Fifty-six percent believe using AI tools could compromise attorney-client privilege
The Association of Corporate Counsel’s (ACC) global survey revealed significant concerns among in-house counsel regarding AI's risks to legal privilege, particularly in safeguarding sensitive information.
The recent survey sought to understand the perspectives and practices of legal professionals when using AI tools. While AI tools offer numerous advantages for streamlining legal processes, the survey results show that legal professionals remain cautious about the unintended disclosure of privileged information.
A major concern highlighted in the survey is the possibility that AI systems could inadvertently expose sensitive data. Fifty-six percent of the respondents believe using AI tools could compromise attorney-client privilege. Meanwhile, 22 percent said the risk varies depending on the specific AI tool and its usage, while five percent said the risk depends mostly on the specific circumstances. Overall, respondents stressed the importance of careful consideration and due diligence when using AI tools to minimize the risk of compromising attorney-client privilege.
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Forty-two percent of global survey participants expressed moderate concern about the possibility of AI-powered tools inadvertently disclosing privileged information, while 10 percent reported being extremely concerned. There is greater concern in Australia, with 43 percent being “very” or “extremely” concerned, while the concern level is more moderate in Canada (23 percent).
By far, generative AI tools are believed to be the most at risk of compromising legal privilege (49 percent). The respondents also cited concerns over tools that automate document review and drafting and those that process large volumes of data, noting that without proper oversight, these tools could lead to breaches of confidentiality.
The survey suggested that current practices to safeguard legal privilege when using AI are still evolving. However, in-house counsel called for several proposed actions to mitigate the risks, including implementing stricter data protection protocols, increasing AI tool transparency, and ensuring all AI technologies used in legal processes adhere to established security standards.
Beyond legal privilege, the survey revealed additional concerns about AI's broader impact on the legal profession. Many professionals cited the need for ongoing education and the development of best practices to integrate AI safely into their operations.
As AI continues to grow in legal practice, ACC's survey underscored the importance of establishing robust frameworks to address these emerging challenges. Legal departments are encouraged to remain vigilant and proactive in ensuring that sensitive client information remains protected in an increasingly AI-driven landscape.
