Legal Risk Issues with Gen AI Transcription Tools

The legal sector is changing as a result of the increasing use of generative AI (Gen AI) transcription technologies. Lawyers are depending more and more on AI-powered platforms to expedite note-taking, increase accuracy, and save time during client meetings and depositions. Professionals must carefully consider the substantial legal dangers associated with these instruments, despite their advantages.

Data privacy is one of the main issues. Sensitive discussions including private client information are frequently processed by transcription systems. Law firms may be subject to violations of attorney-client privilege if this material is kept on external servers or is not sufficiently encrypted. Using AI-driven platforms makes compliance with laws like GDPR and HIPAA even more important.

Accuracy and bias are another concern. Even while Gen AI transcription has evolved quickly, mistakes in legal language, contextual interpretation, or speech recognition can have major repercussions. Case results may be impacted by misunderstandings during a contract discussion or deposition. Instead of depending entirely on automation, attorneys should carefully go over transcripts produced by AI.

There are also concerns about who owns the intellectual property of transcripts produced by AI systems. Certain platforms assert ownership rights over the data they handle, which may make archiving or lawful use more difficult. To protect sensitive data, AI vendors must have clear contractual conditions.

Lastly, it is impossible to ignore the ethical aspect. Attorneys must protect client data and make sure that using technology does not violate professional norms, according to the American Bar Association and other legal organizations. Without conducting adequate risk assessments, implementing Gen AI could result in disciplinary action and harm to one’s reputation.

Strict compliance frameworks, encryption standards, human monitoring, and explicit vendor agreements are all necessary for law firms to move forward. Although there are some benefits to using Gen AI transcribing technologies, the hazards are still far from over.

Smarter compliance starts here discover LegalTech News.