Technology in M&A Practice – Helping Lawyers Distill the Signals from the Noise

In the fast-paced world of modern law, new technolo­gy is constantly emerging, vying for our attention both professionally and personally. From breakthrough soft­ware to rapid advancements in artificial intelligence, we are inundated with news of innovation. This was not always the case. A decade ago, there were only a few dozen legal technology providers. Today there are literally thousands of legal technology tools out there, with new ones launching weekly. While change un­folds at a breathtaking rate, it is crucial to discern valu­able developments from mere hype — deciphering the genuine signals from the incessant noise.

Lawyers take great pride in meticulous craftsmanship. Delivering high-quality, effective service in a timely manner is not merely a goal; it is essential. Today, there is an increasing expectation that such services are also provided in an efficient manner and, in some cases, along with a better client experience. To meet and ex­ceed these standards, law firms are compelled to stay on top of technological advancements. Not only do clients increasingly expect it, but it is also an impor­tant factor for attracting and retaining the best talent. A firm falling behind on tech adoption risks obsoles­cence, as competitors are quick to leverage new tools to gain an advantage.

Yet, key questions remain: Which tech tools genu­inely enhance legal practice, and which ones fit for a particular purpose? Identifying the right tools for your firm requires understanding how they integrate with existing practices, gauging the opinions of fellow law­yers, and weighing the costs involved. The correspond­ing change management lift should also be assessed and not underestimated – spend without an adoption plan often results in failed innovation, regardless of how magnificent the tech might be. These consider­ations are essential for making informed decisions.

To help legal professionals with these challenges, the Technology in M&A Subcommittee of the American Bar Association Business Law Section’s Mergers and Ac­quisitions Committee has stepped forward. Our mem­bers have been actively exploring ways to facilitate a better understanding of available technology for law­yers. Our efforts have led to the release of an updated Directory of M&A Technology, which now boasts over 130 tools identified by committee members as helpful to the practice of M&A.

In addition, our subcommittee is eager to identify which technologies are being adopted by M&A prac­titioners and to what extent. Which tools are proving beneficial, and which fall short? In what ways are these technologies being applied to M&A (and transactional) practice? To gather insights, we launched a brief sur­vey, independent of any legal tech vendor, inviting feedback from ABA Business Law Section members. Your participation is invaluable. We urge you to share your experiences: What enhances your practice, what does not, and why?

It is worth noting how technology has significantly altered law firm expenditure patterns. Not long ago, professional and staff compensation dominated bud­gets, followed by office space costs. That has changed. Technology now often ranks as the second-highest ex­pense. Perhaps this shift underscores the diminished importance of physical office space, thanks in part to the rise of virtual firms and the adoption of remote work arrangements. Or perhaps it is another indication of the rising cost attributed to tech. Regardless, these trends further highlight the constant presence of tech­nology in our professional lives.

Staying informed and making smart, cost-effective technology investments have never been more impor­tant. Your insights shared through the survey will help shape our use and understanding of legal tech. We ea­gerly anticipate sharing the results and providing fu­ture updates to the directory.