Law firms are a prime target for cyberattacks because of the huge amount of highly confidential data they retain for the clients. They are responsible for guarding the client data as rigorously as possible. Therefore, they require an effective data security system in place.
Nowadays, more and more legal departments and legal experts are resorting to eSignatures. It helps them streamline the legal processes, reduce the risk of human error, and store all important information in a highly secure environment. This article explores how e-Signatures help law firms keep confidential data of client protected.
Why Does a Law Firm Care about Data Security?
Hackers are nowadays targeting small to medium-sized law firms rather than large organizations. Did you know 70% of big firm attorneys do not know if their company has been breached?
In 2019, more than 100 law firms reported data breaches. Since law firms often deal with a massive amount of sensitive information, they need to pay close attention to confidentiality in comparison to the average business.
As per the American Bar Association’s professional code of conduct, lawyers need to make every possible effort to prevent unauthorized access to client information.
Remember, if law firms do not secure their client communications and other essential data, they could lose clients, get subject to malpractice, ruin their reputation, and even lose their license to practice law.
Clients associated with the legal firms are now demanding more privacy in their documents. With e-signatures, this is possible.
Major Shift in Legal Sector with Electronic Signatures
e-Signatures have transformed how legal firms work. Contracts that need legal binding can be closed much speedier using a mobile or tablet and without customers having to rely on a set time. It means the use of e-signatures for signing a contract, NDAs, etc. with clients and partners also speeds the entire process.
The bonus part is that the e-Signatures can be created on any device in a few minutes. It makes law firms and legal advisors more professional and efficient. It also helps them maintain a complete history of every activity, including – viewing, sending, signing, rejected. Thus, by spending less time on document management, legal professionals can devote their time to more priority tasks and keep their clients fully satisfied.
Today lawyers and law firms are becoming familiar with the responsibility to encrypt and safeguard client communications. The way they store and protect data differs. Many smaller law firms store all their important files on the cloud using Google Drive. However, top firms use signature technology, 20-character passwords, and two-factor authentication.
Electronic Signatures Benefits and Law Firms Data Security
For any law firm, a data breach could lead to regulatory fines and malpractice suits regardless of the size and stature. Also, the clients will likely choose another provider if their firm suffers any data breach, or they feel that their data is prone to cyberattacks.
The legal industry is adopting electronic signature software. Electronic signatures not only boost productivity and cut off the time they spend on administrative signing, but also strengthen data security of the clients’ confidential information.
e-Signatures offer enhanced audit control to those in the legal sector. The technology helps them secure client’s data by making it accessible to the right people, which means no individual other than the signer will be able to access, forge, and tamper the document. It is established via the make-up of the digital document.
Here is how it works. Electronic signatures use a mathematical process to a document to generate a hash. If anyone alters the file after signing it, then the same process will generate a different value for the hash. This helps the user determine if the eSign documents have been tampered or not.
Moreover, any alterations made to the document once signed invalidate the document immediately. It benefits law firms in getting essential time-sensitive documents such as contracts, retainer agreements, etc. signed online efficiently.
eSignatures also allow legal firms to save the client data in multiple locations using a cloud without any third-person knowledge. Since all files get stored in the cloud, it helps in lowering risk and prevents exposure of your clients’ confidential information. This enhances the integrity and security of the documents transmitted to the clients. Legal firms can even keep track of all signed and completed documents regardless of their location.
Furthermore, the digital signature generates a highly secured electronic record. It has all the important details such as signer information, document version, etc. Few e-Signature providers go one step ahead with signature validation. If anyone copies the e-signature to a fraudulent document, it redirects them back to the original.
Foxit eSign aka eSign Genie is the best signature solution that can help legal firms generate secure signatures. This platform makes legal documents highly encrypted and tamper-proof. Thanks to the advanced encryption and multi-factor authentication features.
Multiple authentications based on email, SMS, phone, and geo-location boost the threshold required by signers to prove their original identity before any accessing documents. This secure software uses cloud infrastructure that ensures that you and your clients can access the documents.
Hackers are constantly exploring new ways of accessing information. Thus, law firms must take the necessary measures to guard client information. The great way to do that is by empowering your IT teams to create a strong defense and use eSignature technology.
With electronic signature technology, legal firms can save human time and prevent the hassle. Furthermore, multiple signatures can be obtained with ease and in minimal time, thereby streamlining legal and administrative processes. There are also no paper printouts that mean a low risk of compromising client data. In fact, clients can save all their documents in the cloud and access them securely whenever required.
Foxit eSign aka eSign Genie provides excellent encrypted storage solutions for all client documents. This legally binding eSignatures solution is recognized by ESIGN, HIPAA, and other famous compliances. It lets you find your securely stored documents for audits in a few seconds and ensures all the documents are legal in a court of law.0