It's Time for Regulation & Accreditation of Legal Process Outsourcing Companies
I believe that a formal regulation of the legal process outsourcing industry together with the introduction of an industry wide education and accreditation program for Offshore Attorneys working within Legal Process Outsourcing companies is essential if we are to inspire confidence in our clients and ensure a service of the highest standard.
I returned yesterday, a little worn and weary from the Association of Legal Administrators conference in Las Vegas with a desperate urge to put pen to paper. I was remarkably refreshed by the opinions of the overwhelming majority of the Chief Operating Officers, Office Administrators and Directors of Procurement whom I spoke to and who attended my presentation on Legal Process Offshoring. Several of those I met had valid concerns regarding the ethical issues of the offshoring process, namely confidentiality and the unauthorized practice of law. Some others raised the issue of quality control by expressing reservations over whether non US qualified attorneys could possess the requisite knowledge to work on US related legal matters. Most, however, agreed that now was the time to convince their managing partners to finally consider legal offshoring as a viable strategic alternative.
I attempted to dispel the above myths in my presentation. I explained the exhaustive safeguards that a reputable Legal Process Offshoring company (LPO) such as LawScribe has in place to ensure that client confidentiality remains of the utmost importance. I also described in detail the recruitment process, training programs, and educational qualifications required of Indian attorneys by established LPOs.
My only fear is that if we don’t start regulating our profession now then the continuously emerging “black sheep” will cause our clients to eventually lose confidence in the whole industry. New companies without any real US or UK physical presence or genuine legal background and qualifications are springing up all the time. Many are simply jumping on the legal outsourcing bandwagon, seeing it as the latest get rich quick scheme. For example, I recall recently outsourcing an element of LawScribe’s marketing to a company whose name I won’t divulge. This particular company had a wealth of experience marketing in the American legal industry, but was totally new to the concept of Legal Process Outsourcing and Offshoring. Several weeks following the conclusion of the campaign, I received an email, no doubt in error, from the same company purporting to be offering Legal Offshoring and Outsourcing Solutions to the US marketplace through their arrangement with Indian attorneys! I can assure you that the CEO of this particular organization has no legal qualifications whatsoever, much less experience within the legal offshoring industry.
Of course there is nothing to stop anyone from setting up such a company, but just as sure as night follows day, this type of amateur operation will only speed up the inevitable bubble burst in the LPO industry that we saw only a few years ago with the demise of the dot-coms.
Have we not learned anything from the collapse of the dot-coms? An idea is not enough to sustain a quality and confidential client service. LawScribe was incorporated in 2003 and has been operating in the Legal Outsourcing field ever since. Everyone within the Legal Process Outsourcing industry worth their salt knows who the reputable companies are. I have no qualms, and my clients and potential clients will confirm this, advising people who our main reputable and well established competitors are. I urgently implore these trailblazing LPOs to come together and create an industry wide standard of regulation so that clients will have confidence that they are not entering into arrangements with “fly by night” operations.
At LawScribe, we require our Indian attorneys to undergo an intensive two-month training course on U.S. Rules and Procedures before they are allowed to work on any client related matters. Several of our competitors also employ similar training and education to ensure quality amongst their attorneys. This is not enough! We must take the time out of our business development to formulate a Legal Process Outsourcing industry-wide program of regulation and accreditation. If we, as the leaders of this industry, can achieve this, our present and potential clients will have the utmost confidence in both the security and quality of our operations.
I propose a roundtable discussion among the reputable, established LPOs currently operating in the marketplace. I don't intend to name names, as it is entirely possible that I may forget some or simply be unaware of other entirely reputable companies currently operating within the industry. I have no intention of creating a closed-shop and a bar to new reputable organizations emerging, but purely for the preliminary discussions I propose that LPOs that can fulfill the following criteria be invited to participate:
1) The company must have been incorporated for a minimum period of 12 months.
2) An on-shore physical US or UK presence is mandatory - it is not sufficient to simply have a PO box mailing address!
3) Full time qualified US (or UK if a registered UK company) attorney presence on-shore is mandatory.
4) A willingness to undergo an independent verification of the company's Indian offices.
5) An independent verification of at least 10 of each company's Indian attorneys resumes including sworn statements from the individuals confirming that they are full time employees of the LPO concerned.
6) Statements from at least 10 existing clients of each LPO, subject to independent verification such statements can be anonymous if so desired.
The focus of these discussions will be on agreeing on a set of industry standards and an approved quality mark recognizable to our clients together with agreement on the timeframe for the introduction of an LPO educational qualification for all Indian attorneys working within the industry.
If we fail to regulate our industry now, from within, those who currently operate to the highest standards risk being tarred with the brush of “guilty by association” with those companies who are here only to make a fast buck.
I returned yesterday, a little worn and weary from the Association of Legal Administrators conference in Las Vegas with a desperate urge to put pen to paper. I was remarkably refreshed by the opinions of the overwhelming majority of the Chief Operating Officers, Office Administrators and Directors of Procurement whom I spoke to and who attended my presentation on Legal Process Offshoring. Several of those I met had valid concerns regarding the ethical issues of the offshoring process, namely confidentiality and the unauthorized practice of law. Some others raised the issue of quality control by expressing reservations over whether non US qualified attorneys could possess the requisite knowledge to work on US related legal matters. Most, however, agreed that now was the time to convince their managing partners to finally consider legal offshoring as a viable strategic alternative.
