Legal automation refers to using technology to automate various tasks and processes within the legal industry. This can include everything from managing legal documents and case files to creating legal contracts and agreements to analysing legal data and precedent.
We at Validient automate the know your customer (KYC) and anti-money laundering (AML) checks that firms and regulated businesses must perform on their clients.
One of the main goals of legal automation is to improve efficiency and reduce the time and resources required to complete specific tasks. This can be especially beneficial for large law firms and legal departments that handle a large volume of work, as it allows them to process more cases and more clients in a shorter time.
It can also be very effective for small to medium businesses, as compliance and AML policies can be complicated and time-consuming. By automating these processes saves time and money and allows firms to expand their client base quicker.
Legal automation can also reduce the risk of errors and mistakes. Technology can ensure that all necessary information is accurately captured and recorded, including documentation such as driver's licences and passports. Then biometric facial recognition software can be used to verify clients' identities even further. This can be particularly important in conveyancing, where money laundering is a significant cause for concern with real estate agents or any business within the financial system.
With incredible advancements in legal software in previous years, there are solutions to nearly all aspects of a firm's day-to-day operations. Here are a few examples:
When negotiating terms of service with a client, purchasing or selling a property, signing a contract is likely to happen. Electronic signatures are legally binding digital agreements and are one of the most common forms of automation within legal and financial institutions.
When a legal agreement is simple and not complex, drawing up a contract can even be time-consuming and this stage. Automated contact workflows allow contracts to be automated, creating a great starting point, saving time, and reducing cost.
Gives firms the ability to control their spending and automate invoice generation for their clients.
KYC and AML checks by verifying clients' identities using documentation to prove identity and address with legal document automation. And monitoring commercial clients for any changes, such as insolvencies and liquidations, allows firms to take a more informed risk-based approach. To find out more about anti-money laundering (AML), click here.
Anti-money laundering (AML) checks are an essential part of the financial industry, as they help to prevent illicit activities such as terrorism financing, tax evasion, and drug trafficking. These checks involve verifying a customer's identity, analysing their financial transactions, and identifying any suspicious activity. A firm must register for AML supervision if its services meet specific criteria. To find out more on AML supervision, click here (Anti-money laundering supervision)
Traditionally, compliance officers have performed AML checks manually, which can be time-consuming and prone to human error. However, with technological advancements, it is now possible to automate many of these processes.
We at Validient have also automated the proof of funds and wealth checks for clients buying or selling property. A proof of funds check is a check that verifies an individual or business has the financial capability to complete a financial transaction. And can help identify the source of those funds. It is often used in real estate transactions to confirm that the buyer has the necessary funds to complete the purchase.
Overall, automating anti-money laundering regulations checks can help financial institutions and legal firms more efficiently identify and prevent money laundering activities while freeing compliance officers to focus on more high-level tasks.
In addition to improving efficiency and reducing the risk of errors, automation can also help to make the legal process more accessible and affordable for individuals and businesses. Streamlining specific tasks and processes can help to reduce the cost of legal services, making it more feasible for individuals and small businesses to access legal representation and assistance. To read in more detail about AML checks, click here.
Overall, legal automation is a significant development that is transforming the legal industry's operations. By automating, it is helping to improve efficiency, reduce the risk of errors, and increase the reliability of the checks that are performed. Tools such as Validient's AML & KYC Identity checks and verification software allow firms to operate with confidence that they are compliant and operate at the highest
