The pace at which artificial intelligence is transforming global business is undeniable, but as innovation outpaces policy, legal leaders are being asked to do more than interpret evolving regulations — they’re being asked to lead through them.
For General Counsel, the arrival of the EU’s Artificial Intelligence Act (AI Act) marks a defining moment. This far-reaching legislation, with staggered implementation dates beginning in 2025, introduces a new era of compliance obligations and risk management.
It’s also a new era of survival, one where the fittest are those companies whose legal teams can most quickly and adeptly put them in prime position to thrive in, rather than become submerged by, a rapidly changing environment.
The challenge isn’t just staying compliant, it’s using legal strategy to guide how AI tools are deployed, embedded, and governed, cementing a strategy well before regulators, investors, or the public ask for answers.
Managing Director, at Major, Lindsey & Africa.
Steering Through Innovation, Not Around It
While the AI Act has brought regulatory clarity to some areas, many legal teams still find themselves operating in grey zones. Definitions of “high-risk” systems, expectations for general-purpose models, and enforcement details are still evolving. In the face of that ambiguity, what sets strong legal teams apart is not technical mastery, it’s the ability to offer direction tailored to the needs of their company.
Rather than defaulting to delay or excessive caution, proactive legal departments are using this moment to get in front of innovation rather lurk behind it. They’re engaging with product teams, HR, and data scientists to help their businesses make informed, confident choices about when and how to implement AI tools. The mindset is forward-facing: not “what are we allowed to do?” but “what are we trying to accomplish and how do we do it responsibly?”
This reframing of the legal function — from gatekeeper to guide— is a critical shift. Businesses navigating new technologies need judgment, not just rules. They need frameworks, not just red flags.
Leading with Principles Over Protocols
In the past, legal risk was often managed through detailed playbooks, but in today’s AI environment, those playbooks become obsolete almost as quickly as they’re written. As a result, the most effective GCs are focusing on high-level principles that can flex with change.
Rather than anchoring decision-making in static checklists, legal leaders are promoting a governance-first culture. That means aligning AI use with the organization’s values, industry expectations, and evolving regulatory standards. It also means working cross-functionally to build awareness of the legal, ethical, and reputational implications of AI.
When a business moves fast, its legal team must be clear on where the lines are drawn —and where they’re still under discussion. That kind of clarity doesn’t come from waiting for enforcement guidelines, it comes from GCs asserting a point of view, even amid regulatory flux.
Finding the Right Moment to Act
Of course, striking the right balance between anticipation and patience is part of the GC’s job. Not every company needs to overhaul its AI policies tomorrow. But doing nothing carries its own risks.
One effective approach we’ve seen is scenario-based planning. Legal teams map out potential use cases across the business and test them against the AI Act’s emerging categories.
They develop flexible policies that allow for early engagement without locking in overly rigid commitments. They also design escalation paths—so if a system shifts into “high-risk” territory, the right questions can not only be asked but asked early.
In this way, legal become a dynamic partner, helping the business move forward with confidence while preserving the ability to adapt.
The Changing Profile of Legal Talent
The strategic demands placed on legal teams are also reshaping how they hire. The AI era has introduced new pressures—from evaluating algorithmic bias in hiring platforms to monitoring third-party vendor compliance with AI rules.
These aren’t challenges that can be solved by technical expertise alone. Today’s legal hiring emphasizes professionals who are comfortable working in ambiguity, who understand the intersection of law, policy, and reputation, and who can offer thoughtful guidance in situations with no precedent.
We’re seeing increased demand for compliance officers with a strong grasp of EU law, data governance, and AI ethics. In-house roles related to employment law and internal investigations are also evolving, as companies rely more on AI to manage workforces and productivity.
These shifts underscore a broader trend: legal departments are no longer just centers of risk management, they’re hubs of strategic influence and that influence depends on having the right people at the table.
Culture, Communication, and Confidence
Another area where GCs are adding value is in defining the company’s public-facing position on AI. With growing scrutiny from customers, investors, and media, it’s no longer enough to quietly comply. Companies are expected to explain how they use AI, what safeguards they’ve put in place, and how they plan to manage the technology going forward.
Legal plays a key role in helping shape that narrative — not through defensiveness, but through transparency. Being able to say “we’ve thought about this, here’s how we’re approaching it, and here’s where we’re still learning” goes a long way in building credibility.
In this way, legal teams are no longer just internal advisors, they’ve become stewards of brand trust.
Looking Ahead
With the AI Act coming into force, and other global frameworks soon to follow, companies face a steep learning curve. But for legal leaders, this isn’t just a compliance challenge, it’s a chance to redefine how law contributes to business success.
The legal teams that thrive in this environment will be those that are bold enough to lead, flexible enough to adapt, and thoughtful enough to embed themselves into the business at every stage of AI adoption.
Rather than being overwhelmed by regulation, GCs can help their organizations turn uncertainty into clarity, risk into strategy, and innovation into impact.
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