The Armenian Lawyers Association and Iravaban.net‘s innovative series “LegalTech Armenia” aims to uncover the path of convergence between law and technology. Within this series, we present how the digital revolution is reshaping the legal landscape in Armenia and worldwide. The project’s conceptual author and leader is Karen Zadoyan, President of the Armenian Lawyers Association.

In the tenth article of the innovative series, “Legal Services Automation: Contemporary Opportunities and Challenges,” we will focus on the automation of legal services – a topic that is reshaping legal practice worldwide. 

Iravaban.net‘s journalists and experts, equipped with the latest technological tools, including advanced applications of artificial intelligence, will present analyses, exclusive interviews, and engaging stories, prepare photographs and infographics. We will uncover how data science, big data, and machine learning are transforming legal practice, the judicial system, and legislative processes. 

Introduction

The automation of legal services is no longer a distant future concept. It is already changing the nature of lawyers’ work and client expectations. According to a 2023 Thomson Reuters report, 84% of law firms plan to increase investments in technology over the next three years. This trend is driven not only by the desire to increase efficiency but also by growing competition and client demands. Modern clients expect faster, more transparent, and more accessible legal services.

1. Key Areas of Automation

Legal Document Creation: 

Automated systems are revolutionizing the process of creating legal documents. These tools allow for quick and accurate creation of standard contracts, claims, and other legal documents. 

For example, DocuSign’s CLM (Contract Lifecycle Management) solution allows for the automation of the entire process of creating, reviewing, and signing contracts. According to the company’s data, this solution can reduce contract creation time by up to 82%.

Legal Research: 

AI-based tools allow lawyers to conduct legal research quickly and efficiently, analyzing vast amounts of data. 

For example, the ROSS Intelligence platform uses AI technologies for legal research. It can analyze thousands of legal documents in seconds and provide the most relevant results.

Case Management: 

Modern case management systems automate many administrative processes, including time tracking, billing, and document management. 

For example, Clio is a leading case management system used by over 150,000 lawyers worldwide. It offers integrated solutions for case management, billing, and client communication.

Customer Service: 

Chatbots and virtual assistants are already providing basic legal advice and assistance to clients. 

For example, DoNotPayhttps://donotpay.com/, known as the “world’s first robot lawyer,” helps users solve various legal issues such as appealing parking tickets or filing compensation claims. DoNotPay has recently faced legal challenges as well, highlighting the risks of applying artificial intelligence in the legal field.

Image symbolizing the automation of legal services.

2. Automation Technologies and Benefits

Automation Technologies:

1. Artificial Intelligence (AI): AI is used for legal analysis, document classification, and precedent search. This technology can process enormous amounts of data and reveal patterns that can be useful in legal decision-making.
2. Machine Learning (ML): ML algorithms are applied for contract analysis and risk assessment. This technology can learn from past experience and improve its performance over time, which is especially useful for repetitive legal tasks.
3. Natural Language Processing (NLP): NLP is used for automatic analysis and translation of legal texts. This technology allows computer systems to understand and process human language, which is important for automatic analysis of legal documents.
4. Blockchain Technology: Blockchain is used for creating and executing “smart contracts.” This technology offers immutable and transparent record keeping, which can improve trust and security in legal transactions.

Benefits of Automation:

1. Increased Efficiency: Automation can significantly increase the efficiency of law firms by speeding up repetitive tasks and freeing up lawyers’ time for more complex and creative work. This can lead to faster service delivery and increased client satisfaction.
2. Cost Reduction: Automation can reduce the costs of legal services by reducing the need for manual work and optimizing resource use. This can help law firms stay competitive and offer more affordable services.
3. Improved Accuracy: AI systems can reduce the likelihood of human error in document review and analysis processes. This is especially important when working with complex legal documents and large volumes of data.
4. Expanded Service Accessibility: Automated tools allow more people to access basic legal services. This can help address the “access to justice gap” by offering affordable legal solutions to those who cannot afford traditional legal services.

Image symbolizing automation technologies.

