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PR: HerculesAI Rule Library Enforces Law Firm Billing Compliance with Outside Counsel Guidelines

AI workers turn compliance headaches into profit, freeing partners for higher-value work


San Jose - May 14, 2025 - Today, HerculesAI announced the Rule Library, an AI-powered engine that converts Outside Counsel Guidelines (OCGs) and internal guidelines into Large Language Model (LLM)-enforceable checks that run automatically on Work in Progress (WIP) and pre-bills. With law firms under pressure to improve compliance, increase profitability and reduce the workload of billing timekeepers, the Rule Library automates guideline enforcement, while also incorporating learnings from historical deductions. The system flags violations in real time, suggests one-click fixes, and delivers audit-ready analytics, helping firms slash write-offs, reducing revenue leakage by as much as 50%, and freeing partners from tedious line-item policing.


“Our goal is simple: turn billing compliance from a burdensome cost center into a profit lever,” said Alex Babin, CEO of HerculesAI. “HerculesAI clients are realizing 24x return on investment and millions in annual value by letting our AI-workers review hundreds of thousands of invoice line items against extensive, complex rules - many extracted automatically from Outside Counsel Guideline documents. The new Rule Library packages that capability, delivering higher realization rates and faster work-to-cash cycles.”



The HerculesAI Rule Library processes all OCGs a firm needs to manage, regardless of volume, and extracts thousands of billing rules, effortlessly. Rule classification, creation, enforcement, and suggestion generation is all done by LLMs, so billing teams have no additional workload. Non-compliance issues are detected proactively, giving timekeepers the insights to adjust and prevent revenue leakage.


Automatic extraction of rules from guidelines leveraging a LLM trained specifically with the ontology of billing rules found in OCGs and internal guidelines. The rules have 3 statuses: enforceable, needs review when AI has a lower confidence and recommends review by the billing team, and not enforceable, which is reserved for certain types of rules that are not enforceable on time entries or pre-bills such as invoice frequency.
Automatic extraction of rules from guidelines leveraging a LLM trained specifically with the ontology of billing rules found in OCGs and internal guidelines. The rules have 3 statuses: enforceable, needs review when AI has a lower confidence and recommends review by the billing team, and not enforceable, which is reserved for certain types of rules that are not enforceable on time entries or pre-bills such as invoice frequency.

The billing team can view and revise rule details to guide the AI a more desired enforcement and suggestion.
The billing team can view and revise rule details to guide the AI a more desired enforcement and suggestion.

Rule creation is easy in the HerculesAI platform, allowing the billing team to create custom rules in natural language. Once the details are filled in the rule type is selected and the rule is mapped for enforcement, the platform will begin enforcement.
Rule creation is easy in the HerculesAI platform, allowing the billing team to create custom rules in natural language. Once the details are filled in the rule type is selected and the rule is mapped for enforcement, the platform will begin enforcement.

Rule Library key capabilities for billing compliance


  • Instant guideline ingestion and extraction - Drag-and-drop guideline PDFs; the platform’s LLM turns prose into structured rules in minutes, citing the source from the document and classifying the rule type.

  • Four rule sources, one library - Common-practice AI models trained on historical deductions, OCG-derived rules, internal guideline rules covering firmwide time entry standards or specific rules for clients, matters, and partners, as well as ad-hoc custom rules created in natural language live side-by-side for transparent end-to-end governance.

  • Flexibility built into every step - The billing team can easily enable and disable rules, allowing for exception handling at any level, modification of rules and their attributes, and publishing changes to the Rule Library for immediate enforcement or reverification.

  • Beyond enforcement, suggestions - The Rule Library, powered by LLMs specifically fine-tuned to carry out legal billing compliance, doesn’t just enforce rules, but also provides one-click fix suggestions, cites the source of the rule, and provides transparent AI-reasoning to explain what is causing the non-compliance.

 

The HerculesAI Rule Library is available now as part of the HerculesAI platform, which integrates with leading finance systems such as Aderant Expert and Elite 3E. The HerculesAI platform is SOC2, GDPR, and NIST compliant and can be deployed on premises or in a private cloud.




About HerculesAI


HerculesAI automates complex workflows for back-office operations. Our AI-workers collaborate with your existing teams to handle labor-intensive tasks such as data extraction, transformation, and verification - tasks that typically drain time, budget, and accuracy when done manually. Built for regulated industries, HerculesAI can scale your operations without compromising on data security. Whether you're in legal, insurance, financial services, risk management, or contingent workforce management, our platform is tailored to meet your industry’s unique compliance requirements and use case. With HerculesAI, you improve operational efficiency, reduce manual workload, and recover lost revenue.


 
 
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