Some considerations when moving your law firm to the cloud

Statistics show that 38% of law firms in the US use cloud-based services. 53% does not, while the rest isn’t sure which of the services they use are cloud-based. The cloud services that are being used not only include cloud-based law firm management software, but also other services, like using the cloud for backups, or to share information with customers, etc.

In this article, we will focus on the pros and cons of cloud based law firm management software.

Advantages of using public cloud services

These are the main advantages of moving your law firm to the cloud.

Maximize Internet Security: when you host your own servers, and provide Internet access to them, security is a constant concern. It’s not obvious to always have the latest patches, a perfectly configured firewall, etc. Because it’s part of their core business, external cloud service providers are experts in secure provision. More likely than not, your data will be safer in the cloud.

Reliable Physical Security: Cloud service providers use data centres where a lot of attention is paid to physical security of the infrastructure. Typically, advanced security measures, like using biometrics, are in place to enter the premises.  The chances of losing data because your servers are (physically) stolen are virtually non-existent in the cloud.

Immediate Disaster Recovery: Cloud service providers have Disaster Recovery plans (and the necessary infrastructure) that can be implemented instantly, or on very short notice.

Predictable IT budgeting: when you use cloud-based services, your IT cost is far more predictable, as you typically pay a fixed subscription fee. Add to that, that in most cases, using cloud-based services is cheaper, because you need to invest far less in your hardware infrastructure!

Eliminating IT Distraction and Hassle: keeping your own IT infrastructure up and running can be time consuming. If you use cloud based services, that hassle largely becomes the concern of the service provider.

Inherent Remote Access: the cloud offers constant access, from anywhere, at any time.

Experienced Law Firm Cloud Services: most providers of cloud-based services for lawyers have been on the market for a long time, and have plenty of experience.

Innovation comes as standard with the public cloud: one of the challenges when managing your own IT infrastructure is knowing when to upgrade and when to implement new technologies. When using cloud-based services, you’re staying ahead of the curve, without having to worry whether the technology will cause any problems. Your provider will have tested them out in advance.

Flexibility provides a business advantage: the cloud can provide a law firm with extra flexibility which can be a business advantage.

A survey revealed the following reasons why law firms chose to move their business to the cloud:

  • Easy browser access from anywhere, 68%.
  • 24 x 7 availability, 67%.
  • Low cost of entry and predictable monthly expense, 59%.
  • Quick to get up and running, 49%.
  • Robust data back-up and recovery, 47%.
  • Eliminates IT & software management requirements, 40%.
  • Better security than I can provide in-office, 32%.

Caveats

But there are also some caveats that should be taken into account. When you are using cloud services, not only your IT infrastructure, but also all your data are in the hands of a third party. And you necessarily rely on Internet access to have access to your data. Law firm management software typically is mission critical for a law firm. If your access is interrupted, or if the critical systems that are in the cloud fail, this could cause serious problems, even put a law firm out of business. There also are concerns of privacy and lawyer-client confidentiality: does the staff of the service provider have access to your clients’ data? Security typically is better in the cloud, but a breach typically also has bigger consequences, and service providers for lawyers are preferred targets for hackers. Continuity also is a concern: what happens to your data if the service provider goes out of business, e.g.?

In his article on cloud computing for lawyers, David Canton listed the following issues to consider:

  • how mission critical the system is
  • what the consequences are of a short term and long term outage
  • how confidential or personal the information is in the system
  • can the information be encrypted in transit and at rest
  • how robust the vendor’s continuity plan is
  • the need for the business to have its own continuity plan – such as a local copy of the data
  • how robust the vendor’s security is
  • does the vendor have third party security validation to accepted standards
  • does the vendor’s agreement have provisions that back these issues up with contractual terms and service levels with meaningful remedies

Because of these consideration, there are law firms who explicitly choose to not use the cloud. When questioned, these were the reasons they gave to stay away from cloud services:

  • Confidentiality/security concerns, 63%.
  • Concerns of having less control of your data because it’s hosted by the provider, not on your own server/computer, 54%.
  • Unfamiliarity with the technology, 50%.
  • Concerns of losing access to and ownership of your data, 39%.
  • Cost/effort of switching from your current solution, 31%.
  • Cost of services, 28%.
  • Preference for owning software rather than paying a monthly subscription, 25%.
  • Non-web-based software programs you use are sufficient for current needs, 24%.
  • Lack of professional responsibility/ethics guidance, 24%.
  • Uncertainty over longevity of vendor, 20%.

