Unlike traditional firms that bill by the hour, personal injury attorneys on contingency fees are highly motivated to adopt AI. Efficiency gains don't reduce billable hours; they directly boost profit margins by settling cases faster and with less manual work, creating clear and immediate ROI.

Contrary to its reputation for slow tech adoption, the legal industry is rapidly embracing advanced AI agents. The sheer volume of work and potential for efficiency gains are driving swift innovation, with firms even hiring lawyers specifically to help with AI product development.

By using AI to respond to discovery requests instantly, plaintiff firms can force defense counterparts, who bill by the hour, to either spend significant time (and client money) responding or settle faster. This tactical use of AI directly exploits and undermines the core business model of their opponents.

While law firms have an inherent conflict with AI due to the billable hour model, the push for adoption is coming from their clients. Corporations are now sending formal requests to their legal counsel, requiring them to use AI tools for efficiency and cost savings, thereby forcing the industry to adapt despite its traditional economic incentives.

To penetrate tech-resistant markets like personal injury law, the winning model is not selling AI software but offering an AI-powered service. Finch acts as an outsourced, AI-augmented paralegal team, an easier value proposition for firms to adopt than training existing staff on new, complex tools.

Measuring AI's value by hours saved is misleading for law firms, as it can imply lower revenue. The true ROI comes from what lawyers do with that saved time: pursuing more complex strategies, conducting deeper analysis, and spending more time with clients—high-value work previously constrained by time.

The most durable AI applications are those that directly amplify their customers' revenue streams rather than merely offering efficiency gains. For businesses with non-hourly billing models, like contingency-based law firms, AI that helps them win more cases is infinitely more valuable and defensible than AI that just saves time.

AI legal tech startup Eve targets plaintiff lawyers because their business model (a percentage of the win) is directly aligned with AI's efficiency gains. In contrast, defense firms, which rely on billable hours, face a structural disincentive to adopt tools that reduce the time spent on tasks.

AI tools drastically reduce time for tasks traditionally billed by the hour. Clients, aware of these efficiencies, now demand law firms use AI and question hourly billing. This is forcing a non-optional industry shift towards alternative models like flat fees, driven by client pressure rather than firm strategy.