In this article five law firm leaders share their experiences managing and, in some instances, starting virtual law firms. They are Cathryn Chinn, CEO of VLP Law Group LLP (VLP) in San Francisco; Cynthia Flynn, managing partner of Hackler Flynn & Associates (HF) in Monterey Park, California; Grant Walsh, co-founder and co-managing partner of Culhane Meadows PLLC (CM) in Dallas; Brooke Moore, founder and president of MyVirtual.Lawyer (MVL) in Little Rock, Arkansas; and Joel Ferdinand, general counsel and managing partner of litigation of FisherBroyles, LLP (FB) in Atlanta.
June 08, 2021 Law Practice Management
Virtual Is the New Law Firm Reality
Marcia Watson Wasserman
Law Practice magazine (LP): How does your firm handle legal and administrative workflow—for example, people, systems, procedures, and collaboration software?
Flynn: Each case is assigned to one attorney. We use Lexicata and Clio. We have a firm-wide calendar meeting once a week. All mail that comes in is scanned and sent to the paralegals for review and distribution. All mail that goes out goes out by one of them.
Walsh: CM implements technology that fosters and sustains Big Law–style collaborative relationships among partners at a much lower cost. Data security is also a top priority. Intermedia provides hosting services for e-mail. The firm uses Worldox for central document management, the SecuriSync file-sharing portal for secure collaboration on documents with clients and partners, and Skype for Business for videocalls between partners and to share screens while collaborating on documents. The firm also has an internal, secure instant-messaging system for immediate communications or to exchange notes with remote partners during a multi-person conference call.
Moore: We heavily rely on technology to operate and expand our practice. Potential clients will sign up for a 30-minute phone consultation by either calling our virtual reception service (TeleDirect) or signing up on our calendar (Acuity Scheduling) directly from our website. After the consultation, if the person becomes a client, we set up him or her in our law practice management client portal (PracticePanther), and from there, we communicate, share documents (Box), and receive payments (LawPay) through the client portal for the duration of our retained service. We also use ArmorText, an encrypted messaging and management tool, to communicate, collaborate, and share resources internally with our team. Videoconferencing is our preferred choice for video meetings and trainings.
LP: What type of office space does your firm use?
Chinn: We have no brick-and-mortar office. Each attorney is responsible for his or her own work environment. Administrative staff works from home. Individual attorneys meet with their own clients as needed, often at the client’s office or for a meal or coffee. We have regular biweekly firm teleconference calls via videoconference. Practice groups, staff, and various committees have monthly or biweekly conference calls as well. Teleconferencing is generally the way our firm keeps in touch.
Flynn: Our Los Angeles office rents space from a manufacturing company; we have office space and use of the conference room. Our Irvine office is an executive suite. We find that, in representing busy business owners, we can do just about everything via e-mail, phone calls, and videoconference calls.
Moore: Our firm is 100 percent virtual. Our firm is entirely transactional, even for litigation-based practice areas. Our limited-scope representation services delegate administrative tasks to the client while we handle the transactional legal components of their case, so in-person interactions are not necessary. We meet with clients initially via phone or videoconferencing. Once a client is set up in our client portal, the client has direct access to the attorney through the messaging feature. All further communication and correspondence happen there. We do have a UPS box mailing address that provides a physical street address for business mailings or listings and to appease Google’s algorithms.
LP: Any final words of wisdom for lawyers contemplating setting up their own virtual law firms?
Chinn: You have to work at it to get it right. But if you take the leap—and eliminate or reduce your commute and overhead—practicing law in a virtual firm can be extremely rewarding—professionally and personally.
Flynn: When you have employees working from home, make sure they are well vetted and that you can trust them. Set expectations early and have key performance indicators for everyone.
Walsh: Despite the myth of simplicity in launching a virtual or cloud-based law firm, the learning curve is steep. We did not want to be just a website representing a bunch of free-floating solo practitioners or hide our financials behind layers of secrecy. We built a real, cloud-based law firm of partners committed to the firm’s success through full transparency and a culture of collaboration. Key to anyone considering starting a firm is to invest in doing everything the right way—do not skimp on security protocols that protect client records, and invest necessary resources to fully comply with the professional ethical and multijurisdictional tax obligations of a national practice.
Moore: A big mistake I see attorneys making is taking a traditional law firm model mind-set and applying it to a virtual law firm model. This tends to limit the growth and potential that come along with fully embracing a virtual law firm model. Along with that often comes unnecessary overhead. Be lean and resourceful in your financial investments. Go all in on technology and regularly review that technology to make sure the tools you use are the best fit for your firm and your clients. Also, spend the time up front to learn your software so you can utilize it to the fullest, automate where you can, and create workflows. Make sure to review all the policies, terms, and conditions of your software providers. Being legally compliant with our ethical and procedural rules, as well as the security of information, is imperative. Because a virtual law firm should help you reduce your overhead, consider clients in that savings. Value your time and experience but pass along some of those savings to clients. Oh, and if you are considering virtual lawyering, make sure to first check your jurisdiction’s bona fide office requirements.
Ferdinand: Changing a model that was created more than 100 years ago takes struggle, particularly for lawyers who focus more on tradition than practicality. Leveraging technology is only part of the equation. The traditional law firm model is long overdue for closer examination. This is something clients have been complaining about for decades, but very few firms are willing to consider a change other than a potentially reduced rate (which, in a traditional model, severely impacts the lawyers working on the file), fixed fee, or mixed contingency. Focus on what is necessary to provide a high level of service while placing the client first. Although a law firm is a business, its clients and lawyers must be given priority.
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This article is an abridged and edited version of one that originally appeared on page 34 of Law Practice, May/June 2019 (45:3).
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