legal-tech2021

[legal-tech2021]

The law and digitalization- Legal Tech

With rapid development in technology, everyone seeks different techniques and ways to convert their work in digital form. Digitalization can be defined as the use of digital technology to switch a business model and come up with new revenue and value-producing opportunities. Digitalization can be stimulated by a number of factors. The power for change can stem from consumers who require better, faster and cheaper products and services. This push can also come from new competitors in and outside the legal industry.

The Digital Revolution and the Law 

A number of legal companies and law firms have entered the market of legal-tech service providers. We have already witnessed a significant digitalization in assiduity, contract review, legal research, e-discovery, prediction technology, and document automation, while tools such as client portals and internet based professional platforms are becoming more enlightened day by day. These developments are noticed by the immense tech industry. Recently, Amazon has launched its first legal services industry that provides trademark registration services. In response to this increased digitization of the legal-tech field, especially large law firms have begun to extensively invest in legal-tech solutions to maintain a competitive edge.

Digitalizing legal processes offers these key advantages

Rise efficiency : 

Digitizing records into a simply searchable database, or automation of repetitive manual operations like legal billing, allows you to complete tasks quicker, exclude bottlenecks and do work well with narrow deadlines.

Minimizing costs: 

Digitalization reduces labor expenses related to manual processes. You can save the money and invest into competitive assets like Clever Contracts rather than wasting it into non-beneficial things. 

Turn down human error: 

While doing agreements and compliance , where rules differ across borders and are updated again and again, the risk of human error is high and the legal consequences are probably  serious. Digital solutions reduce this risk significantly.

A better customer experience: 

Digitalizing your legal operations lead your customer in line with the fast proper sequence. As customers can handle their hurdles and perform their legal actions remotely. 

Examples demonstrate how digitization is driving the work of legal departments

1.) Due Diligence: Reading and Analysing Contracts

Basically in due diligence strategy, when companies are up for sale, lawyers have to go through large quantities of contracts such as employment contracts, rental contracts or other agreements. Several thousand contracts have to be examined depending on the size of the company. But fortunately with modern technology like Legal Tech, lawyers no need to examine piles of paper and check each contract individually by printing it out and editing it with highlighters. Now contracts are available in paper form and can be digitized quickly and easily. First, the contracts are scanned. To convert the scanned contract into readable text, OCR technology is used, which is able to recognize text, even if the contract is only available as an image in JPEG format.

2.) Fraud Detection and E-discovery

Legal Tech softwares can help to pick out  relevant content in contracts or documents and discover  possible weak points. The DSGVO Monitors helps to search through email, ERP, CRM or file systems for personal data, so that compliance officers, data protection officers and the associated IT service units can trace and delete them more efficiently.

E-discovery helps to secure electronic evidence in cases of fraud or violations of the law so that it can be used in court later on. If any company may have to check thousands of outboxes and e-mails sent for suspicious information. The software is able to perceptually search large amounts of emails of a company for certain keywords and to mark the targeted places.

Conclusion

If not now but soon, this is going to be a real problem for the legal industry as customers are moving towards the legal-tech who can provide them services they want. Larger, digitalized firms will hold more clients, competitive priced services and a better legal environment. Non-digitalized law firms need to take initiative fast to avoid being left behind. Because no one has enough time to visit law firms and check-out every single document. So change your strategies as technology is changing.

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