I attempted to dispel the above myths in my presentation. I explained the exhaustive safeguards that a reputable Legal Process Offshoring company (LPO) such as LawScribe has in place to ensure that client confidentiality remains of the utmost importance. I also described in detail the recruitment process, training programs, and educational qualifications required of Indian attorneys by established LPOs.
My only fear is that if we don’t start regulating our profession now then the continuously emerging “black sheep” will cause our clients to eventually lose confidence in the whole industry. New companies without any real US or UK physical presence or genuine legal background and qualifications are springing up all the time. Many are simply jumping on the legal outsourcing bandwagon, seeing it as the latest get rich quick scheme. For example, I recall recently outsourcing an element of LawScribe’s marketing to a company whose name I won’t divulge. This particular company had a wealth of experience marketing in the American legal industry, but was totally new to the concept of Legal Process Outsourcing and Offshoring. Several weeks following the conclusion of the campaign, I received an email, no doubt in error, from the same company purporting to be offering Legal Offshoring and Outsourcing Solutions to the US marketplace through their arrangement with Indian attorneys! I can assure you that the CEO of this particular organization has no legal qualifications whatsoever, much less experience within the legal offshoring industry.
Of course there is nothing to stop anyone from setting up such a company, but just as sure as night follows day, this type of amateur operation will only speed up the inevitable bubble burst in the LPO industry that we saw only a few years ago with the demise of the dot-coms.
Have we not learned anything from the collapse of the dot-coms? An idea is not enough to sustain a quality and confidential client service. LawScribe was incorporated in 2003 and has been operating in the Legal Outsourcing field ever since. Everyone within the Legal Process Outsourcing industry worth their salt knows who the reputable companies are. I have no qualms, and my clients and potential clients will confirm this, advising people who our main reputable and well established competitors are. I urgently implore these trailblazing LPOs to come together and create an industry wide standard of regulation so that clients will have confidence that they are not entering into arrangements with “fly by night” operations.
At LawScribe, we require our Indian attorneys to undergo an intensive two-month training course on U.S. Rules and Procedures before they are allowed to work on any client related matters. Several of our competitors also employ similar training and education to ensure quality amongst their attorneys. This is not enough! We must take the time out of our business development to formulate a Legal Process Outsourcing industry-wide program of regulation and accreditation. If we, as the leaders of this industry, can achieve this, our present and potential clients will have the utmost confidence in both the security and quality of our operations.
I propose a roundtable discussion among the reputable, established LPOs currently operating in the marketplace. I don't intend to name names, as it is entirely possible that I may forget some or simply be unaware of other entirely reputable companies currently operating within the industry. I have no intention of creating a closed-shop and a bar to new reputable organizations emerging, but purely for the preliminary discussions I propose that LPOs that can fulfill the following criteria be invited to participate:
1) The company must have been incorporated for a minimum period of 12 months.
2) An on-shore physical US or UK presence is mandatory - it is not sufficient to simply have a PO box mailing address!
3) Full time qualified US (or UK if a registered UK company) attorney presence on-shore is mandatory.
4) A willingness to undergo an independent verification of the company's Indian offices.
5) An independent verification of at least 10 of each company's Indian attorneys resumes including sworn statements from the individuals confirming that they are full time employees of the LPO concerned.
6) Statements from at least 10 existing clients of each LPO, subject to independent verification such statements can be anonymous if so desired.
The focus of these discussions will be on agreeing on a set of industry standards and an approved quality mark recognizable to our clients together with agreement on the timeframe for the introduction of an LPO educational qualification for all Indian attorneys working within the industry.
If we fail to regulate our industry now, from within, those who currently operate to the highest standards risk being tarred with the brush of “guilty by association” with those companies who are here only to make a fast buck.
posted by anthony at
4:28 PM
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2 Comments:
I had the good fortune to meet you and attend your presentation last week in Vegas. Let me tell you that you did such an effective job of explaining legal outsourcing, its pros and cons. Congratulations.
Now to get back to your last post on regulation, it almost begs the question why companies have not embraced many of your proposals. As you pointed out it only takes one black sheep.
I think having a standardized accreditation process for the attorneys working in India like a legal outsourcing certificate would greatly help.
Many thanks for the post John. It was a pleasure meeting you as well and thank you for the kind words about my legal services offshoring presentation.
Many of the established Offshore Legal Process Outsourcing Companies are of course run by attorneys.
My point here is that attorneys are notoriously slow and risk averse when it comes to making decisions, even when it comes to the attorneys running the established Legal Outsourcing companies!
I am convinced that I am by no means the first to moot the concept of accreditation of the legal outsourcing industry however physically making it happen is another story. If it takes posts like this one to help push the major players to come together to regulate the legal outsourcing industry then I will keep on posting!
I will be revisiting the concept when I speak at the Legal Outsourcing Conference in New York at the Helmsley Hotel on May 23rd and we'll see what sort of response that generates.
Many thanks again for your kind words.
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