Virtual Law Practice

Category: Economic Benefits

  • Client Portal Matrix

    Last week I gave a presentation with Chad Burton at the ABA LPM Spring meeting about the eLawyering Task Force‘s newest project, the Client Portal Matrix, formally titled as the “Comparative Evaluation of Web-based Practice Management Software with Client Portal Applications for Solos and Small Law Firms.” Donna Seyle, who did most of the work gathering data for the matrix, was unable to make the meeting so I filled in to discuss some of the practical uses of a client portal in law practice and the best practices and ethics issues that might come up.

    The matrix will be posted on the eLawyering website in the near future. It is a work in progress, but is already a useful tool and starting point for lawyers considering virtual practice. It was designed primarily for solo and small firm practitioners. The matrix focuses on cloud-based, SaaS solutions and specifically excludes the online client portals and tools provided by branded networks, such as Rocket Lawyer. The focus of this project was on client-facing technology so also excluded were systems that focused on other administrative tasks, such as time and billing, calendaring, or matter management among others. There are fourteen companies with client-facing features on the matrix so far.

    It makes me think back to eight years ago when I opened my solo virtual law office and co-founded the system that is now Total Attorney’s platform with client-facing features. At the time, there weren’t any SaaS options out there for a practitioner. Now there are choices and more most likely in the works. Expect to hear more clients asking their lawyers and firms for online access to their legal accounts. If you don’t have a client portal or any client facing features in the technology you use for your firm, you need to consider in the near future how you will add it to the mix. This is going to be the case whether you are delivering legal services online with a virtual law office or operating a traditional law firm without online delivery options. It’s about client access and good customer service which should apply in any firm structure.

    http://www.flickr.com/photos/surfstyle/
    http://www.flickr.com/photos/surfstyle/

  • WSJ Article Showcases Benefits of Fixed Fees, Virtual Law Practice

    Today’s Wall Street Journal has an article entitled Legal Advice…on a Budget featured in a special report section about small businesses.  The article discusses how some law firms are offering fixed fees and discounts for start-ups.  Firms that they profiled for the article report growth in small business clients who are attracted to the service. 

    The article mentions that some law firms will insist on these fixed fee services being conducted by phone rather than in the law office while others will require email.  The article lists some of the precautions of offering limited or unbundled legal services, but states “[s]ome entrepreneurs, however, say that they don’t mind, since they’ve gotten used to dealing with customers that way to save time.”    (more…)

  • Susskind Predicts: “Disaster Ahead for Lawyers Unwilling to Change”

    Richard Susskind, author of The End of Lawyers? Rethinking the Nature of Legal Services, has written a guest post for the Legal Rebels blog entitled “Disaster Ahead for Lawyers Unwilling to Change.”

    Susskind looks at changes in the profession as well as the impact that the economic recession has had on our clients.  He mentions disruptive technologies as another factor that will force legal professionals to find more innovative ways to provide legal services or face the consequences of losing their practices to the competition who will find ways to embrace the circumstances.  

    In my opinion, his arguments are supportive of virtual law practices.  A virtual law practice is a practical way for attorneys to meet the demands of the public for the online delivery of legal services while finding creative ways to collaborate with other attorneys, pool resources and streamline the delivery of legal services online. 

    Here is the comment that I posted to the article:  The changes are going to be consumer-driven. As the owner of a web-based virtual law office for going on almost four years, I have gotten significant feedback from the public indicating that they expect more affordable and accessible legal services from attorneys. The technology is available to allow legal professionals to step up and meet this consumer demand in a way that is ethical, avoids malpractice risks and provides quality legal services similar to what has been provided in a traditional brick & mortar practice. 

    I agree that in order to remain competitive attorneys will need to find ways to provide services to the public that acknowledges that most clients now have access to a wealth of legal information online.  We have to find responsible methods of educating the public that our services are important and that cutting and pasting sample online legal forms or going with cheap online forms without attorney review is not in their best interest.

