04 Apr 2025

LawTech Weekly Briefing - Mar 30 - Apr 4, 2025

Shoosmiths links bonuses to AI use, in-house teams invest in GenAI, and legal tech sees major innovation, funding, and a few April Fool’s surprises.

Here's what happened in LegalTech this week.

From bonus schemes tied to AI usage, to transformative mergers, funding rounds, and even a few clever April Fool’s jokes — this week’s updates show just how dynamic the legal industry is becoming.

Shoosmiths Leads with AI-Driven Incentives

Shoosmiths offers £1m bonus pot for 1 million AI prompts (The Legal Technologist)

Shoosmiths has taken a bold step into the future by linking firmwide bonuses to AI adoption. The firm has committed a £1 million bonus pool, encouraging employees to collectively generate 1 million AI prompts. This marks a strategic cultural shift — one where innovation and efficiency are no longer just buzzwords, but performance metrics. Shoosmiths is now a firm to watch as others gauge the impact of this incentivized AI integration model.

In-House Legal Teams Are Embracing AI

Inhouse World Is Embracing Legal AI – Survey (Artificial Lawyer)

A new survey by ALSP Factor highlights the increasing appetite for legal AI among in-house teams. Despite initial uncertainty, 43.4% of respondents have upgraded their tech licenses to include AI features, and nearly half are building internal AI interfaces similar to secure ChatGPT connections. With many investing $100,000–$500,000 in domain-specific tools, it’s clear that corporate legal departments are no longer trailing their law firm counterparts — they're leading the charge in some cases.

AI in Legal Workflows: From Tools to Transformation

Legal tech companies are rolling out tools aimed at reshaping how lawyers work. LexisNexis, Opus 2, and iManage are pushing features like voice-based legal research and predictive case analytics, while DocJuris introduced a free AI contract review agent integrated into email. Thomson Reuters, LexisNexis, and vLex showcased their latest at LegalWeek 2025, underlining the sector’s focus on actionable, secure, and increasingly intelligent solutions.

Legal Tech Expands and Consolidates

Clio’s acquisition of ShareDo is emblematic of a larger consolidation trend in legal tech, where established players are building end-to-end platforms.
Digital Legal Exchange’s merger with Liquid Legal Institute creates a global alliance for legal transformation and signals stronger cross-border collaboration in innovation and thought leadership.
Litera appoints Priyanka Singh as CFO, signaling a renewed focus on financial strategy and scaling.

Training the Next Generation of AI-Ready Lawyers

Reinventing Associate Training for the Age of AI (Artificial Lawyer)

Firms are redesigning associate training programs, acknowledging that generative AI will handle much of the routine work. The new focus is on strengthening business acumen, legal judgment, and the strategic use of AI tools — preparing lawyers not just to survive but thrive in an AI-powered profession.

Policy, Compliance, and Privacy in Focus

LOCS:23 certification is gaining traction, reinforcing a growing emphasis on legal-specific data protection.
Canada’s Sensitive Technology List outlines emerging tech areas under heightened national security scrutiny.
Germany’s strict ruling on online contract cancellations aligns with broader EU efforts to standardize digital consumer protections.

Thought Leadership and Industry Reflection

BigLaw under fire for compromising values raises questions about the future of large firms.
Going outside your comfort zone is now a survival skill, argues Zach Abramowitz in a piece that blends futurism and legal strategy.
Elite’s Premier Partner Program is designed to ensure secure integrations for firms using its SaaS platform.

Legal Tech Funding: Less VC, More Caution

VC Deals Reduce, But Solid $ + Lots of Debt (Artificial Lawyer)

Despite fewer deals, legal tech raised $1.16 billion in Q1 2025 — largely due to mega-deals like Harvey’s $300 million round. A shift toward debt funding and fewer, more promising startups reflects a maturing market and more strategic capital deployment.

AI Gets a Promotion and Legal Humor Makes a Comeback

EquiBotGPT promoted to equity partner in a satirical twist that pokes fun at AI’s growing clout in firms.
Slow Law Movement champions a return to pre-1945 legal practices — intentionally hilarious.
Trump Advisor Demands Legal Tech Ban delivers April Fool’s irony with an Executive Order to eliminate legal oversight altogether.