Ontrack with legal highs & lows

The risks of employees using their own smartphone for work, the Jackson “Big Bang” reforms, and a tough regulatory climate are some of the key trends of 2012 highlighted by this year’s Kroll Ontrack review.

The costs of civil litigation were in the spotlight this year, with senior judges voicing concerns about the high costs involved in bringing an action, the Jackson reforms, and the case of Sylvia Henry v News Group Newspapers Ltd [2012] EWHC 90218 (Costs), which found that lawyers are vulnerable if they don’t have a reliable method of monitoring adherence to budgets.

Concerns over how to protect company data where employees use their iPads, iPhones, smartphones and tablets (the “bring your own device” (BYOD) phenomenon) have been a big issue for companies this year, according to the review, which identifies the key legal trends of the year. A BYOD strategy is seen as essential for next year to protect corporate data, comply with data-protection laws and preserve electronic information in case of regulatory investigation.

“Dawn raid” training is becoming increasingly popular as companies find that regulatory investigations hit them out of the blue. The review also points out that regulatory changes in data-protection and competition law this year mean companies should continue to take a proactive approach to risk avoidance and compliance.

Martin Carey, managing director of legal technologies at Kroll Ontrack, says: “Court-led changes are underway which will have a significant effect on litigation in the UK, and legislative and structural changes will impact on regulatory enforcement activity across Europe. At the same time, new consumer-led technology is re-shaping the way in which business is conducted and all companies need to respond strategically.”