How AI Will Transform The Legal Business Model

Ahead of the landmark Legal Innovators Europe conference in Paris – June 24 and 25, AL spoke to Olivier Chaduteau, founder of the Day Two consultancy, about how AI will transform the legal business model.

There is a video of the conversation below and a transcript. One key point that really stood out was his mention of how his advisory business is founded upon the use of AI – and that far from reducing income, Chaduteau had greatly increased revenue compared to his earlier, non-AI-based business, Day One.

And this goes to the heart of legal AI. Many lawyers understandably are apprehensive of AI, believing it will reduce what they earn. In reality, AI expands what you can do, allowing a business to take on more matters and do more, resulting in higher revenues.

This and many other key issues are explored in this short, but incisive discussion ahead of the Legal Innovators Europe conference in Paris – June 24 (Law Firm Day) and 25 (Inhouse Day). It will take place at the Pullman Paris Hotel – Tour Eiffel.

For senior professionals at law firms and within inhouse legal teams entry is free – please see the Express Registration information below.

To watch / listen to the video, please press Play.

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Express Registration

Legal Innovators Europe – Paris – June 24 and 25.

Express route to your ticket here.

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More information, see here: Legal Innovators Europe – Paris – June 24 and 25.

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AI Transcript

Richard Tromans (00:13.616)

Hey everybody, Richard Tromans here from Artificial Lawyer. This time doing a special video all about legal innovators Paris, which will be on June the 24th and 25th, which is coming up very shortly. With me is Olivier Chalouteau, who is going to be one of our fantastic speakers. Olivier, good to have you with us.

Olivier Chaduteau (00:36.204)

Hey Richard, it’s very nice to be here with you, to participate to your conference.

Richard Tromans (00:39.74)

Exactly. And I’ve known Olivier many, many years, and this will be the first time we’ve actually participated in a conference together. So very excited to have Olivier with us. Olivier, could you just tell the audience a little bit about yourself and what you do?

Olivier Chaduteau (00:55.976)

yeah, yeah. With pleasure. So I’m running the, I would say, the first AI, native AI consulting firm dedicated to the legal market, working with legal department and GCs, compliance, IP. And the second is the law firm and notaries. And I work with them on their organization, transformation, and obviously digitalization and AI. So that’s a pretty hectic market.

Everything is moving very fast, as you know, and it’s very exciting. It’s very exciting to be in this market. We’re working with my team in Europe, in every country, or trying to work in every country, and that’s very exciting.

Richard Tromans (01:39.536)

and you’re based in Paris.

Olivier Chaduteau (01:41.804)

Yes, the entire team is based in Paris, but we travel or we use, as you know, digital tools to talk to our clients across the world. So that’s very interesting.

Richard Tromans (01:55.004)

Fantastic. So perfect guest for this video to talk about the Legal Innovators Conference, which is also going to be very much about AI. We have the first day on June the 24th, focused on the law firms. And then June the 25th, the second day, we’ll be very much focused on the in-house world, the GCs and so forth. So Olivier, I I know you primarily work on the in-house side, but just broadly tell us what you’re picking up.

You don’t have to mention any names, but just generally, what are you picking up from the French market? How are the French lawyers thinking about AI? How are they thinking about legal tech?

Olivier Chaduteau (02:35.97)

Yeah, I think we’re also working with law firms and that’s funny, we are working more and more with law firms. They are calling us to try to figure out how we can manage this transformation and this revolution basically. So I think we are in phase number three. The phase number one was AI is not for me. I don’t think this is gonna work because I’m a great lawyer, I’m an expert and AI is not gonna be there.

The second phase was, we need to go there, so let’s buy licenses and show the market that we are an AI firm or an AI legal department. And some many organizations had just bought licenses and they didn’t do anything else because they thought that the implementation was going to be as fast as people moved to use Chagipiti three years ago. And it was not working because people were going to the AI tool.

prompting very difficult questions and complex questions. The answer was not there and then go down and not go back to the tool. The phase number three, and I think we are in phase number three now, is that, and that’s very exciting for me, the lawyers in-house or outside councils, they know they have to do it. There is no option, right? They have to do it, but they understand that AI can help them a lot.

