Cloud Computing for Lawyers: An Introduction

Feb 2, 2010 - by Nicole Black

Over the last year I’m sure you’ve heard a lot about “cloud computing” and by now you’re probably wondering: what exactly is it?

At Webopedia.com, “Cloud Computing” is defined as a “type of computing that is comparable to grid computing, relies on sharing computing resources rather than having local servers or personal devices to handle applications. The goal of cloud computing is to apply traditional supercomputing power (normally used by military and research facilities) to perform tens of trillions of computations per second.”

In other words, cloud computing makes it possible for  your data and software platforms and services to be stored offsite, in the “cloud".

Online services of this type, which include software as a system (SaaS) and platforms as a system (PaaS), are becoming increasingly common and, for many lawyers, are an attractive alternative to the traditional law practice management software installed and maintained on a local server within a law office.

Encrypted Client Communications—the Wave of the Future

Mar 2, 2010 - by Nicole Black

Email security in its current form is inherently flawed and many lawyers are unaware of this disconcerting fact. Most emails are no more than mere postcards, the contents readily viewable by anyone who cares to look.

As each email travels from its starting point to its end destination, it traverses an untold number of servers and can be intercepted and viewed by virtually anyone with the proper technological know-how and desire.  A number of states, including Massachusetts and Nevada, already have passed laws or regulations requiring certain types of confidential data to be sent electronically only via encrypted communications. More laws of that nature most certainly will follow, both at the state and federal level.

In my opinion, encryption laws — most of which currently apply primarily to financial institutions — ultimately will incorporate some of the types of client information contained in attorney-client communications, in large part because of rising concerns due to recent large-scale data disclosures.

ALM Virtual LegalTech: a Great Option for Busy Attorneys

Mar 16, 2010 - by Nicole Black

On March 18th, 2010 ALM Media Events will be holding live CLE events at Virtual LegalTech for the second time ever.

Virtual LegalTech is a fully interactive, online legal technology conference. At the website, the conference is described as:

(A) showcase for the latest hardware, software, tools and services that are moving the practice of law ahead through innovative solutions...VLT's fully interactive virtual environment enables you to do all the things you'd do at a live event: attend presentations and panel discussions, talk with vendors, see product demonstrations, collect information, network with colleagues and get the latest news from the ever-evolving arena of legal technology.

Virtual LegalTech is the next generation of law conferences, offering legal professionals innovative and economical ways to learn about the latest legal technologies while networking with colleagues.

There’s no need to spend money on travel or hotel expenses; you can attend the conference from the comfort and convenience of your office. And best of all -- attending Virtual LegalTech is free for qualified registrants. That’s right, it costs nothing to attend, and in many jurisdictions, including New York, California, Colorado, Florida, Illinois, and Oregon, you can receive CLE credits for seminars that you watch.

Law Practice Management Software: An Overview

Mar 17, 2010 - by Nicole Black

Legal practice management software is a must-have for most law offices. It streamlines the process of handling and managing a case from start to finish. Law case management systems allow busy attorneys to keep track of contacts, documents, and calendaring, among other things, for each case that is added to the system; many offer time tracking and billing features as well.

For most law practices, purchasing practice management software that is well-suited for the size and specific practice areas of the firm is a good investment that saves time and money in the long run.

One decision lawyers must make when choosing legal practice management software is whether to purchase a web-based law practice management system or a traditional desktop system that is installed and housed on the law firm’s server. Once you’ve decided which type of platform you intend to use, you can then narrow down your choices based on the specific features offered by a particular system.

Web-based Law Practice Management Systems

Mar 23, 2010 - by Nicole Black

Law practice management software is crucial to managing the complexities of any modern law practice. However, traditional law office management software can be expensive, cumbersome to navigate and prone to such frequent  glitches that your IT consultant becomes a permanent fixture in your law office.

The good news is that there are other alternatives available, including web-based law practice management systems, a relatively new breed of  practice management software.

Advantages include lower costs due to reduced overhead, less hassle related to maintaining and upgrading the case management system and greater flexibility, since the Web-based system can be accessed anywhere, at anytime.

If you decide that a web-based system may be a good fit for your law office, there are a number of good alternatives from which to choose. Each of these systems offers variations of calendar and task management, time tracking and billing and document management.

