligence in the context of legal practice?
- A. A database that stores case law in chronological order
- B. Computer systems that perform tasks typically requiring human intelligence, such as language understanding, pattern recognition, and reasoning ✓
- C. Software that automatically files court documents without attorney review
- D. A physical robot that appears in courtrooms to assist judges
Why: AI refers to computer systems capable of tasks that normally require human intelligence, such as interpreting language, recognizing patterns, and drawing inferences. Simple digital storage or automated filing does not by itself constitute AI.
Q2. What is the term for AI systems trained on massive amounts of text that can generate human-like written responses?
- A. Expert systems
- B. Large language models ✓
- C. Rule-based automation
- D. Predictive coding
Why: Large language models (LLMs) are trained on vast text datasets and generate fluent, human-like language. Expert systems rely on hand-coded rules, and predictive coding is a technology-assisted review method used in e-discovery.
Q3. Why must lawyers verify the output of generative AI tools before relying on them in legal work?
- A. Because AI tools are legally prohibited from producing any citations
- B. Because AI tools can produce plausible-sounding but inaccurate information, including fabricated case citations ✓
- C. Because AI output is always copyrighted by the software vendor
- D. Because courts require every AI document to be notarized
Why: Generative AI can 'hallucinate,' producing confident but false statements, including nonexistent cases or misquoted holdings. Professional duties of competence and candor require lawyers to verify outputs against authoritative sources.
Q4. Which professional duty is most directly implicated when a lawyer uses AI tools in client matters?
- A. The duty of competence, including understanding the benefits and risks of relevant technology ✓
- B. The duty to always charge hourly rather than flat fees
- C. The duty to avoid all use of computers in the office
- D. The duty to file every motion electronically
Why: ABA Model Rule 1.1, Comment 8, states that competence includes keeping abreast of changes in relevant technology. Lawyers using AI must understand its capabilities and limitations, and protect client confidentiality when inputting information.
Q5. Which legal task is an example of a common early application of AI in law firms?
- A. Technology-assisted review of large document collections during discovery ✓
- B. Delivering verdicts in jury trials
- C. Swearing in witnesses at depositions
- D. Serving process on opposing parties
Why: Technology-assisted review (TAR) and predictive coding are among the earliest and most widely adopted AI applications in legal practice, helping lawyers sort and prioritize large volumes of documents during e-discovery. The other options require human legal authority or physical action.
Module 2
Module 2: Legal Research and Case Analysis with AI
Legal Research and Case Analysis with AI
Knowledge check
Q1. What is the most important step a lawyer should take before relying on case citations produced by an AI research tool?
- A. Ask the AI tool to confirm that its citations are accurate
- B. Verify each case independently in an authoritative legal database or official reporter
- C. Check that the case names sound plausible and match the legal issue
- D. Rely on the tool's confidence score for each citation
Q2. Why do large language models sometimes produce fabricated case citations, a phenomenon often called 'hallucination'?
- A. They retrieve cases from a corrupted legal database
- B. They generate text by predicting likely word patterns, not by looking up verified sources
- C. They deliberately invent cases to test the user's diligence
- D. Courts have not yet published enough decisions for AI to learn from
Q3. Which prompt is most likely to produce useful results for legal research with an AI assistant?
- A. Tell me everything about contract law
- B. Summarize the law on this topic and give me some cases
- C. In [jurisdiction], what are the elements of breach of fiduciary duty? Identify the governing authorities and flag any points where you are uncertain
- D. Is my client going to win this case?
Q4. When using AI to analyze a long judicial opinion, what is the primary risk of relying only on an AI-generated summary?
- A. The summary will always be too long to be useful
- B. The summary may omit or misstate holdings, dicta, or qualifying language that changes how the case applies
- C. AI summaries cannot be saved or exported
- D. Summaries are only available for cases decided after 2020
Q5. Which practice best protects client confidentiality when using a generative AI tool for case analysis?
- A. Replacing only the client's name while leaving other identifying facts intact
- B. Using a public AI tool without reviewing its data retention and training policies
- C. Anonymizing or generalizing sensitive facts and checking the tool's privacy terms before entering client information
- D. Assuming that any information typed into an AI tool is automatically protected by attorney-client privilege
Module 3
Module 3: Contract Review and Document Automation
Contract Review and Document Automation
Knowledge check
Q1. Which of the following is the most common and practical first use of AI in contract review?
