MSBA RESEARCH
Trends in the Legal Profession SUMMER 2020 | VOLUME 2 , ISSUE 2
To bring MSBA members distilled, insightful data about our evolving profession
M S B A R E S E A R C H : T R E N D S I N T H E L E G A L P R O F E S S I O N 2 0 2 0 i
EXECUTIVE SUMMARY
Trends in the Legal Profession SPRING/SUMMER 2020 | VOLUME 2 , ISSUE 2
EXECUTIVE SUMMARY
COVID-19 has fundamentally changed the way the legal profession currently operates. Seismic changes occurred at breakneck speed transforming traditional client meetings and paper-filled offices into a virtual and paperless landscape within weeks. The adoption has been stunning. In all likelihood, temporary fixes adopted during lockdowns and travel restrictions will permanently affect changes to the trajectory of the profession for the foreseeable future. We have seen these changes from a broader national perspective and personally within our Membership. Our July 2020 survey notes both the current changes and the future outlook of our Members. The survey indicates that like the legal profession as a whole, our Members have adapted to the sudden changes caused by the pandemic. Many Members will now change the way they work and where they work in the future. The long term economic impact due to COVID-19 is not yet fully known, many in Maryland seem pessimistic about the current state of the local economy. We look to report new developments in the next Fall edition.
Informing our members and curating content to make efficient use of their time is an important role of the MSBA. We hope this MSBA Research product provides insightful data and trends as you consider the evolving nature of the legal profession. For questions or suggestions for future MSBA Research topics, please email feedback@msba.org
Criselle Anderson
MSBA Research Notes Editor
ii
Victor L. Velazquez, CAE
Executive Director Maryland State Bar Association & Maryland Bar Foundation
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
Table of Contents ii Executive Summary 2 The Effect of COVID-19 on MSBA Members 4 The Impact of COVID-19 on the Legal Industry 6 Tips For A Paperless and Remote Law Practice
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How Lawyers Can Network Better, Virtually And In Person
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As Virus Wanes, Employers Warm Up To Long-Term Telework
9 Maryland Lawyers Survey: Impact of Pandemic Clear But Uneven
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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The Effect of COVID-19 on MSBA Members We asked Members in July 2020 to respond to a survey on how COVID-19 has affected their work and their organization.
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MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
THE EFFECT OF COVID-19 ON MSBA MEMBERS
Current Impact We learned that like most professions, the impact of the pandemic has not spared the legal community. More than half of the respondents reported that they have been significantly affected. There was a three way split between continuation of office use as either a few times a week, brief visits only and not at all. Not surprisingly, most respondents have not met with clients in person since social restrictions were put in place in Maryland in March. Although COVID-19 has significant impact on day to day operations, nearly half said that there was no change to their organization’s weekly work schedule.
59% of respondents
DID NOT USE VIDEO CONFERENCING PRIOR TO THE PANDEMIC.
H O W M U C H H A S C O V I D - 1 9 I M PA C T E D YO U R D AY T O D AY O P E R AT I O N S ?
64%
significantly
31%
somewhat
5%
not much
Technology Use The pandemic had an immediate effect on utilization of new technologies to improve communication and aid remote working. Over half of respondents indicated they used video conferencing/cloud computing. While most respondents used cloud computing before COVID-19, the adoption of video conferencing was swift with 59% of respondents saying they did not use video conferencing prior to the pandemic. Though this switch to all or mostly remote work came fast, 38% indicated that their organizations adjusted very well and 28% reported an initial learning curve.
Future Outlook While 35% indicated the ability to work remotely frequently prior to the pandemic, 45% used working from home only in the instance of inclement weather or a personal circumstance. 55% of respondents plan to work remotely for the foreseeable future, while 25% will opt for a flexible schedule a few days a week. Over half of the Members surveyed said that they will continue to use technology implemented over the last few months in the future. 55% said that they will continue to seek additional technologies to increase their ability to work remotely and enhance their capabilities digitally. Still, the future is uncertain as 45% remain unsure when normal prepandemic operations might resume with 28% saying it will not until a vaccine is widely available. (Source: The Effect of COVID-19 on MSBA Members, 7/30/20)
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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The Impact of COVID-19 on the Legal Industry Numbers via Clio
Data gathered from legal professionals shows that attorneys in all fields have concerns. As courts have closed and much of the country has been under stay-home orders, law firms have necessarily had to rely on technology. Five to 10 years of technological advances have taken place over a mere two months, and the legal profession realizes this is about survival, not just convenience. The numbers back this up:
of legal professionals agree 83% cloud technology is necessary for business survival
69%
of legal professionals agree that tech is more important now than it was before the pandemic
agree coronavirus will impact firm 66% operations beyond the pandemic
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Five to 10 years of technological advances have taken place over a mere two months. of legal professionals agree they 47% are using more types of technology they are more comfortable 38% agree with technology
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
T H E I M PA C T O F COVI D -1 9 O N T H E L E G A L I N D U S T R Y
Important Numbers
58% of consumers would prefer to meet with lawyers either virtually or over the phone rather than meeting in person during the pandemic
22% of consumers
believe the lawyers have stopped offering services during the pandemic
52% of consumers said they cannot afford to pay associated legal costs and fees over the next few months; affordability of legal services is more of an issue than it usually is
13% of consumers
agree that they expect to deal with a coronavirus-related legal issue in the future
38% of consumers believe that a
77% of consumers agree that
remote hearing or trial would negatively impact the outcome of a case
lawyers provide an essential service
75% of legal professionals have increased stress and anxiety due to the pandemic.
