Industry Trends

Ice, Ice Baby! Is eDiscovery Business Confidence on Ice or Warming Up?: eDiscovery Trends

Hard to believe that we’ve started the fourth year of the Complex Discovery eDiscovery Business Confidence Survey!  The results are in for the Winter 2019 eDiscovery Business Confidence Survey and as was the case for the previous three years’ surveys, the results for this year’s Winter survey are published on Rob Robinson’s terrific Complex Discovery site.  How confident are individuals working in the eDiscovery ecosystem in the business of eDiscovery?  Let’s see.

As always, Rob provides a complete breakdown of the latest survey results, which you can check out here.  As I’ve done for the past few surveys, I will provide some analysis and I’m continuing to take a look at all surveys conducted to look at trends over time.  So, this time, I will look at the results for all thirteen surveys to date.

The Winter 2019 Survey response period was initiated on December 27 and continued until registration of 75 responses last week.  Initiated in January 2016, to date the survey has been administered thirteen times with 1,268(!) individual responses.

Providers, Providers, Providers: Software and/or Services Provider respondents tied for the top spot with Law Firm respondents at 29.3% of all respondents.  Consultancy respondents were again third at 22.7%.  If you count law firms as providers (they’re technically both providers and consumers), this is a provider heavy survey with 83.3% of total respondents (which is high, but not as high as last time).  Here’s a graphical representation of the trend over the thirteen surveys to date:

So, it’s another provider heavy survey (if not quite as heavy).  So, how confident are providers in eDiscovery business confidence?  See below.

A Little Over Half of Respondents Consider Business to Be Good: Yo-yo time!  This time, 53.3% of respondents considered business to be good, over 9% (9.1%, to be exact) less than the 62.4% we had last quarter.  And, 4.7% less than last Winter when it was 58%.  10.7% of respondents rated business conditions as bad, which is the first time it was over ten percent since back in Summer 2016.  So, it seems the pattern of up and down over quarters continues.  Here is the trend over the thirteen surveys to date:

So, how good do respondents expect business to be in six months?  See below.

Lowering Numbers on Revenue and Profit Expectations As Well: While most respondents (93.3%) expect business conditions will be in their segment to be the same or better six months from now, that’s almost three percentage points worse than last quarter’s 96.5%), but the percentage expecting business to be better did rise to 52%.  However, revenue (at combined 92% for the same or better) is 2.1 points worse than the last quarter.  Profit expectations (combined 93.3%) rose 6.6 points from last quarter, but with those expecting higher profits dropping to a new low of 28% – 10.7% lower than the previous low and down 25% since last summer. Here is the profits trend over the thirteen surveys to date:

Are the prophets predicting lower profits (see what I did there?) correct?  We’ll see.

It’s Budget Time!  Budgetary Constraints Considered to Be Most Impactful to eDiscovery Business: Budgetary Constraints moved back from tied for last to all the way to the top at 22.7%.  Increasing Volumes of Data was once again second at 21.3%, followed by Increasing Types of Data at 18.7%.  Inadequate Technology was fourth at 13.3%, followed by Lack of Personnel and Data Security tied for last at 12%.  The graph below illustrates the distribution over the thirteen surveys to date:

It’s not surprising that, as often as not, it’s about the costs in the end.

Level of Support Can’t Get More Even: A three-way tie!  Executive Leadership, Operational Management and Tactical Execution respondents were all tied at 33.3%.  So, from a level of support standpoint, you can’t get more balanced than that.  Here’s the breakdown over the thirteen surveys to date:

The variance in distribution continues each quarter, demonstrating that it’s not the same people giving the same answers each time.

Again, Rob has published the results on his site here, which shows responses to additional questions not referenced here including the three recently added questions.  Maybe we’ll cover them soon?  Anyway, check them out.

