We explore how legaltech changes the way in which lawyers work with their clients
Legal technology has the potential to fundamentally change the relationship between lawyers and their clients. The pandemic radically altered how lawyers and clients communicate, breaking down some of the traditional barriers and increasing collaboration. Now, almost three years on, this shift looks set to be permanent. In this article, we look at four ways in which legaltech impacts the client-lawyer relationship.
How does legaltech impact the client-lawyer relationship?
1) Improved communication
Legaltech offers tools for easy communication and collaboration between deal participants. The convenience of using central platforms, that are accessible by everyone, cuts out a significant amount of admin in keeping up with email chains and sending reminders for parties to action items assigned to them. It also offers at-a-glance visibility of a transaction’s status.
“Legatics saved time that would have been otherwise spent on sending emails and documents back and forth.” Corporate and M&A Partner, Morais Leitão
Legal projects can be complex and long-running. The work that lawyers are doing behind-the-scenes may also be something of a mystery for their clients. Creating a collaborative space in which clients can access updates and see the progress of a legal transaction in real time can eliminate this point of tension and build client trust. It also enables clients to become better informed about the steps a legal project goes through, without the need for regular (and, at times, lengthy) phone calls and emails.
3) Being seen as forward-thinking
Law firms that effectively adopt legaltech into their working practices are generally seen as innovators. Today’s legal clients are more reliant on technology than ever before and expect the same 24/7 access to information as they receive elsewhere. Many clients will therefore view working with forward-thinking law firms as advantageous and will recognise the value that technology adds to the service they receive. As a result, they’ll choose forward-thinking firms over more traditional ones, in turn giving these firms a distinct competitive advantage.
4) Aligning with client needs
Corporate legal departments typically invest in technological solutions that allow them to complete their work with greater efficiency. They also expect the law firms they partner with to have tools that rival their own. It’s therefore in the interest of law firms to position themselves as technologically-competent business partners that can seamlessly adapt to their client’s needs. Using technology also offers an element of scalability by automating tasks that were previously done manually, allowing even medium-sized firms to increase their output and improve their turnaround.
The role of legaltech in the future
As with any other business, law firms rely on their clients – keeping them happy, retaining them and expanding their client base is therefore essential. The role of technology in this is only likely to grow in the future, presenting a risk for the firms that lag behind when it comes to innovation.
In the absence of adopting legaltech, there will be an impact on efficiency, communication and turnaround. This will gradually have a negative effect on late or non-adopters. Having technology in place also has a positive impact on lawyers, removing the burden of manual tasks and leaving them more time for strategic work, thereby improving job satisfaction.
We’d love to show you how Legatics can help your firm work more effectively with clients. To find out more, book a demo with our knowledgeable product team!