Explain AI Legal Drafts Safely

Context

LexiDraft is launching an AI assistant that generates first-pass legal documents for small-business customers, including NDAs, contractor agreements, and basic employment letters. The feature must explain the value of AI-generated legal documents to non-technical buyers without overstating accuracy or implying the output is a substitute for licensed legal advice.

Constraints

• p95 latency: 1,500ms for the explanation response
• Cost ceiling: $6K/month at 120K explanation requests
• Hallucination ceiling: <2% on a 300-prompt golden set, measured as unsupported claims about legal validity, jurisdiction coverage, or review guarantees
• Safety requirement: must not claim the document is legally sufficient in all cases, must not provide unauthorized legal advice, and must clearly disclose limitations
• Tone requirement: plain English, 8th-grade reading level, professional but reassuring

Available Resources

• Product factsheet with approved claims about speed, consistency, editability, and lawyer-review workflows
• A policy document listing prohibited claims and required disclaimers
• 2,000 historical sales-chat transcripts labeled for customer objections and successful explanations
• Access to an approved LLM API and JSON-schema structured output
• Legal/compliance team available to label 300 evaluation prompts

Task

1. Design a prompt-based solution that generates customer-friendly explanations of the product's value while staying within legal/compliance boundaries.
2. Define an evaluation plan first: offline golden-set scoring, hallucination checks, readability checks, and online metrics after launch.
3. Specify the prompt, output schema, and refusal/deferral behavior for questions that cross into legal advice.
4. Estimate cost and latency at the target volume, and explain any model-routing or caching strategy.
5. Identify likely failure modes, including overclaiming, vague disclaimers, and prompt injection from user-provided text pasted into the chat.