Legal Technology Sector Boosted by Coronavirus Outbreak

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Legal Technology Sector Boosted by Coronavirus Outbreak

We are living in a landscape that is constantly changing, almost on a daily basis. The impacts of the coronavirus outbreak are unlikely to be truly known for many years, as every sector of industry battens down the hatches and the economic consequences slowly unfold.

However, from an investor’s point of view, even in the darkest days for humanity there are green shoots of growth.

One sector that has to very quickly adapt to the economic challenges of the pandemic is the UK’s legal profession. On the one hand, law firms across the UK have seen a reduction in turnover with clients forced to collectively tighten their belts and on the other, they too are engaging in layoffs and furloughs like other businesses.

 

Using Legal Technology to Implement Change

The legal technology (LegalTech) sector is set to benefit from law firms having to look for more cost-effective and efficient ways of dealing with their caseload in a post-pandemic world. The British legal profession has seen an upsurge in consumer compensation claims in recent years, which has already placed a heavy burden on the sector.

As the world has been gripped by the health crisis, we too have seen changes that have led to a strong reliance on technology. Many of us went from working in the office as part of team to working on our own, at home, with members of our family, including those of school age, doing the same.

Our priorities, focus and internet usage have all changed and adapted as in true British style, we carry on as normally as we can do. For some the launch of Disney+ was big news, while for others using Zoom, or Microsoft teams for the first time, represented a leap into the unknown.

The legal profession is also set to continue changing beyond recognition, increasingly turning to technology in order for law firms to survive. LegalTech provides a framework for law firms to leave behind traditional practices that have long since become stagnant in favour of streamlined automation and better value for money for clients.

The Time for LegalTech is Now

Depressingly, but unsurprisingly, law firms offering assistance with Employment Law experienced an upsurge in enquiries from both employees and employers. Commercial contracts also saw an area of increased activity as businesses wonder how they can avoid a contractual obligation which looked like a good deal a few weeks ago. Property queries tanked, unsurprisingly.

Family law will probably be an area that remains relatively consistent until lockdown ends, with significant enquiries expected as the strain for many of spending numerous weeks together becomes too much. Reports from China suggest that the divorce rate increased in affected regions, a pattern than is expected to emerge elsewhere in the world.

In other words, law firms are still busy despite the lockdown – in fact they are busier BECAUSE of the lockdown. This is something that represents significant challenges, particularly to small/medium sized practices.

Your Opportunity to Profit from Legal Technology

We are excited to be able to offer you entry into the LegalTech sector, expected to see continued growth in the coming years. Case to Answer (CTA) provides tech solutions to efficiently and effectively deal with sourcing, profiling and verifying cases for the following key areas of the legal profession:

  • Law firms
  • Regulated claims companies
  • Litigation funders

In essence, CTA offers bulk sourcing of legal cases that have been pre-allocated to UK law firms. This saves small the medium practices significant time and money on processing initial enquiries, case profiling and report writing. By reducing these administrative costs, law firms are better placed to widen their margins, increase profitability and ultimately survive the pandemic and beyond.

In order to increase its service provision at a critical time for the legal profession, CTA is currently offering a limited, rolling 90-day investment position with the following key features:

  • 90-Day term
  • 5% ROI paid every 30 days
  • Invest from as little as £5,000

Find out more about earning attractive returns from a growth opportunity in legal tech and contact an adviser today.