Thursday, February 23, 2012

Turning E-Discovery Into An Asset

Many times, I get calls from clients to discuss the e-discovery aspect of a new case. The first few questions from both sides will always seemingly revolve around scope and potentially how the process might work for collection. But inevitably, the discussion gets to cost. And the next logical step in many cases is how to save money and not "spend more than my case is worth". Every corporate client inevitably wants to cut the proverbial corner.

Many corporations and law firms see the expense as a nuisance in the litigation life cycle. I have actually had counsel tell me before that they have tried and will continue to try and cut deals with opposing counsel to say "You don't ask for my electronic data and I won't ask for your electronic data." This tactic will likely be challenged as time goes on and become less and less possible.

But what if corporations used this information going forward not only on one case but as a way to track litigation? What if General Counsel could go to Human Resources or the corporate risk management team with valuable data that was mined from the e-discovery efforts of the litigation department?

As Ben Hogan once said "The secret is in the dirt". So why waste the dirt in e-discovery? Every online retailer from Amazon.com to Southwest Airlines is using customer trends to determine inventory, where to place 'in store' items, recommending products based on your prior purchasing and what items sell to what demographic. So why are corporations not using the same data in litigation to "learn" what trends there are within their corporate environment? These are all questions that have yet to be answered but the answers are the secret to corporations possibly saving millions of dollars in future litigation costs.

Over the next few posts, we will look at different ways corporations can use this data in a way that manages cost as well as mitigates risk.

To be continued....

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