AI is separating execution from judgment, and pushing legal teams to rethink how work is priced, routed and resourced.
At FlexFest 2026, Priori CEO and Co-Founder Basha Rubin opened the conference with The State of Flexible Legal Work. Her keynote outlined two connected shifts: legal work is separating into execution and judgment layers, while the institutions built around traditionally bundled work are being redesigned around that separation.
More legal work, and more automation
Basha began with two trends that can appear contradictory: legal workloads are rising, and automation is rising with them. Ninety-seven percent of general counsel report increasing work volume, while AI could theoretically perform 89% of legal tasks. Yet only about 20% are seeing real-world AI use today, mostly to assist lawyers rather than replace them.
Both can be true because when the cost of execution falls, demand expands. As AI makes search, review, drafting and analysis faster and less expensive, work that previously could not justify a lawyer’s time becomes economical. Contracts that went unreviewed, diligence that relied on sampling and disputes that were written off can come back onto the table. AI also creates new legal needs around governance, verification, regulation and disputes.
As Basha put it, “We will work differently, and there will be more work to do.”
The first unbundling: The work
Legal services have traditionally sold execution and judgment as one product, delivered by the same provider and priced through the same hourly model. AI is pulling those components apart—and repricing them in opposite directions.
The execution layer includes work such as search, extraction, document review, summaries and first drafts. These activities are becoming faster, more standardized and increasingly technology-enabled. Basha highlighted review and diligence deployments in which cycle times have fallen by 40% to 90%, alongside a contraction of more than one-third in the first-year associate classes traditionally responsible for much of that work.
The judgment layer includes deal structure, risk assessment, negotiation, strategy and the management of complex legal and interpersonal situations. Rather than becoming less valuable, these capabilities are commanding a premium. Basha pointed to rising worked rates, top partner rates reaching $4,000 per hour, a 56% salary premium for AI-skilled lawyers and a 182% increase in postings seeking AI specialization.
A third component, accountability, remains unresolved. Final advice, privilege, representation and ownership of legal risk remain central even as the underlying work is distributed across people, providers and technologies.
“The unit of legal value is moving away from producing the answer,” Basha said, “and toward deciding, contextualizing, and owning it.”
The second unbundling: The institutions
Once execution and judgment can be priced separately, they can also be sourced separately. Legal teams can assemble the right mix of AI platforms, managed services, internal resources, specialist providers, law firms and flexible talent for each matter.
Basha’s conclusion was not that premium hours will disappear. Execution can become measurable and metered, while high-stakes judgment may continue to command premium pricing.
Judgment, she argued, “retains its premium and might even command more than ever before — whether that is sitting in the traditional big law firm or a bionic boutique or in-house.”
But she stopped short of the obvious prediction: “Do I think it’s gonna be the full death of the billable hour? I don’t, but I do think we are going to see a significant repricing.”
The legal department becomes the router
Sixty-four percent of legal departments plan to insource more work while operating on flat headcount. They must decide what technology should handle, what belongs internally, what requires flexible expertise and what justifies a law firm.
The legal department therefore becomes the router—absorbing, assigning and measuring work across a broader ecosystem.
Flexible talent offers a way to scale experienced judgment without purchasing the full traditional provider bundle — expertise on demand, from specialists who can be productive quickly.
The takeaway, in Basha’s words: “Flexible talent isn’t the commodity layer, it’s the judgment layer.”
The institutions are ours to design
Legal leaders can respond by decomposing matters into execution, judgment and accountability; building repeatable routing criteria; aligning pricing with the value being purchased; and making responsibility for final advice explicit.
“Here’s what’s true from my perspective.” Basha said. “The first unbundling, the work, is happening to us, whether we participate or not. The second, which is the institutions, is ours to design.”