South Carolina Bar News — June 2012
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Courtney Kennaday

FIVE THINGS LAWYERS SHOULD KNOW ABOUT THE CLOUD
By Courtney Kennaday, Practice Management Assistance Program Director

If there is one technology topic that is hot right now, it’s Cloud computing. Although most lawyers have heard something about Cloud computing, there is confusion about what the Cloud is and what it can do for them. Unfortunately, researching the Cloud may leave you feeling more bewildered than enlightened. From the flood of acronyms (SaaS, PaaS, IaaS) to conflicting opinions by the experts about what to call everything, it’s a confusing topic. There are companies that offer to back up your data to the Cloud, others that let you share and synchronize your files with other users, and new products for practice management cropping up regularly. It’s hard to know what’s what. Leaving aside technical jargon and simplifying the Cloud to its core, here are five things every lawyer should know:

1. The Cloud is not new.
The first thing lawyers should know is that Cloud computing is nothing new. The “Cloud” is a new name for something that has been around for years. When you hear “Cloud,” it usually means that the software and data you are accessing are not on your computer but somewhere else, accessible through the Internet. If you have used AOL or Gmail, then you’ve used the Cloud to access your e-mail on someone else’s server. Or, if you’ve logged into your bank’s website and checked your account balance there, you’ve used the Cloud.

What is new are the products and services available for lawyers. There are products for case management, time keeping, e-mail, word processing, file backup and more.

2. Some software programs for law firms only exist in the Cloud.
Software as a Service, aka SaaS, is software that isn’t installed on your computer; it’s only in the Cloud. Instead of purchasing Cds and loading them on your office computer or server, you sign up online and pay a monthly subscription fee. Some examples include the case management products Clio, Rocket Matter and MyCase. Whether Cloud software is right for your firm depends on many factors, including your operating system preferences, number of users, your current hardware and software situation, type of practice, costs, etc.

3. Software you install on your office computers can also be hosted in the Cloud.
Traditionally, lawyers purchase servers and create computer networks for their offices. Some software is installed and shared across the network; some is installed on each individual’s computer. The law firm has the chore (and expense) of keeping the network running smoothly.

It is becoming increasingly popular to move the services performed from the local network to a network in the Cloud, in hopes of alleviating the costs and aggravations associated with running one’s own computer network. The ability to work from anywhere and collaborate with clients is also enhanced. This type of Cloud solution is referred to variously as “managed services,” “hosted infrastructure” or “virtual servers,” among other names. A law firm can outsource its whole network, including software like word processing or accounting, or it can outsource parts. For example, Microsoft and many other companies offer hosted e-mail, such as Microsoft Exchange Online. For many small firms that have struggled to afford their own Microsoft Exchange Server, this has been a great affordable solution.

4. If you live by the Cloud, you die by the Cloud.
Cloud computing is utterly dependent on the Internet. If you lose the Internet, with most Cloud products, you lose the ability to work. When choosing a Cloud product, you should ask whether you will be able to work offline. Internet service varies depending on where you are and the type of service you purchase. Before you choose the Cloud, be absolutely certain that your connection to the Internet is fast enough for the size of your office and the type of work you’ll be doing. Some lawyers who quit Cloud products cite slow Internet speed as one reason they quit. You may discover that you need a serious upgrade to a costly T-1 line or above.

5. You may ethically use Cloud computing.
In South Carolina, there are currently no ethics opinions on Cloud computing. Several other states have issued advisory opinions on using Cloud services, including North Carolina, Pennsylvania and Alabama. Of the states that have opined, all have decided in favor of allowing lawyers to use Cloud services, with caveats. Most of the opinions caution lawyers to take reasonable care to ensure confidentiality is maintained and reasonable safeguards are employed to protect client data from breaches, loss and other risks. The South Carolina Bar has posted a list of due diligence questions on its website to assist lawyers with choosing a Cloud vendor (Questions to Ask Cloud Providers). The Bar has selected CoreVault as a vendor choice for Cloud backup.

Learning more

If you would like to learn more about Cloud computing and whether it is the right choice for your firm, here are some online resources to help you on your way:

FYI: Software as a Service (SaaS) for Lawyers ABA Legal Technology Resource Center

Reach for the Cloud by Catherine Sanders Reach, January 2012

Popular Cloud Computing Services for Lawyers: Practice Management Online by Stephanie Kimbro and Tom Mighell

“Internet Access” Wikipedia, The Free Encyclopedia Limiting Risk in the Cloud: Smarter SaaS Agreements by Tom Zuber

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