So, what do you think?  What’s your state of confidence in the business of eDiscovery?  Please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

It’s 2019! Here Are Key Events Happening This Year in eDiscovery: eDiscovery Trends

Happy New Year everybody!  It’s 2019, and (as Mike Greenberg used to say on the old Mike and Mike ESPN morning sports show), we’re back and better than ever!  So, what is happening in eDiscovery in 2019?  A lot more than you probably realize and, thanks to Rob Robinson’s Complex Discovery blog, you have one place to check it all out!

In his post An Early Start: A Working List of 2019 eDiscovery Events, Rob provides not just a list of events (45 in all listed on the post – so far), but also provides links to each of them so that you can check them out for more info.  Here are a few highlights:

  • January 1.28-31: Legalweek, New York, NY (it’s only 26 days away!)
  • February 2.27-3.2: ABA TECHSHOW, Chicago, IL
  • February 2.28: Masters Conference, Dallas, TX (the first of several Masters Conference events this year)
  • March 3.5-7: 8th Annual Arkfeld eDiscovery Conference, Phoenix, AZ
  • May 5.8-10: 2019 Women in eDiscovery Conference, Austin, TX
  • May 5.14-16: Annual Corporate Legal Operations Consortium (CLOC) Institute, Las Vegas, NV
  • August 8.18-22: ILTACON 2019, Lake Buena Vista, FL
  • October 10.20-23: Relativity FEST, Chicago, IL
  • October 10.27.30: 2019 ACC Annual Meeting, Phoenix, AZ

Of course, as you can imagine on January 2, the timing of several events is still to be determined and some events may not yet be listed.  If you know of an event that needs to be listed or any corrections or other updates to be made, Rob provides a mechanism on his post to send him an email to let him know the event name, date, location and URL for the event.  So, this post will continue to reflect an updated list of events over time.

Also, believe it or not, Rob’s quarterly eDiscovery Business Confidence Survey is entering its fourth year.  Last week, Rob issued the Winter 2019 survey in this post titled A Winter of Discontent? The Winter 2019 eDiscovery Business Confidence Survey.  “A Winter of Discontent”?  We’ll see.  Anyway, Rob indicates that the response period is up to mid-January 2019, so if you want to participate, you should complete the survey ASAP.  As usual, we will cover the results here as we have done for the previous 12 surveys (click here for our coverage of the last survey, which includes trends over the 12 surveys and links to each of them).

So, what do you think?  How many events do you plan to attend this year?  Please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

You Have Gifts Already Waiting for You This Holiday Season: eDiscovery Holiday Greetings

Tom O’Connor and I conducted another successful CLE webcast yesterday, recapping the 2018 eDiscovery Year in Review, and it occurred to me that we don’t emphasize enough that all of the CLE webcasts we do are available for you to check out on your own – even months after the webcast has been conducted!  You just might be able to complete your entire CLE requirement by watching our webcasts!

But first, a quick note that The Expert Institute’s 2018 Best Legal Blog Contest has a little over two days left.  If you like our blog, please consider voting for us!  Simply go to this link, log in via Google, LinkedIn or Twitter, and cast your vote.  We appreciate the support!

Anyway, here’s a list of the CLE webcasts we’ve conducted this year:

Twelve CLE webcasts, twelve days of Christmas!  Coincidence?  I think not!  :o)

What a lot of people don’t realize is that CLE-accreditation is not just available for those who attended these webcasts live, it’s also available for those who view the webcasts on demand.  They are truly the gift that keeps on giving – CLE credits.  While each of these webcasts were accredited in selected states, CLE accreditation is available in additional states via reciprocity credit.  So, if you want to ask about CLE credit on any particular webcast, feel free to email me at daustin@cloudnine.com.

These twelve are part of nearly forty total informative webcasts on our site at our Webcasts page here.

I want to thank all of you who have read this blog over the course of this year and all of you who have attended at least some of our webcasts.  There are literally thousands of you who have done one or both and we wouldn’t have a reason to do it without your support.  Also, thanks to Tom O’Connor, my “wingman” for all of his contributions to our webcasts this year, he’s not only highly informative, but also a fun webcast partner.

