| Benjamin H Brewster once said lawyer starts | | | | |
| life giving $500 worth of law for $5, and ends | | | | |
| giving $5 worth for $500. | | | | |
| Interestingly, F W Taylor father of scientific | | | | |
| management would have referred the above | | | | The following few are some of the clarifications |
| condition as misalignment of labor, task and | | | | summarized which therefore act as building blocks |
| rewards system. Normal 0 false false false EN-US | | | | in the process of outsourcing legal work: |
| X-NONE X-NONE /* Style Definitions */ | | | | |
| table.MsoNormalTable {mso-style-name:"Table | | | | 1. Responsibility: Lawyer may |
| Normal"; mso-tstyle-rowband-size:0; | | | | outsource legal or non-legal support services |
| mso-tstyle-colband-size:0; mso-style-noshow:yes; | | | | provided the lawyer eventually responsible for |
| mso-style-priority:99; mso-style-qformat:yes; | | | | providing competent legal services to the client |
| mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in | | | | since lawyers also engage various parties (including |
| 5.4pt; mso-para-margin:0in; | | | | both non-lawyers and lawyers) in servicing clients |
| mso-para-margin-bottom:.0001pt; | | | | |
| mso-pagination:widow-orphan; font-size:10.0pt; | | | | 2. Diligence: Ensuring conduct of the |
| font-family:"Calibri","sans-serif";} | | | | service provider is compatible with professional |
| | | | | obligations particularly for a distant offshore |
| Benjamin H Brewster once said lawyer starts | | | | location. Important considerations are reference |
| life giving $500 worth of law for $5, and ends | | | | checks/background investigations of lawyer or |
| giving $5 worth for $500. | | | | non-lawyer providers/intermediaries and if required |
| | | | | conduct interview, education background vet, site |
| Interestingly, F W Taylor father of scientific | | | | visits etc |
| management would have referred the above | | | | |
| condition as misalignment of labor, task and | | | | 3. Client Consent: Written confidentiality |
| rewards system. A close look would have a few | | | | is advised however depending on the level of |
| similes between what is called as principles of | | | | supervision contemplated by the outsourcing |
| scientific management and the purpose of | | | | lawyer, obtaining informed client consent before |
| outsourcing since both concepts promote division | | | | engaging outside (offshore or onshore) assistance |
| of work (specialization), de-skilling of worker and | | | | may be necessary |
| dehumanization of workplace that are key for | | | | |
| process excellence in business. | | | | 4. Fees: Reasonability of the fees is |
| | | | | necessary. Permission to pass along to the client |
| Most of us know that virtues of outsourcing are | | | | the costs of using service provider, including |
| well recognized in the information age today be it | | | | reasonable allocation of associated overhead |
| about exploiting location advantages, gaining | | | | expenses, but without any mark up in any ways |
| excellence, fostering innovation, accessing new | | | | |
| markets and so on. Corporations as we recognize | | | | 5. Equality: No distinction between |
| in the process of multiplying value to | | | | onshore outsourcing and offshore outsourcing, |
| shareholder’s wealth, are some ways | | | | with the exception of the level of diligence |
| demonizing the philosophy of | | | | performed and background checking |
| doing-all-of-it-by-own, in stepping up | | | | |
| targeted growth engines. Partnerships are sought | | | | 6. Offshore Regulatory Systems: |
| off shores, new geographies are explored, | | | | Comparability of the legal education system with |
| business models are tested and talents are | | | | that of the U.S., professional regulatory systems |
| accessed to create significant impact on endearing | | | | incorporate equivalent core ethics principles and |
| value creation for stakeholders. | | | | effective disciplinary enforcement systems. In |
| | | | | addition, legal system protects or sustains client |
| The subject of outsourcing however, is no new | | | | confidentiality and provides effective remedies to |
| to us and in the context of India’s growth | | | | the lawyer’s client for disputes rising if any |
| story it is just a remarkable celebration. Thanks | | | | |
| to the growth India has experienced in ICT, | | | | 7. Practicing of Law: Each of the local |
| Financial services, R&D etc., in the last decade to | | | | bar association opinions addresses this issue, and |
| become undoubtedly the best destinations for | | | | concludes that the outsourcing of legal services, |
| outsourcing work in the world. | | | | either offshore or onshore, does not constitute |
| | | | | the unauthorized practice of law since the ABA |
