Law New reflects the growing interest among many law firms to explore adjacent business models as a way to diversify their service offerings, create more client value and establish a new source of revenue. Although some firms have experimented with such business initiatives for years, industry changes and a new client focus are accelerating the growth of these “New Law” businesses.
New Law – A Multi-Disciplinary, Business Consultancy Mindset
A key attribute of successful New Law models is a client focused mindset that goes beyond legal issues to address the larger context in which those issues are situated. Firms that can frame legal issues within the client’s overall business and recommend actionable solutions that close gaps and maximize opportunities are demonstrating an ability to provide superior client value. To achieve this, the model must include traditional legal practitioners as well as advisory professionals (e.g. tax, economics, healthcare and other Sector experts) and other professional services such as project management, change management and data analytics.
To succeed, a firm’s New Law models must also be scalable. This requires a flexible and modular business model that can be adapted to changing needs and opportunities as well as an understanding of how each model fits into the firm’s larger business model. Successful law firms also have a clear understanding of how the New Law model will be monetized.
There are several ways to develop and grow a New Law model including build, buy or partner. Some firms are choosing to organically build their models, building the capabilities and technology internally as they evolve. Others are going to market with fully formed and packaged solutions. Still others are pursuing a hybrid approach of build and buy.
The word “law” means in the widest sense an exact guide, rule or authoritative standard by which a being is moved to action or held back from it. Thus the Biblical Book of Proverbs declares, “With a straight law and a sure compass He set the heavens and encircled the seas.” The law in this sense regulates everything in the universe.
It is also used to refer to the specific commands that a ruler or lawgiver promulgates, such as the command that man is to do good and avoid evil and that he must not commit injustice. These commands express the will of a higher power and must be obeyed in accordance with reason. This is the natural moral law, and St. Thomas Aquinas identifies it with the eternal law of God.
A third sense of the term is that which is expressed in positive human laws (jus positivum). Such laws are proclaimed by authority, and they must be expounded according to their literal meaning but also in the light of the intent of the lawgiver and the general principles of natural justice. Aristotle, in his Ethics Nicomachea, describes equity as the correction of such positive human law when it runs counter to natural law. A similar concept is that of jus naturalis, which is the law that is in accordance with nature.