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Experience Reports

Below you will find a compendium of Experience Reports, which have been authored by sebis researchers to provide objective reports of our conducted interviews with Legal AI solution providers and appliers. We feature the newest reports from 2025, but we also include an archive of reports from 2024.
For each report, you will find its associated use cases

highlighted

to the right, which point to the interconnectedness of many use cases.

Legal AI Usage at German Law Firm


Who is using it?

M&A lawyers and other legal professionals at a large German law firm are using legal AI tools, particularly within the context of document-heavy legal work such as due diligence and contract review. Legal tech professionals and lawyers with technical backgrounds support development and adoption.

What problem(s) are they trying to solve?

They aim to reduce the time and effort required for document classification, summarization, and legal analysis during tasks like due diligence and litigation. AI is used to extract key contractual clauses, generate executive summaries, and assist with internal legal process improvements. There's also a focus on improving access to templates and internal resources via AI-assisted interfaces.

Which NLP technologies are they using?

They are using large language models (LLMs), particularly GPT-4 and GPT-4o, in both internal (on-premise or country-hosted) and third-party tools. Cloud-based models are used cautiously and only when permitted. Tools include proprietary LLM-based chat interfaces, as well as domain-specific models like those integrated with legal publishers' databases. They also experiment with prompt engineering and use explanation-focused AI tools for model transparency.

Stage

Production

Challenges

  • Hallucination risks in LLM outputs requiring careful review
  • Low adoption rates due to lack of user understanding and training
  • High effort for structuring internal data for AI usage
  • Difficulties in aligning legal and technical teams
  • Market pressure to reduce billable hours via AI without compromising quality
  • Limitations in accessing comprehensive case law databases
  • Lack of transparency in AI decision-making compared to human associates
  • Change management issues and resistance from staff

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal professional working at the organization.

Legal AI Usage at German Technology Company


Who is using it?

The legal department of a German technology company, consisting of eight in-house lawyers, is exploring the use of legal AI tools. Their work includes corporate law, M&A, and international contracts.

What problem(s) are they trying to solve?

They aim to improve efficiency in handling legal documents and contracts. Specific use cases include translating legal texts, rephrasing clauses, summarizing lengthy documents (e.g., EU regulations), and creating initial drafts of legal clauses. A key goal is to automate the review and negotiation of standardized non-disclosure agreements (NDAs) to reduce lawyer involvement in routine processes.

Which NLP technologies are they using?

They currently use on-premise chatbots based on open-source models such as LLaMa and Mixtral. Cloud-based models like ChatGPT are not permitted due to company policy. The department also experiments with proprietary chatbots embedded in legal databases (e.g., beck-online). Tools like DeepL are used for translation, and internally developed contract management systems support their workflow.

Stage

Research

Challenges

  • Cloud-based AI models are blocked due to strict internal IT policies.
  • Existing commercial tools were too costly relative to their benefits.
  • Most contracts are unique and complex, limiting automation potential.
  • High effort required to create playbooks or training data for AI tools.
  • On-premise models lack legal domain training and access to legal databases.
  • Technical limitations with document length and functionality.
  • Need for better prompt engineering knowledge; planning internal training.
  • Current tools cannot cite legal sources reliably.
  • Manual verification of AI outputs is still necessary due to accuracy concerns.

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal department manager and a legal counsel, working at the organization.

Legal AI Education for German Legal Professionals


Who is using it?

The users are primarily legal professionals in Germany, including lawyers, legal departments, and law students. Small law firms and individual practitioners show the most active interest.

What problem(s) are they trying to solve?

Users aim to understand and adopt AI tools to improve efficiency in daily legal work. Specific problems include contract analysis, drafting and summarizing legal emails, document review, legal research, and time tracking for billing. The goal is to develop AI literacy and practical skills for integrating AI into legal workflows.

Which NLP technologies are they using?

They use general-purpose models like ChatGPT and Perplexity, often in secure or self-hosted environments due to privacy concerns. Tools that mimic ChatGPT functionality but claim compliance with professional and data protection standards are also in use. Retrieval-Augmented Generation (RAG) systems are noted for document analysis tasks.

Stage

Research

Challenges

  • Legal sector's general resistance to change and risk aversion
  • High skepticism regarding data protection and regulatory compliance
  • Lack of structured AI knowledge and technical expertise among lawyers
  • Difficulty in motivating adoption and routine use of AI tools
  • Structural inefficiencies and traditional workflows, especially in courts
  • Cost barriers for smaller firms
  • Media discontinuity and inconsistent software standards across jurisdictions

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal tech entrepreneur and former product manager, working at the organization.

Legal AI Usage at German Consulting Firm


Who is using it?

