LLMs in Interpreting Legal Documents

TL;DR

This paper examines the use of Large Language Models in legal document interpretation, highlighting their potential benefits, challenges, and benchmarking efforts in the legal AI domain.

Contribution

It provides an analysis of LLM applications in legal tasks, discusses challenges like hallucinations and regulation compliance, and introduces two benchmarks for evaluation.

Findings

LLMs can improve legal summarisation and contract analysis

Challenges include hallucinations and regulatory compliance

Two benchmarks are proposed for evaluating legal LLMs

Abstract

This chapter explores the application of Large Language Models in the legal domain, showcasing their potential to optimise and augment traditional legal tasks by analysing possible use cases, such as assisting in interpreting statutes, contracts, and case law, enhancing clarity in legal summarisation, contract negotiation, and information retrieval. There are several challenges that can arise from the application of such technologies, such as algorithmic monoculture, hallucinations, and compliance with existing regulations, including the EU's AI Act and recent U.S. initiatives, alongside the emerging approaches in China. Furthermore, two different benchmarks are presented.