4 Reasons Law Firms Are Entering the Metaverse
The last year has seen law firms buying land and opening offices in the metaverse to attract new clients, increase profitability and keep up with evolving legal trends.
March 28, 2022 at 11:00 AM
4 minute read
Law Firm Client RelationshipsThe past few months have seen an early wave of law firms begin to buy property and set up offices in the metaverse on platforms like Decentraland. Arent Fox was one of the first Big Law firms to offers its services virtually on the metaverse in earlier 2022, following personal injury firm Grungo Colarulo that launched an office in a virtual world in late December. Other firms across the country have also gone into the metaverse over the past year as well, helping to organize metaverse marriages and advise clients with trademark disputes. Such a rush toward a new technology might seem strange in industry well known to be risk-averse. So why are attorneys diving into this new world? Above, Legaltech News highlights some of the key reasons law firms are taking the leap into the metaverse. A New Way to Market to Clients: Every week, it seems like another brand enters the metaverse— from Nike to Coca-Cola to CVS Pharmacy. In many ways, the metaverse is seen as similar to the internet in the 1990s: an opportunity that businesses cannot pass up. As more businesses move into new Metaverse worlds like Decentraland, law firms are hoping to increase exposure to clients by following suit. Such novel marketing isn't unheard of—after all attorneys are already utilizing social media platforms like TikTok to promote themselves. "It's like being a pioneer on the frontier and having an opportunity to explore," Grungo Colarulo attorney Richard Grungo told Legaltech News. "The sooner you get boots on the ground, the sooner you can understand what's going on there." Increased Client Accessibility: Over the past two years, the legal sector like other industries has had to adjust to serving remote clients. The opportunity to operate in the metaverse is primed for this moment, allowing firms to have potential clients "walk-in" in ways they might not have been able to during lockdown conditions. Similar to virtual video platforms like Zoom, which also saw a boom over the last few years, the metaverse offers a creative level of accessibility from home. Attorneys say that opening metaverse offices may actually help them attract and retain clients who are unable to physically enter offices, either due to disabilities, safety issues or even time constraints like being a single parent or having multiple jobs. Falcon Rappaport & Berkman attorney Moish Peltz told Legaltech News, "Ultimately, it's incumbent on us as an industry to be able to provide the services that our clients want in the ways that they want to receive them. ... For me, 90% of my clients are remote." More Client Privacy: Attorneys say that the ability for a client to adorn an avatar that may or may not resemble them allows for increased anonymity at least in the initial stages of a client-attorney relationship. Grungo Colarulo, a New Jersey-based personal injury firm with an office in the metaverse, sees some specific benefits with an additional layer of privacy. Attorney and co-founder of the firm Richard Grungo said clients who seek counsel for sensitive issues like domestic abuse, workplace harassment and disability suits can anonymously "check out" law firms in the metaverse before having to reveal their identity or commit to the relationship. The benefits may extend beyond anonymity in an uncomfortable or dangerous situation to more everyday concerns, such as clients who may be nervous about racial discrimination or controversial opinions they may want to share with their attorney. Perkins Coie attorney Charlyn Ho said, "Through an avatar who doesn't look like you racially or ethnically, you might have more freedom to discuss sensitive issues or ideas you have, but without the social connotations behind saying why [you have them]." Familiarity With Emerging Litigation Trends: Anywhere that there is a business activity, there will also be lawsuits. Metaverse marriage, for instance, brings up the subject of how contracts, prenuptial agreements and marriage certificates will be considered in a virtual world. Beyond that, in recent months, there's been more trademark conflicts around non-fungible tokens (NFTs), many of which are actively traded on the metaverse. And even if a firm doesn't necessarily want to operate in the metaverse, the experience of having been there can make attorneys better prepared for future litigation in that area. "Think of it as a mechanism for demonstrating familiarity, rather than a 'must-have,'" said Chris Hinze, chief marketing officer at Steptoe & Johnson.
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