The Nuts and Bolts of Virtual Office Technology

Michael Brennan • February 2, 2018

What solo lawyers and small firms need to know

Introduction


Technological evolution can be hard to keep up with, especially lawyers accustomed to a more traditional way of doing business. Terms like “the cloud,” “SaaS,” and “virtualization” may seem more compatible with the language in which computer engineers speak, but as a lawyer, incorporating them into your practice enables you to build a practice that is responsive to evolving client demographics. Attorneys can increase efficiency, accessibility and convenience by seeking to understand those technological concepts, assessing their usefulness and weighing the burdens, risks and rewards of their incorporation into existing practices. Appropriate virtual solutions can reduce redundancy and costs while decreasing significant risks, like the potential for data loss or inadvertent breach of client confidentiality.

The idea of virtualization may seem daunting. But, by understanding the terminology, the risks, and the solutions on the market to alleviate those risks, you can make informed decisions about areas of your practice that may be made more efficient by virtualizing them.

Understanding the Terminology of Virtualization


When you begin to explore how to incorporate virtualized solutions into your practice, the key concept to remember is that, at its core, virtualization is just the inclusion of existing technological tools into an existing practice. Just like the rise of personal computers as a replacement for dedicated word processors in the 1990s or the increased popularity of cell phones over landlines in the 2000s, virtualized solutions have evolved from traditional ways of doing business. It is important to have a general understanding of the current technological language so that you can make informed decisions on how to virtualize your firm.

The Cloud

The most common method of virtualizing a law firm starts with moving some law firm functions to the cloud. The cloud refers to an interconnected network of servers, systems and hard drives that enable you to store and access data from multiple devices and locations. While it may sound like an obscure concept for unfamiliar attorneys, it has become a hot topic for law firms looking to stay on the forefront of technology.

Numerous applications and programs exist that enable you to access your data in specific ways and for specific purposes. For example, common practice management platforms, like MyCase and Clio, are cloud-based applications that enable you to manage your firm’s entire presence in the cloud without the need for owned physical servers. Instead of accessing software parked on your personal computer or device, you use personalized login credentials to access an environment that is hosted on remote third party servers which are accessed through the internet. Sound confusing? Think about something you already use: your personal email account—whether Gmail, Yahoo or AOL. To access your email, you login to your account through the internet to a network of central remote servers where your messages are stored securely for your access rather than by opening a software program on your computer. That is a cloud based application.

Common amongst most cloud applications and storage platforms is that the physical servers which house your data are owned and managed by someone else. Whether you use Amazon Cloud Drive, Google Drive, iCloud, or Dropbox when you send data to the cloud it is being sent to servers owned and operated by a third party. For example, if you uploaded a draft of a contract to you Dropbox account and share it with your client by emailing the client a secure link to access the contract, the client is not logging in to view the file on your computer. Instead, the client is accessing the remote server where the draft contract is being stored by Dropbox. Provided you and the client have internet access you can access that document anytime from anywhere from any smartphone, computer or other device.

Virtual Law Office

After grasping the concept of the cloud, the next step is understanding how it applies to the practice of law. Typically, attorneys exploring virtualization will want to become familiar with the concept of virtual law offices because they are illustrative of the numerous potential ways your firm can be virtualized. Virtual law offices take several different forms. At one end of the spectrum are law firms that may still have physical office spaces for client meetings but use a cloud-based practice management platform for central business functions. At the other end are law firms that are completely virtual. These firms incorporate multiple virtual functions and solutions into their operations—from practice management to client video conferencing, to web-based telephone and remote cloud data and document storage—which permits attorneys to work from anywhere at any time with little more than a laptop and internet access.

My firm is entirely virtual. I work from a home office, coffee shop, library or private club space, depending on where I am on a given day with no more than my laptop, smartphone and internet. I manage client matters and communications through MyCase which lets me exchange electronic messages with my clients in a secure space, store and collaborate on document drafts, track my time and send invoices. I use cloud-based video conferencing solutions, like UberConference or Zoom video conferencing to consult with clients that want (virtual) face-to-face meetings, and I use my cell phone for the rest. I use MyCase’s calendaring feature to ensure I don’t miss important meetings or deadlines and sync it with my Iphone’s iCal Calendar so that I can access it even when I’m not online. I create a backup of all data and files through MyCase’s document management feature and create a second backup on a personal cloud device called a Transporter which is physically located in my living room but accessible anywhere I have internet access through secure login.

The virtualization of your firm will not be identical to mine. But, by seeing what a 100% virtual law office looks like, you can get a sense of the areas where your firm may benefit from virtualization.

Differentiating Acronyms: SaaS, HaaS, and IaaS

As lawyers have sought to virtualize their practices by incorporating more cloud-based solutions, several acronyms have worked their way into the common vernacular. Concepts like SaaS (Software as a Service), HaaS (Hardware as a Service), and IaaS (Infrastructure as a Service) have become common abbreviations for various types of cloud-based solutions. For lawyers with limited IT knowledge, the language can sound foreign. But, while there are differences between SaaS and PaaS; between HaaS and IaaS, there are some uniform elements which, when understood, can greatly enhance your understanding of cloud computing and the various considerations involved in choosing appropriate solutions to virtualize your practice.

