Working with LPO Vendors: Relationship or Transaction?

October 28, 2009

If you are thinking about working with a Legal Process Outsourcing (LPO) vendor, you will generally do well to evaluate vendors with the assumption that your relationship with the selected vendor(s) will be a long-term relationship and not simply a single transaction.  Even if you are seeking a vendor for a discrete instance of work (e.g., a privilege review of documents for a single piece of litigation), you are likely to have recurring instances of similar work, and may want to outsource them again in the future.  By investing the resources up front to make sure that the right vendor is selected, you can save potential future costs by (i) minimizing the likelihood of incompetent or otherwise inappropriate vendors, (ii) having selected an alternative vendor in the event a primary vendor is conflicted out or otherwise unavailable, and (iii) having selected a vendor that has the desire and ability to grow with your needs.  In forming a relationship with a vendor, I generally recommend that clients establish a dedicated team at the vendor to service their needs.

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