It’s no secret that many sectors are facing severe wage inflation with many locked in ongoing battles to retain their best staff. Indeed, as the economy begins to open up as Omicron-related restrictions are eased, many legal firms in particular are facing a backlog of...
What is Legal Data?
Legal data is information classified as regarding law and is generated from multiple formats including time recording, knowledge banks, spreadsheets, legal documents, billing systems and more. This data is used in all areas of practice law. It is believed that the data represents a £3billion market opportunity in productivity gains alone for the legal sector.
Previous studies have shown:
- 20% of lawyers believe their organisation captures data effectively
- 80% of General Counsels are not confident in their departments’ ability to identify and manage legal risk
What is the Legal Data Vision?
LawtechUK have recently launched a project called The Legal Data Vision which is supported by the Open Data Institute. The Legal Data Vision has been created to try and take full advantage of the opportunities that data can provide in vital areas such as decision-making, innovation, value generation, risk mitigation, and efficiency. The aim of the Legal Data Vision is to prioritise the responsible use and access of legal data to benefit the legal sector as a whole. However, the full potential of this project cannot be unlocked unless there is a unified effort across the legal data ecosystem. A unified effort into the Legal Data Vision will result in a greater innovation and a more sustainable legal sector that will elevate public trust.
Why should my firm get involved with the Legal Data Vision?
Traditional legal data collecting methods used in the recent past are no longer considered an effective method of working in the 21st century. The amount of data now available is constantly growing and legal firms are currently operating within constraints of increasing complexity, oversight, uncertainty and scrutiny. Many professionals operating in the legal sector have now recognised the importance of legal data to better meet their client’s needs and support innovation.
Implementing and having shared access to legal data can improve efficiency, productivity, and transparency. Data-led innovation can also help identify new business models, revenue lines and assist with addressing unmet and excluded legal needs. A legal data ecosystem which is strong and trustworthy with widespread access can be pivotal in helping legal firms make better decisions.
If professionals within the sector want to unlock the full value of data, then a unified commitment will be needed to treat data as an asset to increase capture rates. It is important to note that the overall goal is not for firms or professionals to exploit data. Instead, it should be seen as a valuable resource that will drive innovation and help deliver positive outcomes for legal services. If legal professionals commit and adhere to responsible data sharing, then this should benefit the productivity of the sector as a whole.
How can my firm get involved with the Legal Data Vision?
Within the Legal Data Vision is a framework that outlines how individuals operating within the legal sector can contribute in their own way to help achieve this vision.
How can we help?
Hawsons is one of the few accountancy practices with a dedicated team of solicitor accountants specialising in the needs of solicitors and legal professionals.
We act for a large number of law firms across all three of our offices and offer a wide range of services which are tailored to meet their individual needs. Our legal client base consists of a multitude of firms of varying structure and size, from sole traders to limited companies and LLPs with corporate members.
Our understanding of the unique issues that many in the sector are facing, combined with our technical experience, allows our solicitor specialists to provide you with proactive, commercial and informed accountancy and tax advice.
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