Is there a Litigation Services Pricing Controversy?

| December 20, 2012

PricingTransparencyA recent post titled, “eDiscovery Leader Featured in Forbes,” appears to have inadvertently caused some controversy in the litigation services market.  The post was based upon an online article that recently appeared on the Forbes site titled, “Abtin Buergari’s Modus Disrupts “Corrupt” eDiscovery Business,”  where Abtin Buergari, CEO of  Modus, stated that Modus provides predictable fixed pricing to address the fact that the entire litigation services and technology business is not only terribly broken, but “corrupt” in the sense that the incentives around the eDiscovery service side of the legal business are at odds with client interests.

Some in the industry took offense to these comments.  In defense of Abtin’s position on pricing, and as I stated in the initial article on this topic,  in a 2012 Study of Global 250 General Counsel on eDiscovery that eDSG released early this year,  85% of the General Counsel that responded to this study indicated that one of their Top Pet Peeves was Outside Counsel and LPOs Knowingly Low Balling Cost Estimates.  We all know that it has been standard practice in the industry since the days of paper to under quote, bury costs or provide very confusing pricing to win bids and then come back after you win and increase pricing over the life of the project with additional fees.

However, in an effort to provide fair and balanced reporting on all topics, eDSG has agreed to run another open poll for the next week on the topic of pricing of litigation services pricing practices.   These polls will be available on the eDiscoveryTimes site for the next week and will be sent out to over 25,000 contacts in the litigation market.

There are actually two separate polls as follows:

 

 

I will publish the results of these polls the first week in January 2013 along with my analysis of the results.  In addition, I am also in the process of completing the 2013 Study of of the Global 250 General Counsel on eDiscovery which will include a more in-depth study of their specific experiences with litigation services and technology pricing along with their opinions.  This report will be published in early 2013.

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Category: eDiscovery, Law Firms, Litigation Service Providers, Pricing

About the Author ()

Charles Skamser is an internationally recognized technology sales and marketing leader with over 25 years of experience in Information Governance, eDiscovery, computer assisted analytics, cloud computing, Big Data analytics and IT Automation. Charles is the founder and Senior Analyst for eDiscovery Solutions Group, a global provider of information management consulting, market intelligence and advisory services specializing in information governance, eDiscovery, Big Data analytics and cloud computing solutions. Previously, Charles served in various executive roles with disruptive technology start ups and well know industry technology providers. Charles is a prolific author and a regular speaker on the technology that the Global 2000 require to management the accelerating increase in Electronically Stored Information (ESI). Charles holds a BA in Political Science and Economics from Macalester College.
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