LEXHAWK SUMMER INTERNSHIP – 2020

 R.SRIMUGAN

CONTRACTS MANAGEMENT IN LPO

(ASSIGNMENT-3)

Today’s corporate legal departments are looking to streamline and improve their contract
management processes. In many cases, it makes good business sense to engage a Legal
Process Outsourcing (LPO) provider to manage legal service contracts, agreement drafting,
legal contract review and legal document review work.

Contract Management Outsourcing Services :

LPO service providers offer governance, compliance and risk management solutions that
enable corporations to avoid or lessen business and reputational risks. Some of the most
commonly outsourced contract management processes include:

• Contract discovery and audit services

• Contract summary, redlining, drafting
• Contract abstraction
• Governance, risk and compliance
• Management reporting services
• Online contract repositories
• Alerting and notification services
• Claims and dispute management

Contract management services are of great importance, especially for small businesses. It
involves various processes like assisting with drafting standard contracts, creating and
managing databases and repositories, contract reviewing as per standard position and map
deviations, analyzing contracts for specific compliance or other requirements, redlining and
negotiating agreements as per standard position, capturing, abstraction and summarization of
key information etc.
The contracts are used by small business owners to give their relationships with external
parties a formal look. A poorly defined contract could easily lead to a dispute between parties
and could result in the filing of court petitions. In order to avoid any challenges in the future,
the right strategy needs to be followed.

The legal process outsourcing companies can help in the contract

management process in the following manner:
Cost-effectiveness: By hiring the contract management cases of outsourcing legal firms, a
small company can reduce its overhead costs. The outsourcing firms based in nations like
India, China, and Argentina etc. charge a much lesser remuneration than the local rates in
developed nations like US, UK etc.
So for small-scale business firms looking for cost-cutting measures, this is an ideal option.
You will get high-quality work but at a considerably lesser price.

Ideal in cases of urgent requirement: The LPO firms based in offshore nations like India,
China, Philippines etc., can prove to be extremely beneficial in cases of urgent requirement.
There is a 10-12 hour difference in the time zones of nations like the US, China etc., and
nations like India and China which offers the unique benefit of assigning the contract
management tasks in the evening and getting the desired results by the morning.

Ensuring the right agreement of both parties: Generally, parties enter into a disagreement
with each other due to misunderstandings. The legal process outsourcing firms can help in
preparing contracts based on mutual understanding between both the parties and ensuring
that there are no future disputes between the parties.
All the crucial points will be discussed before commencing the contract preparation process.

Helpful in dissolving disputes at the later stage: There is always a chance of disputes

arising later on between the two parties despite immense care being taken while preparing
the contract. The LPO firms offer contract reviewing as per standard position and map
deviations services to the parties which can help in ensuring cordial relationships between
the parties.
Going through the above-mentioned information can enable small business organizations to
understand the importance of LPO services for contract management.
LSW is one of the leading providers of outsourcing legal support services to law firms
looking for lesser operational expenditure and revenue optimization solutions. In the last
eight years, they have earned the goodwill of their clients by adhering to deadlines and the
desired quality standards. They have access to proficient staff and the latest software for
fulfilling the needs of clients.