Showing posts with label ethics. Show all posts
Showing posts with label ethics. Show all posts

This is not what I meant by law firm competitive intelligence

    Prologue

    I have long considered, lectured and written about law firm competitive intelligence from the perspective of CI prepared and used in service to the firm’s goals as a business entity. However, CI can also be conducted by law firms and its vendors in service to its clients’ goals. Today’s post addresses that use of CI by law firms.

    This post also addresses the counterintelligence challenges of a post-Wikileaks world, where law firms and their vendors can be targeted by disgruntled employees, hackers and social engineers. Today’s professional culture encourages us to communicate via email, texting and social media, which are so familiar we forget they are susceptible to revelation – on purpose and through carelessness, through both legal and illegal means. Even sophisticated people ignore these dangers, as today’s post illustrates.

    The events described below read like they were lifted from Stieg Larson’s “The Girl with the Dragon Tattoo” novel series. However, they were all reported during the past two weeks by the Financial Times, The New York Times, The Washington Post, The Observer, American Lawyer Media, Wired, Salon and dozens of other publications, blogs, online chat rooms and message boards.

    I apologize if I have failed to insert the word “allegedly” everywhere it should appear in the following severely summarized account. Therefore, I hereby stipulate it has been alleged that …

    What has been reported?

    Last fall Hunton & Williams invited three data security companies (HBGary Federal, Palantir Technologies and Berico Technologies) to work with the firm to prepare a joint new business pitch for the U.S. Chamber of Commerce, a firm client. This pitch related to some of the Chamber’s political initiatives and investigations and handling of its antagonists.

    H&W also invited the same three security companies to help prepare a second new business pitch for Bank of America, also a firm client. This pitch related to a BoA internal investigation into documents that Wikileaks had obtained, possibly from one or more BoA insiders, and threatened to publish on the Internet.

    As these events were unfolding, HBGary Federal’s CEO, Aaron Barr, wanted to strengthen his street cred to support the H&W and other business development efforts HBGary Federal was involved in.

    Barr was already hanging out online with members of Anonymous, a highly secretive, loose collective of activists and hackers. He believed he could elevate his sleuthing reputation by analyzing information on internet chat logs, Facebook, Twitter and elsewhere to identify Anonymous’s secretive leaders and key players. Barr planned to describe his unmasking methodology in a presentation at a February 2011 security conference and was able to publicize this presentation in a news story published on February 4, 2011, in the Financial Times.

    For a day or so after the February 4 Financial Times story came out, Barr and Anonymous traded online insults. Anonymous then retaliated by hitting HBGary Federal’s corporate network, eventually taking down the company’s site, extracting 70,000 emails and publishing them online. To insult Barr further, Anonymous said their takedown team included a 16-year-old girl who had social engineered an HBGary Federal company IT admin into revealing another HBGary Federal admin’s logins and passwords.

    Among the thousands of HBGary Federal emails that Anonymous published were those emails HBGary Federal had exchanged with H&W lawyers while the law firm and three data security companies were preparing the Chamber of Commerce and BoA pitches. Anonymous also uploaded the PowerPoint presentations the three security companies had prepared in consultation with H&W for use prior to or during H&W’s pitches.

    Those PowerPoint files described the services the three companies would perform, including investigations and possible actions to be taken against lobbying groups, union employees, journalists and others whose allegiances and interests were counter to those of H&W’s clients. Those actions included developing fake personas, preparing and leaking fake information to H&W clients’ adversaries to discredit them, and discouraging commentary by journalists who are “... established professionals that have a liberal bent, but ultimately most of them if pushed will choose professional preservation over cause, such is the mentality of most business professionals.”

    Where do things stand now?

    1. HBGary Federal’s web site is still down.

    2. Palantir and Berico have apologized for their involvement in these events and severed all ties with HBGary Federal. Palantir also suspended the 26-year-old engineer who worked on the PowerPoint presentations.

    3. The Chamber of Commerce denied hiring any of the three companies or H&W.

    4. Bank of America said they have never seen the presentation described in the emails, have never evaluated it, and have no interest in it.

    5. H&W has refused to comment.

    6. Some of those named as the Chamber’s adversaries in the hacked emails and PowerPoint files have announced their intention to file ethics charges next week with the DC bar association against three of H&W’s lawyers.

    Lessons learned?

    Whether the activities allegedly contemplated in the HBGary Federal hacked emails and PowerPoint files were competitive intelligence or corporate espionage or worse, they violated the Society of Competitive Intelligence Professionals’ Code of Ethics. As I have said many times before, including here, law firm competitive intelligence workers should all read that brief code of ethics, take its seven elements to heart and agree to abide by it. I now recommend that lawyers do so, too.

    These events also have sobering implications for law firms’ own network security challenges. If a data security firm can be hacked and all its emails and attachments posted online, how well would most law firm networks stand up to such an assault? And if the firm’s network were breached in this way, what would be the costs to the firm and its clients and prospects? This law firm counterintelligence challenge requires not only technological safeguards, but also full recognition that lawyers and law firm employees are just as susceptible as anyone else to social engineering.

    I have no doubt that everyone associated with this dog’s breakfast wishes it had never happened. Some blame the mess on security carelessness. Others see the leaked emails and PowerPoint files as evidence of ethical lapses and possibly criminal intent.

    Optimistically, I view these events as an opportunity to remind ourselves, once again, of the ethical limits of competitive intelligence activities. Above all professions and industries, lawyers and law firms cannot be ignorant of or ignore these ethical limits.