    Attorneys should seize these changes as a great opportunity to revive the respect for the profession through innovation and entrepreneurship that serves the public as well as the legal professional. 

    If you are considering virtual law practice, whether as a solo or working with other attorneys to form a virtual law firm, you should read this article.  It’s definitely motivational.

  • Transitioning with a Virtual Law Practice

    Over the past couple weeks I have spoken with two or three attorneys who have been  laid off from their positions at large law firms.  A couple of them knew that the practices of their BigLaw firms were not sustainable in this economic environment and had the foresight to pad their savings.  Now they are considering opening virtual law practices as a way of transitioning from a large law practice into the next phase in their legal career.

    The trend of opening a virtual law practice as a method of career transition seems to  be growing.  Previously I had been working with attorneys who wanted to use a virtual law office (VLO) to generate additional online client revenue for their existing law practices or who wanted to go completely web-based for the flexibility and better work/life balance.  Transitioning with a virtual law practice is another use of the technology to consider.

    A VLO could be a great way of keeping an attorney’s resume up to date and allow them to continue practicing law while they transition from one phase of their legal career to the next or perhaps phase into retirement, taking only the online clients they want to continue to handle.  Maybe an attorney needs to move with their spouse to another state but  has yet to sit for another state’s bar exam.  They could continue to practice law of the state they are licensed in through a VLO while studying and moving to another jurisdiction.

    The technology is flexible so that conflicts of interest checks can be run against any previous law practice contacts and export features would allow an attorney to export the data contained in a VLO into another law practice management system once the attorney had completed the transition in their career.  If the transitional VLO took off, generating a steady online client base, then the attorney would have the option of keeping their virtual doors open and operating a completely  web-based VLO or adding it to whatever practice of law they join or open for themselves.

    Or an attorney transitioning into retirement and closing the doors to their traditional law practice might use a VLO to retain a select number of clients to work with on the side online while enjoying their retirement by traveling and not being tied down to a physical law office.  They could even use a VLO to transition out of a practice by using it to communicate and work online with their partners and associates in the traditional law office while they cruise around on a yacht or go hiking in the mountains.  As long as they could carry their iPhone or Blackberry around with them and get wireless access, they could transition gracefully out of the firm remotely.

    These are just a couple ideas about how to use a virtual law practice to transition through phases of a legal career.  I’ve written before about how both men and women in the legal profession could use a VLO to take time off to care for their families and transition in and out of a traditional law office using the technology for that purpose.  Let me know your thoughts on other ways that legal professionals could use a virtual law practice to transition between phases in their lives and careers.

  • Article Notes Rise in Virtual Law Firms

    Today’s Legal Technology section over at Law.com has an article about the increasing number of solo practitioners who are profiting from going virtual.  As I’ve blogged about in the fall of last year, operating a virtual law office is a great way for a solo or small law firm to compete in this difficult economy.  The general public, our clients, are seeking more affordable legal services and they want the convenience of using technology to acquire those services.  After all, being able to take care of your legal needs at 1am without having to take time off of work or arrange for child care saves money as much as a reduced legal fee.

    I have noticed an increase in my virtual law practice since last October and many of my online clients are forthright about why they decided to come to my VLO instead of going to a traditional law firm.  My clients are scattered across the state so at the same time that I am helping my clients, I am also helping my law practice by being able to expand my client base and compete with traditional solo practices in my state.

    Working with VLOTech to set up other attorneys with virtual law practices and seeing the increase in interest in the web-based technology assures me this is a trend that is not going anywhere anytime soon.  Check out some of the newest VLOs in my links to the right.

    The Law.com article talks about virtual law practices that communicate through email (usually unencrypted and not secure), phone and Internet but does not really give us the details on what technologies these virtual law practices are using.  The focus is also on collaboration virtually between attorneys rather than online attorney and client communication.  Let’s hope data security is a primary concern for these practices with whatever technologies they are using to deliver legal services.  Expect to see future articles that focus more on attorney/client online communication to deliver legal services online.