- A. Replacing the lawyer's final sign-off on high-risk agreements
- B. Identifying and flagging specific clauses, such as indemnification, termination, or governing law, for human review
- C. Drafting binding legal opinions without attorney involvement
- D. Negotiating contract terms directly with opposing counsel
Q2. What is 'clause extraction' in AI-assisted contract review?
- A. Deleting outdated clauses from a contract template
- B. Automatically locating and pulling out defined provisions from a document so they can be compared or analyzed
- C. Translating a contract into another language
- D. Calculating the financial value of each clause
Q3. Why is human review still essential when using AI to review contracts?
- A. AI tools cannot read PDF files
- B. AI may miss context, misinterpret ambiguous language, or produce confident but incorrect output, so a lawyer must verify results
- C. Courts require every contract to be read aloud by a lawyer
- D. AI tools are only legal for use on contracts under a certain dollar value
Q4. What does document automation typically involve?
- A. Manually retyping each contract from a paper original
- B. Using templates with variable fields and logic rules to generate customized documents from structured inputs
- C. Scanning documents to create image files only
- D. Storing all contracts in a single unencrypted folder
Q5. Which practice best protects client confidentiality when using an AI tool to review a contract?
- A. Uploading the contract to any free public chatbot for the fastest results
- B. Removing the client's name only, and leaving all other details in place
- C. Checking the tool's data handling and confidentiality terms and using approved, secure platforms before inputting client information
- D. Assuming all AI tools automatically delete data after each session
Module 4
Module 4: Ethics, Confidentiality, and Professional Responsibility
Ethics, Confidentiality, and Professional Responsibility
Knowledge check
Q1. Which duty requires a lawyer to keep informed about the benefits and risks of relevant technology, including AI tools?
- A. Duty of confidentiality
- B. Duty of technological competence ✓
- C. Duty of candor to the tribunal
- D. Duty to avoid conflicts of interest
Why: Comment 8 to ABA Model Rule 1.1 states that competence includes keeping abreast of the benefits and risks of relevant technology. Lawyers using AI tools must understand how those tools work and what their limitations are.
Q2. Before entering confidential client information into a public generative AI tool, what is the most important consideration for a lawyer?
- A. Whether the tool produces well-formatted output
- B. Whether the provider may retain, train on, or disclose the input data ✓
- C. Whether the tool is faster than traditional research
- D. Whether the client has paid the lawyer's fees in full
Why: Confidentiality duties under Model Rule 1.6 require lawyers to make reasonable efforts to prevent unauthorized disclosure. Lawyers must understand whether the provider stores inputs or uses them for model training, since that could expose client information.
Q3. A lawyer submits a brief containing case citations generated by an AI tool, and some of the cases do not exist. What is the lawyer's primary ethical problem?
- A. Charging the client for research time
- B. Failing to verify the accuracy of citations before presenting them to a court, implicating candor duties ✓
- C. Using a tool without the client's written consent for every task
- D. Failing to disclose the AI tool's pricing model
Why: Lawyers must not knowingly make false statements of law to a tribunal (Model Rule 3.3) and must provide competent representation. Presenting unverified, fabricated citations violates these duties, as several sanctioned attorneys have learned.
Q4. Does a lawyer have to tell a client when the lawyer uses AI tools on the client's matter?
- A. Never, because AI is just a research tool like a database
- B. Only if the tool was developed outside the United States
- C. It depends; disclosure may be required when the use materially affects the representation or involves client information ✓
- D. Always, in every case, regardless of the task
Why: Model Rule 1.4 requires communication sufficient for the client to make informed decisions. Whether AI use must be disclosed depends on its significance and on whether client data is involved. Many jurisdictions and courts are issuing guidance on this, so lawyers should check current rules.
Q5. What does supervision of AI tools mean under professional responsibility rules for law firms?
- A. Letting the AI tool work without any human review
- B. Ensuring that managerial and supervisory lawyers set policies and that staff use AI tools in a way consistent with the lawyer's ethical obligations ✓
- C. Recording every keystroke the AI tool makes
- D. Hiring a software engineer to maintain the AI tool
Why: Model Rules 5.1 and 5.3 require partners and supervising lawyers to make reasonable efforts to ensure that the firm and nonlawyer assistants, including technology, comply with professional obligations. This means establishing policies, training, and oversight of AI use.