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This is not what I meant by law firm competitive intelligence


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Paranoia and law firm CI

    I guess it was bound to happen.

    In tomorrow’s issue of The National Law Journal you can read a "Special to ..." article called "Competitive Intelligence: What are lawyers' limits?" written by the marketing partner of the Texas law firm Winstead. She proposes that it's time for state bars to start providing regulatory oversight of lawyers' and law firms' competitive intelligence activities.

    The article expresses the opinion that lawyers and law firms may not have sufficient judgment, ethics, and morals (yes, morals—read the article) to develop and use competitive intelligence. Don't miss the parts about stalking prospects' children's MySpace pages and Sunday School classes to gain mysterious business development advantages.

    Because context is always important, it’s worth noting that the author, who is her firm’s marketing partner, appears to be the only lawyer at her firm who does not permit her photograph to be published on the firm’s Web site.

    Now on to the article itself.

    The author was apparently motivated to write this article in part after reading a basic CI primer I wrote that was published in the March 2008 issue of the ABA's Law Practice magazine, "How to Create and Use Competitive Intelligence: 45 Tips for Law Firms." What's not clear from the The NLJ author's article is what, if anything, about the 45 Tips piece raised an alarm.

    The author comes a bit late to the CI conversation, stating that “At least one vendor offers a software program that compiles legal, financial and business content combined with tools to create informative and tactical reports.” Actually, off the top of my head, I can think of more than 30 vendors providing this kind of content to law firms.

    She then urges that lawyers and law firms refrain from using all information that is publicly available to build competitive intelligence, implying it’s not only unsporting, but unethical:

    CI research on a target client can be generated legally, yet yield information that a target wants to keep confidential: the value of homesteads or mortgages, payments and standings, criminal history, religious affiliations, school affiliations, civic affiliations, taxes and more. It is a murky area requiring more attention, and many disagree on what is ethical and what is not.

    After worrying about the shadiness of those who troll MySpace sites, she goes on to pose one of the oddest key intelligence topics I’ve never thought of before: “Should cancer patients receive letters from estate planners because lawyers can buy wig vendors' client lists?”

    To which, after ROTFL, I loudly answer, “Of course not!” I could also pose, as could anyone with a creative streak and time on their hands, about 400 other horrifying, hilarious, and completely bogus red herring key intelligence topics no law firm in the world would ever investigate. I must also admit that I had no idea lawyers could buy wig vendors' client lists.

    She then suggests that the new influence of competitive intelligence in law firms may lead to the weakening of lawyers’ moral fiber:

    Experts agree it is unethical to misrepresent one's status or position to obtain information. But what about failing to identify yourself in a public place when others around you are talking about a competitor's proprietary information? Is an act of omission (failing to identify yourself) in the gathering of CI unethical? Is taking advantage of someone else's mistake unethical? What about misrepresenting intent versus identity in gathering CI (saying you are conducting a legal industry survey when you are really only interested in gathering CI regarding a particular subject)? These questions highlight the dichotomy between moral conduct and current ethical
    standards.

    It seems clear to me that the above so-called moral questions have confronted human beings (including lawyers and investment bankers and husbands and wives and lovers) ever since the appearance of the cocktail party. But by mentioning them here, the author seems to suggest that law firm advertising really was the gateway drug that has now led us to these queasy CI crossroads.

    The article concludes with a call that “law firms should take the lead” in getting state bar associations to start regulating lawyers' and law firms' CI activities:

    Ideally, as they have done with advertising, each state's bar association or other regulatory body should create a code of ethical conduct relating to the generation and use of CI. In the interim, each law firm should consider the creation of its own clear ethical standard or perhaps, at a minimum, require their professionals to join SCIP and adhere to its ethical code.

    Undoubtedly, if individual lawyers and law firms are not proactive in this regard, then at some point in the future, the public disclosure of one lawyer's offensive CI research methodology or use will cause the profession to address these issues publicly — but only after the reputation of the legal profession has been damaged once again.

    Here, finally, is something I agree with. Anyone who works in a CI position should join SCIP, thereby requiring them to agree to SCIP’s code of ethics. I and many others (thousands of us working in CI, actually) have said and done this for years. And to any law firm that wants to go SCIP one better, I say, Go for it!

    But surely getting state bar associations involved to oversee law firms’ CI activities is overkill, to say the least. And even if they did get involved, how would they oversee lawyers’ and law firm employees’ participation and behavior at:

    • Facebook and other social networking sites?
    • Blogs?
    • Parties, restaurants, and ballgames?
    • Airports?
    • The steps of churches, synagogues, and mosques?

    More problematic is the question of who and why and under what circumstances someone would decide to file a competitive intelligence grievance? And what evidence would constitute proof of a CI offense?

    At the heart of this article is a fully expressed apprehension about the financial and societal transparency that information aggregators and the Internet now offer anyone with basic research skills. The article also grieves, understandably, at the erosion of privacy some of us who are older (including me) used to enjoy.

    But although I appreciate and sympathize with these discomforts, I cannot support the conceit that lawyers and their employees will behave professionally and appropriately only when their good taste, common sense, and morals are even more highly regulated by local state bar associations.

    I look forward to everyone’s comments on this one.

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Paranoia and law firm CI


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http://charlotte-lifesaboutthejourney.blogspot.com/2008/08/paranoia-and-law-firm-ci.html


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