The Nation (Nairobi)

Kenya: Local Lawyers Should Adapt Modern Technology

opinion

Nairobi — Lawyers charge a professional fee for services rendered to clients. However, the charging system has hardly changed despite the advancement in technology including availability of email, word processors and document assembly tools that enhance productivity.

Most practitioners still charge by the hour even when the situation calls for a task oriented billing.

The fact that advocate's fees are regulated by the Advocates Act (Cap. 16) has reinforced this behaviour.

The Act sets a minimum fee to be paid by a client on specified services given by the advocate based on the time spent, complexity of the task and even the experience of the service provider.

It is time for change from an hourly to a flat rate billing method.

This does not mean that fixed rates should be applied to all situations. A matter of appreciable complexity or where the situation is unpredictable is not fit for fixed rate billing.

The opposite is true for cases such as personal injury claims where the fee is a fixed one third of the general damages payable to the claimant. It therefore follows that the advocate acting for the claimant will be eager to conclude the suit. If it takes longer than planed for, it eats into his profits.

Clients are under the impression that advocates will ensure a matter drags on to maximise their fees. It is a notion difficult to dispel.

After all, the client reasons, why should he pay more for the same work over time?

The client is interested in being serviced qualitatively and cost effectively. A fixed rate is attractive to clients not only because it ensures the work is done faster, but also because he can tell from the onset how much he will pay.

For a law firm to provide services at fixed rates, it needs to first identify the tasks which can be effectively billed this way.

If one is, for instance, into conveyancing, drawing Sale Agreements, charges or guarantees where the clauses are usually the same and only a few details are altered, then the practitioner should develop an appropriate document assembly system.

A summary sheet of the required contract information should be at hand to avoid having to proof read the document twice. Software for automation of most routine law office procedures is available in the market and a firm can make an appropriate investment based on its needs. Once people adapt to the system, the benefits will soon be realised.

Those who do not want change argue that the faster you work, the less paid you will be per file and that you are also likely to have a lot of time going to waste.

In an increasingly competitive market with small profit margins, volume counts. Clients are also willing to pay for your efficiency.

That aside, advocates can have a fixed rate for specified tasks and bill hourly for services such as conferences with clients. The benefit in less turn around time is then passed to the client.

As for the practitioner the time saved can be put to other beneficial uses.

The legal profession has to rise to the challenges of the modern business environment. We cannot practice law the same way we did a century back and have to harness technology and other resources to meet client's needs.


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