We’re into our ninth year for eDiscovery Daily, and (other than the couple of weeks I take off at the end of each year to “recharge my batteries” – starting now!), are still going strong.  As we always say, please share any comments you might have or if you’d like to know more about a particular topic.  We love your feedback and suggestions (like the case law suggestion we received and published in yesterday’s post)!

Merry Christmas, Happy Holidays and Happy New Year!!  eDiscovery Daily will resume with new posts after the new year on January 2.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

Today’s the Day to Learn about Important eDiscovery Developments for 2018: eDiscovery Webcasts

2018 has been a very busy and significant year from an eDiscovery standpoint. This year has had everything from new data privacy laws here and in Europe to the use of Internet of Things (IoT) devices in discovery to important trends regarding the use (or non-use) of Technology Assisted Review (TAR) to a landmark SCOTUS case regarding accessing cell phone location data without a warrant.  Today’s webcast will discuss what do you need to know about these and other important 2018 events and how they impact your eDiscovery efforts.  It’s our last webcast of the year!

Today at noon CST (1:00pm EST, 10:00am PST), CloudNine will conduct the webcast 2018 eDiscovery Year in Review. In this one-hour webcast that’s CLE-approved in selected states, we will discuss key events and trends in 2018, what those events and trends mean to your discovery practices and provide our predictions for 2019. Topics include:

  • Technology Competence Trends and Developments
  • CLOUD Act and the Microsoft Ireland Case
  • General Data Protection Regulation (GDPR) and California Data Privacy Law
  • Data Privacy and Cybersecurity Trends and Challenges
  • SCOTUS Ruling in Carpenter v. US
  • Technology Assisted Review (TAR) Trends
  • Internet of Things (IoT) Devices as Sources of ESI
  • Business and Investment Trends within eDiscovery
  • Form of Production Trends and Disputes
  • New Resources for eDiscovery Best Practices

As always, I’ll be presenting the webcast, along with Tom O’Connor.  To register for it, click here.  It’s not too late!  Even if you can’t make it, go ahead and register to get a link to the slides and to the recording of the webcast (if you want to check it out later).  If you want to learn how key events and trends in 2018 can affect your eDiscovery practice, this webcast is for you!

So, what do you think?  Were you busy this year and have FOMO (fear of missing out) on important info for 2018?  If so, please join us!  And, as always, please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

A Second State Now Has Approved a Technology CLE Requirement for its Lawyers: eDiscovery Trends

In 2016, Florida became the first state to mandate technology training for lawyers, when it adopted a rule requiring lawyers to complete three hours of CLE every three years “in approved technology programs.”  Then, back in May, we reported that another state was getting close to requiring technology training for part of their yearly CLE requirement.  Now, that state has formally approved that requirement.

According to Robert Ambrogi and his Law Sites blog (North Carolina Becomes Second State to Mandate Technology Training for Lawyers), North Carolina (my new home away from home because of this) has become the second state to mandate continuing education for lawyers in technology. Beginning in 2019, all lawyers will be required to complete one hour per year of CLE devoted to technology training.

The North Carolina Supreme Court approved the requirement at a conference on Sept. 20, according to the State Bar’s website.

As proposed by the State Bar, the new rule read:

“Technology training” shall mean a program, or a segment of a program, devoted to education on information technology (IT) or cybersecurity (see N.C. Gen. Stat. §143B-1320(a)(11), or successor statutory provision, for a definition of “information technology”), including education on an information technology product, device, platform, application, or other tool, process, or methodology. To be eligible for CLE accreditation as a technology training program, the program must satisfy the accreditation standards in Rule .1519 of this subchapter: specifically, the primary objective of the program must be to increase the participant’s professional competence and proficiency as a lawyer. Such programs include, but are not limited to, education on the following: a) an IT tool, process, or methodology designed to perform tasks that are specific or uniquely suited to the practice of law; b) using a generic IT tool process or methodology to increase the efficiency of performing tasks necessary to the practice of law; c) the investigation, collection, and introduction of social media evidence; d) e-discovery; e) electronic filing of legal documents; f) digital forensics for legal investigation or litigation; and g) practice management software. See Rule .1602 of this subchapter for additional information on accreditation of technology training programs.

