Although increasing numbers of in-house legal teams are considering outsourcing their contracting support, there is little experience in the industry of how to outsource to providers who contract on fixed pricing and outputs. Although this is different to buying legal services by the billable hour, a little work upfront will help ensure that you get an exceptional service that meets your needs at a cost-effective price point.

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In this article we will highlight the key points to consider in buying managed legal services, and if you want to dig further, we have written a full guide to buying managed legal services (MLS).

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An Overview of Managed Legal Services

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An MLS provider can support you with work that would otherwise typically be provided by an in-house legal team - most commonly higher volume contracts, such as sales and procurement contracts. The support includes intake and triage, through negotiation, to getting the contract finalised, approved and signed.
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By focusing on repeatable contracts, MLS providers have been able to standardise work and optimise processes to deliver faster and more reliable support for fixed fees
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Key Benefits of Managed Legal Services

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More time for your in-house legal team

Outsourcing your simpler, lower-value contracts frees up in-house teams for more complex legal matters and strategic work that delivers more business value while making their roles more interesting.

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Faster contracting processes

On average, MLS providers offer a turnaround time of two days (Radiant Law turns around over 80% of contracts in half a day), far faster than the average in-house team.

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Consistent delivery

The right MLS provider will use playbooks and offer predictable service levels, meaning you can rely on consistency in the delivery and standard of work.

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Ease of scalability

Outsourcing to an MLS provider means spikes in demand can be handled without slowing down delivery, so you don’t have to worry about your business growth being hampered by the capacity of your in-house legal team.

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Cost-effective service

MLS providers are much less expensive than traditional law firms, and many - like Radiant Law - offer fixed fees by month or per contract, so you can budget with certainty.

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Access to expertise

As well as lawyers, with the right MLS you’ll get a whole team of data analysts, legal engineers and software developers: all the expertise you need to make your processes more efficient and effective.

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Access to technology

MLS providers use cutting-edge technology and software, making your processes more efficient and cost-effective, without the need for software integration projects or budget for new technology.

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Continuous improvement

As well as being open to your own feedback, a good MLS supplier will come to you with ideas for ongoing improvements, such as introducing new technology or assets, or refining and automating the processes, templates and/or playbooks they use for your contracts.
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Which work to outsource

A managed legal service works best for repeatable contracts. It’s best to identify a particular block of similar contracts that are causing your team difficulties. The ideal contract types to outsource are those where:
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• you enter into ‍at least 50 contracts a year on the same or similar terms
• the contracts are regularly negotiated (so not, for example, consumer agreements), and
• the value of each contract is less than £10m.

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What to Look for in a Managed Legal Services Provider: A Checklist

We’ve put together a checklist to help you narrow down your options when looking for an MLS provider. Some points you should be considering:
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• Experience with contracting as a process
  • The most important thing to look for in an MLS provider is provable expertise in how to deliver contracts well.
• Contract specialisation (up to a point)
  • Different contract types all require understanding of how the industry works, the underlying subject matter, and any relevant regulation.
  • But don’t get too hung up on finding a provider with experience in your exact specialisation: you can often cover the details using playbooks.

• Staffing
  • Will the supplier be using lawyers or paralegals?
  • Are you paying for the number of contracts supported, or the number of people dedicated to the account?
  • If it’s the latter, how are you protected if productivity is lower than expected?
• Technology
  • What technology is the supplier providing?
  • Will you need to change how you work to incorporate their technology?
  • Does the provider charge extra for integrating their systems?
  • Is the supplier prepared to access and use your systems, if needed?

• Continuous improvement
  • Does the provider offer ongoing improvements?
  • Will these be charged separately?
  • Who will drive identifying what to improve next?
  • How will your priorities be accommodated?

• Service levels
  • What service standards will the supplier meet, such as turnaround times?
  • What metrics do they usually track?
  • What historic service levels data can they show for other clients?
  • What will be the impact if agreed standards are not being met?

• Culture fit and communication
  • How does the provider's approach to their service align with your company's values and communication styles?

• Flexibility and scalability
  • How fast can the supplier scale if your needs change?
  • Can you require the service to change over time?
  • What level of commitment do you need to make?

• Scope of support
  • Will the MLS provider cover the full contracting process, including negotiation calls, or will these be handed back to the internal team?
  • Do you need support for triage, or for extracting information for your contract management system?
  • Do you need specialist advice on topics like data protection, tax, and employment law?

• Escalations
  • At what points will the provider need to escalate to your legal team?

• Geography and languages
  • What timezones do you need covered for negotiations and internal calls? 
  • Which language(s) will your contracting be conducted in?

• Pricing
  • Will you be charged on inputs ie the hours spent on your contracts and the number of people working on them…
  • …or on outputs, ie the number of contracts supported? 
  • Is the supplier incentivised to be efficient?

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Radiant Law: Trusted Managed Legal Services Team

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Radiant Law’s managed legal services team offers:
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• A team of commercial lawyers, experienced at supporting clients with specialist contracts from start to finish
• Effective use of templates and playbooks to ensure consistent standards and agreed rules for when we escalate to you
• Fixed prices - you pay per month or per contract, not per hour
• Cutting-edge technology and software to make your processes more efficient and cost-effective - without the need for you to implement new systems in-house
• An emphasis on continuous improvement: we will improve the ways we support you every quarter
• High service standards, with a typical turnaround time of four hours and great feedback from satisfied customers
• Scalable services, to ensure a consistent level of service if your needs change temporarily or long-term
• Teams of lawyers - locally qualified and trained in English contract law - in South Africa, Trinidad, and Malaysia, allowing us to support international deals from Tokyo to Los Angeles

Get in touch to learn more about how managed legal services can transform your legal operations.