A big challenge for law firms and corporations is budgeting for e-discovery. Traditional methods of pricing Electronic Data Discovery (EDD) services have relied on cost-plus methods that accentuate variations in data quantities and complexity making budgeting difficult, if not impossible.
Regardless, corporate CEOs and CFOs are pressuring both internal legal departments and outside counsel to rein in runaway legal expenses. One answer, we believe, is flat fee pricing. Flat fee pricing addresses the budgeting challenges of EDD.
The cost variability of EDD is driven, primarily, by two factors. The first is the inherent unpredictability of the discovery process. Unknowns include the amount of data to be collected, the quality of the data, the variety of file and custodian types, and the duration and complexity of litigation. Any or all of these factors can dramatically impact the cost of discovery.
The second factor contributing to cost unpredictability is the use of cost-plus pricing systems by EDD vendors. These cost-plus systems are traditionally based on hourly rates or data quantities which reflect all of the unpredictability of the discovery process. As a result, cost-plus pricing systems place the burden for cost variation on the client or corporation, even when variations are caused by vendor processing errors.
Law firms share in the responsibility to manage EDD costs and budgets. Providing stable discovery costs can go a long way to meeting the corporate client’s needs; a potential differentiator for the law firm in an increasingly competitive landscape.
The challenge with stabilizing discovery costs? Who takes the risk for absorbing variations in cost as a result of missed assumptions about the many factors inherent in almost every discovery project?
VeDISCOVERY has an answer. We would like to introduce our flat-fee pricing for single matters and a subscription price plan for multiple matters. Each of these programs includes the key steps of data processing, loading, document-by-document review, and production for a fixed price. No more guessing on your EDD budget.
If you would like to learn more, please call us at 800-310-0981 or simply CLICK HERE.