Law firms face significant data security threats. But there’s good news for law firms on data security. When firms are serious about their data safeguards and take concrete steps to strengthen their security profile, they better position themselves for higher revenue, lower and better-controlled expenses, and stronger client relationships.
As always, context matters. The legal services industry has changed dramatically in the last decade, with private practice law firms facing (a) increased competition from nontraditional providers and technology-driven service models; (b) the Internet-driven dissolving of historic barriers to remote service delivery; (c) the post-recession tightening in companies’ outside legal spend; (d) the shift of work to in-house legal staff; (e) the ongoing consolidation of client work in fewer, preferred law firms with geographic bench-strength or industry/specialty focus; and (f) the resulting pressure on mid-sized firms to scale/merge up or specialize/boutique down. There’s no viable “let’s simply wait it out” option in the face of these trends. In short, it’s now a far more competitive world for attracting and retaining clients. There will continue to be winners and losers, but now the margin of difference is more slim.
And this is the “there must be a pony in here somewhere” epiphany – in this highly competitive environment, strategic improvement in a law firm’s data security posture can, more than ever before, make a huge difference.
Here are three examples of how better data security is a strategic win for law firms:
Continue Reading Good news on law firm data security
It all seemed so routine, so straightforward. The case was settled, with a $500,000 payment to be made to the approved settlement administrator. The law firm received an email from the administrator with wire transfer directions, and the settlement funds were sent per the instructions. Just one problem – the email didn’t come from the administrator, the receiving bank was not the right bank, and the half million dollars evaporated. Poof – gone in an instant.
Sometimes one needs to zoom in to understand the big picture. This year we’ll continue to explore Information Governance, but through the lens of a particular industry segment – law firms – and a particular focus – data security.
How time flies. Seventeen years ago, I went to work for a small, visionary company based in Seattle—Computer Forensics, Inc. Indeed, the founder was so early in the e-discovery and forensics industry that our URL was forensics.com. Laptop drives typically had 8 GB of storage, and servers were more often than not simply a bigger box that sat in a closet.
Our firm’s elephant icon is a nod to 
It’s a common nightmare. As you toss and turn in bed, you picture yourself on a strange playing field with other athletes swirling around you. You have absolutely no idea what sport you are playing, nor a clue what the rules are. it’s not only embarrassing – it’s downright dangerous.
Facebook this week announced its new social media application targeted at children, 
It’s 4:20 p.m. on Friday. You’re looking forward to meeting your friends soon for happy hour at the local bar. Your boss is on vacation, and you’re caught up for the week. All is well. As you take one last look at your email, you see a message has just arrived from one of your suppliers – marked URGENT. The supplier is ranting about why you didn’t send payment for last month’s invoice to the right bank account. They’ve contacted your boss, who they say was irate at being disturbed while in Madrid on vacation, and who told them to contact you personally for immediate resolution. They helpfully provide the correct bank routing information and demand the payment be made today. Your authority for wire transfers ($1M) will easily cover the request for $250,000, with change. The invoice amount sounds about right, you know the supplier, your boss is already upset, it’s Friday, and so you wire the funds.
The aftermath of the Equifax breach continues. First, the Ugly: