High Tech Predictions for the Small Law Firm

A sage of the Old West once said, "God made man. Colonel Colt made him equal."
(Maker of the famous Colt .45 pistol)

By John J. Nagle III

A few years ago, The Smithsonian Institute dedicated an exhibit to the science of the TV classic Star Trek. The exhibit compared the futuristic, science fiction ideas of the series with the reality of the nineties. For example, Dr. McCoy’s Sick Bay had sophisticated body scanners which instantly determined a patient’s health status. Today, MRI and CAT imaging are reminiscent of those scanners. Star Trek crewmen used personal communicators; today, we have cell phone technology. In the 1960s, the computers on Star Trek seemed awesome. They seem less impressive today. CD-ROM and scanning technology, first seen on the TV series, are now taken for granted. As the Smithsonian exhibit demonstrated, science fiction has become science fact. Technology has also become a cornerstone of the legal profession. It has changed the way lawyers practice law.

When I was asked to write this article, my first thought was, "Are there any significant differences between large and small firms in terms of technology needs?" Budget and cost have always been an issue. Traditionally, large firms could afford and were typically the first to use the latest technology. That has changed. The dramatic drop in hardware and software costs have allowed many small firms to stop watching from the sidelines and get into the game. Costs will continue to drop as manufacturer competition increases and the cost of manufacturing decreases. This will continue to be a boon to the small law firm, which will no longer wince at cost estimates for computer systems.

There are also differences in personnel resources when comparing larger and small firms. Most of the large firms that I am familiar with have systems individuals specifically trained and hired to handle all technological matters of the firm. Whether new hardware or software is installed, large firms have the resources to properly train their staff, so that the system is properly and efficiently used. Their lawyers are free to do what they should do best - practice law. Small firms, however, might typically have in charge of such matters a staff person who has shown a knack for computers. Or, an attorney may have an interest in computers and be designated as the firm’s computer guru. However, these individuals have other important responsibilities besides computers. It is difficult for such an attorney or staff person to troubleshoot computer problems all day or train office personnel on new software. Small law firms need a reliable computer support company to assist them with their computer systems. While such support services can at times be costly, it has become a cost of doing business and should be treated as such.

One encouraging thing I have seen in the past few years, however, both at technology showcases and in private talks with fellow practitioners, is a growing interest by lawyers in technology. Lawyers who would describe themselves as computer illiterate or unsophisticated want to learn. It is no longer cool or funny to brag that they do not even know how to turn on their computers. They want to know what is out there. They are often surprised that hardware has become so affordable, and there are software programs that they could have installed on their present systems for a relatively modest cost.

Just as the Colt .45 pistol was the great equalizer of the Old West, small law firms have the ability to compete with their larger counterparts, thanks to technology. Small law offices are finding that their clients are becoming more technically savvy and have the same expectations as those clients who retain larger firms. E-mail, the use of the Internet, and imaging capabilities are becoming more and more commonplace, reminiscent to the development of fax technology a decade and a half ago. As lawyers, whether members of large firms, small firms or solo practitioners, we all need to service our clients in a competent, efficient and cost-effective manner. In this sense, our interests are identical. All lawyers must make an attempt to remain aware of the ever-increasing developments in technology. Otherwise, you will be left behind.

My "high tech" predictions for small law firms actually blend two concepts. First, I must comment and predict what small firms will do with existing and emerging technology. Second, I will predict what a small law practice in the next millennium might look like.

Before we discuss where small firms are going, we should examine where we are now. In 1996, the American Bar Association (ABA) conducted a survey on small law firm automation. Although the survey showed that most small firm lawyers were upgrading their computer hardware, they were not even close to tapping the potential of their computers. Computers were most often used for simple and straightforward tasks such as word processing, accounting, and database work. Perhaps not surprisingly, most small-firm attorneys never used the software that was pre-installed on the computers. Case-management, document assembly, and litigation-support software were underutilized. However, the good news from the survey was that the smaller firms are catching up. (American Bar Association; 1996 Small Law Firm Automation Survey.")

Now then, onto the predictions!

