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A BEGRUDGING ACCEPTANCE OR SIMPLY AN EVOLUTION OF BUSINESS PRACTICES IN THE LEGAL PROFESSION? THE RISE OF LEGAL PROCESS OUTSOURCING (LPO) HAS POLARISED OPINIONS IN THE LEGAL PROFESSION AND HAS STIRRED CONTROVERSY.
From small beginnings, the expansion of LPO has been too hard to ignore for many corporate legal departments and law fi rms looking to improve the effi ciency of their operations. While many practitioners have sworn by the effi ciency gains the practice has given them, there is also a large element in the legal fraternity that remains skeptical and cautious about the use of LPO.
Law Society of England and Wales fi gures reveal [that] the LPO market is globally worth about US$440 million—an increase of almost 50 per cent since 2008. While the topic of LPO remains one of controversy in the profession, there’s an undeniable trend towards greater use of its services, which is refl ected in its exponential growth.
There have been calls for greater regulation of the industry with grey areas such as confi dentiality and security of client information
and ethical concerns being raised as key issues needing to be addressed.
The Law Council of Australia supports the concept of developing a uniform national approach to the issue of LPO and its Professional Ethics Committee is currently working on the myriad of issues that arise from the practice.
“The Law Council accepts the real benefi ts that fl ow to the profession from LPO and is therefore supportive of practitioners engaging in the practice,” said Law Council President Ms Catherine Gale on the issue of LPO. “Like all businesses, law fi rms need to be wary of recent trends in business practice development and take considered steps to ensure the practice is properly implemented and overseen and their ethical obligations remain front and centre stage at all times.”
In October the Legal Practice Section of the Law Council of Australia will be hosting a World
MAR–MAY 2012
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