| Legal process outsourcing (famously known as | | | | Ethics Committee noted that it lacks authority to |
| LPO) is today yet another high tide in the raging | | | | express an opinion regarding whether any |
| seas of outsourcing that carries enough currents | | | | particular service provider is engaging in |
| with it to sweep away the basic nature of law as | | | | unauthorized practice of law |
| a practice and delivery of legal services worldwide. | | | | |
| Client’s expectations and needs of | | | | 8. Endorsement: Outsourcing is good for |
| quantum quality in service delivery appear to have | | | | the health of the profession itself |
| diametrically stretched business processes and | | | | |
| hence rewriting new corollary in client relationship | | | | 9. Catalysts: ABA is instrumental in |
| management. Those who are witness to these | | | | necessarily setting forth clear guidelines has |
| underlying movements will ascertain that law as a | | | | immensely helped in making Lawyers and |
| practice seesaws in its content, scope and | | | | Attorneys in the U.S., to pursue outsourcing for |
| criticality particularly when legal/non legal work in | | | | significant advantages |
| the guise of cost, quality and other strategic | | | | |
| advantages are shipping out to different | | | | All such moves and considerations appear to bring |
| destinations. On the other hand, the visible fear | | | | about paradigm shifts in the business landscape of |
| of losing control of the process, shrinking job | | | | legal process outsourcing. The larger question |
| profile and risking quality of service are concerns | | | | remains to be answered is whether outsourcing |
| that thwart attorneys and law firms in the US | | | | means for a professional lawyer in the US to |
| and UK from outsourcing work to nations like | | | | decide handing over either his court, the case |
| India. | | | | brief or the client relationship to the Indian legal |
| | | | | professional? |
| Recognizing these imperatives the bar associations | | | | |
| for instance of Florida, Los Angeles County, New | | | | Notes & References |
| York City, North Carolina and San Diego County, | | | | |
| which are few significant jurisdictions have | | | | 1. elaw forum estimates the total cost |
| framework of rules and views with ethical and | | | | of litigation to be $210b equivalent to one third of |
| practical considerations. It is noteworthy to | | | | the after tax profit of fortune 500 companies |
| understand that the rules of ethics and | | | | — The Metropolitan Corporate Counsel Feb |
| professional responsibility are conventionally | | | | 08 |
| delegated by the courts to the state bar | | | | 2. Presently only 3% of the law firms of |
| associations. The proposed considerations by any | | | | the USA and UK outsource their back office work |
| state bar are enforceable by the state court in | | | | to India — Value notes july 09 — |
| that particular state but in absence of applicable | | | | Value notes |
| statutes, the courts then will look up to bar | | | | 3. The India revenues from legal |
| associations be it local or national for necessary | | | | services off shoring are slated to grow from |
| help. | | | | $146 million for the calendar year 2006 to reach |
| | | | | $640 million by end 2010 — Value notes |
| The American Bar Association (popularly known | | | | 4. The industry employed around 7,500 |
| as ABA) the largest voluntary professional | | | | people in the legal off shoring space in India as of |
| membership organization in the world takes | | | | end 2006. The number of employees is expected |
| practical view of professional obligations and | | | | to reach 32,000 by end 2010 — Value |
| industry imperatives from time to time. Although | | | | notes |
| the ABA Ethics Committee opinions are | | | | 5. Estimates that the number of jobs |
| non-binding, yet they do serve as an important | | | | outsourced in the legal services area will grow to |
| guide and provide yardsticks to address issues if | | | | 35000 by 2010 and up to 79000 by 2015 |
| any.. | | | | — Forrester Research |
| | | | | 6. ABA Formal Op.08-451 (2008), N.Y.C |
| The landmark opinion was issued last year by the | | | | Bar Assoc. Formal Op. 2006, San Diego County |
| Ethics Committee of the ABA and terms like | | | | Bar Assoc. Op. 2007-01 |
| jurisdiction, competent representation, layperson, | | | | 7. Florida Ethics Op. 07-2; N. C State |
| client confidentiality, client consent, supervision of | | | | Bar, Formal Ethics Op.12, Calif. State Bar Assoc. |
| non-lawyers, avoid aiding non-lawyers in the | | | | Formal Op. 1994-138 |
| unauthorized practices of law, commodity work | | | | 8. Colorado Bar Assoc. Ethics Op. 1712 |
| and so on, which have seen various | | | | (Same);IL Adv. Op. 98-02 |
| interpretations are dealt under a set of | | | | 9. N. Y. |
| considerations proposed by ABA. | | | | |