The Internet

The explosive growth of the Internet has taken most everyone by surprise. Whereas, just two or three years ago, most lawyers did not even know what the World Wide Web was, those same individuals now regularly "surf the Net," although most typically for personal not business use. That will change. Without a doubt, the Internet is rapidly becoming one of the most important tools for lawyers. Seminars on web development, sponsored by organizations such as the Maryland State Bar Association, are a huge success as more small firm practitioners desire to learn how they can use the Internet in their practices.

Clients want and expect their lawyers to be able to communicate with them in a reliable and quick fashion. Electronic file transferring from lawyer to lawyer or from lawyer to client will become routine, just as faxing hard copy documents is commonplace now. The Internet will also allow a small law firm to compete head-to-head with their larger counterparts. More small law firms will develop Web sites which will allow individuals from around the world to learn about their services. E-mail will also become a preferred medium for lawyers and clients to communicate. Scheduling will be accomplished through software that both the client and the lawyers have. It will not even have to be the same calendaring program. Upon request, a client will be able to review appointment dates and times that his or her lawyer has available. The client will then select an appointment date that will be later electronically confirmed by the lawyer.

Demand for access to the Internet is increasing as the cost of services is decreasing. However, in order to meet the huge demand for the Internet, access speeds must continue to develop. The October 1998 issue of PC Computing magazine discusses the future of the Internet. PC Computing reports of a so-called Next-Generation Internet Initiative, a federally funded effort to develop a high-speed Net that is a thousand times faster than today's model. Internet 3, although not available now, is currently under development.

The Internet will continue to grow as broadband access increases. Now that there are proposed mergers between certain telephone and cable companies, such partnerships will lead to a rapid acceleration of new business uses. Mark R. Anderson, in an article entitled, "The Future of Computer Technology" ( Microsoft Internet Magazine, December 29, 1997) writes,

Although full-frame, streaming-video-capable systems will remain limited mostly to business and some lucky (hybrid fiber/cable) cable customers, we will start seeing solutions on (twisted-pair) telephone and regular old cable lines that provide for about eight to ten times the speeds common today.

At these rates, streaming audio will become reliable and esthetically attractive, and Web surfing will transition from being painful and infrequent to something fun. This is going to lead to a sharp increase in the audio content of Web news channels, and to rapid deployment of Internet telephony.

What this translates to, among other things, will be a more practical use of such communication devices as video conferencing. Presently, the quality of video conferencing is poor because of the limited capabilities of our existing phone lines. However, as hardware capabilities increase, the quality of the video transmission will improve to the extent that it is like watching full motion video on a high-quality television set. Much of the existing telephone cabling is being phased out and replaced by modern fiber optics. The phone companies, cable companies and Internet service providers are designing telecommunication systems that will allow for the transmission of even greater amounts of information.

I predict that improved video conferencing will allow lawyers to spend more time in their offices and less time traveling to meetings, depositions and court for pre-trial matters. In lieu of personal meetings, small firm practitioners will engage in video conferencing with clients, colleagues and the courts. Deposition taking will change as a result of this technology. Presently, the Maryland Rules permit the taking of depositions by telephone (Rule 2-418). The Rule will be amended to allow for depositions by video conference. Lawyers will be able to take depositions of individuals in other locations and actually see them. If there are multiple participants, the viewer’s monitor will split into as many screens as desired. Documents will appear in a separate window, which will allow all participants in the deposition to view them simultaneously.

If you want more evidence to prove how pervasive the Internet has become for business, including law firms, examine the most recent versions of the two most popular word processing programs. Both WordPerfect 8 and Word `97 have integrated web-authoring tools with their basic packages. These programs anticipate that users will need the ability to create documents and then seamlessly publish them to the Internet. Further, we’ve heard and read much hype about Microsoft’s latest operating system upgrade, Windows `98. Like the word processors, Windows `98 is Internet-ready and graphically emulates the Net in many ways. Microsoft wants Windows `98 users to think of using computers and the Net as a similar experience. I believe that computer development will continue to evolve toward integrating with the Internet.

