Legal Ancillary Services Sourcing | Legal Services Cost Reduction | Argopoint

Legal ancillary (non-attorney) services represent a significant - and growing - cost for most corporate legal departments. In the past Argopoint has achieved in excess of 20% savings in Legal Ancillary Services.

Legal Vendor Management Services

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Legal Legal Vendor Management: Objectives

Legal vendors - or ancillary (non-attorney) services represent a significant and growing cost for most corporate legal departments. Traditionally in-house counsel has relied on outside counsel to select and manage these legal vendor and ancillary service providers. Since these costs are often treated as “pass-through”, outside counsel typically has little direct incentive to manage them optimally. This area represents an important opportunity to increase transparency, improve quality, and significantly reduce costs.

Legal Vendor Management: Overview

In the past Argopoint has achieved in excess of 20% savings in Ancillary Services including, but not limited to, the following:

Court Reporting

The most serious mistakes are not being made as a result of wrong answers. The true dangerous thing is asking the wrong question.
— Peter F. Drucker, Leading 20th Century Management Thinker

Court reporting and deposition services create an important opportunity to develop procurement and provider selection  strategy through the creation of a comprehensive strategy. Companies with mass torts may involve thousands of plaintiffs, each with several witness testimonies, thus driving the need for court reporters that record the legal record of the testimony.

Legal Records Collection

When a company is sued by individuals claiming to have been injured by the company’s product, the medical records of these individuals must be collected to understand whether the allegations are true or if the harm could be caused by another source. Mass torts can involve thousands of plaintiffs, each with several medical records in different formats, distributed throughout a variety of custodians and geographic locations. This drives the need for retrieval services companies to locate the files and carry out the processes of file retrieval, organize data and review services when necessary.

Discovery Services (and e-Discovery Services)

Discovery services are a critical legal spend for many corporate legal departments and thus require thorough analytical scrutiny. Discovery service providers primarily deliver collection, processing and production services. It is crucial that legal departments receive the highest quality possible for their high-stakes matters while keeping excessive costs at bay. In the past, Argopoint has helped legal departments analyze their use of these services to cut costs dramatically.

Legal Vendor Management: Implementable Solutions and Significant Savings

We can assist with initiatives to optimize the use of these services, often through the establishment of preferred provider programs, the use of alternative/flat fees or other innovative models. Argopoint clients have typically saved 15-25% while increasing the quality of services delivered.

Key Questions for Corporate Legal Departments Considering Legal Vendor Management   

1. Do legal ancillary services represent a growing portion of your legal departments’ total spend?

2. Has legal department leadership ever looked into the details of how your outside counsel selects service providers?

3. Does your legal department have a need for evaluating these providers’ performances? Does your department have tried and tested experience doing this?

4. What are your legal department’s billing arrangements with these providers? Is your legal spending managed efficiently?