December 5, 2025

In the rapidly evolving world of legal practice, the integration of Artificial Intelligence (AI) tools, especially large language models (LLMs), has been both lauded for its potential and criticized for its pitfalls. As lawyers increasingly turn to AI for assistance, a new study from Cornell University highlights significant concerns that could temper the legal industry's enthusiasm for these advanced technologies.
The study addresses the heavy reliance on AI tools in legal research and documentation, identifying two primary flaws: the propensity of AI systems to create inaccurate or non-existent legal cases ("hallucinations") and a lack of transparency in how these systems reach conclusions. This 'reality flaw' means that AI does not fact-check but pattern-matches from vast data troves, which might not always align with factual accuracy.
Moreover, the 'transparency flaw' or the 'black box' problem exacerbates the issue, undermining trust in AI outputs. Without clear insight into how conclusions are derived, legal professionals cannot fully trust or understand the decisions made by AI, which is a critical drawback in a field that relies heavily on logic and reasoning.
The implications of these flaws are not trivial. According to the study, verifying AI-generated information can often negate any time or cost savings, leading to what the researchers term a "verification paradox." This paradox suggests that the net value of AI in legal practice may often be negligible when considering the high costs associated with ensuring the accuracy and relevance of AI outputs.
The economic impact of this verification paradox is stark. If a lawyer uses an AI tool to conduct 10 hours’ worth of legal research, they might still need to spend extensive additional time verifying each case citation and legal argument made by the AI. This not only diminishes the efficiency gains but also introduces significant risk of legal errors, which could lead to fines or malpractice claims.
Despite these challenges, the complete abandonment of AI in legal practice is unlikely. AI still holds potential for tasks where high accuracy is not as critical, and in those areas, it could significantly impact efficiency and cost-effectiveness. However, for critical legal tasks, the emphasis will likely shift towards more rigorous verification processes and perhaps a more skeptical view of the tool's infallibility.
As the legal industry continues to navigate its relationship with technology, the findings from the Cornell study serve as a crucial checkpoint. They urge legal professionals to not only embrace the advancements AI can offer but also to rigorously evaluate the risks and demands these technologies impose. In essence, as we move forward, the call to "check your citations" has never been more pertinent.