The pandemic has also impacted the mental health of legal professionals in ways that cannot be ignored. In normal times, lawyers report a high level of stress, and that has increased during the time of COVID-19. According to Clio’s data, 75% of legal professionals have increased stress and anxiety due to the pandemic. To see more of Clio’s data regarding the impact of the pandemic on the legal profession, go to clio.com/resources/legal-trends/covid-impact. (Source: Solan, Andrea. “The Impact of COVID-19 on the Legal Industry, in Numbers”. MSBA.org, May 2020.)
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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Tips For A Paperless Law Practice In-person practice will resume, in some fashion, sooner or later. By then, counsel, clients and courtrooms will have taken serious steps to adapt to the new remote environment. Indeed, virtual connection, once a worst-case alternative to being in-person, may become necessary, if not the norm, for the continued practice of law in a post-COVID-19 landscape. M A S T E R I N G T H E T O O L S and applications
for remote document management takes time preparation, testing and live-fire practice is key
P L A N F O R T H I N G S T O G O W R O N G and
how to respond in each instance
I D E N T I F Y P O T E N T I A L I S S U E S ahead of
time, many can be avoided, mitigated or prepared for by way of contingency plans that can be set up in the event there is a platform failure
C O N F I R M T H AT T H E PA R T I E S H AV E T H E N E C E S S A R Y D E V I C E S . Test internet
access, audio, and video feeds and document sharing in advance, ideally at least two days before the deposition, hearing, closing, meeting, etc.
K N O W T H E C A PA B I L I T I E S A N D L I M I TAT I O N S of your virtual platforms and
how to use them.
CONSIDER CONDUCTING, IN A D VA N C E , A S I M U L AT I O N , e.g., a mock
virtual deposition, hearing or meeting, using the technology.
REVIEW ANY APPLICABLE LOCAL L AW . O B TA I N A P P L I C A B L E S T I P U L AT I O N S
from all counsel and parties. For example, with respect to a remote deposition, counsel from both sides ideally will stipulate that remote swearing in of the witness will suffice (to the extent that this is not already provided for by applicable rule)
C O N F I R M T H E N O N WA I V E R of privilege
and work product arising from any inadvertent sharing of privileged or work-product documents or communications
C O N F I R M N O N R E T E N T I O N of any
confidential documents by those not subject to a protective order
DETERMINE WHERE ALL OF THE AT T E N D E E S W I L L B E L O C AT E D , and
share contact information, including telephone numbers and email addresses, for each location, particularly where the event, e.g., a deposition, is subject to a transcribed recording, be very descriptive and identify documents specifically and, where applicable, by Bates number
(Source: https://www.law360.com/articles/1279494/best-practices-for-a-paperless-law-practice?nl_pk=a6b35884-cf73-47d0-ab2acb873eefbcd2&utm_source=newsletter&utm_medium=email&utm_campaign=special)
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MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
T I P S F O R A PA P E R L E S S L AW P R A C T I C E
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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How Lawyers Can Network Better, Virtually And In Person
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MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
H O W L A W Y E R S C A N N E T W O R K B E T T E R , V I R T U A L LY A N D I N P E R S O N
4 compelling reasons why attorneys at law firms and on legal teams need to network well:
1. Succession planning 2. Diversity, equity and
inclusion/access to opportunity
3. Talent retention 4. Business development Networking Tips for Law Firms and Legal Teams to Consider Implementing • Encourage a relationship management culture that incorporates both internal and external networking. • Support strong networking acumen across all seniority levels. • Adopt approaches to relationship management and business development that are efficient, deliberate and effective. • Consider a strengths-based, customized approach to encouraging networking among staff, associates and partners that takes into account the introvert/ extrovert distinction and individuals’ comfort levels with and styles for networking effectively. • No individual at a law firm or on a legal team is too busy, too smart, already too well-networked, or too anything else to carve out the time needed to build strong relationships. • Think ahead to already-scheduled virtual and in-person events, and be strategic about which to attend. • Acknowledge the connection between networking and wellness, and foster your firm’s commitment to attorney and staff wellness by building and encouraging a healthy and strong networking culture. (Source: https://www.law360.com/articles/1270362/how-lawyerscan-network-better-virtually-and-in-person?nl_pk=7540c816b630-426e-9f7e-c2c870a24cca&utm_source=newsletter&utm_ medium=email&utm_campaign=special)
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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As Virus Wanes, Employers Warm Up To Long-Term Telework According to a survey released in June 2020 by Littler Mendelson PC asking more than 1,000 in-house counsel, HR professionals and C-suite executives about returning to work, many businesses plan to let employees continue working remotely when they reopen their offices and may keep doing so even after the coronavirus pandemic subsides.
