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Legal Firms Prepare to Outsource Electronic Data Discovery

McLean Report: Research Note


Over 75% of small- to mid-sized legal firms lack the requisite skill and experience to handle complex EDD tasks. It is imperative that the IT group understands the EDD outsourcing market.

When to Outsource

To build, support, and manage an EDD processing center is a major undertaking. For many firms, investing in the requisite skills to perform EDD in-house is not a feasible option.

The cost to build an infrastructure that processes 20 GB of electronic data per week can range between $500,000 and $750,000 per year (see sidebar for a high-level breakdown). While small EDD projects are well suited for in-house production, certain projects warrant serious outsourcing consideration. These projects include:

  • Large volume projects beyond in-house capacity.
  • Complex projects beyond in-house expertise, such as complex spreadsheet analysis and data extraction.
  • Computer forensics, such as data extraction...
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