Here is the full text of the new rule amendments.

Next up, Pennsylvania?  Earlier this year, the ABA Journal reported that the Pennsylvania Bar has also recommended that the state supreme court adopt a one-hour, every two-years technology CLE requirement.  No word on that approval – yet.

So, what do you think?  Will we see more states require technology CLE?  Please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

Seriously, Your “Mashup” of eDiscovery Market Estimates Can’t Possibly Be Any Earlier, Right?: eDiscovery Trends

The appearance of the mashed potato graphic can only mean one thing (besides making me hungry, that is!).  It’s time for the eDiscovery Market Size Mashup that Rob Robinson compiles and presents on his Complex Discovery site each year.  It’s also become an annual tradition for him to release it earlier and earlier each year.  And, this year is no exception.

Last year, Rob released his annual mashup over the Christmas holidays.  This year, Rob released his worldwide eDiscovery services and software overview for 2018 to 2023 – before Thanksgiving!  I almost missed it.  At this rate, I predict it before Halloween next year…  :o)

This is the seventh(!) year we have covered the “mashup” and we can continue to gauge how accurate those first predictions were.  The first “mashup” covered estimates for 2012 to 2017 and, last year, we took a look how close the estimate was for 2017 way back when.  This year, we can look at the original 2018 estimate for 2013 to 2018. We’ve also covered the estimates for 2014-2019 (in two parts), 2015 to 2020, 2016 to 2021 and 2017 to 2022 and will undoubtedly look at those in future years.

Taken from a combination of public market sizing estimations as shared in leading electronic discovery publications, posts, and discussions (sources listed on Complex Discovery), the following eDiscovery Market Size Mashup shares general market sizing estimates for the software and services area of the electronic discovery market for the years between 2018 and 2023.

Here are some highlights (based on the estimates from the compiled sources on Rob’s site):

  • The eDiscovery Software and Services market is expected to grow an estimated 13.09% Compound Annual Growth Rate (CAGR) per year from 2018 to 2023 from $10.11 billion to $18.7 billion per year. Services will comprise approximately 69.9% of the market and software will comprise approximately 30.1% by 2023.
  • The eDiscovery Software market is expected to grow at an estimated 13.23% CAGR per year from $3.02 billion in 2018 to $5.62 billion in 2023. In 2018, software comprises 29.9% of the market and, by 2023, 62% of the eDiscovery software market is expected to be “off-premise” – a.k.a. cloud and other Software-as-a-Service (SaaS)/Platform-as-a-Service (PaaS)/Infrastructure-as-a-Service (IaaS) solutions.
  • The eDiscovery Services market is expected to grow at an estimated 13.03% CAGR per year from 2018 to 2023 from $7.09 billion to $13.08 billion per year. The breakdown of the services market by 2023 is expected to be as follows: 65% review, 19% processing and 16% collection.

If we look at the original “mashup” that we covered for 2013 to 2018, the original eDiscovery Software and Services market estimate for 2018 was $11.02 billion, the original Software portion of the estimate was $3.31 billion and the original Services portion of the estimate was $7.72 billion.  So, the original software estimate was overstated at .29 billion, while the original services estimate was overstated by .63 billion.  Overall, that’s an overstatement of .92 billion.  Not surprising, since the CAGR for both has declined in the latest estimates.  Here is the variation in CAGR over all seven “mashups” we have covered.

A couple of other notable stats:

  • The U.S. constitutes approximately 64% of worldwide eDiscovery software and services spending in 2018, with that number decreasing to approximately 59% by 2023.
  • Off-Premise software spending constitutes approximately 52% of worldwide eDiscovery software spending in 2018, with that number increasing to approximately 62% by 2023. This is a slower move to off-premise than previously forecasted.

