Alternative legal service providers (ALSPs) still have a long road to becoming a corporate legal department’s go-to resource for large-scale legal matters. However, observers said ALSPs can gain a bigger slice of corporations’ work by improving their marketing and bolstering their partnerships with law firms.
Despite many ALSPs’ main selling point being their effectiveness for document-heavy legal matters, they aren’t securing a significant portion of corporate legal departments’ large-scale legal matter spend. According to Wolters Kluwer’s “The Effect of Very Large Legal Matters on Outside Legal Costs” report, data from the company’s LegalView platform indicated roughly 2.2% of spend on “megamatters” went to ALSPs. Wolters Kluwer defined “megamatters” as very large matters that incur over $1 million in spend.
