Legal Business

Jumping on the bandwagon: Ashurst and Axiom unite for new tech service aimed at banks

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Axiom has partnered with Ashurst in a joint venture aimed at helping banks meet new regulations coming into force next year.

In the first partnership with a law firm by the legal technology provider, Axiom will use its technology to extract key data from documents and create new documents in line with changes in variation margin rules and derivatives requirements, which are scheduled to come into force in 2017.

Ashurst will advise clients on how to write new rules and on the signing of those new agreements.

Axiom says it has six of the world’s largest banks as clients, meaning it is going head to head with Magic Circle firms which typically handle this type of work.

The announcement follows news of Allen & Overy’s joint venture with Deloitte, the first major pairing of a Big Four accountant and a Magic Circle firm. The two have worked together to create a tech-driven service dubbed MarginMatrix to help banks address incoming global regulation of the $500trn over-the-counter derivatives market.

Axiom global head of banking Chris DeConti said: ‘Axiom is delighted to be working with Ashurst as our first partner in a new model for collaborating with law firms to deliver a comprehensive solution to our client spanning world-class legal advisory and legal execution capabilities. We look forward to announcing other partners in the future.’

Ashurst has recently made a strong push for innovation, announcing the appointment of RBS head of EMEA loan markets Dave Rome to a newly-created position of strategic director of corporate lending earlier this month. Rome will bring his 25 years’ experience at RBS and NatWest across the UK, Europe and Asia to develop and grow drive the firm’s strategy across syndicated loan markets.

The firm announced the shake-up of its management team in May, introducing three new roles in leadership and innovation. Glasgow managing partner Mike Polson and Sydney-based banking and finance partner Jamie Ng will take up the roles of co-heads of innovation, while London-based infrastructure partner Logan Mair has won the role of head of clients. Former co-head of the firm’s corporate division Simon Beddow has been made London office managing partner in a newly created position.

madeleine.farman@legalease.co.uk

 

Legal Business

BT selects Axiom for global legal outsourcing and analytics contract

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Jobling steps aside as head of volume business BT Law

An innovator long at the vanguard of transforming the traditional in-house legal function, BT in February entered into a three-year contract with Axiom to provide the telecoms giant with legal outsourcing and analytics services across the UK, US, Africa, Middle East and Asia, replacing and extending a contract formerly held by legal process outsourcing (LPO) provider UnitedLex.

All work previously undertaken by UnitedLex, which includes 30% of BT’s global services division’s legal work in the UK, transferred to Axiom on 1 February after a successful tender process that concluded towards the end of 2013.

Legal Business

Axiom hires new UK MD from LexisNexis in senior leadership reshuffle and BT fills competition GC role

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In the wake of its latest high profile outsourcing deal with BT, Axiom, arguably the most touted alternative legal services provider, is to boost its senior management team with the hire of LexisNexis’ director of legal markets, Nick West, as incumbent Al Giles moves into a more senior role as executive vice president, head of regional markets.

West is to take the role of managing director of the UK business at Axiom, which Giles, who will continue to be UK-based, has held since he was brought in from Linklaters to launch the US group’s London office in 2007.

On joining in late March, West will oversee the growth of Axiom’s business in the UK, which recently formed part of a multi-site deal with BT, under which Axiom will undertake 30-50 instructions per day across its London, Belfast, Gurgaon and Houston offices. The outsourcing agreement includes simple work such as non-disclosure agreements and first mark-ups of contracts during requests for proposals, to more sophisticated instructions such as end-to-end negotiations of master service agreements and product and service agreements for BT’s telecommunication, internet, voice and video conferencing products and services.

Founded in the US in 2000, Axiom has trebled in size over the last two years and hired 58 lawyers in the first quarter of 2013.

It traditionally has arranged high level secondments for in-house legal teams, outsourcing deals and staffed large ad hoc projects. However, the company is increasingly promoting its contractual analytics capability, and speaking earlier to Legal Business, New York chief operating officer Paul Carr said: ‘A company’s contractual relationship is a really important interface that defines risk, brand and how easy it is to do business with them. Why we are heavily oriented around it is we think it’s a really underserved area.’

The move comes as BT this week hired former principal legal advisor at Sky, Bruce Breckenridge, who joins as GC for competition and regulatory.

The new position was created in a bid to centralise responsibility for competition and regulatory law matters at the FTSE 100 telecoms company and recruit a specialist competition lawyer to lead BT’s team of 16 competition lawyers and to act as the principal point of contact for BT’s senior executives.

It follows the restructuring of BT Retail last year, which split into two divisions, BT Consumer and BT Business, and the reorganisation of its legal teams.

