AI, Compliance, and Cross-Border Risks: A Roadmap for Law Firms
- Cosmonauts Team
- Oct 31, 2025
- 3 min read
The legal landscape is facing an evolving compliance and governance challenge; law firms must not only respond to regulatory changes but anticipate them, all while managing emerging technologies and cross-jurisdictional risks.
This is the focus at the upcoming Future Lawyer Canada, where Kristen Lai, Associate General Counsel & Chief Privacy Officer at Cassels Brock & Blackwell LLP, will share her expertise on the panel “Navigating the Maze: Compliance, Governance, and Regulation.”
With extensive experience in privacy, compliance, and legal technology, Kristen is an expert in guiding organizations through complex regulatory environments. In this interview, she shares her perspective on how law firms can anticipate regulatory changes, responsibly leverage technologies like AI, and implement governance frameworks that safeguard client data, while keeping pace with an increasingly complex legal and regulatory environment.
Cassels is known for its strong presence in the business community. How does your firm strategically help clients not just react to, but anticipate regulatory changes?
KL: Cassels diligently monitors legislative updates and identifies any relevant changes that may impact our clients. We actively engage in consultations with regulators, ensuring we are aware of potential changes affecting our clients' industries. We communicate these updates to our clients either through personalized one-on-one interactions or by hosting seminars for a broader audience. Additionally, we offer email alerts to clients who opt-in, providing them with the latest regulatory updates directly to their inboxes.
How do new technologies—such as AI create both opportunities and risks for law firms trying to maintain a robust compliance framework?
KL: Cassels is dedicated to leveraging technology and innovation, enabling us to engage with emerging AI applications as they develop. The integration of AI offers significant efficiencies across various law firm processes. Additionally, AI tools present opportunities in the cybersecurity domain, aiding in the protection of data against breaches and malicious activities. However, these opportunities come with inherent risks, particularly concerning the use of client data. To mitigate these risks, Cassels participates in trials and pilot programs to thoroughly test and understand new products. We also implement contractual controls to restrict data usage, retention periods, and clearly outline protocols in the event of a breach.
In a world with increasingly interconnected global markets, what is the biggest challenge for a lawyer dealing cross-jurisdictional compliance and regulation for legal data?
KL: As a Canadian national firm, Cassels adheres to Canadian privacy laws and the various privacy regimes applicable to specific provinces. We closely monitor any forthcoming legislative changes, particularly Bill C-27, and assess its potential impact on data usage.
What is the single most important takeaway you hope attendees of your panel discussion will walk away with regarding their firm's or clients' governance strategy?
KL: The most important takeaway regarding a firm’s or client’s governance strategy is to adopt a proactive approach to information governance. It is essential to address compliance issues pre-emptively, rather than reacting to investigations, complaints, or data breaches. Firms and clients should consider implementing a layered governance strategy to mitigate not only compliance risks but also contextual risks specific to their industries.
According to Kristen, the future of legal governance lies in building resilience before challenges arise. She shows how firms can adopt layered governance strategies that address not only regulatory compliance but broader operational risks.
Future Lawyer Canada attendees will gain actionable guidance on staying ahead of regulatory shifts while protecting client data and organizational integrity. Catch Kristen Lai on the “Navigating the Maze: Compliance, Governance, and Regulation” panel at Future Lawyer Canada.
Private Practice and In-House professionals can claim complimentary passes to learn, connect, and be part of shaping the future of law.
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