Blog

Can AI Help Explain Bankruptcy Law?

A newbie parses Alix v. McKinsey with the help of an LLM¹

I am a machine-learning engineer who maintains a database of bankruptcy case law, at the behest of practicing attorneys. This database powers ChatLaw, an AI service that helps bankruptcy attorneys get up to speed on less familiar legal matters. Currently in beta, ChatLaw fetches answers to bankruptcy-related questions from relevant case law. Sometimes I get curious about the new cases we add to the database. Enter Jay Alix v. McKinsey & Co. I took a peek at the new 60-page opinion, filed on 8/18 at the SDNY …

AI Chatbots Useless for Bankruptcy Lawyering?

We beg to differ that AI Chatbots Are Useless for Bankruptcy Lawyering. Attaching ChatLaw's response to one of the author's (Josiah M. Daniel, III) questions. Clearly, useful, no? Try your own at https://chatlaw.us!

I typed: In bankruptcy, what is the test for "single asset real estate"?

ChatLaw: The test for "single asset real estate" in bankruptcy is defined under section 101(51B) of the Bankruptcy Code. According to this section, single asset real estate refers to real property constituting a single property or project, other than residential real property with fewer than 4 residential units, which generates substantially …

Answering the Supreme Court's question Re: Purdue Pharma

You may have seen in the news today that the Supreme Court blocked the Purdue Pharma settlement: CNN.

I looked up the court order, which contains what the Court would like to hear:

The parties are directed to brief and argue the following question: Whether the Bankruptcy Code authorizes a court to approve, as part of a plan of reorganization under Chapter 11 of the Bankruptcy Code, a release that extinguishes claims held by nondebtors against nondebtor third parties,without the claimants' consent.

So I asked the question at my company's bankruptcy-trained AI, ChatLaw, and got the following answer. (Which …