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Law Technology Today

2025

The Law Firm of the Future Is More Human

Jane Oxley

Summary 

  • The legal field is not known for its work-life balance, but that is becoming increasingly important to today’s workforce.
  • Law firms must adjust the flexibility of their work environments to maintain competitiveness.
  • AI-powered tools also provide small firms with the same advantages available to larger firms, such as enhanced research and document review capabilities, allowing lawyers to provide better service to their clients.
The Law Firm of the Future Is More Human
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Countless industries have embraced remote and hybrid workplace policies and adopted innovative technology solutions. However, much of the legal field remains chained to an office desk, manually reviewing papers and logging a required number of billable hours. This picture is not the law firm of the future.

The legal field is risk-averse and cautious about change. But eventually, the inertia must give way to an intentional, prudent work revolution. Legal practices that adhere to “the way things have always been done” will be left behind.

It’s important to note the law firm of the future isn’t a science fiction scene filled with robots and computers. Rather, long-term success lies in revamping workflow, culture, and firm management to make legal practice more efficient — and more human.

Flexible Working Environment

The legal field is not known for its work-life balance, but that is becoming increasingly important to today’s workforce. Remote work is part of that expectation. Nearly three-quarters of the general population consider location flexibility crucial in their jobs.

However, Smokeball’s 2024 State of Law report found that seven in ten firms with more than three employees want people in the office, while two-thirds of all surveyed firms are not hiring remote staff. This misalignment of expectations makes it hard to attract talent.

Law firms must adjust the flexibility of their work environments to maintain competitiveness. Technology allows many legal tasks to be accomplished anywhere, and other industries have proven the viability of hybrid and remote work models.

There is no single “ideal” office policy. Each firm can adopt a structure that best suits its unique needs and objectives. Leaders need to start ideating, experimenting and implementing technology to find the ideal arrangement for employees, clients and the business.

Technology-Supported Workflows

AI will become a fixture in the legal space. Nearly 90% of firms surveyed by Smokeball plan to use AI — but that doesn’t mean computers will take over. Humans will always be the primary assets in any legal practice. The most successful firms will support their employees with technology.

AI-powered legal tech platforms streamline many menial but important tasks, such as analyzing thousands of documents to identify relevant cases and legal precedents, extracting critical information, and uncovering errors and potential risks. AI can also draft client correspondence and standard documents, saving legal professionals time and mental capacity.

Firms will also leverage AI for nonbillable back-office tasks, allowing legal teams to focus on revenue-generating work. Administrative use cases include:

  • Timekeeping
  • Billing
  • Financial management
  • Document management
  • Client intake, onboarding, and communication
  • Marketing and business development
  • HR and hiring

Automating billing and timekeeping, in particular, will be a boon to a firm’s bottom line. Timekeeping is often low on a lawyer’s priority list, which can lead to delays in time submissions and invoice approvals. Delayed bills cause collection problems, resulting in late payments or reduced cash flow, revenue and profits. Automating this process increases the accuracy and timeliness of bills and payments.

High-growth firms will use legal practice management software to derive key business insights for long-term planning. Firm managers can evaluate revenue trends and resource allocation and identify growth opportunities. 

Alternative Billing Strategies

AI accelerates case resolution, improves client outcomes, supports better client relationships and eases workloads, all of which make a firm more competitive. But expediting legal tasks means fewer hours spent on casework, which translates to lower client billing. Firms must adjust their fee structure to meet this reality.

The firm of the future will employ flat-fee and value-based billing. Charging based on case type or outcome encourages legal professionals to prioritize work quality over time quantity, allowing them to focus on achieving the best results.

Clients appreciate the predictability of expenses, the faster resolutions, and the additional time they can spend interacting with their legal team. If lawyers aren’t buried in case research, they have more time for those client relationships. Value-based billing also enables lawyers to achieve better work-life balance and reduce burnout.

On the business planning side, billing and income forecasting become more straightforward.

The future of law is more competitive and accessible

Large law firms have dominated the legal space, but new technology will level the playing field. Solo and small law firms will gain new efficiency in administrative tasks, allowing them to spend more time on legal work and take on more clients. With automated and streamlined billing, cash flow becomes more predictable.

AI-powered tools also provide small firms with the same advantages available to larger firms, such as enhanced research and document review capabilities, allowing lawyers to provide better service to their clients.

Law firms can’t afford to cling to entrenched processes. They must graduate to more human-centered workplaces that benefit both legal professionals and clients. Long-term success means embracing the field’s current strengths — empathy, critical thinking, human connection — and strategically introducing technology and processes that enhance those skills. 

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