# Can ChatGPT Perform Reasoning Using the IRAC Method in Analyzing Legal Scenarios Like a Lawyer?

arXiv: https://arxiv.org/abs/2310.14880 · HTML: https://mlsanity.com/paper/2310.14880/

## Key facts

- Cited by 12 papers in the map (data through 14 Oct 2026).
- Placed in Reasoning for agents, planning and code, one of 17 directions in LLM reasoning.
- Builds on 16 of its 24 references that are in the map.
- First posted on arXiv 23 Oct 2023.

## Placed in

- LLM reasoning / [Reasoning for agents, planning and code](https://mlsanity.com/lr/reasoning-for-agents-planning-and-code/)

## Builds on (most cited first, 16 of 16)

- [Augmented Language Models: a Survey](https://mlsanity.com/paper/2302.07842/) (2023)
- [CUAD: An Expert-Annotated NLP Dataset for Legal Contract Review](https://mlsanity.com/paper/2103.06268/) (2021)
- [REFINER: Reasoning Feedback on Intermediate Representations](https://mlsanity.com/paper/2304.01904/) (2023)
- [Fine-tuning language models to find agreement among humans with diverse preferences](https://mlsanity.com/paper/2211.15006/) (2022)
- [Auditing large language models: a three-layered approach](https://mlsanity.com/paper/2302.08500/) (2023)
- [Personalisation within bounds: A risk taxonomy and policy framework for the alignment of large language models with personalised feedback](https://mlsanity.com/paper/2303.05453/) (2023)
- [Shortcut Learning of Large Language Models in Natural Language Understanding](https://mlsanity.com/paper/2208.11857/) (2022)
- [Can GPT-3 Perform Statutory Reasoning?](https://mlsanity.com/paper/2302.06100/) (2023)
- [Large Language Models Can be Lazy Learners: Analyze Shortcuts in In-Context Learning](https://mlsanity.com/paper/2305.17256/) (2023)
- [In conversation with Artificial Intelligence: aligning language models with human values](https://mlsanity.com/paper/2209.00731/) (2022)
- [Natural Language Processing in the Legal Domain](https://mlsanity.com/paper/2302.12039/) (2023)
- [MAUD: An Expert-Annotated Legal NLP Dataset for Merger Agreement Understanding](https://mlsanity.com/paper/2301.00876/) (2023)
- [Unlocking Practical Applications in Legal Domain: Evaluation of GPT for Zero-Shot Semantic Annotation of Legal Texts](https://mlsanity.com/paper/2305.04417/) (2023)
- [Factoring Statutory Reasoning as Language Understanding Challenges](https://mlsanity.com/paper/2105.07903/) (2021)
- [Human Evaluation of Creative NLG Systems: An Interdisciplinary Survey on Recent Papers](https://mlsanity.com/paper/2108.00308/) (2021)
- [LegalBench: Prototyping a Collaborative Benchmark for Legal Reasoning](https://mlsanity.com/paper/2209.06120/) (2022)

## Built on by (most cited first, 12 of 12)

- [Prospects for inconsistency detection using large language models and sheaves](https://mlsanity.com/paper/2401.16713/) (2024)
- [Investigating the Shortcomings of LLMs in Step-by-Step Legal Reasoning](https://mlsanity.com/paper/2502.05675/) (2025)
- [Automating IRAC Analysis in Malaysian Contract Law using a Semi-Structured Knowledge Base](https://mlsanity.com/paper/2406.13217/) (2024)
- [It Cannot Be Right If It Was Written by AI: On Lawyers' Preferences of Documents Perceived as Authored by an LLM vs a Human](https://mlsanity.com/paper/2407.06798/) (2024)
- [LRAGE: Legal Retrieval Augmented Generation Evaluation Tool](https://mlsanity.com/paper/2504.01840/) (2025)
- [Developing a Pragmatic Benchmark for Assessing Korean Legal Language Understanding in Large Language Models](https://mlsanity.com/paper/2410.08731/) (2024)
- [Taxation Perspectives from Large Language Models: A Case Study on Additional Tax Penalties](https://mlsanity.com/paper/2503.03444/) (2025)
- [Know Your Limits : On the Faithfulness of LLMs as Solvers and Autoformalizers in Legal Reasoning](https://mlsanity.com/paper/2606.16118/) (2026)
- [A Survey on the Real Power of ChatGPT](https://mlsanity.com/paper/2405.00704/) (2024)
- [Towards Supporting Legal Argumentation with NLP: Is More Data Really All You Need?](https://mlsanity.com/paper/2406.10974/) (2024)
- [Aplicacc~ao de Large Language Models na An'alise e S'intese de Documentos Jur'idicos: Uma Revis~ao de Literatura](https://mlsanity.com/paper/2504.00725/) (2025)
- [LEGO: Synergizing Expert GraphRAG and Expert Chain-of-Thought for Legal Reasoning](https://mlsanity.com/paper/2609.27009/) (2026)

## Abstract (arXiv)

Large Language Models (LLMs), such as ChatGPT, have drawn a lot of attentions recently in the legal domain due to its emergent ability to tackle a variety of legal tasks. However, it is still unknown if LLMs are able to analyze a legal case and perform reasoning in the same manner as lawyers. Therefore, we constructed a novel corpus consisting of scenarios pertain to Contract Acts Malaysia and Australian Social Act for Dependent Child. ChatGPT is applied to perform analysis on the corpus using the IRAC method, which is a framework widely used by legal professionals for organizing legal analysis. Each scenario in the corpus is annotated with a complete IRAC analysis in a semi-structured format so that both machines and legal professionals are able to interpret and understand the annotations. In addition, we conducted the first empirical assessment of ChatGPT for IRAC analysis in order to understand how well it aligns with the analysis of legal professionals. Our experimental results shed lights on possible future research directions to improve alignments between LLMs and legal experts in terms of legal reasoning.
