LePREC: Reasoning as Classification over Structured Factors for Assessing Relevance of Legal Issues
Authors: Fanyu Wang, Xiaoxi Kang, Paul Burgess, Aashish Srivastava, Chetan Arora, Adnan Trakic, Lay-Ki Soon, Md Khalid Hossain, +1 more
Organizations: Faculty of Information Technology, Monash University, Australia · School of Information Technology, Monash University Malaysia · Faculty of Law, Monash University, Australia · School of Business, Monash University Malaysia
More than half of the global population struggles to meet their civil justice needs due to limited legal resources. While Large Language Models (LLMs) have demonstrated impressive reasoning capabilities, significant challenges remain even at the foundational step of legal issue identification. To investigate LLMs' capabilities in this task, we constructed a dataset from 769 real-world Malaysian Contract Act court cases, using GPT-4o to extract facts and generate candidate legal issues, annotated by senior legal experts, which reveals a critical limitation: while LLMs generate diverse issue candidates, their precision remains inadequate (GPT-4o achieves only 62%). To address this gap, we propose LePREC (Legal Professional-inspired Reasoning Elicitation and Classification), a neuro-symbolic framework combining neural generation with structured statistical reasoning. LePREC consists of: (1) a neuro component leverages LLMs to transform legal descriptions into question-answer pairs representing diverse analytical factors, and (2) a symbolic component applies sparse linear models over these discrete features, learning explicit algebraic weights that identify the most informative reasoning factors. Unlike end-to-end neural approaches, LePREC achieves interpretability through transparent feature weighting while maintaining data efficiency through correlation-based statistical classification. Experiments show a 30-40% improvement over advanced LLM baselines, including GPT-4o and Claude, confirming that correlation-based factor-issue analysis offers a more data-efficient solution for relevance decisions.
The semantic gap between colloquial user queries and professional legal documents presents a fundamental challenge in Legal Case Retrieval (LCR). Existing dense retrieval methods typically treat LCR as a black-box semantic matching process, neglecting the explicit juridical logic that underpins legal relevance. To address this, we propose GLIER (Generative Legal Inference and Evidence Ranking), a framework that reformulates retrieval as an inference process over latent legal variables. GLIER decomposes the task into two interpretability-driven stages. First, a Joint Generative Inference module translates raw queries into latent legal indicators, including charges and legal elements, using a unified sequence-to-sequence strategy that jointly generates charges and elements to enforce logical consistency. Second, a Multi-View Evidence Fusion mechanism aggregates generative confidence with structural and lexical signals for precise ranking. Extensive experiments on LeCaRD and LeCaRDv2 demonstrate that GLIER outperforms strong baselines such as SAILER and KELLER. Notably, GLIER exhibits strong data efficiency, maintaining robust performance even when trained with only 10% of the data.
Large language models are increasingly applied to high-risk domains such as law, yet complex legal reasoning remains limited by two structural challenges. First, existing RAG and GraphRAG methods emphasize lexical or semantic similarity while overlooking normative relations among legal provisions. Second, vanilla Chain-of-Thought prompting may generate plausible rationales without enforcing the normative structure of legal reasoning. To deal with the bottleneck of pipelines in the legal reasoning domain, we propose LEGO, a dual-module framework that synergizes Legal Expert GraphRAG and expert Chain-of-thought for complex legal reasoning. ExpertGraphRAG uses an expert-annotated civil code graph encoding these normative relations with a greedy normative-coverage retrieval algorithm to dynamically extract instance-specific provision subgraphs, while ExpertCoT organizes the retrieved provisions and case facts into structured Provision-Fact-Conclusion reasoning. With a Qwen3-8B backbone, LEGO achieves 40.53% exact-match accuracy on LawExamQA_Civil, outperforming the evaluated RAG and CoT baselines and performing comparably to the evaluated larger models, while remaining robust on multi-hop questions. It also achieves the best results among the evaluated baselines on the open-ended benchmarks. Ablation studies confirm the individual and complementary contributions of both modules, demonstrating LEGO's effectiveness in improving LLMs' complex legal reasoning ability. Code and dataset can be found in the link: https://github.com/BLK-WHT/LEGO
Large Language Models (LLMs) achieve strong performance on reasoning tasks, but whether this reflects faithful logical inference or heuristic approximation remains unclear. We study this question in legal entailment by comparing three paradigms, including pure LLM classification, LLM-based Formal Reasoning, and solver-based Formal Reasoning using the Z3 SMT solver, on a re-annotated subset of ContractNLI across five LLMs. Our re-annotation reveals a systematic and measurable gap between pragmatic legal interpretation and strict formal entailment, where a substantial proportion of legally sound inferences are not formally grounded without additional unstated assumptions. While introducing formal structure improves accuracy, with LLM-based Formal Reasoning achieving the highest benchmark performance, we show that this gain does not imply faithful reasoning. We identify three recurring failure modes: scope laundering, where LLMs report solver-inconsistent classifications without executing the underlying formal reasoning, producing conclusions that appear logically grounded but are not; implicit constraint blindness, where LLMs overlook logical constraints present in formal representations; and program synthesis failures, where LLMs generate incorrect Z3 code despite structured prompting. Critically, scope laundering persists across all models, raising serious concerns about the faithfulness of LLM-based formal reasoning as a proxy for symbolic execution. These results reveal a fundamental gap between benchmark accuracy and logical faithfulness.