Legal AI tools are used by consultants and internal teams within the firm to support both client projects and internal legal workflows. The tools are also introduced and tested in client organizations through advisory projects.

What problem(s) are they trying to solve?

The primary goals are to support text-based legal tasks such as document drafting, analysis, summarization, and information extraction. The firm also helps clients identify relevant use cases and integrate AI tools into their legal processes through workshops and proofs of concept. Legal AI is not seen as replacing legal professionals but as a tool to assist them.

Which NLP technologies are they using?

The organization uses general-purpose generative AI models, particularly ones based on ChatGPT, with additional internal layers for customization. Tools mentioned include internally hosted generative AI chat systems and specialized legal AI assistants. Some tools rely on fine-tuning or prompt engineering to better address legal contexts. Most tools are cloud-based, though internal deployments are preferred for data-sensitive tasks.

Stage

Production

Challenges

  • High user expectations vs. actual capabilities
  • Identifying relevant use cases for each user group
  • Integration into existing workflows
  • Misunderstandings about what AI can and cannot do
  • Issues related to hallucinations and knowledge scope
  • Requirement for user education and change management
  • Configuration complexity for specialized tools
  • Slow adoption in conservative markets like Germany

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a legal technology consultant, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers, assistants, and secretarial staff across multiple practice groups at a German law firm are using legal AI tools. The digital strategy is coordinated centrally, with adoption managed and tracked across departments.

What problem(s) are they trying to solve?

The firm aims to improve efficiency in legal workflows, particularly:

  • Preparing case summaries for litigation
  • Drafting documents and legal texts
  • Proofreading and summarizing materials
  • Internal knowledge management and document indexing

A core focus is on reducing time spent on manual processes and supporting legal work with AI-assisted summaries and drafting components.

Which NLP technologies are they using?

The firm uses a multi-tiered approach:

  • General-purpose chatbots (e.g., ChatGPT, Copilot) for experimentation and basic tasks like proofreading and drafting.
  • More secure, legal-specific AI tools based on LLMs (some derived from ChatGPT) for sensitive tasks.
  • Cloud-based solutions with a fallback to EU-hosted tools for data-sensitive clients.
  • Ongoing pilot testing with additional models, including those for knowledge management.

They do not use enterprise licenses for public LLMs like ChatGPT but instead enforce strict usage guidelines and access restrictions.

Stage

Production

Challenges

  • Hallucinations and inaccuracies in LLM outputs
  • Poor performance of certain tools (e.g., Copilot in EU version)
  • Low adoption or hesitation among conservative users
  • Need for strict compliance with data protection laws (mandating internal usage guidelines and access gates)
  • Difficulty achieving full-text draft quality with LLMs; users rely on building block-style drafting
  • Scalability of custom tool development is limited due to firm size
  • Managing and motivating sustained tool adoption across departments

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a digital transformation lead, working at the organization.

Legal AI Usage in Swiss Document Anonymization Software


Who is using it?

The users include court departments, legal authorities, and administrative bodies ranging from small teams of five people to larger organizations with up to 200 employees.

What problem(s) are they trying to solve?

The primary use case is the anonymization and pseudonymization of legal documents, such as court decisions. The goal is to automate suggestions for redactions to reduce manual effort, especially in large documents. Clients also seek to handle special formatting challenges in PDFs and accommodate jurisdiction-specific identifier structures, like those found in Austrian property designations.

Which NLP technologies are they using?

They use on-premise NLP models for named entity recognition. The system is not based on generative models and does not rely on cloud services. The technology stack includes a base model trained on pseudonymized court decision data and additional logic using pattern matching (e.g., regex). They also make use of open-source components like spaCy.

Stage

Production

Challenges

  • Complex formatting and non-machine-readable content in PDFs
  • Balancing precision and over-redaction based on diverse client needs
  • Limitations of OCR quality in source documents
  • Client IT constraints and long deployment timelines
  • High expectations due to public familiarity with tools like ChatGPT
  • Legal-specific data handling requirements and slow cloud adoption in public institutions
  • Resource limitations for small clients and aversion to subscription models

Source

Interview conducted in June 2025, led by sebis researchers. The interviewee is a managing director, working at the organization.

Legal AI Usage by a Self-Employed Legal Professional in Germany


Who is using it?

A self-employed legal professional with a background as both a lawyer and Legal Engineer, currently running her own law firm and advising other firms on digitalization.

What problem(s) are they trying to solve?

AI is being used to streamline marketing and content creation (e.g., blog posts and videos), assist with legal research and brainstorming, and draft client communications. Additionally, the interviewee advises other firms, such as tax or compliance-focused organizations, on how to implement legal tech solutions to optimize workflows and automate repetitive tasks.

