Lowenstein Sandler Chair Says AI Could Expand Legal Work as Costs Fall to 0
Updated
Updated · Bloomberg · Jul 13
Lowenstein Sandler Chair Says AI Could Expand Legal Work as Costs Fall to 0
1 articles · Updated · Bloomberg · Jul 13
Summary
Gary Wingens said AI may increase, not shrink, lawyers' workloads by cutting the cost of research and document-heavy tasks enough to spur more lawsuits, deals and litigation.
Wingens framed that as a Jevons-paradox effect: cheaper legal work could lift demand, even as AI automates clerical and database-search work that once consumed billable hours.
Lowenstein Sandler is already using AI, he said, while the shift is also forcing firms to rethink the billable-hours model and how they train junior lawyers.
The argument pushes against a common expectation that automating contract review and legal research would leave lawyers with less to do and make parts of the profession more vulnerable.
As AI-native firms offer legal help for $250, is the era of the billable hour over?
If AI is creating more legal work, why is entry-level hiring for young lawyers collapsing?
With AI handling the research, how will the next generation of lawyers develop sound legal judgment?
How AI Is Expanding Legal Work: Lowenstein Sandler’s 13% Revenue Growth, the Jevons Paradox, and the New Legal Market
Overview
The report highlights how the widespread adoption of artificial intelligence in the legal sector is not reducing jobs, but instead expanding the scope and volume of legal work. This is clearly seen in Lowenstein Sandler’s success, where strategic AI integration led to a strong financial year in 2024, with significant revenue and profit growth. By focusing on AI-related matters and higher-value client work, and implementing a new growth strategy centered on AI, the firm plans to increase its attorney headcount. This demonstrates that AI, when used strategically, drives both efficiency and expansion in legal services.