Outside Counsel Guidelines (OCGs)
A corporate client's written requirements governing how outside law firms must handle matters, bill for work, manage data, and use technology — including AI tool restrictions and disclosure obligations.
Last reviewed: 2026/05/18
Definition
Why It Matters for Lawyers
Frequently Asked Questions
- Q: Can a law firm use AI on a client matter without the client's knowledge?
- This depends on the applicable OCGs, engagement letter terms, and jurisdiction-specific professional responsibility rules. Many corporate OCGs now require affirmative disclosure of AI use. Even absent explicit OCG language, some bar guidance suggests disclosure is appropriate when AI plays a material role in work product. Firms should review both OCGs and ethics rules before assuming silence implies permission.
- Q: Should firms bill clients for time saved by AI tools?
- This is an evolving area. Clients increasingly expect AI efficiency gains to translate into lower fees rather than the same fees for less time. Some OCGs explicitly prohibit billing for time attributed to AI-generated work product. Firms and clients are advised to address this directly in engagement letters or OCG negotiations rather than leave it undefined. --- *Last reviewed: 2026-05-19 by LawyerAI Editorial Team.*
Last reviewed: 2026/05/18. Definitions are written by the LawyerAI Editorial team. We do not accept affiliate commissions; Featured placement is clearly labeled and does not influence editorial content.