1. PROFESSIONAL LIABILITY FUND
I SRI
MALPRACTICE AVOIDANCE NEWSLETTER FOR OREGON LAWYERS
Issue No. 73 NOVEMBER 1998
OFFICE SYSTEMS IN
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'1":':: T��S SI?:C;�l is�ue .oIfI� ���
THE YEAR 2000 ... &: r'�'i " { !:
IS YOUR FIRM READY? is de;U9�t�d t�
,> �.���: y e ar �OOO ( y�,�) problem"' lt�O;;{ know,,:,�'� th�'i>
In a recent survey, 82 percent of small business­ [: '�'?J�:i:!l e i ¥m Bug ;.� IDu r
nn artict�:.� ·S·C()Ner th�:., !2·�(.,
es were found to be at risk for year 2000 compliance
problems. Only 17 percent had investigated the issue
at all. While most lawyers and law firm administra­
tors have heard of the bug and some have replaced
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antiquated computer equipment, most are far from '.. , . ' y � tt'· ·. Js <irn�ortaI?t' 'J�r
• • )l9U� �.nd. y(lut:·i·.fi�·llt;.r. to
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prepared. Firms of all sizes should take steps now to '. :" &�dre�.sthe�YFF()Dlem'S ���; Experts ' ��ou��t.b:e�;
ensure that all office systems will function properly , whrl�h�re pt' dicttng m aj oi, I sse� uJ11�s�>'lal/;yers'
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' ��dtheilr;clients" take: im,medlatec acti.�ni"" If.'these
in the 21st century. This article identifies potential ,,
i m�jor'i'o�s es""reSllk··in.· m�lpracti(; ::cT�i�s·· ·ag�inst:
y
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problem areas , offers solutions, and outlines
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resources to help you get started today. Orego '!,attorneys, t11.e PEF'asse�strientm�y go) ul?�
,
WHAT IS TI-IE MILLENNIUM BUG?
Date codes in most computers are programmed to
80 percent of law firm personal computers now in use
process only two digits for the field representing the
are not year 2000 compliant.
year. When the year 2000 arrives, the two-digit fields
will revert to 'OO'-in effect not recognizing any FAX MACHINES, VOICE MAIL AND OTHER
dates after the year 1999. As descri bed by year 2000 EQUIPMENT ARE VULNERABLE
guru Alan M. Gahtan, date recognition is fundamen­
Any device, piece of equipment or appliance
tal to the operation of most information systems.This
with date-dependent computerized components is
makes the consequences of the year 2000 bug signif­
potentially vulnerable. This may include fax
icant. Systems may delete data, overwrite preexisting
machines, photocopiers, cost-recovery or disburse­
files, generate incorrect or inconsistent results or
ment capture systems, telephone and voice mail sys­
shut down altogether. It is estimated that as many as
tems, postage meters, dictation equipment, environ­
mental systems, building access systems, security
systems, elevators and even automobiles. The ID@st
IN THIS ISSUE prudent approach is to investigate all such sy stems
for compliance. (See our checklist on page 3.)
Office Systems in The Year 2000 .......1
DO YOU EXCHANGE DATA WITH CLIENTS,
Actions You Should Take ............8
LAW F IRMS, OR OTHERS?
The Statute of Limitations
If you have satisfied yourself that your firm is
for Year 2000 Claims ..............10
year 2000 compliant, don't be too quick to breathe a
sigh of relief. Your new computer system can be
On the Lighter Side ................10
"contaminated" when you exchange data with others.
Free CLE Tapes and Practice Aids Talk to clients, other firms, vendors-anyone with
from th� PLF ............ . . . (inserts) whom you share data on a regular basis-to verify
their year 2000 compliance.

