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Legal outsourcing, also known as legal process outsourcing (LPO) refers to the practice of a law firm or corporation obtaining legal support services from an outside law firm or legal support services company (LPO provider). When the LPO provider is based in another country, the practice is called off shoring and involves the practice of outsourcing any activity except those where personal presence or contact is required, e.g. appearances in court and face-to-face negotiations. When the LPO provider is based in the same country, the practice of outsourcing includes agency work and other services requiring a physical presence, such as court appearances. This process is one of the incidents of the larger movement towards outsourcing. The most commonly offered services have been agency work, document review, legal research and writing, drafting of pleadings and briefs, and patent services.
The concept of legal process outsourcing is based on the division of labour principle, prevalent in law firms, where various time consuming and onerous processes like due diligence are delegated to paralegals, document reviewers or interns. This allows the firm to address the various legal issues that arise on a daily basis while being able to streamline productivity. The process involves a contract, with due consideration, between both firms. The following are the various methods by which the process could be initiated:
Direct Contract – This is the most straight forward means of establishing contact.
The firm needing legal services directly approaches the legal process outsourcing vendor.
Managed Outsourcing – This is a case where the firm establishes contact with a legal process outsourcing vendor and retains a traditional law firm to coordinate the vendor's activities and to ensure quality control.
Required Outsourcing – This form of outsourcing occurs when the firm mandates a certain level of outsourcing in the legal process, either to reduce costs or to fulfill statutory requirements.
Multi-sourcing – This involves segregating the work assigned to LPO providers in order to reduce risk and take advantage of each provider's strengths.
This approach is helpful is cases where expertise is required on matters of jurisdiction and merits
Having more than one provider "on deck" also allows a service recipient to obtain more favorable pricing.
Successfully managing multiple, competing providers requires strong and effective governance procedures
On the other hand, multi-sourcing can be more complicated than other approaches.
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Tanya Gendelman, Esq.
"Nomosots currently provides services to our firm in the areas of Legal Operation Management, Marketing and Technology services. I would like to thank Nomosots.us and their entire team for their excellent quality of work and for making our office more profitable. Nomosots provide very effective services that significantly reduce our operational expenses and help us meets our clients' deadlines."
"In spite of setbacks, the LPO industry has seen growth of about 40-60% in the last year.Although some areas of practice, such as real estate, have drastically collapsed due to the recession, some areas such as litigation, document review, and corporate compliance have gained ground, resulting in business directed to Nomosots and its associates