So, what do you think?  Do any of these numbers surprise you?  Please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

A New Product Helps You Get “Context” on Judge’s Opinions and Expert Witnesses: eDiscovery Trends

A legal analytics product being launched last week by LexisNexis analyzes the language of specific judges’ opinions to identify the cases and arguments each judge finds persuasive as well as analytics on expert witnesses.  And, we remember one judge who, sadly, passed away over the weekend.

According to Bob Ambrogi’s LawSites blog (‘Context,’ Launching Today from LexisNexis, Applies Unique Analytics to Judges and Expert Witnesses), the new product, Context, is “déjà vu all over again” (my second favorite Yogi Berra line). The original version of these judge analytics was launched by Ravel Law in 2015. After LexisNexis acquired Ravel in June 2017, development pivoted to incorporating Ravel’s tools into the Lexis Advance legal research platform. The first stage of that incorporation came last June, when Lexis Advance integrated Ravel’s case law visualization tools as a product called Ravel View. Last week’s launch of Context is the second major step in that integration.

Last week’s launch, with judge analytics and expert witness analytics, is the first phase of Context. Future releases will add court analytics, company analytics, and lawyer and law firm analytics.

Bob broke down the capabilities, as follows:

Judge Analytics

What makes this product unique among litigation analytics tools is that it analyzes the language of court documents.  Unlike other products, which can only tell you information such as how long a particular type of case is likely to last, how a judge is likely to rule on a particular type of issue, or how other lawyers have fared before a particular judge, Context analyzes the text of court documents to find language and citations that could prove persuasive to a particular judge. Specifically, it tells you how a judge has ruled on 100 different types of motions and the judges, cases and text the judge most commonly relied on in making those rulings.

Say you are filing a motion for summary judgment. Using Context, you could look up the judge and determine the rate at which that judge grants or denies summary judgment. You could see all of the specific cases in which the judge made these rulings. Then, going deeper, you can see the opinions that the judge most frequently cites in summary judgment cases, and even the specific text from those opinions that the judge most frequently relies on.

With this information, you can tailor your memorandum to fit the judge. You can cite the judges, cases and even passages that you know the judge has relied on in the past and finds persuasive.  Context’s judge analytics cover all federal judges, including appellate judges, and some, but not all, state court judges.  And, there is no backward time limit to Context’s coverage. If a judge has been on the bench for decades, the entirety of the judge’s output is included in Context’s analytics.

Expert Witnesses

The expert witness analytics released last week are a new analytics product not previously offered as part of Ravel’s original set of analytics tools. The reason for that is simple: Ravel did not have data on expert witnesses, but LexisNexis has an extensive set of such data, covering more than 380,000 experts.

For each expert covered by Context, a user can see an overview that provides biographical and experiential information about the expert. For many experts, this includes not only the expert’s current CV, but also prior versions of the CV as it has been presented over the years. The overview also shows whether the expert is typically hired by plaintiffs or defendants, the number of cases per year the expert is engaged in, and the expert’s experience by jurisdiction and areas of law.

Pricing and Availability

LexisNexis is offering 30 days of free access to Context to any Lexis Advance subscriber who registers at www.lexisnexis.com/context. The free trial will run from Jan. 2 to Jan. 31, 2019. In addition, LexisNexis is providing free access starting today to all law school faculty, and to all law students who have a Lexis Advance ID starting Jan. 2.   You can read more about Context (and see screen shot examples of the product) via the link to Bob’s article above.

*  *  *  *  *  *  *  *  *  *

Also, The Sedona Conference® yesterday announced the passing of U.S. Magistrate Judge Craig Shaffer of the District of Colorado, who passed away after a battle with cancer in the early hours of Saturday, December 1.  Judge Shaffer—“Craig” to everyone in The Sedona Conference—was a regular dialogue leader at Working Group 1 meetings and a member of the faculty of three Sedona Conference Institute programs.  In addition to his long legal career, Craig was an invaluable contributor to several Working Group Series publications, including the Commentary on Proportionality in Electronic Discovery (May 2017) and Commentary on Defense of Process (September 2016). He was also one of the original signatories to the Cooperation Proclamation and served on The Sedona Conference Advisory Board since 2006.  You can read more about Judge Shaffer at the TSC website here.