Which NLP technologies are they using?

The interviewee uses ChatGPT (GPT-based) for brainstorming, writing support, and generating explanatory content. Legal research tools include AI-powered databases that summarize court decisions. There is experimentation with cloud-based tools, some of which also allow user-uploaded documents. Technologies mentioned are generally cloud-based.

Stage

Research

Challenges

  • GPT models produce unreliable legal arguments and incorrect formatting in legal documents.
  • High costs of legal research platforms limit accessibility for solo practitioners.
  • Legal documents often cannot be shared with AI tools due to data protection concerns.
  • Difficulty anonymizing court decisions for upload or use in tools.
  • General lack of digital and AI readiness in parts of the legal profession.
  • Resistance to change within firms due to psychological and organizational inertia.
  • Many legal AI tools lack context awareness or require human oversight.

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a self-employed legal professional with consulting experience in legal tech.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers at a large international law firm, especially those in areas like M&A, Private Equity, Real Estate, and Finance, are using legal AI tools. Usage varies by practice area and seniority.

What problem(s) are they trying to solve?

They aim to improve efficiency in tasks such as document review, translation, and drafting standard contracts. AI is used for due diligence, generating draft memos, and benchmarking market standards. While high-end, bespoke legal work remains largely manual, AI supports standardization and consistency in more repetitive or commodity-oriented tasks.

Which NLP technologies are they using?

They use general-purpose models such as ChatGPT and GPT-4, as well as a mix of external and proprietary tools. Some tools are integrated into cloud-based systems; others are custom-built or customized in-house. AI is employed for language translation, summarization, and drafting assistance, though bespoke legal advice is not generated by AI.

Stage

Production

Challenges

  • Reluctance to share proprietary legal knowledge, even anonymized
  • AI's limitations in handling complex, bespoke contracts
  • Difficulty aligning AI-generated output with client-specific expectations
  • High cost and maintenance of in-house tool development
  • Concerns about consistency, accuracy, and overreliance on averages or correlations
  • Resistance from experienced lawyers in high-end legal areas
  • Difficulty in monitoring and evaluating numerous third-party legal tech vendors
  • Legal industry’s emphasis on short-term profitability hampers long-term AI investments

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a senior lawyer, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers at a large international law firm in Germany, particularly those in practice groups and legal tech roles, are using generative AI tools. A dedicated Legal Tech Fellow supports the integration and training of these tools across the firm.

What problem(s) are they trying to solve?

They use legal AI tools for drafting documents (e.g., emails, memos, court pleadings), translating texts, explaining technical terminology, conducting preliminary legal research, and summarizing lengthy legal documents. The goal is to improve efficiency, reduce manual workload, and make legal knowledge more accessible across departments.

Which NLP technologies are they using?

They primarily use Microsoft Copilot integrated with Office 365. Other tools such as ChatGPT and Perplexity have been tested, though Perplexity is used only privately due to data restrictions. They also co-develop specialized tools in collaboration with tech providers, such as a model for identifying legal risks in internal documents. Most tools are cloud-based, with strict attention to data protection and legal compliance.

Stage

Production

Challenges

  • Difficulty integrating AI tools with existing systems
  • Concerns over data security, especially with client data
  • Limited accuracy in legal content generation (e.g., hallucinated citations)
  • Prompting complexity and low intuitiveness for new users
  • High effort required for data anonymization in model training
  • Legal and regulatory constraints, especially in internal investigations
  • Limited document upload sizes and processing constraints

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a Legal Tech Fellow and practicing lawyer, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers across different departments, especially in tax compliance, employment law, and real estate transaction teams. Some legal assistants and administrative staff also use AI-assisted tools for translation and reporting tasks.

What problem(s) are they trying to solve?

The primary goals are to increase efficiency and reduce manual labor in document analysis, contract drafting, legal research, and translations. AI tools are used to assist with extracting data from large volumes of legal and financial documents, generating and managing standard contract clauses, improving translation quality, and drafting standard communications.

Which NLP technologies are they using?

They are testing or using tools based on large language models like ChatGPT, especially through integrations with publishers (e.g., Otto Schmidt, Beck). Some tools operate via browser-based interfaces and cloud services. Cloud-based AI services (e.g., from OpenAI) are increasingly accepted as they adopt European data protection standards. Local hosting solutions were previously considered to ensure compliance with legal confidentiality requirements.

Stage

Research

Challenges

  • Lack of centralized tool rollout across the firm
  • Many tools still in trial or evaluation phase
  • Legal and data protection concerns, especially around confidential client data
  • System accreditation bottlenecks for cloud-based tools
  • Tools often fail in complex or cross-border legal scenarios
  • Limited benefit over manual research due to insufficient accuracy
  • Internal resistance and delayed strategic alignment on AI adoption
  • Difficulty integrating tools that require access to internal data repositories

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a senior legal professional, working at the organization.

