Managed Service Provider
Understanding Redeployment: How a Managed IT Service Can Help
Ali Khavari
Law firms must adhere to strict industry compliance requirements to remain in good standing. Failing to adhere to compliance standards can lead to fines or even legal problems that affect your business in the long-term.
Today, many aspects of legal practice are conducted digitally. This means that law firms are subject to digital privacy and cybersecurity compliance standards.
Navigating data protection standards and other cybersecurity compliance requirements can be very challenging when you’re juggling a large caseload. Working with a Managed Service Provider (MSP) will help you remain compliant with applicable laws and industry standards, so you can focus on supporting your clients with legal expertise.
Law firms are subject to a number of different regulatory compliance standards. These standards are primarily to protect clients working with law firms.
There are several different components of compliance for legal firms. In addition to adhering to federal compliance standards, you’ll also need to comply with legal requirements specific to your state or city. For example, California currently has some of the strictest data protection laws in the United States.
Additionally, if you practice law for a specific industry, you may be subject to compliance requirements in that industry.
Here are some key components of compliance for legal firms.
Law firms store large volumes of client data as part of their caseloads. This data often includes sensitive personal or financial information, which makes law firms a target for cybercriminals.
As a result, there are many data security laws that legal firms need to adhere to. In the United States, these laws are handled on a state-by-state basis. There are currently 20 states that have comprehensive data privacy laws, although it’s likely that other states will adopt them in the future.
The California Consumer Protection Law, or CCPA, is the strictest of these compliance standards, but many other states are adopting similar protections. It is very similar to the GDPR, which is a data privacy law in the European Union.
Additionally, law firms that use protected health information as part of their case work are subject to HIPAA. If your law firm has 5,000 clients, you may also be subject to the FTC Safeguards rule. Both of these standards require robust data protection strategies.
Data privacy laws are complex and require businesses to take extensive care to implement comprehensive cybersecurity strategies. This includes setting up encrypted data storage, training employees on data privacy best practices, implementing access controls, and more.
Some law firms are also subject to financial regulatory requirements. This is because they often handle client funds as part of their case work.
Notably, law firms are required to comply with the Sarbanes-Oxley Act (SOX) if they work with publicly-traded companies. This requires the law firm to use detailed financial record keeping and follow reporting requirements laid out by federal agencies.
Lawyers need to comply with specific ethical standards laid out by the American Bar Association. The most well-known of these standards is attorney-client privilege, which requires lawyers to keep communications with their clients confidential.
Other important ethical standards include keeping your professional license up-to-date and avoiding conflicts of interest.
Failing to adhere to these ethical compliance standards could result in disbarment or even criminal charges.
For many lawyers, building a compliance strategy that aligns with your business practices is challenging.
When you’re busy working directly with clients, building a legal strategy, and managing your own business operations, there isn’t much time left to put data privacy and cybersecurity standards in place. This is particularly challenging for small businesses who don’t have in-house IT departments to rely on.
This is where an MSP can help. MSPs are organizations that provide IT and cybersecurity expertise on a third-party basis.
MSPs are highly familiar with data privacy laws and can partner with you on compliance management services. An MSP streamlines your internal data management practices and will help you address any existing compliance issues.
Here are some of the ways that an MSP will help you develop a legal compliance strategy.
Effective compliance begins with strong cybersecurity to protect your systems from bad actors. However, many law firms lack effective strategies; a recent survey revealed only 29% have conducted comprehensive third-party assessments.
Your MSP will configure your networks and hardware following best practices, implementing firewalls, antivirus software, and encryption. For remote teams, MSPs can develop tailored cybersecurity strategies.
MSPs provide 24/7 network monitoring, promptly notifying your team of threats and assisting in re-securing systems to prevent compliance issues. They will also regularly update your cybersecurity strategy to address emerging threats and conduct risk assessments to identify vulnerabilities.
Keeping client records private is one of the most important aspects of legal compliance. Exposing protected information like client Social Security Numbers, credit card information, or case details could result in hefty fines and legal action.
Your MSP will help you keep these records private by developing a data management strategy for you. This starts with keeping your data stored on secure servers. If you use cloud services to store your data, your MSP will help you select a cloud provider that is compliant.
Additionally, your MSP will help you create a data privacy policy that adheres to legal compliance standards and enforce those standards across your organization. This includes staff training on data privacy best practices.
Compliance regulations for legal firms can change over time, especially with regards to cybersecurity and data protection.
In addition to being well-versed in cybersecurity best practices, MSPs also have compliance professionals on staff.
These team members keep track of the latest changes in data privacy laws. When these changes happen, they will help you update your systems and procedures to ensure you remain compliant.
Parachute offers comprehensive Managed IT Services. We go above and beyond IT basics with compliance and cybersecurity strategy.
We’re highly familiar with legal compliance requirements involving cybersecurity and data protection. As regulations evolve, we’ll keep your systems and operations updated.
One of the biggest advantages of working with an MSP is that you can scale services up or down to meet your unique needs. As your firm grows, Parachute grows with you to keep your systems working safely.