While I never met Judge Shaffer personally, I am certainly aware of him by reputation and it’s clear he has had a significant impact on the legal profession.  My thoughts and prayers are with his family.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

Hewlett-Packard/Autonomy Deal Results in More Indictments: eDiscovery Trends

There continues to be more legal fallout from the Hewlett-Packard (HP) 2011 acquisition of Autonomy (which we covered here) and HP’s allegations that there were “serious accounting improprieties, disclosure failures and outright misrepresentations at Autonomy” before the acquisition (which forced HP to take an $8.8 billion charge in 2012.  Then, earlier this year, former Autonomy CFO Sushovan Hussain was convicted of 16 counts of wire and securities fraud related to the $10.3 billion transaction.  Now, more indictments have been handed down.

According to Bloomberg (Ex-Autonomy CEO Michael Lynch Indicated for Fraud Tied to 2011 HP Deal, written by Joel Rosenblatt), Michael Lynch, the former CEO of Autonomy, stepped down Friday as an adviser to U.K. Prime Minister Theresa May after he was charged with fraud in the U.S.  Prosecutors had long identified Lynch, 53, as a co-conspirator with Hussain.  The indictment, filed in San Francisco federal court, also names 46-year-old Stephen Keith Chamberlain, who was Autonomy’s vice president for finance, as a defendant. Lynch and Hussain also face a $5.1 billion civil case filed by HP in London.  Autonomy was the U.K.’s second-largest software business at the time.

Lynch used false and misleading statements from 2009, 2010 and early 2011 “to make Autonomy more attractive to a potential purchaser like HP,” according to the indictment, which says Lynch made $815 million when HP acquired his Autonomy shares.

Lynch’s lawyers called the indictment a travesty, saying it shouldn’t have been brought in the U.S. as it “targets a British citizen with rehashed allegations about a British company regarding events that occurred in Britain a decade ago.” They said the U.S. is making Lynch a “scapegoat” for HP’s “long history of failed acquisitions.”  But, Hewlett Packard Enterprise Co. (which was formed in the breakup of HP’s corporate computing divisions from its printer and PC business in 2015) praised the indictment.  “HPE believes that the facts uncovered during the course of this matter will further demonstrate the harm that was caused by Dr. Lynch, Mr. Chamberlain, Mr. Hussain and others to HP,” spokesman Emmanuel Fyle said in an email.

The charges were filed as lawyers representing Invoke Capital, a London-based venture capital firm founded by Lynch, are resisting a court order requiring Hussain to disclose details about his financial dealings with Lynch that prosecutors said raise concerns about “potential hush money.” Hussain, whose sentencing date was postponed, was required to disclose his stake, with Lynch, in Invoke and startup company Darktrace Ltd.

The government has argued that Lynch’s reassembling of his Autonomy inner circle at the new firm, including Hussain, isn’t illegal by itself but may have created financial relationships that prevented some of those people from coming forward as witnesses.

It certainly appears that the fallout from this 2011 acquisition will continue for some time to come.

So, what do you think?  Will we see an eDiscovery deal like that again?  As always, please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

Here’s a Webcast to Learn about Important eDiscovery Developments for 2018: eDiscovery Webcasts

I know it seems like we just conducted a webcast (we did, two days ago), but we already have another one coming up!  2018 has been a very busy and significant year from an eDiscovery standpoint. This year has had everything from new data privacy laws here and in Europe to the use of Internet of Things (IoT) devices in discovery to important trends regarding the use (or non-use) of Technology Assisted Review (TAR) to a landmark SCOTUS case regarding accessing cell phone location data without a warrant.  Here’s a webcast that will discuss what do you need to know about these and other important 2018 events and how they impact your eDiscovery efforts.