Legal AI Usage at a German E-Commerce Company


Who is using it?

Legal operations and strategy teams within the corporate governance function are exploring and managing AI integration. Project managers and product leads, including non-technical staff, are involved in implementation.

What problem(s) are they trying to solve?

  • Improve efficiency in legal processes such as contract management and compliance.
  • Enable self-service for frequently used documents like NDAs.
  • Enhance searchability and usability of internal knowledge bases.
  • Identify high-impact AI use cases for internal legal workflows.
  • Reduce manual effort and dependency on disparate systems.

Which NLP technologies are they using?

  • Google Gemini, particularly the Notebook-LM feature, for general productivity, text editing, and internal chatbot creation.
  • Conversational search features in a contract management tool are under consideration but not yet implemented.
  • AI-powered search and chatbot functions in ServiceNow were explored, including a compliance chatbot based on company policy documents.
  • All mentioned tools are cloud-based.

Stage

Research

Challenges

  • Frequent delays and quality issues with external vendors during tool implementation.
  • AI features in tools like Sirion and ServiceNow not yet activated due to ongoing basic setup and maintenance.
  • Difficulty in identifying real efficiency gains without comprehensive quantification.
  • Need for wider AI literacy and engagement among legal staff to identify relevant use cases.
  • Ensuring AI tools fit into the existing tech landscape without adding unnecessary complexity.

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a project lead working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Legal AI tools are used by lawyers across multiple departments at the firm, including M&A, corporate law, tax, litigation, and investigations. A dedicated legal innovation team coordinates the introduction and support of these tools.

What problem(s) are they trying to solve?

The primary goal is to process large volumes of legal documents more efficiently, especially in data-heavy fields such as M&A due diligence and litigation. Tasks include summarizing and analyzing documents, drafting emails or memos, automating repetitive tasks, and structuring legal facts. Legal AI is also being explored for translation services and everyday legal workflows like deadline tracking and email correspondence.

Which NLP technologies are they using?

The firm uses general-purpose GenAI models such as ChatGPT and Harvey. Harvey was selected for its superior performance in legal contexts. Other tools tested include CoCounsel. These are cloud-based systems. Traditional contract analysis tools are also in use, but GenAI tools are increasingly preferred for their broader capabilities.

Stage

Production

Challenges

  • Ensuring sustained and consistent tool usage across the firm
  • Overcoming forgetfulness or lack of integration into daily habits
  • Addressing skepticism or limited trust in AI-generated outputs
  • Evaluating the real efficiency gains and quality improvements quantitatively
  • Supporting users with training and prompting best practices
  • Managing organizational change and user onboarding (Change Management)

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a legal innovation associate, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers at a mid-sized law firm, including partners, associates, and legal departments such as litigation, insurance law, tax law, and antitrust.

What problem(s) are they trying to solve?

They aim to streamline legal workflows, reduce manual labor, and improve efficiency in legal tasks such as document summarization, case assessment, and contract analysis. Use cases include litigation file analysis, initial assessments in insurance cases, tax case documentation, antitrust contract checks, and audit-related contract review.

Which NLP technologies are they using?

They use large language models (LLMs) such as GPT-3.5, GPT-4, Claude, LLaMa, and Gemini. These are cloud-based but integrated with an internal anonymization pipeline to comply with data protection requirements. Each use case is linked with specific LLMs and system prompts optimized for the task.

Stage

Production

Challenges

  • Low initial adoption despite positive reception
  • Need for extensive user training and support
  • Fear of AI disrupting the billable hour business model
  • High effort for anonymizing and uploading internal datasets
  • IT resource bottlenecks and long implementation timelines
  • Varied quality and reliability of model outputs
  • Difficulty in convincing senior staff of the tool’s benefits
  • Complex coordination and prompt engineering for use case development

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a lawyer and partner, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

The primary users are legal professionals within a major German law firm, including lawyers and legal transformation teams. Legal engineers and AI experts are also involved in tool evaluation and integration.

What problem(s) are they trying to solve?

The tools are used to support legal work through automation and enhanced document handling. Key applications include translation, improving document quality, contract analysis, clause evaluation, data extraction, and legal research. There is also interest in using AI for drafting support and comparing legal texts or emails. Retrieval-Augmented Generation (RAG) systems are used for precise answers based on curated legal literature.

Which NLP technologies are they using?

They use general-purpose language models like ChatGPT, as well as AI services via Microsoft Azure (e.g., Copilot). Both cloud-based and on-premise systems are employed, including proprietary setups for secure document querying. Beta testing has been conducted with models accessing curated legal data.

