Speaking at the Avrio Advocati Spring Conference in Bonn, Dr. Ansgar Kalle of the Institute for Labour Law and Social Security Law discussed the growing role of artificial intelligence in legal practice and the significant professional responsibilities that continue to rest with lawyers when using these technologies.
Dr. Kalle outlined how AI is increasingly being integrated into legal work, ranging from legal research and contract analysis to document drafting, deadline management and client interaction through chatbots. While these tools can improve efficiency and productivity, he emphasised that AI should be viewed as a support mechanism rather than a replacement for professional legal judgement.
A central theme of the presentation was the continuing liability of lawyers under German law. Dr. Kalle explained that lawyers remain fully responsible for their advice and decisions, regardless of whether AI has been used in the preparation of legal work. The lawyer’s duty to provide the safest possible advice, conduct thorough risk assessments and maintain reliable case management processes cannot be delegated to technology.
Dr. Kalle highlighted several key risks associated with the use of AI in legal practice. Among the most significant are so-called “hallucinations”, where AI systems generate inaccurate or entirely fabricated legal authorities, cases or legal concepts. He noted that courts have shown little sympathy where lawyers rely on AI-generated content without proper verification. Other concerns include the misinterpretation of legal rules, reliance on outdated legislation, flawed contract drafting and errors arising from client-facing chatbots that fail to identify relevant facts or ask appropriate follow-up questions.
The presentation also addressed the important issue of data protection. Dr. Kalle warned that entering confidential client information into AI systems can create significant GDPR and professional confidentiality risks, particularly where data is processed or stored outside the European Union. He stressed that anonymisation or pseudonymisation of client data is often the safest approach unless clients have provided explicit and informed consent.
Turning to regulation, Dr. Kalle provided an overview of the European Union’s AI Regulation, which adopts a risk-based framework. Although many of the AI tools currently used by lawyers are unlikely to fall within the regulation’s high-risk category, firms must still ensure transparency, maintain appropriate levels of expertise and comply with data protection obligations. Importantly, he noted that the AI Regulation does not determine civil liability, which continues to be governed by national legal frameworks.
To help law firms navigate these challenges, Dr. Kalle recommended a phased approach to AI governance. In the short term, firms should assess the suitability of AI tools and ensure compliance with GDPR requirements. Medium-term priorities include developing formal AI policies, implementing verification procedures for AI-generated outputs and reviewing professional indemnity insurance coverage. Looking ahead, firms should invest in ongoing education and training while preparing for future regulatory developments.
A particularly important recommendation concerned documentation. Dr. Kalle advised firms to maintain detailed records of how AI tools are used, the outputs generated, the review process undertaken and any corrections made. Such documentation may be critical in demonstrating that a lawyer fulfilled their duty of verification should a negligence or damages claim arise.
The presentation concluded with a clear message: while AI offers considerable opportunities for the legal profession, ultimate responsibility remains with the lawyer. Effective oversight, rigorous verification and careful documentation will be essential as firms seek to balance innovation with professional accountability.