South Korean in-house counsel should act as controllers within a company regarding artificial intelligence (AI), says Yoon & Yang partner Kwang-Wook Lee.
“South Korea is the second country in the world to introduce an AI regulatory framework, the AI Framework Act. As this legislation is still in its early stages, in-house counsel must take control of AI operations to establish proper internal standards and eliminate legal risks,” he said at the Korea Legal Tech Forum 2026 held at the Conrad Seoul on 9 June 2026.
South Korea’s AI Framework Act, which took effect in January 2026, is set to be amended in July. Lee said that the legislation would undergo continuous revisions, with the government establishing a grace period.
“The government’s approach will likely focus on making the law a rational support tool for businesses rather than just a compliance burden,” said Lee.
He added that firms utilising AI solely for internal purposes were currently classified as “users” and fell outside the regulatory scope of the AI Framework Act.
“Because law firms act as users of services developed by legaltech companies, they are not classified as AI business operators,” said Lee.
However, Lee said that because confidentiality was paramount in legal practice, it was essential to ensure that AI-generated output remained strictly internal and was never exposed externally.
“In particular, it is crucial to ensure that corporate data is not inadvertently provided as training material for AI models. In-house counsel must maintain continuous monitoring, immediately suspend operations if an issue arises and implement corrective measures,” he said.
Admitted to the Korean bar in 1999, Lee is currently head of the new technology practice group at Yoon & Yang.