Wednesday, December 12th at noon CST (1:00pm EST, 10:00am PST), CloudNine will conduct the webcast 2018 eDiscovery Year in Review. In this one-hour webcast that’s CLE-approved in selected states, we will discuss key events and trends in 2018, what those events and trends mean to your discovery practices and provide our predictions for 2019. Topics include:

  • Technology Competence Trends and Developments
  • CLOUD Act and the Microsoft Ireland Case
  • General Data Protection Regulation (GDPR) and California Data Privacy Law
  • Data Privacy and Cybersecurity Trends and Challenges
  • SCOTUS Ruling in Carpenter v. US
  • Technology Assisted Review (TAR) Trends
  • Internet of Things (IoT) Devices as Sources of ESI
  • Business and Investment Trends within eDiscovery
  • Form of Production Trends and Disputes
  • New Resources for eDiscovery Best Practices

As always, I’ll be presenting the webcast, along with Tom O’Connor.  To register for it, click here.  Even if you can’t make it, go ahead and register to get a link to the slides and to the recording of the webcast (if you want to check it out later).  If you want to learn how key events and trends in 2018 can affect your eDiscovery practice, this webcast is for you!

So, what do you think?  Were you busy this year and have FOMO (fear of missing out) on important info for 2018?  If so, please join us!  And, as always, please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.

Tomorrow is the Day to “Master” Your Knowledge of eDiscovery in Orlando for 2018: eDiscovery Trends

If you’re going to be in the Orlando area tomorrow, join me and other legal technology experts and professionals at The Master’s Conference Orlando event.  It’s a full day of educational sessions covering a wide range of topics!

The Master’s Conference brings together leading experts and professionals from law firms, corporations and the bench to develop strategies, practices and resources for managing eDiscovery and the information life cycle.  This year’s Orlando event covers topics ranging from big data to cybersecurity to project management best practices to evaluating technology to blockchain (twice!), among other things.

The event is being held tomorrow at Greenberg Traurig, P.A., 450 S Orange Ave #650, Orlando, FL 32801.  Registration begins at 8am, with sessions starting right after that, at 8:30am.

CloudNine will be sponsoring the session Data, Discovery, and Decisions: Extending Discovery From Collection To Creation at 9:45am tomorrow.  I will be moderating a panel of eDiscovery experts that includes Matthew Detzel, Attorney at Akerman LLP; Brad Koehler, Senior Director with Alvarez & Marsal; and Chad Roberts, Discovery Counsel at eDiscovery CoCounsel, pllc.  We will be discussing the challenges that big data places on information governance and legal discovery professionals and potential approaches for addressing those challenges.  Hope you can join us!

Click here to register for the conference.  The cost to attend can be as low as $150 for one day of terrific educational content.  So, if you plan to attend and haven’t registered yet (why not?), now is the time to do it.

While there are no more events scheduled for this year (because the year is almost over, duh), The Masters Conference is working on its event schedule for next year.  Should have more information on that soon!

So, what do you think?  Are you going to be in Orlando tomorrow?  If so, come join us!  If not, come to Orlando and then join us!  And, as always, please share any comments you might have or if you’d like to know more about a particular topic.

Sponsor: This blog is sponsored by CloudNine, which is a data and legal discovery technology company with proven expertise in simplifying and automating the discovery of data for audits, investigations, and litigation. Used by legal and business customers worldwide including more than 50 of the top 250 Am Law firms and many of the world’s leading corporations, CloudNine’s eDiscovery automation software and services help customers gain insight and intelligence on electronic data.

Disclaimer: The views represented herein are exclusively the views of the author, and do not necessarily represent the views held by CloudNine. eDiscovery Daily is made available by CloudNine solely for educational purposes to provide general information about general eDiscovery principles and not to provide specific legal advice applicable to any particular circumstance. eDiscovery Daily should not be used as a substitute for competent legal advice from a lawyer you have retained and who has agreed to represent you.