As technology takes over the globe, the legal sector is well aware of its power. Even the
larger, more established businesses are moving forward with the adoption of technology in
significant ways. However, not all of these initiatives are successful. Automating legal
administrative tasks and manual labour is essential for modern law firms to save costs and
develop a productive, cutting-edge, and client-focused practise.
Let us take a practical look at what a Contract Lifecycle Management (CLM) is, why law firms
ought to utilise one, what kinds of document management systems are available for law firms,
and how to choose the best one.
Even while utilising a document management system may tremendously assist all organisations,
specific issues with law firm document management can only be resolved by a legal document
management system. Attorney-client confidentiality can be jeopardised when other businesses
can get off to a cheap start with shared cloud-based file storage and email system, thus a
legal firm cannot use it.
Numerous confidentiality and privacy laws that govern how these papers should be handled,
accessed, and preserved place a significant burden on almost all legal firms.
➔ Complete transparency:
One of the main responsibilities of in-house counsel is to keep a record of all contracts.
Nonetheless, they are human, and their effectiveness in managing each contract has a
ceiling. It's nearly difficult for any in-house lawyer to keep track of the current state of
multitudes of ongoing contracts. However, neglecting to do so exposes you to legal and
commercial consequences. As a result, every legal team needs CLM software to analyse terms,
reduce risks, manage progress, and reviewal dates, and have a 360-degree perspective of each
contract.
➔ Increased efficiency and reduced responsibilities
Many of the contracts in a firm are routine and simple enough for non-legal teams to handle.
Non-legal departments like HR and Sales may generate simple everyday contracts like Employee
Agreements and invoices on their own using CLM systems, which give a wide selection of
contract templates. Internal teams will no longer have to rely on legal teams to produce
small contract agreements, freeing up time for the legal team to engage in higher-level
legal and strategic operations. It will assist in-house counsel in better understanding the
firm's needs and objectives. Furthermore, in-house counsels can review current contracts,
assess the strategy of other legal teams, and limit risks.
➔ Streamlined Collaboration:
In-house counsels may stop bouncing between communications and third-party software to
evaluate or negotiate contracts with internal teams and counterparties, thanks to built-in
CLM capabilities for encrypted inter-and intra-team interaction.
➔ Approvals in a reasonable timeframe:
Contracts must be steered via several departments, which necessitates cooperation between
the legal and other teams. With CLM technologies, in-house counsel may engage with internal
teams with simplicity and efficiency. It automates the contract preparation and regulatory
approval, removing the need for in-house counsels to go between departments to execute
contracts.
➔ Credible Storage-retrieval tools:
The amount of data generated by contracts is enormous, necessitating the use of a
sophisticated database. Manual contract administration is prone to issues such as loss,
fraud, data breach, significant damage, and so on, adding to the legal team's already heavy
task of having to resubmit the same papers. Stocking and refiling paper-based contracts
consume both time and expense. In-house counsels, on the other hand, may utilise CLM
software's cloud storage and powerful search criteria to quickly obtain desired
contracts-documents, avoiding the pain of trawling through hundreds of other papers. Cloud
storage provides a safe sanctuary for all of the legal team's contracts, allowing only
authorised individuals to view them.
Get on top of your Contracts
In addition to assisting with document storage and organisation, a CLM tool for legal firms also automatically monitors any related metadata, such as the case number, client, opposing counsels, etc. This ensures that all pertinent information is current and always available. It has the potential to dramatically alleviate their discomfort. With CLM technologies, in-house counsel may provide more lucrative solutions than just handling legal concerns. With the increased demand for in-house counsel who can work quickly and proactively, it's past time for businesses to embrace CLM technologies.
Legal teams can effortlessly migrate from manual to automated contract procedures with one-stop-CLM solutions - #Manucontract. Want to know how? Book a free trial or request a demo with #Manucontract today!