  • BigLaw Attorneys Taking to Virtual Law Practice

    The ABA Journal published an online article today about the progress that Virtual Law Partners (VLP) has made in recruiting attorneys from large law firms.  One of the reasons for the growth is the downturn in the economy and large law firm layoffs.  The beneficial reasons cited for the move to a virtual law firm by the former BigLaw attorney include having to put in fewer billable hours for the same return in client revenue and he was able to take with him the majority of his clients and continue to work with them remotely.

    VLP has an interesting structure for a virtual law practice because each attorney in the virtual firm works independently, but all of the attorneys pool resources as a single network.  I’m not clear on the actual technology and security they use to work remotely with each other or with their clients.  However, it will be interesting to see how their network holds up as it continues to grow and add attorneys.

    From their example, solos and small firms can see the benefits of practicing law online and how this option can be available for an attorney who may never have been interested in working for a large large firm.  It does not take the infrastructure of a brick and mortar law office with a huge staff and a fortune in marketing and advertising to be able to provide quality legal services to the public online.  As the way of the future, virtual law practice will allow the solo practitioner and small firm to really compete on the same level and to form the same online and social networks as attorneys who formerly worked for BigLaw.  It’s already happening on a small level and will continue to grow as the technology remains affordable and allows for increased attorney collaboration.  The playing field is leveling off.

  • Unbundling Legal Services in a Virtual Law Practice Benefits the Public

    More middle income Americans are choosing to handle their legal matters themselves because they cannot afford to hire a traditional attorney.  The International Herald Tribune reported this growing trend in an article last week.  The downturn of the economy has made the cost of traditional full-service law firms unavailable for many Americans.  In order to resolve their legal matters, many middle income individuals are turning to self representation.  

    What does this mean for the justice system?

    The increase in numbers of pro se litigants has begun to burden court administrations on different levels.  While court clerks and other assistants are not permitted to provide legal advice to pro se litigants who come to the courthouse seeking free legal guidance, these administrators are obligated to provide pro se litigants with the necessary legal forms and procedures that they will need to proceed with their case.  When the instructions on these legal forms are not followed, court administrators must then go through additional work contacting the pro se litigants to rework the legal forms or assist them with scheduling court dates. 

    Once inside the courtroom, judges are burdened by the increased number of unassisted pro se litigants when they are obliged to provide basic directions to the pro se litigants regarding standard courtroom procedures.  Attorneys who find themselves standing opposite a pro se litigant when presenting a matter to the court must exercise patience.  They may find themselves rewording their statements so that the pro se litigant will understand the issues.  Overall, the case may take more time and become more expensive than it would have been if handled by legal professionals. 

    Unbundling Legal Services Provides A Practical Solution

    There is a high demand for affordable and accessible legal services to fill in the gap between full, traditional legal representation and unassisted, pro se representation.  Unbundled legal services may provide individuals with an affordable option.  By retaining an attorney for assistance in filling out legal forms and for basic guidance on the legal process, the individual who would otherwise be a pro se litigant is assisted to the level where he or she is not as much of a burden on the court administration and other legal professionals he or she encounters in the legal system. 

    Many Americans who are searching for an affordable solution to legal services are turning to online companies like LegalZoom for form-generated legal documents. However, these legal documents and kits for sale are not actually reviewed by an attorney nor is the individual legal situation of the online consumer evaluated by a legal professional before he or she purchases the legal product.  A worse trend is that many members of the public are finding samples of legal documents online and attempting to revise these documents on their own without any legal guidance. 

