Why E-Billing Systems May Not Work for Everyone

Let me start by saying that I am a supporter of using an e-billing system for reviewing legal bills. I stated as such in an article I wrote for Claims magazine on evaluating e-billing systems.   For large insurers, I am convinced that e-billing systems are indispensable and very cost effective.

For smaller insurers, though, I have become just as convinced that e-billing systems are generally not very cost effective.  One big reason is that many smaller insurers lack the staff and resources of their much larger competitors to properly evaluate the myriad of reporting information.  This reporting information is the hallmark of e-billing systems for which insurers pay for whether or not they use this avalanche of information.  Thus, smaller insurers wind up paying for a flashy, but costly part of an e-billing system that they do not or cannot use. Continue reading

Whether Attorney-Client Privilege is Being Waived Often Depends on Just Whose Ox is Being Gored

“Has anyone looked into the potential for a waiver of attorney client privilidge when an attorney’s fee statement is sent to an outside vendor for review?”  Comment on CLM Alliance LinkedIn Discussion Group.

Last year in a blog post entitled Outsourced Legal Work = Outsized Law Firm Profits I noted that just like corporate America is doing, more law firms also are turning to outsourcing.  Just as it does for corporations, outsourcing may enable law firms to make a profit in these difficult economic times.

The scope of law firm outsourcing runs the gambit of services traditionally performed by firm employees.  In my prior post, I noted that one mid-sized firm I know of has turned over their in-house photocopying center and their on-site document storage rooms to a vendor to operate.   Note that these are not “contract” or “temporary” employees that law firms often hire who work under the direct control of an attorney supervisor.  Rather, these are vendor employees who are embedded within the firm and are under the direct control of the vendor’s on-site manager.   The vendor’s employees are given client documents to copy, file, or retrieve just like the law firm’s own employees used to do. Continue reading