When
Professor
Daniel
Schwarcz
talks
about
AI
in
law,
it’s
clear
you’re
hearing
from
someone
deeply
passionate
and
incredibly
informed.
A
leading
voice
at
the
University
of
Minnesota
Law
School,
Schwarcz
bridges
the
academic
and
practical
worlds
of
AI,
insurance
law,
and
legal
technology.
In
a
recent
conversation,
he
shared
his
insights
into
the
profound
ways
generative
AI
(GenAI)
is
reshaping
the
legal
profession
—
and
why
experimentation
and
data-driven
approaches
are
essential
for
lawyers
navigating
this
technological
shift.
Watch
the
full
conversation
here:
Empirical
Evidence
on
the
Impact
of
AI
in
Law.
AI
And
The
Art
Of
Prediction
Professor
Schwarcz’s
journey
into
AI
began
with
his
expertise
in
insurance
law,
a
field
deeply
intertwined
with
prediction.
“Insurers
have
always
been
early
adopters
of
predictive
tools
because
their
business
revolves
around
forecasting
claims,
losses,
and
risks,”
he
explained.
It
was
this
predictive
potential
of
AI
that
naturally
aligned
with
his
broader
research
interests.
But
GenAI’s
ability
goes
beyond
traditional
predictive
analytics.
When
OpenAI’s
ChatGPT
burst
onto
the
scene,
Schwarcz
dove
headfirst
into
studying
how
this
technology
could
affect
legal
education
and
practice.
His
seminal
work,
“ChatGPT
Goes
to
Law
School,”
set
the
stage
for
a
broader
investigation
into
AI’s
role
in
legal
processes.
The
Efficiency
Game
Changer
One
of
Schwarcz’s
key
studies
explored
the
real-world
impact
of
AI
on
lawyering
tasks.
His
team
conducted
experiments
where
law
students
used
GPT-4
for
tasks
like
drafting
memos,
contracts,
and
complaints.
The
results?
A
30%
to
50%
improvement
in
efficiency
without
sacrificing
quality.
“AI
doesn’t
just
save
time
—
it
levels
the
playing
field,”
Schwarcz
noted.
Junior
lawyers
and
those
less
experienced
in
specific
legal
areas
benefit
the
most,
as
AI
helps
them
quickly
bridge
knowledge
gaps.
However,
he
also
cautioned
that
AI
can
sometimes
hinder
higher-performing
individuals
by
encouraging
over-reliance
and
reducing
independent
thinking.
Why
Human
Lawyers
Still
Matter
Schwarcz
introduced
the
term
“human
lawyering”
to
emphasize
a
crucial
distinction:
whether
a
human
remains
in
the
decision-making
loop.
“We’re
nearing
a
point
where
some
legal
tasks
could
be
fully
automated,”
he
said.
“But
the
role
of
human
lawyers
—
especially
in
interpreting,
applying,
and
personalizing
legal
advice
—
remains
irreplaceable.”
This
perspective
underscores
an
important
principle:
AI
is
a
tool
to
amplify
human
expertise,
not
replace
it.
From
brainstorming
contract
clauses
to
summarizing
depositions,
AI
shines
when
paired
with
experienced
lawyers
who
can
validate
its
output
and
refine
its
suggestions.
The
Risks:
Tunnel
Vision
And
Hallucinations
Despite
the
clear
benefits,
Schwarcz
highlighted
significant
risks.
Chief
among
them
is
“falling
asleep
at
the
wheel,”
where
reliance
on
AI
reduces
critical
thinking
and
leads
to
tunnel
vision.
“Writing
is
thinking,”
he
explained,
warning
that
skipping
the
initial
stages
of
drafting
in
favor
of
AI
can
short-circuit
deeper
analysis.
Then
there
are
hallucinations
—
AI-generated
errors
that
present
false
or
nonsensical
information.
While
advanced
models
are
reducing
this
issue,
Schwarcz
stressed
the
importance
of
always
verifying
AI
outputs,
especially
in
high-stakes
legal
contexts.
Experimentation
As
A
Legal
Skill
Schwarcz
championed
a
mindset
of
continuous
experimentation
for
lawyers.
“Think
like
an
entrepreneur,”
he
advised.
“Keep
a
sticky
note
on
your
desk
that
says,
‘Can
GPT-4
help
me
with
this?’
and
start
trying
it
out.”
He
emphasized
the
importance
of
testing
AI
across
different
tasks,
tools,
and
contexts.
From
summarizing
case
law
to
drafting
documents
and
even
serving
as
a
digital
editor,
GenAI’s
potential
is
vast
—
but
only
for
those
willing
to
explore
its
capabilities.
A
Glimpse
Into
the
Future
While
Schwarcz
hesitates
to
predict
exactly
how
AI
will
reshape
the
legal
profession,
he’s
certain
of
one
thing:
change
is
inevitable.
“We’re
at
the
start
of
a
massive
transformation,”
he
said.
Potential
outcomes
range
from
fully
automated
legal
services
to
a
reimagined
law
firm
model
with
new
ratios
of
associates
to
partners
and
increased
use
of
non-lawyers
for
tech-assisted
tasks.
Final
Takeaway:
Play,
Learn,
And
Read
The
Data
For
lawyers
wondering
how
to
stay
ahead,
Schwarcz’s
advice
is
clear:
start
experimenting
and
seek
out
data-driven
insights.
“There’s
a
lot
of
hype
—
both
positive
and
negative
—
around
AI,”
he
noted.
“Look
at
the
evidence,
test
the
tools,
and
don’t
be
afraid
to
challenge
your
assumptions.”
In
a
rapidly
evolving
legal
landscape,
this
mindset
isn’t
just
an
advantage
—
it’s
a
necessity.
Watch
the
full
conversation
here:
Empirical
Evidence
on
the
Impact
of
AI
in
Law.
Olga
V.
Mack
is
a
Fellow
at
CodeX,
The
Stanford
Center
for
Legal
Informatics,
and
a
Generative
AI
Editor
at
law.MIT.
Olga
embraces
legal
innovation
and
had
dedicated
her
career
to
improving
and
shaping
the
future
of
law.
She
is
convinced
that
the
legal
profession
will
emerge
even
stronger,
more
resilient,
and
more
inclusive
than
before
by
embracing
technology.
Olga
is
also
an
award-winning
general
counsel,
operations
professional,
startup
advisor,
public
speaker,
adjunct
professor,
and
entrepreneur.
She
authored Get
on
Board:
Earning
Your
Ticket
to
a
Corporate
Board
Seat, Fundamentals
of
Smart
Contract
Security,
and Blockchain
Value:
Transforming
Business
Models,
Society,
and
Communities. She
is
working
on
three
books:
Visual
IQ
for
Lawyers
(ABA
2024), The
Rise
of
Product
Lawyers:
An
Analytical
Framework
to
Systematically
Advise
Your
Clients
Throughout
the
Product
Lifecycle
(Globe
Law
and
Business
2024),
and
Legal
Operations
in
the
Age
of
AI
and
Data
(Globe
Law
and
Business
2024).
You
can
follow
Olga
on
LinkedIn
and
Twitter
@olgavmack.