52%
of respondents advised that they plan to be flexible with workers’ requests to work from home until the pandemic subsides.
said they plan to change policies to allow 30% telework as long as employees have proven they can be productive
13%
said they will let employees in high-risk groups telework on a case-by-case basis,
4%
said they can’t grant remote work requests because their employees must work on-site
said they planned to open within 34% apercent month said they planned to do so in one to 44% three months 10
10%
said they will not set a date until the virus subsides or testing is widely available
9% were eyeing a return in three to six months said they’re looking to reopen in six to 1% each nine months or in 2021 A S O F J U LY 2 0 2 0 , Google decided to contin-
ue remote work for its employees through July 2021. Google’s decision comes weeks after the global law firm giant Dentons, with a workforce of 100,000 lawyers, had shut down two offices in the United Kingdom permanently and will allow remote work or option for travel to local satellite offices. (Sources: https://www.npr.org/sections/coronavirus-liveupdates/2020/07/27/895734132/google-employees-can-work-fromhome-until-july-2021 https://abovethelaw.com/2020/07/worlds-largest-law-firm-closes-twooffices-thanks-to-covid/?rf=1 https://www.law360.com/articles/1278720/as-virus-wanes-employerswarm-up-to-long-term-telework?nl_pk=7540c816-b630-426e-9f7ec2c870a24cca&utm_source=newsletter&utm_medium=email&utm_ campaign=special)
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
Maryland Lawyers Survey: Impact of Pandemic Clear But Uneven
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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M A RYL A N D L AWYE R S S U R VEY
Important Numbers Maryland Lawyer’s Confidence Survey: Round 14 QUESTION
INDEX
-100 -80 -60 -40 -20 0
Our firm plans on hiring additional attorneys within the next 3 months
20
40
60
80 100
-61
Our firm anticipates an increase in billable hours over the next 3 months
-20
Within the next 3 months, our firm plans to invest or expand in the following areas: Marketing
-6
Within the next 3 months, our firm plans to invest or expand in the following areas: New Technology
0
Within the next 3 months, our firm plans to invest or expand in the following areas: Support Staff
-51
Within the next 3 months, our firm plans to invest or expand in the following areas: Infrastructure
-45 -79
The overall state of the economy is good
RESPONSES (TOTAL = 3 93 ) 0
50 Disagree Strongly
100
150
Disagree Somewhat
200 Neutral
250
300
Agree Somewhat
350 Agree Strongly
(Source: The Daily Record’s Maryland Lawyers Confidence Index)
85% of respondents
EITHER STRONGLY OR SOMEWHAT DISAGREED WITH THE ASSERTION THAT THE MARYLAND STATE ECONOMY WAS GOOD.
The overall index score for the survey, designed to measure the degree of positive or negative views,
fell from
-3 to -37,
the lowest mark in the survey’s 2.5-year history.
35% of respondents
INDICATED THEIR PRACTICE IS LIKELY TO INVEST IN TECHNOLOGY IN THE NEXT THREE MONTHS, ONLY A SLIGHT DROP FROM THE PREVIOUS QUARTER’S RESULTS.
60% of the state’s 35 largest law
firms applied for loans from the Paycheck Protection Program authorized by Congress to help small businesses during the pandemic-caused slowdown.
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38% of those interviewed said they expected an increase in billable hours; that figure had
dropped to
25%
in the most recent survey.
MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
For our members. For the profession. Serving, connecting, and empowering Maryland’s legal professionals. MSBA RESEARCH: TRENDS IN THE LEGAL PROFESSION 2020
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