 

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Artificial Intelligence and Law

Legal Artificial Intelligence has made the news’ headlines often, recently. There are chat bots, e.g., that help you appeal against a parking ticket (www.donotpay.co.uk), or give you a first advice if you are considering a divorce (divorce bot). There is software that predicts the likely outcome of court cases. IBM offers legal AI services for eDiscovery and legal research with its Watson supercomputer: Ross, as the service is called, uses Natural Language Processing, and can also be used for cognitive computing, e.g., to review contracts (www.rossintelligence.com). Then there is RPA (Robotics Process Automation) who are creating software robots for law firms. The idea is that any repetitive task that lawyers and paralegals do at a computer can be performed by a software robot. These are two examples of AI doing the work that is often done by paralegals and lawyers.

So, what is the current state of affairs? What is being used and developed within law firms, and what do service providers have to offer when it comes to artificial intelligence for lawyers? Basically, there are three main pillars, where AI is currently being used:

  • Research and Data Analysis: Legal Research, eDiscovery, triage services for those two, predictive systems, other analytics (statistics, correlations, etc.),
  • Cognitive systems: expert systems, contract review
  • Task automation: bots (advice, automate repetitive tasks)

Let us explore these a bit further.

Legal Research: Looking for legal information that is relevant to a case you’re handling? Legal databases are increasingly using AI to present you with the relevant laws, statutes, case law, etc.

eDiscovery: While legal research deals with legal information, eDiscovery focuses on finding evidence that is stored in a digital format. More and more evidence is stored electronically, on computers, smart phones, but also in the cloud (think, e.g., of social media). The task of finding evidence that is pertinent to a case more and more becomes like looking for a needle in a haystack. No wonder that AI is increasingly being used to assist in eDiscovery.

Triage services: So, you have used programs for legal research and eDiscovery. Often that is just the first round, i.e. finding relevant information. If you’re confronted with thousands of results, you need a second round, which is the triage: determining what is most relevant and sorting the results accordingly. Triage services are often built into the software you are using, but are also being offered by independent third party service providers.

Predictive systems: A previous article was dedicated to a software system that could accurately predict the outcome of court cases dealing with Human Rights. It was right in 79% of the cases. Several service providers have announced similar products for other areas of law. But predictive systems are not limited to case outcome predictions. US data scientists have, e.g., developed a new algorithmic analysis they believe could help judges reduce crime by up to 25% in certain situations. The software performs a risk assessment and advises a judge whether a defendant awaiting their court date for an alleged crime should or should not be released to go home before the trial starts.

Other analytics: Machine learning and data mining is also used to provide us with (other) statistics, relevant correlations, etc.

Expert systems: The first cognitive systems already were developed in the 90s. Expert systems are intelligent checklists that have the built-in ability to reason, i.e., perform logical operations and functions.

Contract review: One area where cognitive systems are shining at present is contract review. Important, e.g., is the ability to point out clauses that are lacking in a contract.

Task automation: Bots are intelligent software robots that are created to automate specific tasks. In the introduction of this article, we gave the examples of chat bots that can give advice, and other bots that are being designed to perform any task a lawyer or paralegal does repetitively on a computer.

What does this all mean for lawyers? Richard Tromans, at www.artificiallawyer.com, sums it up perfectly:  ” … the arrival of AI marks a Renaissance for the legal industry because it permits lawyers to be real lawyers again and not tired process units counting down the hours of their day. After all, isn’t the definition of a lawyer a person who is doing something special in society, i.e. taking on a client’s problems and making it their duty to help them? Isn’t that why membership of the profession is so jealously guarded and so heavily regulated? If this is just any other office job, then why all the fuss to become a lawyer? But of course, it’s not just any other office job. In which case, maybe AI is the best thing that has happened to lawyers in many decades.”

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