Legaltech was born thanks to the efforts of the digital transformation of law, and is an innovative resource that allows streamlining traditional processes, translating its benefits into cost and time savings. And due to its versatility, the new legaltech is playing a fundamental role in the integration of legal departments with other units in companies. So in this article, we will talk about the functions of legaltech in companies and what are its benefits.
What is legaltech?
It is the abbreviation of legal technology, it is used to refer to the use of new technologies such as artificial intelligence or blockchain to offer legal services more efficiently. So its framework of action is integrated both in the practical management of information, the accounting planning of a company, the legal departments of organizations, among others.
Thus, not only lawyers can take advantage of these tools, because it connects any type of user with solutions in different legal aspects such as: consulting, contract management, legal risk management, automation of data collection processes, regulatory compliance, litigation management, among others.
How does legaltech work in companies?
These tools function as automators of legal processes, i.e. they can be used to distribute and consult files, classify documents, analyze jurisprudence, draft arguments, follow up contracts, etc. In addition, they help to eliminate unnecessary expenses, product of repetitive tasks, easily adaptable to the technological environment.
How important is technology in law?
The importance of the technology in the legal sector is that by carrying out traditional tasks effectively, the added value they add is the durability and traceability of each process. Because although the usability is the same, the operations are registered and stored in the servers of each company.
This is why legal informatics and computer law constitute a basis for the creation of applications that innovate in legal and business processes around the world. And an example of this is the integration of blockchain technology in the legal sector, in order to ensure the confidentiality and protection of data in companies, through the encryption of information.
What are the benefits of implementing legaltech in companies?
In addition to allowing the durability and traceability of information, one of the benefits of implementing legaltech in companies is the accuracy and transparency of the platforms. This will undoubtedly improve the legal processes that each company has to go through, by complying with certain standards that will allow them to locate documents quickly, draft contracts more accurately, among others.
This automation of operational tasks allows companies to focus on more strategic tasks. Where they can establish points of comparison and generate statistics that allow them to improve their compliance programs, internal regulations and manuals. In order to optimize everything related to the production and marketing of the product or service.
How to apply legaltech in my company?
While the applications of legaltech in the world are very varied, such as robot judges and the internet court in China. These tools can be applied in any field such as business, whether in online consulting with law firms or legal specialists in international markets. Or in the automation of templates for contracts, online shareholder meetings, or the encryption of data within the platforms of a bank.
This is why it is necessary to first define the purpose of automation: document creation, communication management, sales monitoring, technical analysis, among others. And then take into account all the legal implications that are immersed in this objective, to establish the legal framework for this automation. In order to execute it effectively, preserving integrity and good practices throughout the process.
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