Document automation helps reduce legal risks for large corporations by 50%
Technology helps companies in a multitude of sectors to reduce their legal risks by 50%, according to Bigle Legal, southern Europe’s leading Contract Lifecycle Management company.
According to the legal tech company, legal departments in large corporations, across a multitude of industries, and law firms highlight the effectiveness of such solutions in reducing legal contingencies.
An example of this is Santalucia Insurance, a relevant insurance company in different markets, which has adopted this contract lifecycle management software and, after its implementation, has managed to reduce its legal risks by 50%.
Real estate is another sector that can benefit from this type of technology. Real estate companies manage a large number of legal documents, which are often complex and contain a wide variety of clauses.
Primer Grupo Inmobiliarias is a Spanish real estate company that adopted document automation and managed to reduce its legal risks thanks to it. Its Expansion Manager, Marisol Ruix, explains that, with this technology, “we have more security and peace of mind. Our legal department adapts the templates to the latest legislative changes and automatically updates all the affected documents throughout our real estate franchise.”
Bigle Legal explains that the legal departments of companies handle, under normal conditions, a very high volume of work, at the same time that they are in charge of managing contracts and documents of vital importance for their companies. When they have a peak workload, they suffer from endless working days and a backlog of unread emails.
In this situation, they can lose control over the processes of the relevant documents they manage on a day-to-day basis, exposing companies to risks that can lead to serious and unwanted contingencies.
According to the Data breach Investigations Report 2021 (DBIR), 44% of security breaches in the financial services and insurance sector were caused by internal company employees. Unwanted leaks of contracts or corporate documents not only call into question the credibility of the company but are also likely to generate considerable losses for the company.
Contract management, among the solutions most widely used by innovators
The implementation of legal tech and legal operations is growing and, in 2021, one of the main focuses of investment by companies in this area was the automation of contract management. 74% of companies implementing legal tech solutions are betting on this functionality. The e-signature is another priority: 87% of companies decide to invest in this technology in their legal operations1.
Bigle Legal claims that such solutions also offer time savings that are highly beneficial for companies. While it takes an average of 120 minutes to create, review, store, sign and collaborate on contracts through the traditional process, automation completes the entire process in less than 10 minutes.