While HaaS and IaaS are helpful for lawyers looking to modernize their firms, they do little to assist you in virtualizing your firm. In today’s legal industry, Software as a Service, or SaaS as it is commonly referred to, is the primary delivery model driving the virtualization of law firm operations, so it is the one that is most important for attorneys to understand. SaaS applications are cloud based software solutions which are not purchased and installed on your hard drive, but rather are licensed by paying a periodic (typically monthly) subscription fee. Some more common SaaS solutions for lawyers are the aforementioned practice management suites and document and data storage solutions, like Dropbox and SpiderOak, and SmokeBall.

When you are assessing areas for your firm’s virtualization, you will most likely be looking as SaaS solutions.

Considerations When Choosing Virtualization Solutions

While there are newer law firms that are completely virtual in all their operations, 100% virtualization should not be the goal of every firm. The idea is to integrate virtual solutions into your existing business model in a way that works for you. Making changes for the sake of making changes is detrimental to your business model. Overinclusion will lead to inefficiency and waste. But, properly integrated into your practice, virtual solutions offer several benefits. When choosing appropriate solutions for your firm, it is important to weigh the pros and cons of virtualizing specific law firm functions before committing to changes.

A primary benefit of virtual solutions is that they are intuitive to learn and use, even for the least technologically inclined amongst us. That means that there is a little need for the assistance of IT professionals for software setup, maintenance or training. Troubleshooting can generally be handled by browsing the provider’s frequently asked questions page or reaching out to on-call remote support agents. Further, compatibility with operating systems and various devices is of little concern since applications do not require any installation onto local hardware.

Virtual solutions are also incredibly budget-friendly (or at least budget-predictable). Since applications are almost always subscription-based, you can plan expenses accordingly. Unlike traditional software, cloud applications are continually improved upon which means that you do not need to install updates or security patches periodically as is necessary with installed software. The provider is doing all that work automatically.

One additional significant benefit of virtualized applications is that they are very scalable. Subscriptions are typically based on the number of users, so firms are only paying for the access that they need. That makes them customizable to different firm sizes and structures without necessitating any customization of the product itself.

However, virtualization does come with some drawbacks which must be considered before integrating solutions into your law practice. Two significant issues that you need to consider are the level of control, access and security you are comfortable with and the level of periodic downtime you are willing to accept.

While in-house solutions give you complete control over your software, virtualized solutions are controlled by third party providers. Reliance upon third party providers creates an environment where the potential for data breach or loss is not entirely under your control. While most cloud-based applications are as, if not more secure than in-house systems, you will want to do your due diligence when choosing appropriate virtual applications for integration into your firm’s operations. It is important to consider where your data is being hosted—whether it is staying domestic or potentially being moved abroad, potentially creating unwanted exposure to breach. Carefully review user agreements to understand the security measures third parties are taking to protect your data from loss or breach and be sure you understand the provider’s procedures for extracting your data in the event you want to terminate your subscription to an application.

From an accessibility perspective, virtual applications may have occasional periods of downtime to enable providers to address system issues, update security infrastructure or improve features. That means there may be times you will not have access to your data. Of course, access to in-house software is limited by your ability to access your physical office as well, so the issue is not a new one. But, while providers generally give adequate notice for when downtime may occur, if you practice in a deadline heavy area of law you will want to ensure that you have put measures in place that will enable you to access any necessary documents or data when they are needed.

Conclusion

Virtualization s a cost-effective way for practitioners to structure modern law firms that are responsive to rapidly changing client demographics as technology becomes increasingly central to daily life. By examining current law firm operations and identifying potential functions that can be virtualized without detrimentally disrupting established business practices, attorneys can create practices with maximum flexibility, efficiency, accessibility and convenience. While there are potential pitfalls of which practitioners must be aware, by identifying potential risks of virtualization and implementing appropriate security measures, practitioners can set themselves up for success in a continually evolving world.

Michael Brennan, is the principal of The Virtual Attorney (t hevirtualattorney.com ), which uses videoconferencing and other forms of online communication technology to provide clients with a secure, convenient, and accessible means to plan for their businesses or plan for their families. Brennan is licensed in Wisconsin, Illinois, and Minnesota and focuses his practice on estate planning, tax, business formation, regulatory, compliance, commercial transactions, and business development.
Published in GPSOLO, Volume 34, Number 3, May/June 2017 © 2017 by the American Bar Association. Reproduced with permission. All rights reserved. This information or any portion thereof may not be copied or disseminated in any form or by any means or stored in an electronic database or retrieval system without the express written consent of the American Bar Association.

