Your Daily Legal Tech Briefing

AI Accountability and Evolving Regulatory Landscape Dominate Recent Discussions

• A recent study commissioned by Ironclad revealed that 92% of 800 surveyed legal practitioners regularly use AI for legal work, yet a striking 96% indicated they would increase their AI usage if accountability protocols were clearer. This highlights a significant gap, as only 49% of respondents currently have a formal error policy in place for AI-related issues, underscoring a widespread desire for more robust governance in AI adoption.

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• The legal landscape is rapidly defining the boundaries of AI use, with a Suffolk Superior Court ruling in June 2026, reported on July 15, clarifying that neither queries to AI programs for legal assistance nor the resulting AI output are protected under the work product doctrine. This follows earlier warnings that public Large Language Model (LLM) uploads could risk eroding attorney-client privilege.

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• Regulatory shifts continue to impact legal tech, as New Jersey enacted A5328 on June 30, 2026, amending its comprehensive privacy law to include new provisions on data broker registration and sensitive data restrictions. Concurrently, California is experiencing a surge in lawsuits under the California Invasion of Privacy Act (CIPA) targeting common website features like analytics and chatbots, though a proposed bill (SB 690) aims to eliminate the private right of action for CIPA violations and vest enforcement solely with the Attorney General, with retroactive application.

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