Stage

Production

Challenges

  • High barriers for tool approval due to strict internal standards and product vetting
  • Tools often selected by tech-savvy staff, but underutilized by end-users (lawyers)
  • Low user adoption and resistance due to unfamiliarity or unrealistic expectations
  • Misunderstanding of AI limitations, especially regarding hallucinations and legal accuracy
  • Difficulty curating and generalizing internal legal knowledge for AI use
  • Lack of transparency in AI tools (“black box” issue) impedes legal reliability
  • Structural gaps in legal education to prepare for AI-assisted work

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a legal professional, working at the organization.

Legal AI Usage at Bavarian Ministry of Justice


Who is using it?

Legal AI tools are used by a dedicated unit within the Bavarian Ministry of Justice focused on Legal Tech and AI. The tools are intended for use by courts and public prosecutors across Bavaria. Internal staff, including legal professionals and administrative personnel, are involved in the development and testing of these tools.

What problem(s) are they trying to solve?

The Ministry is addressing challenges related to the increasing volume of documents in civil and criminal law cases, such as long legal briefs and large-scale digital evidence (e.g., terabytes of data from searches). Key use cases include document search, metadata extraction, anonymization of legal texts, drafting support, and summarization of lengthy documents. Internally, AI is also used for improving text quality and creating visual materials for presentations.

Which NLP technologies are they using?

They use and test generative AI models like large language models (e.g., ChatGPT-style tools) and have piloted a custom anonymization prototype based on a language model. Projects are developed in collaboration with academic partners and rely on open-source models trained on judicial data. Tools are generally self-hosted or developed in close cooperation with universities to comply with strict legal and data protection requirements.

Stage

Research

Challenges

  • Handling massive volumes of digital data in legal proceedings
  • Ensuring data quality and digital availability (e.g., OCR issues)
  • Anonymizing personal data
  • Strict regulatory constraints (e.g., storage location laws, AI Act obligations)
  • Complexity of interdepartmental rollouts (e.g., electronic case files)
  • Addressing societal trust and ensuring transparency in AI use
  • Limitations of generative AI outputs, especially for visuals and bias
  • Need for high AI literacy among staff to use tools critically

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal professional working at the Bavarian Ministry of Justice.

Legal AI Usage at German Law Firm


Who is using it?

The users are primarily corporate lawyers within the M&A department, including partners and associates. Additional involvement comes from litigation teams in the U.S. and global practice groups across the firm.

What problem(s) are they trying to solve?

They aim to increase efficiency and speed in legal processes, such as document review, legal research, translation, and transaction management. Tools are used for information extraction, document drafting, summarization, and improving access to legal knowledge. They also support due diligence and e-discovery processes.

Which NLP technologies are they using?

The firm uses extractive and generative AI tools, including general-purpose models like ChatGPT, especially within integrated platforms such as Juris-KI. They have tested tools like Kira and are preparing to roll out Westlaw Co-Counsel in Germany. DeepL is used regularly for legal document translation. Tools are primarily cloud-based, with strict security evaluations before deployment.

Stage

Production

Challenges

  • High internal IT security and data protection requirements
  • Lack of standardization in client AI usage policies
  • Limited implementation efforts hindered tool adoption (e.g., Kira)
  • Frustration with insufficient out-of-the-box performance of some tools
  • Transparency concerns about data handling in AI tools
  • Manual effort needed to verify AI-generated outputs
  • Restrictions on AI features in communication tools due to legal risks

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a partner and an associate in the legal department, working at the organization.

Legal AI Usage at German MedTech Company


Who is using it?

The legal department, particularly in the IT legal function, is experimenting with AI tools. A small internal pilot team, including legal and IT staff, has tested tools such as ChatGPT and Microsoft Copilot.

What problem(s) are they trying to solve?

The team is exploring AI tools for various legal support tasks, including:

  • Drafting emails, PowerPoint slides, and speeches.
  • Generating and reviewing legal documents (e.g., NDAs, development contracts).
  • Running legal research and answering compliance-related questions.
  • Reviewing long legal texts like EU regulations.
  • Building internal legal chatbots (e.g., compliance Q&A bots).

Which NLP technologies are they using?

They are using GPT-based models, specifically ChatGPT (commercial version), Microsoft Azure OpenAI (GPT-4), and Microsoft Copilot. The models are hosted in the cloud. They have not yet tested domain-specific tools like Harvey AI due to cost and availability concerns.

