Should AI Play a Role in Bankruptcy Filings?
Artificial intelligence, or AI for short, is quickly becoming a term that is common in most American lives, including in certain types of legal cases. According to data collected by the Pew Research Center, a substantial percentage of Americans recognize that AI is being used in various ways in their daily lives — such as in chatbots, fitness trackers, security camera recognition tools, product recommendations, and spam sorters — but only about 30 percent understand the vast ways in which AI is used. Moreover, Pew reports that nearly 40 percent of Americans surveyed report being concerned about the use of AI, especially in ways that could affect their privacy. While AI certainly is not new, it has become a more major topic of discussion when it comes to its use as a tool in legal proceedings, including in bankruptcy cases.
A recent report in Bloomberg news discusses new panel recommendations on the use of AI in consumer bankruptcy cases. What should you know? In short, you still need a lawyer. Our West Palm Beach bankruptcy attorneys can tell you more.
What to Know About AI and Bankruptcy Documents
You might be accustomed to using AI to craft email responses, or to compose weekly shopping lists. Yet as the Bloomberg report emphasizes, drawing on recent recommendations from bankruptcy experts seated on a panel for the National Association of Chapter 13 Trustees, there are a number of potential problems that can arise if a consumer relies on AI to prepare for a bankruptcy case.
Most significantly, the panel underscored, relying on — or even simply using — AI in consumer bankruptcy cases can create privacy concerns for debtors. If a debtor is planning to file for Chapter 7 or Chapter 13 bankruptcy and uploads personal information and data to an AI program such as ChatGPT in order to complete forms and documents related to a consumer bankruptcy filing, or to craft a bankruptcy petition, that information might not remain private. Indeed, as the executive director of the US Trustee Program emphasized, consumers are exposed to risks when they use AI in this manner.
An AI tool might be able to complete certain forms or documents for you, but your personal data might not remain private. In addition, relying on AI can result in a wide range of issues with the documents and other materials that are completed with the artificial intelligence tool.
Why You Should Always Work with an Attorney
Indeed, beyond the major issue of potential privacy concerns, AI tools like ChatGPT are not experts with experience. As such, they are not able to provide the kind of detailed attention that a bankruptcy lawyer can. As a report in Reuters underscores, AI might be helpful as a tool in some circumstances, but it should only be viewed as one tool of many in conducting legal research or moving through a legal case — it is not a substitute for an attorney.
Both the US Trustee panel and the Reuters report emphasize that any bankruptcy materials should always be reviewed by a lawyer and, if possible, drafted by a lawyer in the first place.
Contact a West Palm Beach Bankruptcy Attorney Today
If you have questions about filing for consumer bankruptcy, you should get in touch with one of the experienced West Palm Beach bankruptcy lawyers at Kelley, Kaplan & Eller. Contact us today to find out more about filing for personal bankruptcy in Florida.
Sources:
news.bloomberglaw.com/bankruptcy-law/ai-in-consumer-bankruptcy-creates-privacy-concerns-panel-says
reuters.com/practical-law-the-journal/transactional/ai-bankruptcy-practice-2024-02-01/
pewresearch.org/science/2023/02/15/public-awareness-of-artificial-intelligence-in-everyday-activities/