Nigel Paterson, who has been leading the competition team, will continue to be GC for BT Consumer, a role that has expanded considerably of late, particularly since the launch and growth of BT Sport.

Prior to Sky, Breckenridge was a competition associate at Allen & Overy for almost five years, having trained at Lovells, now Hogan Lovells, qualifying in 1997.

Breckenbridge said: ‘I am delighted to be joining BT to head up their competition & regulatory law team. This is a very exciting time to be joining BT, given the growing significance of competition law and regulatory issues.’

francesca.fanshawe@legalease.co.uk

Legal Business

In-house: BT selects Axiom to replace UnitedLex as new LPO provider

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An innovator long at the vanguard of transforming the traditional in-house legal function, BT has just entered into a three-year contract with Axiom to provide legal support services across the UK, US, Africa, Middle East and Asia, replacing a contract formerly held by legal process outsourcing (LPO) provider UnitedLex.

All work previously undertaken by UnitedLex, which includes 30% of BT’s global services division’s legal work in the UK, transferred to Axiom on 1 February after a successful tender process that concluded towards the end of last year.

Axiom will support BT from its European headquarters in London and international centres in Belfast, Gurgaon and Houston, giving the telecoms giant commercial and administrative support for 20 hours a day.

Axiom’s LPO arm will also act as triage for work coming into the legal department under what BT refers to as its ‘front door policy’ – applying a detailed criteria to decide whether work should be either handled by Axiom, sent on to BT’s legal department or reserved for a dialogue over the appropriate response.

This unique set up was successfully trialled by UnitedLex, which since had undertaken low-level contract work for BT in the US and India since 2010.

Under the new arrangement, Axiom will be responsible for providing a variety of lower-level legal support services to BT on commercial contracts, as well as an element of administration. It is also undertaking key contract analytics with a view to monitoring and improving those agreements.

The move, which comes as large corporates such as BT and Vodafone are increasingly taking steps to free up their in-house lawyers to focus on high-level legal work, is part of BT’s efforts to streamline the ‘who’ and ‘how’ of its legal function by systematically delegating tasks to the most appropriate team member and accelerating response times.

BT’s director of compliance and COO, Gareth Tipton, who has been overseeing the process said: ‘This relationship will not only enable BT to support its contracting function more efficiently, but it will allow the in-house legal team to delegate work that does not require their specific expertise in order to focus on the more complex legal and commercial challenges that impact corporate objectives and add bottom-line value to the business.’

Axiom will also assist BT in the creation of tangible tools (from templates to clause libraries to playbooks) to assist with this process.

Tipton added: ‘This is the next stage of our LPO story and an important part of BT ‘s legal transformation programme.’

caroline.hill@legalease.co.uk

Legal Business

Virtual law: Mercedes-Benz UK GC sets up Radius Law

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The virtual law space has a new entrant after former Mercedes-Benz UK group general counsel and head of compliance Iain Larkins this month left his role at the luxury vehicle company to found virtual commercial firm Radius Law.

Speaking to Legal Business, Larkins, who has worked in-house for 14 years, says the fundamental premise of Radius Law is to provide good commercial advice in areas including contract, disputes and competition at a ‘highly competitive’ rate, something he says is still difficult to achieve at many traditional law firms.

‘We created a model where the lawyers are free to give good commercial advice and worked hard on finding the right lawyers. Most of the lawyers have previous commercial experience and in many cases, have done business roles in-house. It was a rigorous process to prove they would give good commercial judgment rather than just legalese,’ Larkins commented.

The company is starting from small beginnings, with five lawyers on its books, who will all work from home and none of whom are expected to bring clients with them.

‘What’s attractive to lawyers wanting to join is there’s no expectation that you’ll bring a big following. Lawyers can come in and do the work they love doing without the hassle of having to bring a bunch of clients,’ Larkins adds.

Similar small sized models to Radius Law have been steadily emerging across the sector, including virtual firm Mackay Carter Shaw headed by former London Stock Exchange legal chief Tom Mackay together with Jennifer Carter Shaw, a commercial lawyer formerly at Curtis, Mallet-Prevost, Colt & Mosle.

At the larger end of the scale 130-lawyer Keystone Law this year converted to an alternative business structure and turned over £12.3m (an increase of 9.8% on 2011/12). Elsewhere, leading flexible resource providers such as Axiom and Lawyers on Demand (LoD) have traditionally sent lawyers to work with the client on site, although this summer LoD launched a new offering, ‘on call’, where lawyers will undertake legal work for other law firms, often from their own home.

Radius Law received authorisation from the Solicitors Regulation Authority on 1 September.

sarah.downey@legalease.co.uk