A large number of smaller, relatively unexciting contracts can become considerable headache for Business and Legal alike. Many in house teams are unaware that “commercial contract lifecycle management” (often known as iCLM-intelligence driven contract lifecycle management) is a fast growing discipline that can provide cost effective answers.
For example, a business unit has entered into a number of leases on behalf of its employees. These leases are drafted on different templates and once a lease is executed, it is often filed and forgotten. Time passes and the business unit realizes that it does not know how many leases it is party to nor whether these need to be renewed.
Group Legal is then tasked with collecting and reviewing the leases which over time can run into the 1000’s. This task is daunting for Group Legal and close to impossible with time constraints. This is where Exigent Group, legal services outsourcing firm, can by the intelligent use of software and lean process help in the maintenance and review of your contracts. Through collation and maintenance of the lease agreements in a centralized secure repository, your contracts are managed post the “forgotten” date.
Using the right techniques and software, this is a valuable source of information for finance (inflation clauses, dilapidation provisions, deposits paid etc.), compliance, property management teams, as well as lawyers. Information and alerts can automate information contained in the contracts to ensure 100% contract compliance.
Stretched in house teams simply don’t have bandwidth to run this process. Firms like Exigent have the knowhow and knowledge to assist and reduce those sleepless nights.
Written by Carmen Van Der Berg, Senior Associate, Exigent Group Limited