2. EXAMPLES OF LONG-TERM DOCKET
As this article goes to press, the year 2000 seems
DATES THAT MAY BE AFFECTED BY
far away. In truth, the date errors caused by the
THE YEAR 2000 PROBLEM
Millennium could start surfacing in just a few
months time. system which tracks future dates •
Statutes of limitation
tickling, accounting, etc.) could
•
Tort claim notice deadlines
producing erroneous results as early as 1999. Take
steps now to tackle the Millennium Bug. The lead time Lease expirations
involved in selecting, purchasing, installing, customiz­
•
Contract expirations
ing and training lawyers and staff on new equipment is
substantial. Lawyers who procrastinate may find it dif­ Judgment and lien certificate renewals
ficult to locate qualified computer consultants and tech­
UCC filings
nicians. If you need a technology consultant, visit
Microsoft's website: www.microsoft.com/smallbiz/
•
Patent/Trademark/Copyright dates
consultant/default.htm. Clients have many law firms
Annual corporate maintenance (meetings,
from which to choose. If they are concerned about minutes, etc.)
Y2K compliance and learn you have done little or
•
Courtesy reminders to clients about review­
nothing about it, they may choose to go elsewhere.
ing wills or other legal documents
IF THE WORST HAPPENS? •
Internal administrative reminders (for exam­
What if the systems in your office fail to recog­ ple, reminders to renew firm insurance poli­
nize the year 2000? How will this date recognition cies, renew office leases, or to review client
problem affect your everyday activities? files for microfilming or other storage).
If your system malfunctions, it is likely that:
Long-term docket dates will be lost or miscalcu­
•
You will be unable to access or reprogram your
lated. voice mail.
Tickle dates will be lost.
•
Your fax will go on the fritz, or if it works, the
date and time stamping function won't.
•
Deadlines will be missed, resulting in mal­
practice claims. If your copier has date-dependent computerized
components, you won't be able to make copies of
•
Database or spreadsheet programs which sort by documents for your files or your clients.
date will return error messages or incorrect
results.
•
Forms, checklists and other documents created in
your old DOS word processing program may be
•
Your accounting program will be unable to pro­ inaccessible. common belief is the
duce accurate payroll checks and other disburse­ Millennium Bug won't affect word processing.
ments. This may prove to be fatal if taken for granted'.
All word processing programs, including
•
Client bills will be delayed as you reconstruct
WordPerfect 5.1 for DOS, automatically create
lost time and billing data.
date-dependent temporary files each time they
Some software programs will stop working alto­ are launched. These temporary files could over­
gether, rendering data entered in these programs write or interfere with forms, checklists, or other
useless. documents previously saved on your hard drive.
(See the software chart on pages 6 and 7 of this
E-mail messages may be lost or misdated.
issue.)
Documents will have incorrect dates.
Is this list intimidating? Is the problem too big
•
Miscellaneous files may be deleted. for the typical law firm to solve? Thankfully, no.
While it's tempting to take a cue from the ostrich and
Page 2 BRIEF NOVEMBER 1998

3. the will go away, the good news is that
you can take steps now to protect yourself from EXAMPLES OF
lerns related to the year 2000 (Y2K). THE PROBLEM
If you have a tickler system on your comput­
er and you enter a 2-year statute of limitations
to begin on December 10, 1998, will the com­
puter calculate the time limitation correctly in
In some ways, ensuring that your computer sys­
the year 2000? It will be expensive if the year
tem is year 2000 compliant is one of the easier tasks
is entered as 1901, 1980, or some other inac­
you can undertake (assuming you haven't invested
curate year.
substantial resources in developing custom soft­
ware). Upgrading hardware and software or obtain­ •
If you have a computer program that amor­
ing a "fix" from your software and hardware manu­ tizes loan payments, the program may not
facturers is a relatively straightforward process. correctly figure due dates for loan payments
Reviewing other systems for year 2000 compliance, past December 1999.
and analyzing other areas of vulnerability or poten­
Computer programs that check validity of
tial liability, is trickier. The checklist below is
insurance policies may incorrectly read the
designed to help guide you through this maze.
lapse date for policies that lapse after
Test Your Hardware: If you are net­ December 1999.