Stage

Research

Challenges

  • High variability in output quality, especially for legal drafting and review.
  • Tools fail to detect unusual or problematic contract clauses in longer documents.
  • Inconsistent performance between tools (e.g., Azure OpenAI vs. Copilot).
  • Legal hallucinations and unreliable responses in complex legal queries.
  • Lack of efficiency gains for standard legal tasks.
  • Data confidentiality and licensing concerns.
  • Agents show promise but are still in early-stage testing.
  • Legal risk tolerance is high as partial accuracy is insufficient in critical use cases.

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a legal counsel in IT law, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

The primary users are legal professionals, including lawyers and legal departments within a large law firm affiliated with a major consulting organization. The interviewee oversees all AI-related initiatives at the firm.

What problem(s) are they trying to solve?

They aim to streamline both legal and non-legal workflows. Use cases include document analysis (e.g., contract review), searching and extracting clauses, improving internal efficiency, accelerating legal assessments (e.g., compliance), and handling large-scale litigation by navigating massive document collections. The tools are also used for tasks like generating offers, board reports, and verifying NDAs or codes of conduct.

Which NLP technologies are they using?

They use general-purpose language models such as ChatGPT and GPT-based systems. Tools are a mix of proprietary and customized applications, built on cloud platforms like Microsoft. Their solutions include:

  • A customizable chatbot interface with agent chaining
  • A self-developed contract assessment tool using retrieval methods and generative AI
  • An AI agent framework for orchestrated document analysis in investigations and litigation

Stage

Production

Challenges

  • Low initial user acceptance and difficulty encouraging engagement
  • Need for highly tailored internal training to match specific legal fields
  • Fragmented internal knowledge bases across legal teams
  • Organizational resistance to new workflows
  • Technical vendors lacking legal domain understanding
  • Difficulty in knowledge curation for effective RAG systems

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a legal professional with a technical background, working at the organization.

Legal AI Usage at Global Sportswear Company


Who is using it?

In-house legal professionals at the corporate headquarters, particularly those supporting global IT, e-commerce, loyalty programs, data analytics, and AI compliance.

What problem(s) are they trying to solve?

They aim to streamline legal workflows such as contract generation and review, translation, drafting non-standard contract templates, and email composition. Additionally, AI is used for summarizing meetings and providing structured outputs from long discussions. A future tool is expected to extract contract metadata to populate a database.

Which NLP technologies are they using?

They are testing general-purpose cloud-based models such as Microsoft Co-Pilot (integrated with Microsoft 365) and a legal chatbot from beck-online. They are also exploring a contract software tool with AI-based data extraction capabilities.

Stage

Research

Challenges

  • Limited availability of permanent licenses for tested tools
  • Legal chatbot only supports certain areas of law and is language-specific
  • AI outputs require verification to avoid hallucinations
  • Users must be trained to critically evaluate AI responses
  • Prompt quality significantly affects output usefulness
  • High expectations can lead to frustration due to technical limitations
  • Energy/resource usage concerns tied to widespread AI deployment

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is an in-house legal professional, working at the organization.

Legal AI Usage at Mid-Sized German Law Firm


Who is using it?

Lawyers and partners at a mid-sized law firm, especially those involved in corporate law and M&A. A small internal AI team, including a few partners and employees, is responsible for tool evaluation and testing.

What problem(s) are they trying to solve?

The firm uses legal AI to support contract drafting, markup review, document screening for due diligence, summarization, legal research, and translation. AI also serves as a sparring partner in negotiations and helps structure legal arguments. Another goal is to reduce administrative work, such as client onboarding.

Which NLP technologies are they using?

The firm uses ChatGPT (free and licensed versions) and Claude via third-party tools for general legal language tasks. Tools like Libra, LangDoc, and Spellbook are in testing. These rely on cloud-based large language models.

Stage

Research

Challenges

  • Lack of technical infrastructure to ensure data privacy (e.g., anonymization, document redaction)
  • Risk of hallucinations and factual inaccuracies in AI outputs, especially for legal norms and case law
  • Limited internal expertise and resources for tool development or integration
  • Low adoption due to unfamiliarity or resistance among employees
  • Difficulty verifying AI-generated results without sufficient legal experience
  • Restricted access to legal databases limits AI effectiveness
  • Time constraints hinder extensive tool evaluation
  • Fragmented tool landscape with varying stability and usefulness

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a partner and legal professional, working at the organization.

Legal AI Usage at a German Legal Insurance Subsidiary


Who is using it?

Employees of a legal insurance subsidiary are involved in evaluating and implementing AI use cases. Legal services are primarily delivered through cooperation with external law firms and partners. Internal users are mostly part of service and claims departments.

What problem(s) are they trying to solve?

The organization aims to automate legal claim evaluations, contract coverage checks, and reimbursement decisions (e.g., court or attorney costs). Use cases include extracting key information from legal documents, supporting legal research, and enabling more efficient internal processes. AI is also used indirectly through partner law firms for tasks like legal document drafting and analysis.

