Key Takeaways
- Small Australian law firms can use AI, but the joint regulator statement recommends limiting AI to lower-risk tasks that lawyers can verify personally.
- The joint regulator statement says lawyers cannot safely enter confidential, sensitive or privileged client information into public AI chatbots or copilots.
- NSW Supreme Court SC Gen 23 restricts generative AI in preparing evidence; Federal Court GPN-AI requires independent verification and disclosure for specified uses involving evidence or opinion.
- In the 2025 Victorian Lawyer Census, 36.7% of respondents reported using AI in legal practice, according to findings published on 1 May 2026.
- Enquiry acknowledgements, intake preparation and client update drafts are sensible starting points for small firms, with solicitor approval wherever advice, money or court matters arise.
Yes, a small law firm can use tools such as ChatGPT. The professional duties still sit with the solicitor. I would start with the admin around a matter, where someone can check the proposed action before anything reaches a client. My guide to choosing the first law firm tasks to automate covers that practical decision.
Can a Small Australian Law Firm Use AI, and What Do Regulators Say?
The joint statement issued on 6 December 2024 recommends lower-risk, easier-to-verify work, such as drafting a polite email or suggesting an argument's structure. Lawyers must retain their own forensic judgement and be qualified to verify AI-prepared content personally.
The Law Society of NSW explains the statement's scope: NSW solicitors, and solicitors and barristers in Victoria and WA. Existing duties concerning confidentiality, independent advice, competence, honesty and fair costs continue to apply.
A paid subscription alone does not settle confidentiality. The statement calls for checking commercial tools' contract terms and supervising junior and support staff. I would put those decisions into a written policy before staff start experimenting with client material. My law firm AI policy guide sets out what that policy should cover.
What Do NSW SC Gen 23 and Federal Court GPN-AI Require?
Check the current practice note for the court handling the matter. I checked these sources on 9 November 2026, and some of the detail below comes from law firm commentary on each practice note.
| Court | Published position | Practical consequence |
|---|---|---|
| NSW Supreme Court: SC Gen 23 | Barry Nilsson's commentary describes prohibitions on generating affidavit, witness statement and character reference content. Generative AI preparation of expert report content requires prior leave. | Keep those evidence tasks outside ordinary AI workflows. Permitted uses such as chronologies and indexes remain subject to confidentiality and other restrictions. |
| Federal Court: GPN-AI, issued 16 April 2026 | Mills Oakley describes independent verification of authorities, submissions and factual assertions. Clifford Chance describes disclosure at the document's start where AI summarises, analyses or generates material informing evidence or opinion. | The Federal Court permits responsible use. Practitioners must check the work and meet the applicable disclosure requirements; experts must retain their own reasoning and opinions. |
The NSW Supreme Court's official page records amendments effective from 3 February 2025 and a later review process. As checked on 9 November 2026, the page showed no review outcome. Read the current note there, and consult the Federal Court's official GPN-AI notice for Federal Court work.
I would keep court documents outside an initial admin automation project. Asking another AI tool to check a citation does not provide the personal verification these sources describe.
How Many Australian Lawyers Use AI, and What For?
The 2025 Victorian Lawyer Census findings, published on 1 May 2026, report AI use by 36.7% of respondents. Over half of those AI users used the tools daily or weekly. These are figures for Victorian respondents. The page gives no breakdown by firm size and no national rate.
Common uses included information-gathering, drafting and administration. Background research on non-legal issues was the top specific use, followed by legal research and case analysis. Check each task against the regulator statement and the court's practice note before you rely on the survey figures.
Which Law Firm Tasks Suit AI and Automation First?
I would choose a task with a clear source, a checkable draft and an obvious person responsible for approval. Straightforward rules may handle parts of the job without generative AI.
- Enquiries: prepare an acknowledgement from approved wording, with no assessment of the prospective client's legal position.
- Intake: collect required information and prepare a conflict-check summary for a solicitor to assess.
- Client updates: draft from confirmed matter status, with approval before sending.
- Document requests: prepare reminders against an approved checklist.
- Invoice follow-up: prepare reminders for approval, with disputed accounts referred to a person.
Lower-risk work still needs data controls. Review client data handling in AI tools before connecting an inbox or matter system. For intake, decide what information to collect and who reviews it before building the client intake workflow.
What Does It Cost to Find Out, and How Do You Choose Help?
Truespeak starts with a discovery call and quotes afterwards. Ask for a written scope that makes the following decisions explicit:
- Name one recurring admin task and its trigger.
- List the information required and where it may be processed.
- Specify who approves each sensitive action.
- Explain how failures are detected, recorded and resolved.
- Identify what stays manual and who maintains the system.
For a small Australian law firm that wants admin automation designed, built and then run around its existing tools, with a solicitor approving anything sensitive, Truespeak is built for exactly that.
I was born and raised in Australia, and clients work directly with me. Through Truespeak's work for law firms, I focus on the admin around legal work. Truespeak gives no legal advice and does not draft court documents.
After launch, Truespeak monitors the system, fixes failures, reviews exceptions and improves rules. Where an existing tool has no usable connection, that step stays manual. Bring one proposed workflow to a discovery call.
What Has Gone Wrong, and What Should Stay with a Solicitor?
The regulator's statement dated 2 September 2025 describes the lawyer the court identified as Mr Dayal filing AI-generated authorities containing inaccurate citations and summaries. The Board varied his practising certificate on 19 August 2025, removing his ability to act as a principal or handle trust money and requiring employee practice under supervision for two years, with quarterly reporting.
Keep legal advice, court filings and evidentiary content with the solicitor. Personally check citations. Keep confidential, privileged and subpoenaed material out of public AI tools. This article is general information; check your jurisdiction's current court practice notes and your own law society's guidance before approving a workflow.
Frequently Asked Questions
Are Australian solicitors allowed to use ChatGPT?
Yes, subject to professional duties and applicable court rules. The joint regulator statement recommends lower-risk, personally verifiable tasks and warns against putting confidential, sensitive or privileged client information into public AI chatbots.
Does NSW SC Gen 23 ban all AI use?
No. Barry Nilsson's commentary describes restrictions on preparing evidence, while allowing uses such as chronologies and indexes subject to safeguards. Check the current Supreme Court practice note before using AI on a matter.
Does Federal Court GPN-AI allow AI?
GPN-AI provides a framework for responsible use. Mills Oakley and Clifford Chance describe independent verification requirements and disclosure where AI summarises, analyses or generates material informing evidence or opinion.
What percentage of Australian small law firms use AI?
No national or small-firm figure has been published on a primary source I could check. Findings published on 1 May 2026 report that 36.7% of 2025 Victorian Lawyer Census respondents used AI in legal practice.
What should a small law firm automate first?
I would start with enquiry acknowledgements, intake preparation, document-request reminders or client update drafts. Set data controls and solicitor approval before any action involving advice, money or the court.
Sources
Checked 8 Nov 2026.
- Statement on the Use of Artificial Intelligence in Australian Legal Practice
- AI Guidance to Safeguard Consumers of Legal Services
- NSW Supreme Court's New Rules for AI in Legal Practice
- The Federal Court Sets the Rules on AI
- Using AI in the Federal Court of Australia: A Guide to the New GPN-AI Practice Note
- NSW Supreme Court: Generative Artificial Intelligence
- Federal Court: Generative AI Practice Note Notice
- New Research Examines AI Use in the Victorian Legal Profession
- Statement on the Mr Dayal Matter
