Monday, January 18, 2010

Ethical or Legal Outsourcing legal services - Kazim ali Khan Ma Foi



Ethically or legally - Outsourcing legal services - Kazim Ali Khan Ma Foi



Benjamin H Brewster once said "lawyer starts life giving $ 500 worth of law for $ 5 and ends giving $ 5 worth for $ 500."

 

It is interesting that would FW Taylor father of scientific management have mentioned this condition as a displacement of labor, tasks and rewards system. A closer look would have a few similarities between what is known as general principles of scientific management and for outsourcing, since both concepts promote labor (specialization), de-skilling of workers and the dehumanization of the workplace, which are important for process expertise in business.

 

Most of us know that the benefits of outsourcing is commonly known in the information age today, whether it be to exploit locational advantages, to get quality, promote innovation, access to new markets and so on. Companies which we recognize in the process of multiplying the value of shareholder wealth, are some ways demonize the philosophy of "make all-in-the-by-self ', in step targeted growth engines. Partnerships are sought out coasts, new locations have been examined, tested business models and talents are allowed to create a significant impact on endearing value creation for stakeholders.

 

Subject of outsourcing is not new for us and for India's growth story is just a wonderful celebration. Thanks to the growth India has experienced in ICT, financial services, R & D, etc., in the last decade is undoubtedly the best destinations for outsourcing work in the world.

 

Legal process outsourcing (famously known as the LPO) is today still a high tide in the raging sea of outsourcing, which means enough power to eliminate the fundamental nature of law as a practice and delivery of legal services worldwide. Customer needs and expectations of quantum quality of service seem to have diametrically stretched business processes and thus rewrite new impact in client relationship management. Those who witness these underlying movements will verify that the law as a practice tilts in its content, scope and criticality especially when the legal and non legal work in the guise of cost, quality and other strategic benefits of shipping out to different destinations. On the other hand, is the visible fear of losing control of the process, shrinking job profile and risking the quality of service concerns that frustrate lawyers and law firms in the U.S. and Britain from outsourcing work to countries like India.

 

Recognizing these requirements Bar Association, for example, in Florida, Los Angeles County, New York, North Carolina and San Diego County, there are few large jurisdictions have a framework of rules and views on ethical and practical considerations. It is noteworthy to understand that the rules of ethics and professional responsibility is delegated by the conventional courts of the State Bar Associations. The proposed consideration of any state bar may be enforced by state law in that particular state, but in the absence of existing statutes that courts in this case will look up to the Bar be it local or national for the necessary help.

 

The American Bar Association (popularly known as ABA), the largest voluntary professional membership organization in the world takes practical background of professional obligations and requirements of industry from time to time. Although the ABA Ethics Committee opinions are not binding but serves as an important guide and give yardsticks for dealing with questions about any ..

 

The landmark opinion issued last year by the Ethics Committee of the ABA and concepts such as competence, competent representation, the layman, client confidentiality, client consent, monitoring of non-lawyers, to avoid aiding non-lawyers in the unauthorized practice of law, commodity-work and so far, which have experienced different interpretations are discussed under a number of ideas proposed by the ABA.

 

The following pairs are some of the details summarized as thus serve as building blocks in the process of outsourcing legal work:

 

1. Liability: Lawyer may outsource legal or not legal advice, provided that the lawyer is ultimately responsible for providing competent legal services to the client, since lawyers also involves various parties (including both non-lawyers) in servicing clients 

  

2. Diligence: Ensuring the conduct of the service is compatible with professional obligations, especially for a remote offshore location. Key considerations are the reference checking / background investigations of lawyer or non-lawyer service providers / retailers, and if necessary, conduct the interview, educational background veterinarian visits, etc. 

  

3. Client Consent: Written confidentiality advised, however, depending on the level of supervision contemplated by the outsourcing lawyer to obtain informed client consent before engaging outside (offshore and onshore) assistance may be required 

 

4. Fees: Reasonability of fees is necessary. Permission to proceed to the customer the costs of using services including a reasonable allocation of associated overhead costs, without mark-up in some ways 

  

5. Gender: distinguish onshore outsourcing and offshore outsourcing, with the exception of the care and conducted background checks 

  

6. Offshore Regulatory Systems: the comparability of legal education in the U.S., professional regulatory systems incorporate the same basic ethical principles and effective disciplinary enforcement systems. Moreover, protection of legal system, or maintain client confidentiality and provide effective remedies to the lawyer's client to any disputes rising 

  

7. Practice Law: Each local Bar Association opinions addresses this issue and concludes that outsourcing of legal services, either offshore or onshore, is not an unauthorized practice of law since the ABA Ethics Committee noted that it has no authority to express an opinion on whether a particular service provider is to participate in the unauthorized practice of law 

  

8. Endorsement: Outsourcing is good for health of the profession itself

 

9. Catalysts: ABA is necessarily involved setting up clear guidelines are enormously helped make lawyers and attorneys in the U.S. to pursue outsourcing to significant benefits 

 

All these actions and considerations seem to create paradigm shifts in the business landscape legal process outsourcing. The larger question to be answered is whether outsourcing means of a professional lawyer in the U.S. to decide to entrust either his right, it is short or customer relationship with the Indian lawyer?

 

Notes and references

 

1. elaw Forum estimates the total cost of litigation to be $ 210b corresponding to one third of the after tax of Fortune 500 companies - The Metropolitan Corporate Counsel, Feb 08 




2. Currently only 3% of law firms in the U.S. and UK outsource their back-office work to India - Value notes july 09 - Value Note 




3. India revenues from legal services off shoring is doomed to grow from 146 million U.S. dollars for calendar year 2006 to reach 640 million U.S. dollars by the end of 2010 - Value Note 




4. The industry employed around 7,500 people in the legal off shoring space in India by the end of 2006. The number of staff expected to reach 32,000 by the end of 2010 - Value Note 




5. Estimates that the number of jobs outsourced legal services sector would grow to 35,000 in 2010 and up to 79,000 in 2015 - Forrester Research 




6. ABA Formal Op.08-451 (2008), N.Y.C Bar Assoc. Formal Op. 2006, San Diego County Bar Assoc. Up. 2007-01



7. Florida Ethics Op. 07-2; N. C State Bar, Formal Ethics Op.12, Calif. State Bar Assoc. Formal Op. 1994-138



8. Colorado Bar Assoc. Ethics Op. 1712 (same); IL adv. Up. 98-02


9. NEW C of Professional Responsibility (Code) - DR-1-104, DR3-102, DR4-101, DR5-105 & 107, DR-6-101, EC2-22, 6-EC3, EC4-2, EC4-5

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