This page is general information, not legal, tax or financial advice. Talk to a qualified professional about your situation.
A law firm can license its own operational records, but not client matter files without client consent. ABA Model Rule 1.6(a) bars a lawyer from revealing “information relating to the representation of a client” unless the client gives informed consent or another exception applies, and every state has its own version of that rule. So the licensable part of a firm’s archive is what the firm created for itself: how it runs, bills, staffs and manages work, with client facts removed. Mercor names legal among the industries it takes data from.
What a firm can usually consider, and what stays out
| Records | Usually | Why |
|---|---|---|
| Client matter files, correspondence, pleadings, discovery | Exclude | Information relating to the representation (Rule 1.6), and often privileged |
| Trust account records | Exclude, and keep | Rule 1.15 has lawyers preserve complete trust account records, for five years after the representation ends in the Model Rule version |
| Internal firm email and chat about operations | Possible, after review | Scrub anything about a client matter |
| Practice-management and time-entry history | Possible, after review | Narratives often describe client work; buyers may want the structure, not the text |
| Templates, checklists, training and process documents | Often possible | Firm work product, once client facts are removed |
| Marketing, recruiting and HR records | Possible | Employee personal data needs de-identification by the buyer |
Steps before you talk to a buyer
- Separate matter data from firm data. Most practice-management and document systems are organised by matter, which makes the split easier.
- Ask your state bar’s ethics counsel whether your planned scope is consistent with your jurisdiction’s version of Rule 1.6. Some states have ethics opinions on technology vendors and client data.
- Check engagement letters and outside counsel guidelines. Corporate clients often restrict any use of their information, including aggregated use.
- Put the exclusions in the licence. Buyers such as Nyne let companies exclude categories; write the exclusion list into the agreement.
If the firm is closing or selling
Rule 1.17 lets a lawyer sell a practice only with written notice to each client about the sale, the client’s right to keep other counsel or take the file, and that consent to the transfer is presumed if the client does not object within 90 days. Client files follow those rules, not a data licence. The firm’s own operating records are a separate question, so settle what happens to client files first.
Which buyers take this industry
| Buyer and program | Industry rule | Company minimums | Operating or closed |
|---|---|---|---|
| micro1: Enterprise Data Partnership | No industry limit in the buyer’s published rules | 30+ full-time employees and substantial historical data; several years of records across systems is a stronger fit. No fixed minimum file count or size. | Both. Operating companies apply to the Enterprise Data Partnership; companies no longer operating apply to the Defunct Company Data Partnership. |
| micro1: Defunct Company Data Partnership | No industry limit in the buyer’s published rules | 30+ full-time employees and substantial historical data; several years of records across systems is a stronger fit. No fixed minimum file count or size. | Both. Operating companies apply to the Enterprise Data Partnership; companies no longer operating apply to the Defunct Company Data Partnership. |
| Nyne: Company data licensing | No industry limit in the buyer’s published rules | 20+ full-time US W-2 employees and 3+ years in business, plus a decision maker who can approve the licence | Operating companies only |
| Mode: Company data partnership | No industry limit in the buyer’s published rules | 10+ employees for legal; 15+ for accounting, medical and finance; 50+ for all other businesses. Several years of records you own make a stronger fit. | Not stated. Mode says businesses and nonprofits can qualify. |
| Mercor: Enterprise data | Buyer lists this industry | Not stated. Names target industries: legal, healthcare, finance and insurance, professional services, manufacturing, retail, real estate, logistics. | Not stated |
| Troveo: Business data licensing | No industry limit in the buyer’s published rules | Not stated | Not stated |
Questions people ask
Does de-identifying client documents make them safe to license?
Not on its own. Rule 1.6 covers information relating to the representation, not just names, and de-identified facts can still be that information. Treat client matter files as excluded unless the client gives informed consent, and ask your state bar's ethics counsel.
Is a closing firm's data treated differently?
The duties to former clients continue after the firm closes. A closing firm can still license its own operations records, and micro1 runs a program for companies that are no longer operating, if the firm meets its size rule.
Do buyers take small firms?
Mode publishes a minimum target of 10 employees for law firms, lower than its 50 for most businesses. micro1 publishes 30 and Nyne 20 for any company; Mercor and Troveo publish no minimum.