| A major concern for law firms that are considering | | | | fact that most providers are obligated to keep the |
| whether or not to take the legal process outsourcing | | | | identity of their clients confidential makes it difficult for a |
| (LPO) plunge is that of data protection. Client | | | | firm to ascertain whether a current adversary is |
| confidentiality is so rooted in the legal culture, and is | | | | outsourcing work to the same provider. |
| such a fundamental aspect of professional legal ethics, | | | | Protections for the outsourcing firms can certainly be |
| that the mere notion of a pair of eyes glimpsing data | | | | put into place. First and foremost, the contract |
| from across the Atlantic and Pacific oceans sends | | | | between provider and client should make it absolutely |
| shivers up the spines of many lawyers. Yet the ironic | | | | clear that the provider must inform the client as soon |
| part is that there is a group of entities whose | | | | as it learns of any possible conflict issues. |
| obsession with security issues may make that of | | | | Second, the firm should make sure that the provider it |
| attorneys seem a trivial thing - the outsourcing | | | | chooses is able to clearly articulate - and, if possible, |
| companies themselves. The building and maintaining of | | | | demonstrate - the security safeguards it has |
| relationships with current and future clients is the | | | | implemented to ensure the validity of the process. |
| lifeblood for service providers. | | | | These safeguards should be included in the statement |
| As outsourcing becomes more widespread and | | | | of work agreement, in list format, along with the |
| competition in the marketplace grows, the ability to | | | | additional provision that the security devices must be |
| illustrate the existence (and continued use) of powerful | | | | maintained for the breadth of the contract. Thus |
| safeguards will increasingly become one of the | | | | determination of liability of the contracting parties for |
| significant factors for companies that are deciding | | | | any security breach that results in measurable |
| which provider to link up with. Consequently, the leading | | | | damages will be easier to ascertain. |
| outsourcing companies take security concerns | | | | Third, due to the fact that technology and business |
| extremely seriously, which may explain why many | | | | procedures must often become intertwined in order |
| domestic studies have shown that the outsourcing | | | | for the outsourcing process to run efficiently, the |
| process is no less secure, and may in fact be even | | | | security program used by the vendor should exist on |
| more secure, than having the same services | | | | both the physical and virtual levels for it to be as |
| performed in-house. | | | | comprehensive as possible. It would be somewhat |
| Process fidelity is definitely necessary in the legal | | | | contradictory for an outsourcing company to rely on |
| arena, but this needs to be placed in perspective. While | | | | the fact that the production staff for two adverse law |
| legal documentation does sometimes consist of | | | | firms exists in separate offices, on separate floors or |
| sensitive information, the sensitivity often stems from | | | | even in different cities. The very premise behind the |
| the defining characteristics of litigation and practice | | | | outsourcing process is that physical separation is not a |
| procedures. Law firms are no different from other | | | | complete bar to the sharing of information - as such, a |
| companies in that they do not like to have their | | | | company cannot on one hand praise the concept that |
| business practices broadcasted to the general public. | | | | geographical differences are no longer barriers to the |
| However, concerning the type of damage that can be | | | | exchange of information and data, while relying strictly |
| caused by leaking of information, legal data is in | | | | on geographical barriers as the only security measures |
| general substantially less sensitive than other types of | | | | put in place by the company. There is no doubt that |
| data that have been outsourced for years on a | | | | physical separation of the production staff for adverse |
| massive scale. When the fact that large banks, | | | | businesses is a good step; however, virtual separation |
| financial institutions, and even the IRS are outsourcing | | | | is needed as well in order to create a robust security |
| on an extended basis, the entire issue of data | | | | model. |
| protection insofar as LPO is concerned is put into | | | | Important questions that law firms may need |
| clearer perspective. Suddenly, summons and | | | | answered before an outsourcing program is initiated |
| complaints and discovery materials take on a whole | | | | include: How does the provider structure their |
| new light when attorneys digest the fact that | | | | production units? Are these units separated, and if |
| extensive credit histories, records of financial | | | | they are, along what lines does the separation occur? |
| transactions and tax forms are being processed by | | | | What is the architecture of the physical premises |
| the millions overseas. | | | | where the work takes place? What kind of office |
| However, this is not to say that legal information should | | | | equipment exists in that location? What types of things |
| not be afforded the highest degree of protection, | | | | are prohibited from being brought to the work site? |
| especially regarding issues of conflict of interest. The | | | | What tracking and auditing features are used in the |
| legal community is one that is tightly bound together | | | | technology that allows the process to take place? |
| and thrives on the flow of information between | | | | Who is responsible for the tracking and auditing? The |
| affiliates and adversaries. On a regular basis, members | | | | general rule of thumb is that if the question is important |
| of the defense bars network with members of the | | | | enough for the attorney to ask, then it should be |
| plaintiff bars. Moreover, many of the same lawyers | | | | included in the written contract. |
| frequent the same courtrooms in the same venues, | | | | Once the above questions and issues are addressed |
| and attend the same continued legal education | | | | to the inquiring firm's satisfaction, the ties can be |
| courses and alumni events. Thus in order to be | | | | loosened and the dress shoes put on the desk, |
| supremely effective, outsourcing models must place | | | | because one major aspect of the outsourcing |
| great emphasis on separation of competing interests. | | | | phenomenon has been resolved. True, other issues do |
| The question therefore becomes: How can a law firm | | | | abound, but this one is a biggie. If the security concerns |
| be assured that they are not outsourcing work to a | | | | can be alleviated, then one huge step has been taken |
| company that is also working on the same matter for | | | | towards reaching the ultimate goal of commencing a |
| opposing counsel? While the chances of this happening | | | | mutually beneficial business relationship. |
| may be somewhat slim, it is still a viable concern. The | | | | |