As AI tools become further embedded in day-to-day business and professional practice, courts, regulators, and licensing bodies are moving quickly to define the standards that govern their use. This update covers the evolving professional, legal, and regulatory landscape related to AI use by businesses and by legal and accounting professionals, including key case law, regulatory, and legislative developments from the past year. We will examine how bar associations, accounting bodies, and state and federal regulators are addressing AI-related duties of competence, candor, and supervision, along with notable court decisions involving AI-generated work product. The session will close with practical guidance for building firm-level AI use policies and navigating client disclosure and confidentiality issues as these standards continue to develop.