The importance of Artificial Intelligence in the Brazilian legal market
For the lawtechs and legaltechs ecosystem to have disruptive tools in Brazil, technology must be an ally for lawyers
The use of Artificial Intelligence by lawtechs and legaltechs in the Brazilian market has grown a lot in recent years and there are many initiatives that aim to solve problems of lawyers and companies.
Solutions to deal with the contingent of approximately 80 million cases range from document automation to cognitive reading of petitions for the identification of court orders. For example, the number of cases in Brazil exceeds the population of countries like the United Kingdom or France.
Brazil is considered one of the greatest litigants on the planet and very bureaucratic, due to a legislation and complexity. Such factors make resolving disputes time-consuming and dependent on multiple tasks.
Another data that mesure the magnitude of the Brazilian Judiciary is the expense of 15 billion euros, which corresponds to 1.5% of the national GDP, 90.6% of which are used with human resources, according to the National Council of Justice (CNJ). There are 276 thousand civil servants and 18 thousand judges of law. The advantage is that there has been a grown in the adoption of electronic processes and many procedures are digital nowadays.
The resources to facilitate the work of law operators are welcome and there is room for those who wish to undertake, as the demand is great, making the country a fertile field.
There are currently over 1 million Brazilian lawyers and there is a long way to go.
For Larissa Galimberti, partner in the Technology area at Pinheiro Neto Advogados, “the technologies of jurimetrics that apply statistics and probabilities to a given legal case can bring efficiency gains and even help in the interpretation of social transformations for the Judiciary Power”.
As practical examples for the use of AI, she mentions the monitoring of bills and decisions, precedent research, support in decision-making, reduction of disputes through online dispute resolution mechanisms, reduction of legal risks and better provisioning of companies.
Lawtech Tikal Tech, for example, created Eli who is considered the first assistant robot lawyer in the country. Using AI and machine learning he is able to generate documents and agreements, make statistics, analyze and process data from process portfolios, automate processes for tax refunds and make calculations, in addition to other tasks that can be taught to him.
“Technology is a great ally for lawyers and can be crucial for the growth and increase of office profitability and capability”, says Antonio Maia, lawyer and founder of Tikal Tech.
It is estimated that Brazilian companies spend around 23 billion euros a year on lawsuits, so the investment in technology pays off for corporate legal departments and law firms. The study of the volume or strategic process portfolios and the predictive analysis assist in decision making and save money.
Tools for forecasting disbursements, the possibility of curbing future actions and the consequent reduction of employees are advantages that justify investment in technology, especially in AI.
Legaltech Elaw also invests in the use of artificial intelligence for its customers. Known for the Enterprise Resource Planning (ERP) legal system for companies, it has 3.5 million active processes in its base and 100 thousand users. Elaw serves hundreds of companies across Latin America, North America and Europe.
Solutions for Big Data management include tasks such as cognitive analysis and insights from legal proceedings, analysis of procedural documents identifying the parties, initial requests, motivating facts, values involved, among other variables.
All information is automatically filled in the system with Robotic Process Automation (RPA). That is, the information is analyzed using artificial intelligence and machine learning and the ERP is automatically fed with the extracted information.
According to Filipe Sathler Cardoso, CTO at Elaw, “It is important that legal departments manage companies' liabilities by eliminating repetitive tasks, gaining efficiency and saving resources. AI is a trend that is here to stay”.
Some clients also use AI to obtain subsidies for procedural defenses, counting on the assertiveness and accuracy of this technology.
The Brazilian Association of Lawtechs and Legaltechs (AB2L) grew 300% in two years and reflects the potential of startups linked to the sector.
In the following image, you can see the ecosystem of legal technology companies:
The International Association of Artificial Intelligence (I2AI) usually encourages training in areas related to Big Data and promotes debates disseminating the importance of AI in the global context.
I believe that machines will replace human resources in repetitive work and in the simplest tasks; therefore, law enforcement must definitely enter the digital era, known as the 4th industrial revolution.
The expectation is that the use of AI will be more widespread and widely used in the future. The demand for data scientists is high fancy and some lawyers are learning to program.
The use of artificial intelligence and machine learning are of paramount importance so that the ecosystem of Lawtechs and legaltechs have disruptive tools that can support the intricate Brazilian judicial system and its internal and external stakeholders.