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Illinois Just Made It Easier Than Ever to Make a Power of Attorney

By Michael Brennan • September 2, 2021
A power of attorney for health care enables an individual to appoint a trusted agent to make medical decisions on his or her behalf if the individual is unable or unwilling to do so for themselves. For example, if a situation arises where you are in an accident and need emergency medical care, doctors will look to a trusted individual to make decisions on your behalf. Typically, this is family members, and technically, most state laws set an order of precedence on who doctors should turn to in the absence of any specific (and legally binding) instructions from the patient. However, the most ideal situation is one in which doctors rely on the instructions the patient has detailed in a valid power of attorney. Powers of attorney for health care do not have many specific requirements for validity. But, they do need to be signed by the patient and at least one witness (this varies by state). Often, someone may decide that they need a health care power of attorney in a pinch. For example, an older parent may be going in for surgery and want to cover their bases if something goes wrong. They may decide the day of the surgery that they would like to name an adult child as their health care decision-maker if something happens, so that child cannot serve as the witness. Typically, an estate planning attorney could witness the document, but that may mean scrambling at the last minute for an appointment or coordinating a meeting quickly on the way to the hospital. Not ideal. Now, however, Illinois has amended the Illinois Power of Attorney Act to permit electronic signatures. The Act states that: “The signature and execution requirements set forth in this Article are satisfied by: (i) written signatures or initials; or (ii) electronic signatures or computer-generated signature codes .” The Illinois Electronic Wills and Remote Witnesses Act permits those witnesses not only to sign electronically, but also to sign remotely. So, instead of a mad last-minute scramble to sign and witness an 11th hour power of attorney, one can be e-signed online through video conferencing with the principal and estate planning attorney quickly linking up on zoom from the comfort of their home, office, or even the hospital bed, with much more simplicity and convenience. The Power of Attorney Act was further amended to permit powers of attorney for health care to be in electronic format. So, it is no longer a requirement to dig the paper hard copy out of the basement filing cabinet and remember to bring it to the hospital. Instead, an electronic copy can simply be sent to the hospital through its patient portal, once that functionality is set up by the health care provider at least. The power of attorney can now easily form a seamless part of a health care record, neatly kept in an electronic medical file. The pandemic of 2020-2021 forced institutions to make things more efficient and reflective of the technologically-centric world we now live in. That is not more evident in many places as it is the area of law. And, few practicing attorneys would tell you that’s a bad thing.

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Illinois' Electronic Wills and Remote Witnesses Act is a Game Changer

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Electronic Wills are now an option. The new law defines an electronic will as simply “a will that is created and maintained as a tamper-evident electronic record.” What is “tamper-evident” exactly? Well, the statute defines it as a “feature of an electronic record by which any change to the electronic record is displayed.” So, popular document signature software like Docusign and Hellosign would do the trick. Individuals and Witnesses can now sign on multiple signature pages with one master document being compiled later on. If a platform like Docusign is not used to create and sign an electronic will, there is now an option to use multiple signature pages for the testator and witnesses. In practice, this enables a testator to sign a will while the witnesses watch over audio-video means, like Zoom. They can then each sign the signature page sitting with them at their physical location. The testator and witnesses can then send the originals to a central location (likely the estate planning attorney) to be compiled into one master document. Previously, this was impermissible, as the document would have had to have been signed in the conscious presence of each other. The Electronic Wills and Remote Witnesses Act redefines “presence” to expressly include, “being in a different physical location from another person, but able, using audio-video communication, to know the person is signing a document in real time.” Witnesses can witness signings (and sign) remotely through video-conferencing. As mentioned, witnesses to a will previously had to be physically present with the testator. Under the new law, witnesses can now be remote. If an electronic will is prepared for signatures, the witnesses can simply sign the electronic will after watching the testator sign. If a paper copy is being used, then the witnesses can watch the testator sign his or her own paper copy, and then sign a separate signature page in their remote location. For paper copies, the witnesses and testator must physically compile all the signature pages within 10 days. The person appointed by the testator to compile all the signature pages must state that the signature pages were attached within 10 business days of signing and that the pages were attached to the testator’s complete and correct will for the will t be admitted to probate. So, best practice is to attach those statements to the will at the time of its signing or the time at which the master document is compiled. Wills can be signed electronically. Electronic signatures have previously not been permissible forms of signing a will. Now, however, the new Act changes everything. Testators and witnesses alike can not e-sign wills. To do so validly, the will must designate Illinois as the state of its execution, be signed by the testator or by some person at the testator’s direction and in their presence, and be attested to in the presence of the testator by two or more credible witnesses who are located in the United States at the time of execution. The change of the “presence” requirement is revolutionary, as “presence” now includes being in a different physical location from another person, but able to know the person is signing a document in real time using audio-video communication. Additional Documents, like Powers of Attorney can now be signed virtually Wills are not the only estate planning documents that require witness signatures. Powers of attorney and living wills are just as essential to creating a comprehensive estate plan. Illinois’ Electronic Wills and Remote Witnesses Act also authorizes the witnessing of any document other than a will using audio-video communication. 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