Several years ago, a Canadian attorney and good friend of ours, invested $10,000 in bitcoin. Clearly, he is a lot smarter than us. We can’t even imagine the extent of his profit – several days before we started to write this article, bitcoin hit an all-time high of $4,991.66 on September 2, 2017. It is down slightly as we write, but our friend certainly hit a jackpot.

We become aware of bitcoin wallets a few years ago, as husbands (mostly) began to hide assets from their soon-to-be ex-wives in those wallets. And then came a barrage of ransomware attacks. Law . . . [more]

As of August 2017, Initial Coin Offerings (ICOs) – a means of raising funds for a new cryptocurrency venture, whereby units of the new cryptocurrency are sold to early backers of the project in exchange for legal tender or other cryptocurrencies – were said to have collectively raised over $1.2 billion, surpassing early stage venture capital funding for internet companies. The value and nature of these transactions have, unsurprisingly, drawn the attention of regulators worldwide including a total ban on ICOs from the People’s Bank of China. On July 25, 2017, in response to criticism and concerns surrounding ICOs, . . . [more]

From time to time one reads of court orders banning people from using social media, usually in anticipation of trial but sometimes as part of a formal disposition.

For example, in R. v. Elliott, the defendant accused of harassment on Twitter was banned from using Twitter pending trial. Ultimately he was acquitted, and the ban was lifted. He had spent three years off Twitter.

A Nova Scotia court banned a teenaged defendant from social media for 21 months after his conviction for assault, uttering threat and criminal harassment. He was ordered to delete his Facebook, Twitter and Instagram accounts . . . [more]

It is 2035. The US dollar is not a reserve currency anymore because nobody buys oil or borrows from the IMF or World Bank. IRS, once the biggest US-dollar creditor in the world, is struggling to tax decentralized cryptographically protected businesses freely operating across borders. A lot fewer economic players need US dollars because their debts (taxes, loans, and invoices) are not denominated in US dollars.

What does this have to do with smart contracts and lawyers you ask?

If technology, new energy sources, and rising third-world wealth cause these cataclysmic changes in the financial system, cryptoeconomies (aka blockchains) will . . . [more]

I wrote in my last post that the “blockchain will alter the way we think about contracts and several types of legal documents will effectively be software-like.” This is a truism for many cryptocurrency enthusiasts.

Of course, I was referring to “smart contracts” even if I didn’t used the expression “smart contracts” for buzzword avoidance purposes. I suggested that some lawyers would be involved in drafting these “instruments”.

Before we start, there’s some confusion about what a “smart contract” actually means, and it’s at the root of a certain amount of similar confusion in the legal sphere about the immediate . . . [more]

Not always. There was a recent case in which confidential data was not, to put it mildly, well handled. The corporate defendant, a mortgage servicer, was accused of violating a consumer’s privacy rights based on the manner in which it handled collection calls. The defendant protected its customer data with layers of network security consistent with best practices and ISO guidelines. During discovery, the plaintiff’s experts received the calling data and copies of the customer service call recordings.

Both experts had unrelated full-time day jobs. Their expert witness work was a side business run out of their homes. Neither expert . . . [more]

It is now generally recognized that “code is law”: how computers process the millions of on/off, yes/no signals in their binary universe can have legal effects beyond their obvious output. Deciding how computers handle data they receive is a matter of choice, and those choices have consequences. These consequences arise whether or not the software writers, the coders, are aware of their choices or assumptions.

Two developments have brought the coding issue back to the fore in public discussion. The first is the computerization of what used to be purely mechanical devices. The analysis of physical phenomena is done, pursued . . . [more]

The conventional wisdom is that technology will make law practice more efficient. It will commoditize some lawyers and give super powers to others. In either case, it will improve “access to justice.” This view is based on one universal bias in the legal and near-legal community: that law and justice have inherent value and are necessary for all aspects of the society to function properly.

This belief has spread to the near-legal community such as law practice technology vendors. All of their products are designed to increase the efficiency of lawyers or of the legal process or to serve lawyers . . . [more]

As technology is increasingly used within law practices to streamline legal processes and more efficiently deliver services to clients, an important question has arisen within legal professional and academic circles: Do lawyers and law students have the technical skills to meet the needs of future legal jobs?

If you have ever tried to innovate or introduce technologies to a law firm or to lawyers, then you know how challenging it can be to convince lawyers to use new technologies. Harder still is convincing them not revert to the old and outmoded way of doing things, but to persist in the . . . [more]

In the aftermath of the first wave of “attacks” using WanaCrypt0r 2.0, a variant of the WanaCry ransomware that started infecting systems around the world, most notably the British National Health Service, on May 12^th, 2017, comment boards and blogs have been abuzz with statements regarding the risks of a overly digitalized world. For those who caution against the implementation of technological solutions within the legal system, this attack only serves as another example as to why, in their minds, our paper-based system is still the safest way to manage legal files.

As reports show, they might . . . [more]

Thanks to everyone who re-tweeted and gave other shout-outs to my last Slaw post on vendor demos and webinars. Considering the feedback, I thought I’d continue on with a vendor theme in a few more posts.

In this post, I’ll relate a few vendor horror stories and explain why vendors should never ever ever repeat them. Of course, a caveat: I gathered these from a variety of sources/firms, who shall remain nameless.

But – I’d like to repeat that vendors are absolutely integral to our legal technology ecosystems, and note that most of my interactions, and those of my colleagues, . . . [more]

The FBI says that ransomware nets cybercriminals $1 billion a year. No wonder so many people want a piece of that pie.

Computerworld recently reported that hackers spreading ransomware are getting greedier. In 2016, the average ransom demand to provide the decryption key for encrypted data rose to $1,077, up from $294 the year before, according to a report from security firm Symantec. Symantec also reported a 36% increase in ransomware in 2016 from the prior year. We are aware of small law firms in Virginia that paid $1200 and $3000 to get their data back – the damage being . . . [more]