In the field of law, confidentiality is an effective recipe (literally or metaphorically, based on whether you prefer KFC’s 11 spices and herbs or the stunning legal secrets to a successful corporate acquisition). Virtual data rooms (VDRs) which are used to secure sensitive documents and due diligence, are employed by numerous organizations to ensure confidentiality and privacy.
As opposed to traditional physical storage systems, VDRs are cloud-based and provide 24/7 worldwide access. This allows multiple users to access and collaborate on important documents from any part of the world. This feature is particularly useful for businesses that are engaged in M&A diligence, as it permits both parties to view documents at the same time, while maintaining the privacy and security of the information.
VDRs are equipped with the latest security features to ensure the client’s documents are kept private. This includes everything from granular access permissions to watermarking and two-factor authentication. These measures include detailed activity logs that record every document, user and file action.
Furthermore, VDRs for legal needs are designed to increase productivity and collaboration. They come with tools like document commenting and task assignments to make collaborative work easier. These platforms can be easily integrated into programs like Microsoft Office and Slack for greater ease of use. Lawyers can now work wherever they are. This is particularly important because litigation often requires collaboration with different people from different places.