    Web-Based VLOs Provide a Higher Quality of Unbundled Legal Services

    Web-based virtual law practices can provide the public with unbundled legal services that include more personalized attention to individual legal matters.  Attorneys operating a VLO communicate directly with their clients securely online.  Because of the low overhead associated with running a VLO, the attorney may pass on his or her savings to provide unbundled legal services at a more affordable price than traditional legal services.  Clients may acquire the quality legal assistance they can afford so that they may perform the footwork at the courthouse themselves.  

    As with any prospective client that walks through a physical law office, it is the responsibility of the attorney running the VLO to evaluate each online client on a case by case basis.  If the prospective client’s unique situation requires full-service representation, then the attorney must either meet with the client in person for additional legal assistance or refer the client to another attorney. 

    Given the continuing rise of pro se litigants across the country, an attorney operating a VLO and offering unbundled legal services provides a much needed option in the delivery of legal services to the public.  He or she may provide unbundled legal services online through a VLO either as the sole form of legal services offered or as an addition to a full-service law firm.  In addition, an attorney launching a VLO taps into a vast and growing consumer market that can be served using secure technology that does not raise the attorney’s law practice overhead.

    As more state bars continue to revise their rules of professional conduct and ethics decisions to address the use of technology in the practice of law, legal professionals who understand the importance of using technology to deliver legal services online will need to step forward to educate and defend the critical need for this as an option to provide affordable and convenient legal services to lower and middle income Americans.  A VLO providing unbundled legal services is a practical solution that serves both the public and the legal profession.

  • Taking Advantage of the Economic Downturn

    Attorneys considering opening a virtual law practice should take a look at Susan Cartier Liebel’s recent blog post “Is Now The Perfect Time To Start Your Solo Practice?”  The post is motivational and gives great examples of why and how attorneys may make the most of the economic downturn to create innovative law practices. 

    Along those lines, I just finished writing a post on the VLOTech blog about how web-based virtual law offices are the ideal way for a solo or small firm practitioner to turn a bad situation into a growing law practice.  From low overhead to providing more cost-effective and efficient services, VLOs are a great way to serve clients who are seeking out convenient and affordable legal assistance.  This is also a good way to build client loyalty and grow your virtual practice through referrals.

    I’ve seen an increase in my virtual law practice client base since this summer.  Many of my clients, especially the estate planning clients with families, are very upfront with me.  They can’t afford a traditional law practice.  They can’t take the time off work to go in for multiple appointments in a law office.  Or they don’t want the added cost of paying for child care while they meet with a paralegal or attorney in person.  They need flexibility in payment methods and the ability to pay online with a credit card or through Paypal.  They need to be able to work with me online on their own time even if that is at 1:00am in the morning. 

    How do I think attorneys can take advantage of the economic downturn?  Respectfully understand your clients’ economic concerns and give them what they need in this difficult time.  With my web-based VLO, I have more flexibility in my practice and it doesn’t hurt my bottom line.  Efficient and affordable customer service will create client loyalty that will continue in good times and grow your virtual law practice over the years.

  • Work/Life Balance Reform and the Virtual Law Office

    The following is a post I wrote for MsJD about how a virtual law practice could be used as a way to provide attorneys with more flexible work/life balance. The essay was in response to an essay contest hosted by The Project for Attorney Retention and MsJD.

    Stephanie Kimbro, Kimbro Legal Services A small part of the work/life balance reform in the legal profession is taking place quietly through the use of secure, web-based technology. Virtual law offices provide an alternative method of practicing law that permit flexible work hours and can be used to create a better work/life balance for legal professionals. I chose this alternative and for the past two and a half years I have practiced law from home with a completely virtual law office powered by Virtual Law Office Technology, LLC (VLOTech).

    In the interest of full disclosure, VLOTech is a company that my husband and I founded based on the positive response we received from other legal professionals nationwide to the concept of a completely virtual law office and the flexibility it offers. The technology is a secure, web-based, software as a service (SaaS) hosted program that generates online client development and permits an attorney to practice law anywhere he or she may access the Internet. The technology assists legal professionals so that they may build a better work/life balance for themselves by modifying their practice to fit personal and family needs.

