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Key definition
Outsourcing definition

What does Outsourcing mean? Outsourcing is the engagement of a third-party supplier to perform functions or services that would otherwise be carried out in-house, with the instructing organisation (including law firms and in-house legal teams) retaining responsibility for the outcome, client care and regulatory compliance. The term is descriptive rather than a single statutory concept, although sectoral rules define it for specific purposes (for example, FCA/PRA and Central Bank of Ireland rules on material outsourcing; SRA Standards and Regulations and law society rules on supervision, confidentiality and client notification). Typical features include an outsourcing agreement or master services agreement setting service levels, governance, audit...

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Outsourcing legal services: an in-house lawyers' guide to information gathering, spend analysis, risk assessment, stakeholder engagement and resourcing

Practice notes
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Practice Note

This Practice Note is aimed at in-house counsel weighing up whether to outsource parts of their legal work to third-party suppliers of legal services. It forms part of a wider suite of tools and guidance created to support your Outsourcing decisions. Use this Practice Note at the outset of the process. Its purpose is to help you assemble the information needed to determine if you should use—i.e. outsource work to—external suppliers of legal services.

See also Practice Notes:

  • Legal services outsourcing—in-house lawyers—which legal services to outsource
  • Legal services outsourcing—in-house lawyers—outsourcing options

Ultimately, gathering information enables you to shape a strategy for legal services outsourcing. See Precedent: Legal services outsourcing strategy. Whether you are exploring the potential to outsource some legal services, or have been set the immediate goal of reducing spend on external legal support, the first step is to start collecting information...

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Web page updated on 21/05/2026

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