Discovery Management Pricing Models – "It's all about knowing the numbers"

There are essentially 4 types of discovery management pricing being offered in 2016. Deciding on the right model requires you to do your homework on the type of cases you have had in the past, breaking down past discovery spend, and understanding how the in-house technology you currently use (if any) fits into the discovery workflow.

  1. Line item pricing – Useful for cost recovery and justifying the costs to a court. Costs are often higher and front-loaded.
  2. Fixed fee by either matter, custodian or all you can eat – Cost predictability is the key benefit. This works best when the company is on top of their spend and has tracked discovery expenses carefully in the past.
  3. Flat ingestion fee – This model offers even higher cost predictability which usually works best when data is filtered before sending it to the vendor. Company must be careful to fully understand what downstream costs are not covered.
  4. Fixed fee by reviewable data – This pricing is based on the data actually in review. Usually charged per document or by the gigabyte.

Unfortunately, there is no “one-size-fits-all” when it comes to discovery management. Litigation counsel should work with a “transparent” vendor like NightOwl Discovery who can be flexible in pricing options, will carefully run the numbers with you in detail and answer [all] your questions in order to make the right business decision based on your current needs.