3. Challenges and Ethical Considerations

• Data Security and Privacy: The automation of legal services involves processing and storing large amounts of sensitive data in a digital environment. This raises serious concerns about data security and privacy. Law firms must implement strong security measures to protect their clients’ data from cyber attacks and unauthorized access. Additionally, they must ensure compliance with data protection laws and regulations.
• Changing Role of Lawyers: The penetration of technology into the legal field is changing the traditional role of lawyers. Many everyday tasks that were previously performed by junior lawyers are now being automated. This means that lawyers need to develop new skills, including technological literacy, data analysis, and software management. This change may lead to some job losses but will also create new opportunities for those who can successfully combine legal expertise with technological skills.
• Technological Dependency: While automation brings significant benefits, it also creates new vulnerabilities. Over-reliance on technology can cause problems in case of system failures or cyber attacks. Law firms need to develop strong contingency plans and maintain the ability to work using traditional methods if necessary. Additionally, the selection and implementation of technological solutions require significant investment and expertise, which can be challenging for small firms.
• Legal Liability Issues: The use of artificial intelligence and automated systems in legal decision-making raises complex legal and ethical questions. For example, if an AI system makes a mistake in legal analysis, who is responsible – the lawyer, the software developer, or the AI itself? These issues require the development of new legal frameworks that take into account the role of technology in legal processes. Regulatory bodies have begun to address these issues, but there is still much work to be done to create comprehensive and effective regulations.

Image symbolizing the ethical dilemma of artificial intelligence.

4. The Situation and Prospects in Armenia

Current State The automation of legal services in Armenia is still in its development stage. However, there are already initiatives aimed at implementing innovative solutions.

Opportunities and Challenges

• Opportunities: The dynamic development of Armenia’s IT sector creates a favorable environment for the development of legal technologies. There is a large potential of high-quality IT specialists in the country that can be used to develop local solutions. Additionally, Armenia’s small market can serve as an ideal testing ground for new technologies before their implementation in larger markets.
• Challenges: There are several obstacles on the path to automating legal services in Armenia. These include the inadequacy of technological infrastructure, especially in small law firms, limited financial resources for investing in new technologies, as well as the imperfection of the legislative framework, which still needs to be adapted to the requirements of digital jurisprudence. In addition, there is also a need for professional training to equip lawyers with skills to work with new technologies.

Armenian Lawyers’ Association 

Karen Zadoyan, President of the Armenian Lawyers’ Association, commented to Iravaban.net:

“We are actively working to promote the automation of legal services in Armenia. In the first phase, our goal is to help law firms that are members of the association master new technologies in the areas of legal document preparation, analysis of judicial precedents, predictability of court cases, and increase their competitiveness in both the Armenian and global legal markets.”

The Association is currently ready to organize targeted training courses to familiarize lawyers from other law firms with modern technological solutions, thereby increasing the efficiency of these law firms.

Image symbolizing the technological education of lawyers.

Conclusion

The automation of legal services is inevitable and is already changing the field. These changes bring both opportunities and challenges.

On one hand, automation allows for increased efficiency, reduced costs, and improved service quality. On the other hand, it raises concerns related to data security, ethics, and the changing role of lawyers.

Lawyers who will be able to adapt to these changes and effectively use new technologies will have a competitive advantage. This is especially important for emerging markets like Armenia, where technological progress can become an important factor in economic growth.

According to various forecasts, by 2025, law firms will double their spending on technology. This shows that automation is becoming not just an additional advantage, but a necessity to remain competitive.

Armenian legal and law firms should also actively engage in this process to ensure their companies’ competitiveness in the legal market. This includes both the implementation of technological solutions and the training of lawyers, as well as appropriate adaptation of the legislative framework.

The automation of legal services is not a threat to lawyers, but an opportunity to reimagine their role and offer more valuable services. Those law firms that will be able to combine their lawyers’ and advocates’ professional knowledge with technological skills will be most in demand in the future.

About the Next Article

Don’t miss the eighth article in the innovative series “LegalTech Armenia” by the Armenian Lawyers Association and Iravaban.net: “Digital Markets for Legal Services: New Opportunities and Challenges.”

We will explore how digital platforms and online markets are transforming the delivery of legal services. We will reveal how these new platforms are creating opportunities for lawyers to expand their client base and offer more affordable services. At the same time, we will discuss the challenges associated with this new model, including quality control, competition, and ethical considerations.

Get ready to discover how the digital economy is transforming the way legal services are delivered and what it means for Armenia’s legal sector.

The main image of the article symbolizes the digital revolution in legal services.