A Study on Generative Artificial Intelligence in Legal Practice: Opportunities, Risks and Regulatory Framework in India
Author : Rajeswari J and Kalpana B
Abstract :
Generative Artificial Intelligence (AI) has developed as a transformative technology in the legal sector. It is offering many solutions for legal research, providing innovative ideas for the legal research method, document drafting, contract analysis, case prediction, and client support services. In India, the adoption of Generative AI is steadily increasing among law firms, corporate legal departments, and judicial institutions. It is improving the efficiency, reducing the costs, and it helps to access justice immediately sometimes. But the integration of AI into legal practice also presents some risks which include data privacy, confidentiality, algorithmic bias, accuracy of legal outputs, intellectual property rights, and accountability for AI-generated decisions.
Nowadays many advocates are using the AI tools for the case laws and which creates the AI hallucination and that forces the courts to waste valuable time and resources verifying references. This delays the judicial process. This paper analyses both the opportunities and challenges presented by Generative AI, this study emphasizes the need for a comprehensive and adaptive regulatory framework that promotes innovation while safeguarding legal rights, professional ethics, and public trust in the justice system. This research provides awareness about the Governing Acts and Regulations which is governing the usage of the Artificial Intelligence in the legal practice. The research discusses about the development of clear guidelines, and governance standards to ensure the responsible and ethical use of AI technologies within the legal sector.
The findings aim to contribute to the growing academic and policy discourse on AI governance and provide valuable insights for legal practitioners, policymakers, regulators, and researchers seeking to facilitate the sustainable integration of Generative AI into the Indian legal system. This research provides many suggestions for governing the AI in the Legal practice and how to avoid the mistakes while using the AI tools. The research examines the "Regulations for Use of Artificial Intelligence in Courts, 2026" is currently a draft released by the Supreme Court of India's Artificial Intelligence Committee.
Keywords :
Generative Artificial Intelligence, Technology, Legal Practice, AI hallucination, Regulatory framework.