Save time, improve quality, innovate. That’s very, very useful. Now we’re moving and we’re working with either law firm or legal department implementing AI tool, doing change management, working on target operating models, working on business model for law firm and try to explain the model that can move from the cost plus pricing and hourly rates to value pricing and change basically the business model that I’ve been there for more than…

hundred years. So that’s very, very interesting. And I know that this is what people are going to talk in your conference. So that’s why I think that it’s worth going to your conference in June, because we’re to have the best in class, the cutting edge technology, but also people working with AI in transforming in real life, not in talk, in real life, and show what they do. So best practices and ideas. And I know

Olivier Chaduteau (05:00.706)

because I know your conference in New York, in San Francisco, in London, I know that every time people get a lot out of it. So I’m sure we’re gonna do the same in Paris.

Richard Tromans (05:13.638)

Fantastic. Yeah, and absolutely that is the intention. We definitely focus on the larger commercial law firms. We focus on the large legal teams, but also not always just large, smaller firms, boutiques, niche practices, really, you know, and the in-house legal teams of scale up companies across Europe. And of course, this isn’t just for France. Should stress that point. We’re going to be in Paris as well. It’s a great location that it is for everyone in Europe.

across the whole European Union and beyond for all of Europe. So from what you said there Olivier, it feels like France at least has definitely engaged seriously with AI now. that, I mean, it sounds like where a lot of the in-house lawyers are is not that different to the position in other countries. They’ve moved through these different stages that you described and now they’re getting into the real value, real transformation.

I mean, I mean, from your perspective, I mean, how big a change do you think this will be if as it kind of flows through?

Olivier Chaduteau (06:23.17)

Well, for me, it’s very clear it’s a paradigm shift. So it’s going to be a big, big shift, a big change in the legal industry. Usually, there are things where we say we overestimate the short-term change and we underestimate the long-term changes. I think it’s going to be a big shift in the legal industry. We’re going to have, and now we’re having, as you know, because you cover that, AI native law firms that coming into the markets in Europe.

of course in the States, but also in Europe, it’s new entrants and it’s really fascinating because it’s shifting the way the incumbents are going to behave in that market. So sometimes, know, law firms are not moving very fast and not loving a lot of change, but they’re going to have to change because new entrants and because the pressure of their clients, mainly legal departments and GCs, where they say,

Now you need to have AI, you need to show me what you do with AI. Of course, you need to be secured, Confidentiality and also, I know we’re gonna talk about sovereignty, that’s very important for Europe. But it’s also about the quality and about innovation. I think what is exciting about AI is not looking at AI and my God, we’re gonna die, but AI can help me manage things I don’t wanna manage anymore because AI is better than me. But also AI can help me.

innovate and do more things, more interesting work, more innovation for my law firm or for my client or for my legal department. So I think it’s the right time to be a lawyer, whether in-house or in law firm, because this revolution, my friend, is the one and only revolution we’re gonna live in our life. And we’re gonna be there. We know before this AI revolution, we lead this revolution.

And I hope and I’m sure we’re to be there after this revolution. It’s a one time opportunity that we are living. It’s the fourth industrial revolution. So when we look at the humanity, we are the lucky ones. I’m maybe too optimistic. We are the lucky one if we take AI as an opportunity, even though we know we have threats, we have risks. So we have to manage and mitigate those risks.

Olivier Chaduteau (08:46.978)

But we need to take AI as an opportunity to leverage our brain, our critical thinking, our innovation, and change our mindset. So I think it’s everything that you want us to talk in your conference in June in Paris. So yes, French people, you come. But European people and from all over the world, come to Paris. It’s the most beautiful city in the world. Just to make it very simple.

Richard Tromans (09:12.304)

Fantastic. Exactly. The AI revolution and Paris. What more could anyone want in the middle of June, which is a great time to visit Paris. Thanks, Olivier. We really look forward to seeing you speak and to anyone else who’s listening. If you’d like to know more, there will be links around the video and we hope to see you there. Thank you.

Olivier Chaduteau (09:32.28)

Thanks, Richard.