    Finding a better work/life balance was my motivation to start a completely virtual law practice. I chose to practice law from home so that I could spend my days caring for my young child but still continue to build my career as an attorney. To provide a brief description of my virtual office, my client files, data, billing, invoices, accounts receivable, other accounting and administrative tools, calendars and data management tools are located in the backend of the virtual office online. I have a central point in the virtual law office where all of my cases are organized and it shows me the status and priority for better time management.

    On my client’s side, they have access to their own homepages through my virtual law office where they may view all of our online communications, pay me online, download and upload documents, and update client data, among other features. I have 24 hour policy of responding to my clients online. My clients are located across the state, most of them I’ve never met or spoken with in person. My flexible work hours include the time during my child’s nap, in the early morning and evenings or whenever else it is convenient for me and my clients to get work completed. My clients appreciate that I am available to them during non-business hours because that is often more convenient for them as well.

    Through the use of VLOTech, blogs and other web-based technologies, the legal professional today may create alternative working arrangements that can be adjusted and refined as circumstances in his or her personal life require. I have used these to fashion a work/life balance that meets my current needs as a parent, a wife, a daughter and an attorney. I have found wonderful mentors online through law blogs, the ABA’s Solosez and my state bar’s practice group listservs. In five years from now, my work and family life needs will be different, but an effective use of web-based technology will allow me to adjust the hours which I devote to my law practice and return to a more traditional attorney work schedule.

    Many baby boomer law partners will realize the importance of work/family life balance as they begin to care for their aging and elderly parents. At some point in our lives, most of us will be contributing to the care of a family member, either financially or with our time and either by chose or imposition. Legal professionals of both sexes are not immune to this fact of life. Recognizing this, rather than fighting against it, would benefit the legal profession with both higher retention rates among young attorneys and with peers who were less vulnerable to depression and alcohol abuse.

    Other attorneys who are adopting these technologies in their law practices have seen the potential for the virtual law office concept to reform the work/life balance in the legal profession. Its usefulness is not limited to young female attorneys who want to take the time out to raise a family and continue to have a career. The technology could be used by more experienced attorneys who need to take a couple months or a year off from a firm to care for an elderly parent or ill spouse. Apply the same concept to legal assistants and paralegals who could use the technology from their homes or other remote location in conjunction with a traditional law office and continue to be productive members to their employers while managing law office administrative tasks, client intake, accounting and other functions found in the virtual law office software. The web-based technology permits the attorney to control his or her law practice in a more flexible manner that maintains productivity and makes the management of clients and a law office more efficient.

    VLOTech and other web based, software as a service technologies that are available today should be put to work to help the legal profession reform the work/life balance. If the level of productivity remains high, quality legal work is produced and client development is strong, then there should be no reason why virtual law office technology should not be considered to implement a better work/life balance and improve attorney retention.

    The crux of the divide between baby boomer attorneys and fresh law school graduates is not about “putting in the time.” It’s about letting someone else other than your law firm control how you allocate your time and prioritize the people in your life. Technology is quietly allowing legal professionals to arrange their lives and their careers so that at different times in their lives they may adjust to meet a careful balance that changes a little for each of us, each year of our lives. I’m excited to be a part of this quiet reform and I hope that it continues to spread and provide more unique law practice alternatives for the members of our profession.

  • In a Slowing Economy – Benefits of A Virtual Law Practice

    Kevin O’Keefe over at Real Lawyers Have Blogs summarized Dennis Kennedy’s suggestions for how attorneys can cut costs in the slowing economy.

    At the top of the list was find technology that cuts costs for your law practice. Maybe it should also read: cut out the legal software that was supposed to save you time. Instead, find a more efficient way to accomplish the same law practice management and client development tasks by looking at technologies that other businesses besides attorneys are using to cut costs and raise client revenue.

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