Networking

Networking computers in a business environment is nothing new. Local Area Networks (LANs) are connected by pre-installed cables. The present LAN connectivity technology will be replaced, or at least joined, by newer, less invasive means. AC-power-line LANs might be the way that a law firm and even homes will be connected. Wireless (infrared and radio frequency) LANs are also being developed. Perhaps the most likely replacement candidate, however, will be your phone lines. This summer, the computer chip manufacturer, Intel, praised the Home Phone Networking Alliance (HomePNA), which announced an Ethernet-like 1-Mbps home network that should be out by the end of this year. You can use existing phone wire already installed, and unlike 10Base-T Ethernet, the network doesn't require routing the wiring back to a central hub. It will not affect the use of your phones. (Bill Howard, New Dimensions for Wireless LANs, PC Magazine, September 8, 1998.)

Communications

Communication devices will continue to improve and develop beyond simply making or receiving calls. They will also allow for serious computing and data management capabilities. Products, such as The Net Assistant, look and act like a cellular phone. However, it uses modern digital wireless technology to allow the user to access mainframe computing power just by using his or her voice. Cell phones will look more and more like computers. As voice command takes over, the little keyboards on these PIMs (Personal Information Managers) will disappear.

In the business and legal world, voice recognition hardware and software will be commonplace. Such voice recognition will take two forms. First, there will be speech command software which will instruct a computer or some other information appliance to perform as directed. Second, speech dictation software will be commonplace. This article, for example, was entirely dictated through Dragon NaturallySpeaking and edited with WordPerfect 8. Although not always accurate, NaturallySpeaking allowed me the luxury of preparing this article at home. There are a number of voice recognition programs currently on the market. As their accuracy improves, they will be discovered and used by more and more small law offices. Lawyers who are not computer literate or who do not particularly care about learning how to use computers will still have the ability to work with them without having to hit a single keystroke. The financial aspects of this tool are perhaps obvious. The days of the secretary pool will decline as more and more lawyers use speech-recognition programs in their everyday work. Only a few years ago, such programs cost thousands of dollars and were very inaccurate. Today, however, they are greatly improved and can cost as little as one hundred dollars. Unfortunately, voice recognition programs place heavy demands on a computer’s memory. Small law firms will need to make a modest investment in the upgrading of their hardware to allow for the use of voice recognition. However, once one uses such a program, he or she will look for more and more ways to use it in their work. Voice recognition will not entirely replace your keyboard or hand writing but it will become a central way that lawyers interact with their computers.

Available computer technology also allows lawyers to work from their homes and still be connected to their offices. I predict that more and more lawyers will opt to work from home, at least on days when a client meeting or court appearance is not scheduled. With so many families having two wage earners, and with issues of child care always looming large, this will be an attractive option. Software, such as pcAnywhere and Laplink, allows a lawyer to connect directly with a remote computer or network. Files are easily transferred. E-mail can be reviewed and sent. As computer connectivity improves, remote capabilities will be even easier to handle than they currently are presently.

Flat screen technology will make the bulky monitors that we use today obsolete. They will be capable of much higher resolutions, which means that the picture image will be sharper, yet use less energy. Space requirements will no longer be a consideration. The screens will be hung on a wall, or will be desk top versions. They will even be available for your car.

Scanning Technology

The cost of scanners has dropped dramatically over the past few years. In 1993, a single-pass flatbed scanner might cost a couple of thousand dollars. Today, a scanner with much higher resolution can be purchased for less than one hundred dollars. Small law firms will take greater advantage of this, and use scanning technology as an everyday work tool. Scanning can reduce the cost of overhead in that documents are automatically "read" and then edited through a word-processing program. For example, interrogatories from counsel representing an opposing party no longer need to be manually typed. Similarly, lengthy real estate forms can be automatically processed and proofed for use at settlement. Scanning also will allow a small firm to reduce file storage space requirements and costs if the substantive parts of closed files are scanned for archival purposes.

Electronic Filing, and Docketing

Several of our courts, such as the District Court and the Circuit Court for Baltimore City, have set up electronic docketing through Judicial Information Systems (JIS). Law firms can check the court docket right from their offices. At some point, all of our courts will have this capability which will make life much easier for the more limited resources of the small law firm.

