Major Banks are Committed to Innovation with a Matter Management Platform

by PracticeLeague

‘‘The intensity of litigation and regulatory activity that banks are currently facing is historic in nature.’ Pierre Gentin, Credit Suisse

State of legal departments in financial sector:

Post the financial crisis of 2008, regulatory authorities have tightened their grip on the banking sector with numerous compliances from stringent consumer protection regulations to implementation of guarantees in case of insolvency or defaults of businesses, thereby increasing the scope and expertise of legal in the financial sector. In-house counsels working in the financial sector are facing multifaceted investigations and litigations rising out of financial crisis, frauds and consumer complaints.

The rising regulatory environment have compelled legal departments of financial institutions to adopt a Litigation Management software for managing all litigation/cases including Notices, Arbitrations, Intellectual Property, Contracts, etc. Implementing PracticeLeague’s Matter Management Platform has enabled corporate legal in Matter management related to Court Litigation/advisory either independently or in collaboration with law firms on the unified platform.

Major Banks in India with multiple branches spread across India, including remote locations have been struggling to keep a track on thousands of legal cases/matter the organisation has to deal with. Following the traditional approach of communication and collaboration with branch managers or a wide array of external lawyers through emails, hard copies, spread sheets have proved to be futile for banks with loss of information and disconnect of data flowing from various sources.  

Transformation of In-house Legal Departments:

Modern legal departments of innovative banks saw the inefficiency and loss of revenue in following a timeworn approach and adopted an integrated matter management platform that not only streamlined their litigation process but also brought uniformity in data, ultimately giving a year on year comparison of legal spend along with success ratio.

The platform has proved to be integrated in its true sense where users across multiple locations can access and update litigation matters instantly, even while on the go. With the PracticeLeague’s Matter Management platform, in-house counsels can receive advanced reminders and alerts for upcoming dates or send court updates to various team-members and upload attachments including notices, replies, summons, order, et al.

A robust and integrated Litigation Management Platform has enabled to not only bring various legal teams spread across regions on one platform but also integrate the entire legal cycle with sub-units talking to each other. With the entire process of Legal Matter management on fingertips, the synergy within the team is considerably improved along with additional benefits to streamline and seamlessly generate efficiency in the Legal Department.

General Counsels: From an Enabler to Supporter of Business Goals

General Counsels of financial institutions are witnessing the transformation in business and its impact on legal. Thereby, withstanding the evolution of their role from being a supporter to an enabler of business goals. Having adopted a matter management system for their legal departments has enabled them to streamline their litigation process with a comprehensive view through customized reports for more than thousands of cases that needs to be presented to the board.

Legal managers supporting the General Counsels have leveraged the platform to keep a proper trail of every case, along with case date tracking, with easy access to cases in a central repository, thereby empowering them to work on essential legal matters rather than manual administrative work. With PracticeLeague Matter Management Platform in-house counsels can create a central repository and engagement platform for all matters, Empanel & analyse Law Firms, Track legal spending, Collaborate with internal and external users spread across various regions, and Auto Assign matters based on regions/location. With the platform being accessible through a mobile app as well, in-house counsels can easily update and feed matter details on the go.

Litigation Management Platform unified with various automated legal solutions on an integrated ELM Platform has allowed legal departments to improve collaboration with other departments such as IT, Sales, Procurement, Finance, etc. Whether its contract sharing and updation with the sales, or compliance reporting with the finance, the workflow has become seamless and streamlined with an cohesive Enterprise Legal Management Platform.

Disruptive technologies like these will not only improve competencies among various departments but also improve communication, consistency of work and data flow spanning across the business, meanwhile allowing the board to have a cleat visibility of overall legal risks and functions on a single dashboard view.

Re-invention in times of Increasing Regulations:

Apart from managing litigations, Indian banks also have to be compliant to various RBI regulations and are required to send almost a set of 222 regulatory reports at varied frequencies ranging from Department of Banking Supervision (DBS) returns analysis, Statutory returns analysis, Risk management. By and large, in-house teams have been preparing these reports manually, making them time-constrained and prone to inaccuracies. But with an automated system in place, legal departments have cut down their regulatory report generating time from 2 weeks to 3-4 days, making them more efficient and cost-effective.

What are the C-Platform Expecting from Legal Departments?

C-Platform and board members of financial institutions are agreeing to the fact that it is becoming impossible for business to move further without legal. And with the growing expectation, legal is adopting automated solutions to track their turnaround time and end-to-end monitoring of their operations and functions. Along with this, GCs are required to present precise data to the board, eg: term sheet, finance documents, transaction documents etc. Therefore, a platform is necessary for bringing together functions spread across business, legal, and indemnity while allowing engagement with team on the platform itself.

Adopting an integrated Matter Management Software with Compliance and Risk Management has become imperative for legal departments in banks to not only increase their organizational efficiency but also cost efficiency, by automating time consuming manual processes and saving Business, Legal and operational integrity.

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