Victorian Legal Services Board and Commissioner statement on the use of AI in Australian legal practice

The Victorian Legal Services Board and Commissioner (VLSBC), alongside other legal bodies in Australia, has issued a new statement on 6 December 2024 on the use of artificial intelligence (AI) in legal practice, outlining critical guidelines to ensure the ethical and professional application of AI tools. This statement highlights the evolving role of AI in law, particularly large language models (LLMs), and provides a framework to safeguard legal standards while integrating AI technologies.

The guidelines stress the importance of lawyers maintaining ethical obligations under the Legal Profession Uniform Law, including client confidentiality, professional independence, and competent service delivery. Notably, lawyers must avoid inputting sensitive information into public AI tools, independently verify AI-generated outputs, and ensure clients are not overcharged due to AI use.

Additionally, the statement calls for the implementation of risk-based AI policies to manage security concerns. This involves, for example, limiting AI use to low-risk tasks, such as drafting simple communications, and avoiding complex legal analysis. Transparency is emphasized, requiring lawyers to disclose AI use to clients and other stakeholders when appropriate.

The VLSBC also highlights the need for ongoing updates to this guidance as AI continues to influence legal practice, ensuring that lawyers are equipped to meet both professional expectations and client needs in a rapidly changing technological landscape.

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