Hogan Lovells teams up with FTI Consulting to launch AI banking compliance tool

John Salmon: 'Machine learning provides high levels of accuracy' Hogan Lovells has launched an AI-based tool in collaboration with FTI Consulting to help businesses comply with new European Banking Authority (EBA) outsourcing requirements. The EBA Outsourcing Solution uses machine learning software to process outsourcing agreements and identify any terms that need updating in order to secure compliance with the new regulations. Banks, larger investment firms, payment and electronic money institutions all fall under the EBA's remit and are required to update existing outsourcing agreements by the end of 2021. The tool, which is powered by Kira's contracts review software, was developed by a Hogan Lovells team led by technology partner John Salmon and FTI Consulting managing director Ryan Drimalla. Salmon said: "By supplementing our machine learning software with human review quality control, we maintain high levels of accuracy to ensure only relevant legal issues are sent to our teams for varying or redrafting." It is the latest initiative to emerge from the firm's Legal Delivery Centre which offers FTI Consulting's'legal subject matter experts, project managers, contract analysis professionals, platform and data technologists and collection specialists' working alongside Hogan Lovells' lawyers with'alternative resourcing' provided by Elevate and Cognia Law.