LLMs in Interpreting Legal Documents (2512.09830v1)

Abstract: This chapter explores the application of LLMs in the legal domain, showcasing their potential to optimise and augment traditional legal tasks by analysing possible use cases, such as assisting in interpreting statutes, contracts, and case law, enhancing clarity in legal summarisation, contract negotiation, and information retrieval. There are several challenges that can arise from the application of such technologies, such as algorithmic monoculture, hallucinations, and compliance with existing regulations, including the EU's AI Act and recent U.S. initiatives, alongside the emerging approaches in China. Furthermore, two different benchmarks are presented.