The iPad for Lawyers

Apr 20, 2010 - by Nicole Black

I’ve had my iPad for a few weeks now and am slowly but surely discovering how it fits into my daily routine. After using it for a while, I continue to believe that the iPad is primarily a media consumption device, but it does have some utility for lawyers and will become increasingly more useful as more third party applications are released.

However, even at this stage of its development, I do think that many lawyers will find the iPad to be useful in the practice of law.

First, it’s a great device on which to store documents, rather than lugging huge reams of papers with you everywhere you go.  Imagine using it at trial or at a deposition to cross a witness in lieu of flipping through deposition transcripts or stacks of papers.

Virtual Data Rooms: Modernizing the Workspace

May 12, 2010 - by David W. Hammer

Most of Firmex’s clients are now using the internet to distribute seller’s books or confidential information memorandums when managing a sell-side M&A transaction. However, there are firms that are continuing to create physical books, which can range from 50 to 200 pages. These books are typically distributed to a large number of potential buyers, particularly if an advisory firm routinely markets transactions to a database of private equity firms.

The recent advent of the kindle, the iPad and other paper eliminating devices serves as an interesting marker of just how archaic a practice it is to produce physical books for an industry as fast paced as M&A.  Producing that many physical books is outdated, expensive and time consuming.

The cost (not to mention the carbon footprint expenditure) to produce, print, bind and ship one book can be upwards of $100 and can take anywhere from 24 to 48 hours to reach its destination. If you are marketing a transaction to 40 potential buyers with a seller who wants to close quickly, this lag time can significantly affect  profit on the transaction (or the seller’s cost) and the transaction timeline.

Time Tracking and Billing Software Solutions for Lawyers

May 18, 2010 - by Nicole Black

For most attorneys, billing and time tracking is a necessary evil. Tracking billable time can be an arduous task, but it’s important to stay on top of it; often practicing attorneys become so frantically busy that they are unable to recall what happened during the day. This scenario can be extraordinarily frustrating since lost time is lost money.

Billing and time tracking software can help to alleviate some of the problems encountered when attempting to track billable hours.

A good place to start when researching options is the ABA Legal Technology Resource Center, which provides a thorough summary of the different types of time tracking and billing software products that are available. Also useful is an ABA chart that compares a number of available products.

A few noteworthy products worth considering include Chrometa and the Saas based programs, Time59,  and Bill4Time. Bill4Time is the only time tracking product included in the ABA’s chart. All three companies offer a 30-day free trial.

North Carolina Lawyers can use Cloud Computing Services in their Law Practices

Jun 8, 2010 - by Nicole Black

The North Carolina State Bar (NCSB) recently issued a proposed formal ethics opinion (proposed 2010 FEO 7), which may assist lawyers in assessing the risks of using a particular cloud computing product in their law practice.

The primary issue addressed by the NCSB was whether a law firm may use SaaS-based platforms, such as law practice management software, and thus store confidential client data on servers located offsite and controlled by a third party.

The NCSB concluded that it was permissible for lawyers to do so as long as steps were taken to “effectively minimize the risk of inadvertent or unauthorized disclosure of confidential client information and to protect client property, including file information, from risk of loss.”

Importantly, the NCSB stated that a lawyer is not required to guarantee that a system is “invulnerable to unauthorized access” and that a law firm’s duty to protect confidential client information does not compel a particular method of handling the information, nor does it prohibit the use of third party vendors who may have access to the data.

Managing Risk in the Cloud

Jun 29, 2010 - by Nicole Black

One of the primary concerns expressed by lawyers and other business owners when considering moving data and processes to the Cloud is risk. Understandably, business owners are wary of outsourcing confidential information and express concerns regarding the security of their data. Another concern involves the sense of lack of control over company data and the inability to monitor the software processes used to organize the information.

Fortunately, new products are appearing that are intended to address these common concerns. Two ideas of note and worth keeping an eye on: cyber-risk insurance and cloud monitoring services.

Cyber-risk insurance generally covers damages which stem from failures arising from your use of online or internet-based technologies. For example, this type of policy can cover data loss, service interruptions resulting from server downtime, and hardware or software failures. According to the article, Cyber Insurance, Cyber Risk, and How to Protect Your Company, nearly 29% of U.S. companies utilize cyber-risk insurance. Of course, cyber-risk insurance does little to protect the confidentiality of your client’s data, but it does provide your law practice with coverage should a data loss occur.