Module 5
Module 5: Data Privacy and Compliance Considerations
Data Privacy and Compliance Considerations
Knowledge check
Q1. Which of the following best describes the principle of data minimization under privacy frameworks such as the GDPR?
- A. Collecting as much data as possible in case it becomes useful later
- B. Collecting only the personal data that is adequate, relevant, and necessary for a specified purpose ✓
- C. Storing all personal data indefinitely to support future audits
- D. Sharing personal data freely with third parties to reduce storage costs
Why: Data minimization requires organizations to limit personal data collection to what is necessary for the stated purpose. Collecting excess data increases privacy risk and regulatory exposure, so this principle is central to compliant AI systems that process client or personal information.
Q2. When a law firm uses a third-party AI tool that processes client documents, what is the most important compliance step before use?
- A. Confirming the tool has a colorful and user-friendly interface
- B. Reviewing the vendor's data processing terms, including whether client data is used to train the model ✓
- C. Ensuring the tool can generate invoices automatically
- D. Installing the tool on every employee's personal device
Why: Lawyers owe confidentiality duties to clients. Reviewing vendor terms, including data retention, security, and whether inputs are used for model training, is essential to avoid unauthorized disclosure of privileged or personal information.
Q3. What does a Data Protection Impact Assessment (DPIA) generally involve?
- A. A marketing review of how customers respond to a new product
- B. An evaluation of privacy risks posed by a processing activity and the measures to mitigate them ✓
- C. A financial audit of a company's annual data storage budget
- D. A background check on employees who handle data
Why: A DPIA systematically identifies and assesses privacy risks from high-risk processing, such as large-scale AI analysis of personal data, and documents safeguards. It is often required under the GDPR before deploying such systems.
Q4. Which term refers to the personal information that can identify an individual, either directly or in combination with other data?
- A. Anonymized data
- B. Aggregate statistics
- C. Personally identifiable information (PII) ✓
- D. Metadata summaries
Why: PII is information that can identify a specific person, such as names, addresses, or identification numbers, alone or when combined with other data. Recognizing PII is the first step in applying privacy safeguards to AI workflows.
Q5. Why might anonymizing data before feeding it into an AI tool not always fully eliminate privacy risk?
- A. Anonymized data is always illegal to process
- B. Individuals may still be re-identified by combining the data with other available information ✓
- C. AI tools cannot process any form of anonymized text
- D. Anonymization only applies to financial records
Why: Data that appears anonymous can sometimes be re-identified through linkage with other datasets or contextual details. Lawyers must assess re-identification risk rather than assuming anonymization is a complete safeguard.
Module 6
Module 6: Evaluating AI Tools and Managing Risk
Evaluating AI Tools and Managing Risk
Knowledge check
Q1. Which of the following is the most important first step when evaluating an AI tool for use in a law firm?
- A. Compare the tool's subscription price against the firm's annual technology budget
- B. Identify the specific legal tasks the tool will support and the risks those tasks carry ✓
- C. Ask the vendor for a list of its most famous clients
- D. Install the tool on all attorneys' devices to test it broadly
Why: Effective evaluation starts with the use case. Knowing which tasks the tool will handle, such as legal research, document review, or client communication, reveals the specific risks (confidentiality, accuracy, bias) that must be assessed. Price and vendor reputation matter, but they come after understanding the risk profile.
Q2. What is 'hallucination' in the context of generative AI tools used for legal work?
- A. A user interface glitch that displays incorrect formatting
- B. The model generating plausible-sounding but fabricated information, such as nonexistent case citations ✓
- C. The tool deliberately refusing to answer questions about sensitive topics
- D. A security breach in which outside parties access client data
Why: Hallucination refers to AI output that appears fluent and confident but is factually wrong or invented. In legal settings this can include fake case law or misquoted statutes, which is why lawyers must verify all AI-generated citations and authorities before relying on them in filings or advice.
Q3. Before entering confidential client information into a third-party AI tool, what should a lawyer check?