Which NLP technologies are they using?

They use generative language models and prediction models, often as cloud-based licensed solutions. The models are integrated into broader systems for document processing and legal evaluation. There is also experimentation with on-premise and partially customized tools. External law firms employ tools based on large language models such as ChatGPT or GPT-4.

Stage

Research

Challenges

  • Hallucinations and lack of precision in legal contexts
  • Legal restrictions on providing legal advice internally
  • Data protection concerns and GDPR-related limitations
  • Difficulty in verifying outputs, especially for junior staff
  • Complex integration with legacy systems
  • High upfront effort for anonymization and data preparation
  • Lack of suitable tools for civil-law (non-English) jurisdictions
  • Risk of decreasing legal training quality among new professionals

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a managing director working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Legal Tech practitioners within the law firm, including attorneys who integrate legal technology into client matters. A dedicated Legal Tech team coordinates tool procurement, implementation, and internal/external innovation processes.

What problem(s) are they trying to solve?

The firm uses legal AI to improve efficiency in areas such as document review (e.g., eDiscovery and M&A due diligence), contract analysis, drafting, summarization of court decisions, and translation. AI also supports internal collaboration, document automation, and the creation of chronologies for fact-finding. The overarching goal is to enhance productivity and maintain competitiveness while meeting client expectations for efficient service.

Which NLP technologies are they using?

They use both commercial and self-developed tools. General-purpose LLMs (e.g., GPT-based systems like Harvey) are used for legal content generation and review. Their custom tool is built on Azure services and performs document processing, search, and RAG-based QA. The models are hosted in the EU and designed without continuous learning, ensuring confidentiality. Other machine learning-based tools are also employed for M&A and document classification tasks.

Stage

Production

Challenges

  • Compliance with strict German professional secrecy laws, requiring extensive vendor obligations.
  • Internal coordination and documentation for custom tools are resource-intensive.
  • LLMs struggle with deeper context understanding, document structure, and logical coherence.
  • Identifying and communicating effective use cases across the organization remains challenging.

Source

Interview conducted in January 2025, led by sebis researchers. The interviewee is a Legal Tech Manager and practicing attorney, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

A legal tech and digital transformation unit within a large law firm, consisting of jurists and IT-affine staff, is leading the AI implementation. The team includes one programmer and works closely with selected external service providers.

What problem(s) are they trying to solve?

They aim to address repetitive legal workflows, quantitative document analysis, and efficiency improvements. Use cases include automation of contract generation, processing of routine administrative tasks, and document comparison. The overarching goals are reducing workload, minimizing errors, and driving innovation.

Which NLP technologies are they using?

They are testing and integrating external and local large language models, including LLaMa, via APIs. Machine learning is used for quantitative analysis, and Robotic Process Automation (RPA) is also being implemented. Hybrid approaches combining ML and RPA are under development. These tools are introduced in a technology-neutral and problem-driven manner.

Stage

Research

Challenges

  • High resource demands: time, cost, and organizational change
  • Need for internal training and cultural acceptance
  • Complexity of integrating multiple technologies into existing infrastructure
  • Resistance to adoption without clear communication of benefits
  • Lack of prompting methodology in early tool rollouts
  • Vendor overselling during AI hype phases
  • Regulatory and compliance concerns depending on tool use

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is the head of digital transformation and legal tech, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers across all levels (from associates to partners) and staff members, especially assistants, are using legal AI tools. A dedicated Legal Tech team, including in-house developers, supports implementation and customization.

What problem(s) are they trying to solve?

The firm uses legal AI primarily to summarize legal documents, assist with drafting emails and first drafts of pleadings, and perform document analysis. They aim to reduce administrative burdens, improve efficiency, support knowledge management, and offer clients AI-enhanced legal services. Future plans include integrating internal systems for unified access and creating tools tailored to the firm's specific legal workflows.

Which NLP technologies are they using?

They are using legal and general-purpose large language models, including Harvey, ChatGPT and Microsoft Copilot. Some tools are hosted in the cloud with data segregation ensured through contractual safeguards. Internal prototypes leverage LLMs, and software development is accelerated using AI-assisted coding tools like GitHub Copilot.

Stage

Production

Challenges

  • Limited access to legal databases due to restrictive licensing from publishers.
  • Initial skepticism and resistance from lawyers unfamiliar with AI capabilities.
  • Lack of creativity among lawyers in identifying potential use cases.
  • Significant variation in internal workflows makes standard tool adoption difficult.
  • Technical limitations in Microsoft Copilot’s integration with existing infrastructure.
  • Difficulty validating references to legal precedents using current tools.
  • High effort required to ensure legal AI outputs meet quality standards.
  • Resource overhead and risk of knowledge leakage when outsourcing tool development.

