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The ABA issued its first formal ethics opinion on AI use in legal practice — and the key holding is that competence now includes understanding AI tool limitations. Attorneys who use AI for legal research without understanding hallucination risk, or who fail to supervise AI-generated work product, may face bar discipline. The opinion specifically calls out citing AI-generated case summaries without verification. Three attorneys have already faced sanctions in 2026 for AI-related research failures.
Use Claude to do a first-pass red flag review before your substantive contract review. Paste the contract and prompt: "Identify the 5 highest-risk clauses from the perspective of the party receiving this agreement, explain why each is non-standard, and suggest fallback language." You get a structured risk summary in 3 minutes — then your real review focuses on confirming, correcting, and negotiating.
Before any significant contract negotiation, run the counterparty's proposed agreement through AI with: "What provisions does this contract lack that are standard in [agreement type] negotiations? What do these omissions benefit the drafter?" Knowing what's missing is often more valuable than knowing what's present. Takes 8 minutes. Changes how you open the negotiation.
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