• THE STATE OF AI
US – OHIO
OUR ADVICE...
Faster, fairer resolutions?
Embrace and Monitor AI: We should cautiously embrace AI for its potential to
Regular evaluation of AI tools for biases and accuracy is essential, as is fostering collaboration between technology and legal professionals. Continuous Learning and Ethical Discussions: Advocating for continual training and education on AI in any sector is vital. Encouraging open discussions about the ethics of AI in dispute resolution will help navigate this evolving landscape.
important transparency and bias are to the future of AI cannot be overstated. AI’s Use in Smart Contracts Another use of AI can be found in smart contracts using a blockchain platform. While this technology has been around for some time, it may become more widely accepted as AI is incorporated into the smart contracts, making the contracts “smarter.” This technology employs an automatic system for resolving disputes, with the added advantage that through blockchain- based payment methods the party that wins will be paid automatically. While this may seem attractive, the technology is new and not commonly used in the States or any other country with an established judicial or arbitration system. The process may employ an appellate process but there is no proven legal track record to ensure that the results will follow any governing law. This technology is more commonly used by rogue traders who prefer confidential transactions, outside traditional jurisdiction. It is unlikely in the near future that these contracts will be used in mainstream transactions unless the AI develops a track record, and the rewards outweigh the risks. “The advent of generative AI in dispute resolution heralds a new era of legal processes.”
enhance efficiency and fairness, while staying informed about the inherent risks. We also need to stay aware of legal developments and new regulations. Human Oversight and Collaboration: Ensuring human oversight in AI usage is crucial for maintaining balance and accuracy.
Chris Niekamp Partner Andrew Stebbins Partner Buckingham, Doolittle & Burroughs, LLC
misleading or inaccurate content. When publishing a blog post, the impact could be minor. However, in dispute resolution, this could be devastating. For example, two lawyers were fined by a U.S. federal judge in June 2023 for submitting a filing, written by ChatGPT, that cited completely made-up cases. Q3 How is the United States preparing to tackle bias and transparency in generative AI tools? In the United States, we had a significant moment on October 30, 2023, when generative AI entered national policy. On this date, President Joe Biden issued an executive order on the Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence. In this wide-ranging executive order, President Biden made multiple references to transparency and bias: • Section 8 of the order specifically states that to protect American consumers, patients, passengers,
and students, regulatory agencies should review regulations regarding AI. In particular, regulations should require regulated entities to “conduct due diligence on and monitor any third-party AI services they use” and to set proper “requirements and expectations related to the transparency of AI models and regulated entities’ ability to explain their use of AI models.” • The order makes multiple mentions of the need for many government agencies to take steps to counteract potential bias through the use of AI. In the order, the President calls for the development of policies that protect against AI bias across numerous departments including Labor, Housing and Urban Development, Health and Human Services, Veterans Affairs, as well as the Department of Defense, the Federal Housing Finance Agency, the Consumer Financial Protection Bureau, and the Architectural and Transportation Barriers Compliance Board. President Biden’s executive order also discussed other issues, such as equity, civil rights, privacy, and civil liberties. But, the focus on how
Q1 Is generative AI already being used in dispute resolution in the United States? In the United States, the integration of generative AI into dispute resolution is gaining momentum. The use of generative AI is not limited to drafting and research; it is also becoming instrumental in analysing legal documents and even in preparing initial drafts, marking a transformative phase in the legal landscape. This momentum is supported by initiatives such as the American
begun to require attorneys to disclose when they utilise AI and verify the accuracy of the information produced.” Q2 How do you feel about generative AI in disputes? Could ChatGPT or related applications pose a faster, fairer dispute resolution process, or does it pose a serious risk to the resolution process? The advent of generative AI in dispute resolution heralds a new era of legal processes. AI can speed up dispute resolution by automating routine tasks. With the advent of generative AI, the ability to draft entire documents could truly change how dispute resolution is handled. Disputes could be far quicker to resolve, at a far lower cost. AI also has the potential to reduce the influence of human bias on outcomes. However, we have all heard the phrase “garbage in, garbage out.” The application of this concept to AI is critical. If AI systems are trained on biased data, the results we can get will multiply those biases, rather than eliminate them. It requires a careful balance of technological innovation, oversight, and stringent ethics. There is also a well-documented risk of AI ‘hallucinations.’ Hallucinations occur when generative AI creates
Chris Niekamp is Buckingham, Doolittle & Burroughs, LLC office partner-in-charge of the Firm’s Akron, Ohio office. He engages in a diverse Commercial and Corporate Law practice. Chris has represented national and local banking institutions, large corporations and small businesses, debtors and creditors in all phases of Bankruptcy and Collection matters.
+1 3303 765 300 CNiekamp@bdblaw.com irglobal.com/advisor/chris-niekamp
Arbitration Association’s (AAA) AI Working Group. This group’s endeavours, particularly with the
development of the ClauseBuilder AI (Beta) tool, underscore a significant shift towards technology-driven legal processes. The ClauseBuilder AI (Beta) tool is designed infuse AI into the existing ClauseBuilder tool to further aid in crafting arbitration and mediation agreements, illustrating the practical application of AI in complex legal tasks. “This trend is reflective of the broader legal industry’s embrace of AI for enhanced efficiency and accuracy,” said David Myers, a partner at Buckingham, Doolittle & Burroughs, LLC who focuses on data privacy, cybersecurity and AI governance. “Courts are beginning to grapple with the implications of AI use in legal proceedings. Many courts have
About us...
Andrew Stebbins is a partner who practises in the area of defamation. He represents businesses and individuals to restore and maintain their reputation online. He is a successful litigator who has handled every aspect of litigation and trial as a lead attorney in both state and federal courts.
bdblaw.com
Buckingham, Doolittle & Burroughs is a corporate law firm that counsels middle-market executives and business leaders all over Ohio and beyond. Buckingham has served Northeast Ohio for more than 100 years through sophisticated and practical legal services. With 80 attorneys in Akron, Canton and Cleveland, Ohio, Buckingham has extensive experience
working with owners of middle-market businesses in all aspects of their operations. Buckingham’s mission is to deliver meaningful experiences through the practice of law, exceed expectations in terms of service, counsel and business sense, and to offer continuous value to the industries, communities and clients they serve.
+1 2167 364 233 AStebbins@bdblaw.com irglobal.com/advisor/andrew-stebbins
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