Powered by
MOMENTUM
MEDIA
As artificial intelligence rapidly transforms the legal landscape, TransPerfect Legal’s APAC senior director reveals why lawyers stand at a pivotal crossroads – where embracing AI isn’t just an option, but a necessity to stay competitive and relevant.
Speaking on a recent episode of The Corporate Counsel Show, Tom Balmer, TransPerfect Legal’s APAC senior director, explored the legal industry’s mixed reactions to AI, highlighting both the eagerness and the hesitation, and offers a firsthand look at how legal teams are navigating this rapidly evolving technology on the ground.
Balmer observed that leaders within the legal profession are adopting a notably proactive stance to implementing AI, tailoring strategies that suit their organisations’ needs.
“Some corporations and law firms are taking a very proactive approach. They have someone centrally who’s kind of defining this narrative, putting in place guardrails,” he said.
While it’s encouraging to see some legal leaders embracing AI, Balmer warns that “not everyone” in the sector is keeping pace – and for those lagging behind, the risks are becoming increasingly impossible to ignore.
“Lawyers aren’t going to be replaced by AI, but lawyers who don’t use AI are going to be replaced by lawyers who do. So it’s really important to be able to have an understanding of where this fits in within disputes and investigations as well,” he said.
“We’re just so ripe for disruption. There’s so much of that process where we’re managing the data that can be streamlined and handled by AI rather than just throwing lots of humans at it. It’s a really interesting space.”
On the ground, Balmer described a patchwork of AI adoption across the legal sector, noting that law firms with a dedicated leader driving their AI strategy are far more likely to use the technology effectively.
“I think it’s a mix. Those who have a central team or person who owns this are much more likely to pick up the tools and get into the tools. But like we have to, they have to be led,” he said.
Balmer explained that many legal professionals remain hesitant, mainly due to concerns around data privacy, AI hallucinations, and overall reliability.
“People are so scared because of data privacy issues and hallucinations, and what if it all just doesn’t work the way it’s supposed to. [But] if someone’s saying you should start using it for this use case, they will,” he said.
He identified how there is a stark contrast between how law firms and in-house teams are approaching AI.
“I think there’s also a difference between a law firm and a corporate one, too. For law firms, it’s kind of cannibalising a lot of what their business model has been for so many years. I think, until someone figures this out and how it fits in, I think there will be a reticence to use that and the pressures that come with the billable hour,” he said.
In contrast, Balmer noted that corporate legal teams are often being directed by senior leadership to explore and implement AI solutions.
“Corporations, on the other hand, have a top-down [approach] that they’re being told they should be doing this. Marty Gardner, I was catching up with the head of disputes at Woolworths, was talking about how he’s using AI every day for document summarisation and questions and how he’s actually going to some of his law firm partners and saying, ‘You should be using this AI before they come to you,’” he said.
While this may currently be the case, Balmer believes the dynamic should be flipped, with law firms taking the lead.
“I think it should be the other way around. It should be law firms leading based on the fact that they’re doing the majority of the work for a lot of these corporations as well,” he said.