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a Director of Legal Tech, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

The tool is used by legal professionals including lawyers, business support staff, marketing, HR, and secretarial teams at a large international law firm. Usage is voluntary and access is available firm-wide to those who request it.

What problem(s) are they trying to solve?

The tool is primarily used for drafting and refining legal clauses, generating legal memos, and formulating native-level English text (e.g., emails or documents). It helps with clause modifications, inspirations for restructuring contracts, and abstract legal analysis. In specific cases, it is also used to explore contract risks and options in restructuring scenarios. Beyond legal staff, non-legal teams use it for text generation tasks.

Which NLP technologies are they using?

They are using Harvey, a proprietary chatbot interface based on large language models, trained with legal data. It allows document upload and context-aware interactions. Comparisons were made with ChatGPT and Microsoft Copilot, which is also being introduced. Usage is cloud-based but with contractual attention to data privacy and confidentiality.

Stage

Production

Challenges

  • Data privacy and confidentiality concerns, especially under legal professional duties across multiple jurisdictions.
  • Limited reliability when analyzing or generating content based on uploaded documents.
  • Cannot yet draft complete contracts from term sheets.
  • Quality limitations with German legal language and jurisdiction-specific clauses.
  • Users must verify all AI outputs, as results may be confidently incorrect.
  • Legal staff must be involved in tool implementation to ensure usability.
  • Limited integration compared to tools embedded directly in office software (e.g., Copilot in Word/Outlook).

Source

Interview conducted in December 2024, led by sebis researchers. The interviewee is a legal professional, working at the organization.

Legal AI Usage at German Law Firm


Who is using it?

Lawyers in the corporate law department, particularly those involved in M&A and venture capital transactions, are exploring and using legal AI tools. A dedicated internal AI team (approximately 8–9 people) supports these efforts.

What problem(s) are they trying to solve?

The main goals are to improve efficiency in legal workflows, particularly in translation, document review (e.g., due diligence), summarization, and internal research. AI is also used to assist with tasks such as preparing presentations and navigating legal databases more efficiently.

Which NLP technologies are they using?

They use general-purpose NLP models like ChatGPT and GPT-based tools. Tools are both cloud-based and on-premise. ChatGPT is used privately for general legal brainstorming, while Co-Pilot is tested for tasks like presentation and spreadsheet support. Tools such as DeepL are used extensively for document translation. Other tools mentioned include those for legal document extraction and comparison.

Stage

Research

Challenges

  • Data privacy and confidentiality concerns
  • High tool acquisition and implementation costs
  • User adoption varies by personality, experience, and willingness to change
  • Difficulty in integrating tools into the daily workflow
  • Need for internal testing capacity and time
  • Quality control, especially in consistent legal terminology during translation
  • Risk of hallucinated results from some models (e.g., fictitious case law citations)

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal professional working at the organization.

Legal AI Usage in a Corporate Legal Department


Who is using it?

In-house legal counsel specializing in digital law, including IT procurement, data protection, and compliance with the EU AI Act. The tools are primarily used by legal professionals within the corporate legal department.

What problem(s) are they trying to solve?

Legal AI tools are used to improve efficiency in legal research, document drafting, summarization of lengthy communication threads, and the preparation of presentations. Specific applications include drafting contracts, creating summaries from email histories, and assisting with internal compliance documentation related to data protection and the AI Act.

Which NLP technologies are they using?

They use a mix of general-purpose and legal-specific LLM tools. These include:

  • A chat function integrated into a legal database for research purposes.
  • Microsoft Copilot for general-purpose AI tasks like text generation and summarization within the Office suite.
  • A legal-specific LLM trained on European and German court decisions and some legal commentaries, used particularly for data protection and IT law.

All tools mentioned are cloud-based. ChatGPT is not officially approved for internal use, though it may be used privately or for non-confidential queries.

Stage

Production

Challenges

  • Incomplete or imprecise responses from legal database chat tools, especially outside of their core legal domains.
  • Difficulty accessing specific court decisions via the research chat interface.
  • Need for high-quality prompt engineering to ensure accurate outputs.
  • Ongoing requirement to manually verify AI-generated content.
  • Restrictions on feeding personal or sensitive data into tools due to data protection concerns.
  • Legal and organizational scrutiny around vendor selection and data residency (e.g., avoiding data transfer outside the EU).
  • Limited internal authority of legal users over procurement and deployment decisions.

Source

Interview conducted in February 2025, led by sebis researchers. The interviewee is a legal professional, working at the organization.

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