- A. Whether the tool has a colorful and easy-to-use interface
- B. Whether the vendor's data handling, retention, and training policies protect client confidentiality ✓
- C. Whether the tool was recommended by a colleague at another firm
- D. Whether the tool produces output in under five seconds
Why: Lawyers have confidentiality duties under professional conduct rules. Before inputting client information, they must understand whether the vendor stores the data, for how long, who can access it, and whether it is used to train models. Ease of use and speed do not address these obligations.
Q4. Which practice best manages the risk of relying on AI-generated legal research?
- A. Accepting the output because the tool has a high accuracy rating in marketing materials
- B. Verifying key outputs against authoritative primary sources before relying on them ✓
- C. Asking the AI tool to confirm its own answers a second time
- D. Relying on the tool only for matters where the client is unlikely to complain
Why: Human verification against authoritative sources such as official reporters, statutory databases, and court records is the core safeguard. An AI tool checking its own output does not provide independent verification, and marketing claims are not a substitute for confirming the specific authorities cited.
Q5. Why should a firm establish an internal AI use policy even if it has already vetted a vendor?
- A. Vendors are legally prohibited from providing AI tools to law firms without one
- B. A policy sets clear expectations for how individual attorneys use AI, supervises staff, and documents oversight, reducing risk across the firm ✓
- C. Courts require every AI tool to be registered with the firm's internal policy office
- D. A policy eliminates the need for attorneys to review AI-generated work
Why: Vetting a vendor addresses one risk, but individual behavior creates others, such as employees pasting sensitive data into unapproved tools or relying on unchecked outputs. A written policy defines permitted uses, verification requirements, and supervision duties, and it helps the firm show reasonable efforts to meet its ethical obligations.
Module 7
Module 7: Integrating AI into Client Workflows and Firm Strategy
Integrating AI into Client Workflows and Firm Strategy
Knowledge check
Q1. What is the most important first step when a law firm begins integrating AI into its client workflows?
- A. Purchase the most expensive AI platform available
- B. Identify specific workflow bottlenecks and define the problems AI should solve ✓
- C. Replace all junior associates with AI tools
- D. Publicly announce the firm's AI adoption to attract new clients
Why: Effective AI integration starts with understanding where time, cost, or quality problems actually exist in current workflows. Choosing tools before defining the problem often leads to wasted investment and poor adoption.
Q2. Which practice best protects client confidentiality when using generative AI tools in legal work?
- A. Assuming the AI vendor's terms of service automatically guarantee confidentiality
- B. Anonymizing client names only, while keeping all other case details in the prompt
- C. Reviewing the vendor's data handling policies and avoiding input of privileged information into tools that may retain or train on that data ✓
- D. Using AI only for internal memos so client data is never involved
Why: Lawyers have ethical duties of confidentiality under professional conduct rules. Firms should verify how vendors store, use, and train on input data, and avoid entering privileged information into tools without adequate safeguards.
Q3. A firm wants to tell clients about its use of AI in matter handling. What is the best approach?
- A. Hide AI use unless a client specifically asks about it
- B. Disclose AI use in a way that is transparent and consistent with engagement terms and any applicable ethical guidance ✓
- C. Disclose AI use only after a billing dispute arises
- D. Assume that disclosure is never required because AI is just a software tool
Why: Transparency supports trust and informed client decision-making. Many jurisdictions and bar opinions emphasize that clients should understand how AI affects their matters, including its role in work product and costs.
Q4. Why do many firms establish an internal AI governance committee?
- A. To eliminate the need for attorney review of AI outputs
- B. To set policies on approved tools, permitted uses, supervision, and risk review across the firm ✓
- C. To reduce the firm's insurance requirements automatically
- D. To ensure that only partners are allowed to use AI tools
Why: A governance structure creates consistent standards for which tools are approved, what tasks they may support, how outputs are supervised, and how risks like hallucinated citations or data leaks are managed.
Q5. How does AI adoption most commonly affect legal billing models?
- A. It makes hourly billing completely obsolete overnight
- B. It may pressure traditional billable-hour arrangements, prompting firms to consider alternative fee structures and to bill for value rather than only time ✓
- C. It has no effect on billing because clients never ask about efficiency
- D. It requires firms to charge clients a separate fee for every keystroke
Why: When AI reduces the time needed for certain tasks, the billable-hour model can misalign with client expectations. Firms increasingly explore flat fees, value-based pricing, and transparent billing for AI-assisted work.