Electronic filing will also become a reality. Maryland’s State Department of Assessments and Taxation allows documents to be filed via fax. Our courts will also someday permit this. I understand that the Rules Committee is presently examining this issue. Small law offices will greatly benefit from electronic filing. Their offices will be wired so that every desktop PC will have the ability to fax or e-mail documents directly to court. Similarly, the courts will be equipped to electronically send trial notices and communications from judges to the law firm. This capability will translate into a tremendous savings in time and money. Special trips to the courthouse will no longer be necessary.

I see a day when most court filings will be electronic. In addition to reviewing court dockets, lawyers will have the ability to review an electronic version of a particular case file and actually view each pleading or paper just as we do now with the actual court folder. Essentially, the courts will become "virtual courthouses" in which all functions of the court can be accessed via computer. Take the Circuit Court for Baltimore County, for example. I envision the Court having a web site which might have a simulated layout of each department. If I wanted to check a case on the civil docket, for example, I would click on the Civil Department. A menu would appear and offer several choices. I might simply want to review the docket for the filing history of a particular file. A dialogue box would prompt me to type in the specifics of the file. I would also be given the option to actually examine the contents of the file and review specific pleadings. If desired, I could download a pleading as an electronic file for my own use. Similarly, if I wanted to communicate with a particular judge, I would go to an index of the judges and his or her staff, and be prompted to leave the desired message.

The Courtroom

Courtrooms of the future will not be outdone by the clerk’s office. Although a lawyer will be able to monitor many activities in the courts from his or her computer, trips to the courtroom will remain a vital part of practice. However, courtroom practice, as we know, it will change.

Several of our state courts have embraced technology and applied it to a courtroom setting. The Circuit Court for Baltimore City has several "smart" courtrooms which are hard wired for use of video equipment, computers, electronic easels and videotaped court reporting. Such courtrooms will someday be the norm, not the exception. They will, again, give the small law firm the opportunity to better compete with larger firms.

Today, a lawyer with a laptop can connect to the court reporter’s own laptop computer, which in turn, is connected to the reporter’s stenographic machine. The court’s proceedings, being transcribed by the court reporter, is viewed, in real time, on the lawyer’s laptop monitor. The proceedings can be saved for later use, although it is not an official transcript. This technology will expand to allow for the practical use of electronic documents as trial exhibits. Complex, protracted litigation, such as asbestos litigation, is document intensive. It is common to see lawyers carry, by hand truck, many banker boxes of documents to and from court on a daily basis. The quality of many of these documents is poor because they have been copied dozens of times; the image is frequently barely legible. Trial lawyers will someday not have to cart those documents around. As the hard drive storage capabilities of laptops improve, documents will be electronically stored and transferred to a computer database, maintained by the court. The documents will be exhibited to the jury and judge via digital whiteboard (a large, wall-mounted screen that can serve as an electronic easel, as well as display, pictures, video and other visual material) and television monitors. Issues of admissibility and authenticity will have been addressed by the Rules Committee. The ability to print the electronic documents will exist; each court will be equipped with a printer if a hard copy of a document is needed.

Accounting Considerations

Lawyers do not always make the best businessmen, but even such matters such as billing will be handled differently in the next Century. As more and more of our clients join the Net, they will be billed electronically and automatically. When reviewing their bill (on their computer of course!), they will be able to pay the bill by credit card by simply typing their account information on the screen. The payment will be automatically credited against their bill, the funds will be transferred to the law firm’s account.

Conclusion

Making predictions about the future has always been popular. Hollywood, world fairs, theme parks such as Disney World, and magazines have been doing it for decades. Whether they are right or wrong, to me, misses the point. In many ways, the future is now. The law profession has embraced technology for keeps. We will continue to improve the quality of our lives by taking advantage of the amazing advances which we continue to read about. We will be able to spend more time with our families and enjoy the activities that interest us. Just as the science in Star Trek seemed too farfetched to even be remotely possible, the technological ideas currently on the drawing board will someday be a reality and lawyers will adapt them to their practices.

Perhaps Michael J. Miller, a contributor to PC Magazine sums it up best,

If it weren't for science fiction, I'm sure there would be far fewer people today involved in designing and building the computers we use. Were it not for the visions of what the future could be like--both the good and the bad--we would have a very different present, because the dreams that we have help shape our reality.

("The Way the Future Wasn’t", PC Magazine, June 9, 1998.)