NCSB Journal Summer 2026

Beyond the Ban: Why Your Law Firm Needs a Realistic AI Policy in2026

B Y C A T H E R I N E R E A C H

I n 2026, artificial intelligence is deeply embed ded in legal and business operations, making clear policies essential. Simply telling lawyers not to use AI is unrealistic, as these tools are now part of everyday technology. Without defined guidelines, law firms risk confiden tiality breaches, ethical missteps, and could lose client trust. A robust AI use policy

is vital for balancing innovation with responsibility. The good news is that there

is guidance out there, so you don’t have to start with a blank slate.

DrAfter123/istockphoto.com

By 2025, the legal industry had moved past the question of if artificial intelligence will be used, to how it must be governed. According to the Clio Legal Trends report, 79% of legal professionals utilized AI tools, but 44% of law firms had yet to implement formal governance policies. Why “Just Say No” Doesn’t Work In an effort to mitigate risk, some firms have imposed blanket bans on the use of gen

erative AI. While well-intentioned, these restrictive policies are often unrealistic and counterproductive for several reasons: The “Shadow AI” Risk

When firms ban AI without providing approved alternatives, they inadvertently cre ate “Shadow AI,” which involves the unau thorized use of tools by employees without IT knowledge. Lawyers, under pressure to be efficient, may turn to free, consumer-grade

tools (like the free version of ChatGPT) on personal devices to draft emails or summarize documents. This is far riskier than controlled adoption because the firm loses all visibility into where client data is going, and con sumer tools often use inputs to train their

SUMMER 2026

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