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LLP Monthly Report – Issue 6

Introduction to Licensed Legal Paraprofessionals

The Colorado Licensed Legal Paraprofessional (LLP) initiative is a pioneering program authorized by the Colorado Supreme Court, creating a new class of legal service providers. Although not attorneys, LLPs are licensed to undertake specific legal tasks, such as preparing documents, collecting information, and offering basic legal guidance. This initiative aims to make legal services more accessible across Colorado. (See CRCP 207.1). 

Income


This month, we’re releasing our first data on the average income of LLP clients, as reported by clients during our client interview process.  We’re also comparing this data to the average income of clients hired by our lawyers during the same period, July 1, 2024 – December 31, 2024.

Average Income of Colorado LLP Clients
Average Income of Attorney Clients

Notes on data:  Since this data is collected as part of a client’s mandatory financial disclosure, it often takes weeks or even months after hiring the firm to populate into our system.  Of the LLP clients, we’re only able to report on 37% of their incomes so far.  By comparison, we’ve collected 28% of incomes on cases with an attorney as primary.  Additionally, non-income earning clients are excluded from both groups at present.  We hope to add that information next month.

While it’s way too early to draw any conclusions, if the data continues to reflect this differentiation, the Colorado Supreme Court may have a big win on its hands.

Hires


During the first six months of LLP practice, we‘ve observed continued robust hiring with our LLPs being directly hired on 103 cases.  The pace of hiring slowed in December, in line with expectations for a holiday month.

Colorado LLP case types July - December 2024

Of these 103 new clients, most were generated organically.

Hire Geography (Zip Codes)


Colorado LLP Hire Concentration for July - December 2024

Hiring continues to originate mostly from rural areas despite our Denver office being fully staffed with LLPs.  New LLP hiring is most concentrated in the areas around Fort Collins, tending to indicate a preference for LLP services in rural communities; however, additional data and data points will be needed before anything other than anecdotal conclusions can be made.

As more data becomes available, we’ll do an analysis of hires to population to see if there’s any preference in rural areas for LLP services.

Cost of Entry


One objective of the LLP program is to lower the cost of entry for consumers.  Less upfront expense helps consumers retain legal assistance from the start.  This is particularly important in communities where the cost of legal services is generally out of reach.

While there exists some national and statewide data on the costs associated with family law representation, there does not appear to be data on the cost of entry.  Accordingly, we will use a comparison of the cost of entry for cases inside our firm where a lawyer is designated as primary versus where an LLP is designated as primary.

Average Cost of Entry (Retainer)  

Attorney Listed as Primary $3,026 

LLP Listed as Primary $1,854

July 1 – December 31

Six months into the LLP program, the average cost of entry for consumers is 38% lower for those hiring an LLP.

Note: The cost of entry at our firm is heavily impacted by the SimpleStart program which can reduce a client’s retainer to $0 if the client’s credit/income/assets demonstrate low risk.  These averages cannot be compared to other firms without a similar program.  The program is available to all firm clients, regardless of whether an attorney or LLP handles the matter, so an internal comparison is instructive.

Demographics


Age 

Colorado LLP Hire demographics client age

Race

LLP Hire Race Demographics

Average Total Ticket Price


Insufficient data to report as none of the cases have closed yet.  Once a case closes a total value is calculated and that data will appear here for comparison between the two types of service providers, attorneys, and LLPs.

Average Matter Duration


Insufficient data to report as none of the cases have closed yet.  Once a case closes the matter duration is calculated.  That data will appear here for comparison between the two types of service providers, attorneys and LLPs.

Client Satisfaction


Insufficient data to report as none of the cases have closed yet.  Once a case closes a client satisfaction survey is sent to all clients.  That data will appear here for comparison between the two types of service providers, attorneys and LLPs.

Methodology


The data contained in this report is generated by our proprietary case management software which tracks data points for all matters regardless of whether those matters are assigned to an attorney or an LLP.  This allows the firm to compare the two groups from any point in time to determine similarities and differences such as those reported below.

Data is collected at the time the client retains the firm, as part of the financial disclosure process, and at the conclusion of the matter.

Where actual data is compared to forecasts, the forecast is based on historical performance, growth trends, staffing, and other resources as well as team input.  Forecasting used in this report is generally done monthly.

Modern Family Law


Modern Family Law is proud to lead the way in providing accessible legal solutions through Colorado’s LLP program. Whether you’re navigating a complex family matter or seeking guidance for the next step in your case, our Licensed Legal Paraprofessionals in Colorado are here to help. With their expertise and dedication, LLPs make quality legal representation more attainable than ever. Learn more about how this innovative program can benefit you by visiting our LLP program page.

By: MFL Team

Posted January 03, 2025

Tags

Colorado LLP

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