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The AI Problem at Law Firms Isn't Hallucination. It's Honesty.

Generic AI chatbots have a specific problem inside law firms: They answer honestly, even when the person asking isn't allowed to know the answer. Intapp's Celeste is built to say "no comment" when it has to.

The AI Problem at Law Firms Isn't Hallucination. It's Honesty.

Published August 15, 2026 · Category: Finance

Overview

Some companies are built from a business plan. Intapp (NASDAQ: INTA) was founded in response to a complaint.

Back in the early 2000s, a small Silicon Valley outfit with a data integration product went to file a patent. The attorney handling the paperwork read the application and said that his law firm was a disaster in exactly this area. "Can I license this thing?" he asked.

Details

Intapp said yes. The chief information officer at that law firm liked the product enough to quit his job, join Intapp as its first salesperson, and introduce the company to every law firm he knew. Referrals did the rest.

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Source

Originally published at www.fool.com.

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