worked, temporarily take your computer off the
Data bases that sort information by age may
network. Check the date and time settings to veri­
misread data. For example, an individual on
fy that they are current. Reset the date to
social security who was born in 1929 may
December 31, 1999. Reset the time to 2 3:57. Turn
find that his or her social security benefits
the computer off. Have a cup of coffee. After four
stop if the computer miscalculates the per­
minutes or so, turn your computer back on. Go
son's age in the year 2000. This would occur
into the DOS mode. At the C:> prompt, type
if the computer interpreted 2000 as 1900 and
"DATE" in all caps without the quotation marks.
tried to subtract 1929 from 1900, or calcu­
Press the Enter key. Now look at the screen. What
lated the age as 51 years old because the
date did your computer display? A PLF employee
computer interpreted 00 as 1980 (1980-
who tested her computer this way was quite sur­
1929). Either of these events could result in
prised when the screen read January 4, 1980. No
the computer rejecting the claim as invalid.
matter what the result is, run this test twice. Once
with the computer left running (don't shut it off
after you reset the date and time) and again as
Expect to have problems if you are still running
described above. You may get inconsistent results.
a 286. With old and new hardware, the major
If you see an incorrect date, you have a problem.
problem is BIOS, the software that allows your
operating system to communicate with your
hardware. Recent tests have shown that 79 per­
cent of BIOS chips manufactured before 1997" '
ALERT do not roll over to the year 2000. The chances
are high that if your computer is a " pre - 1996"
DO YOU USE WORDPERFECT 5.1, 6.0, 6.1,
model, it is not Y2K compliant. If you're a Mac
WORD 6, OR WORD 7?
user, you should be safe. According to Apple,
A recent search of the Internet has revealed Mac computers are compliant. Your Mac-com­
that these programs may not be year 2000 com­ patible software carries no similar assurances.
pliant. Steps should be taken immediately to Check with vendors and/or manufacturers and
upgrade these word processing programs. Tests upgrade as needed. (For more about manufac­
indicate that files may be lost after the year turer representations, see Jeff Duncan Brecht's
2000, and some features of these programs may article, The Millennium which appeared in
no longer be reliable. the July 1998 issue of the Oregon State Bar
Bulletin. )
NOVEMBER 1998 Page 3

4. Check Your Computer Network: If your firm is Vour Computer System:
currently using a Novell network, you will proba­ Problems will most likely occur in computers
bly experience date and time inaccuracies among using DOS or a pre-95 version of Windows. As
workstations. This may cause problems with doc­ the date changes to 2000, some computers run­
ument management, indexing and e-maiL Novell ning DOS will automatically reset to January 1,
has issued a patch for NetWare 3.12 and is sched­ 1980 or January 1 1984. Windows 3.1 or 3.11
uled to cure problems with NetWare 4.x, Intranet may reset the computer to January 1, 1900.
Ware and GroupWise by the end of 1998. The Windows 98 is represented by Microsoft to be
company has not, however, announced any plans year 2000 compliant. Windows 95 users will
to issue a patch for NetWare 3.11. If you're using need to download a service patch and take other
NetWare 3.11, plan on upgrading. Microsoft rep­ appropriate steps. (See the software chart on
resents Windows NT to be year 2000 compliant. pages 6 and 7 of this issue.)
Evaluate Computer Software and Online
Search Services: Pre-1996 versions of any pro­
gram are suspect if programmers didn't consider
the effect of Y2K when writing the underlying
code. Contact software manufacturers about fixes
WEBSITES/RESOURCES
or upgrades. (See the discussion below about
license agreements and refer to the software
The following sites provide gen e ral Y2K chart on pages 6 and 7 of this issue.)
information�
Software is available to help you test your com­
http: //w ww. ye ar2 000 .co m <
puter. Inspectl2000 by Unitech Systems, Inc. and
h tt p: //ko de. n et/ -ggirod/bookmar k . htm l
Compuware's File-AID/Data Ager are just two of
http://www.mitre.org:80/research/y2k
the products on the market designed to help you
http://.pw2.netcom.com/-helliott/OO,htm diagnose or simulate year 2000 problems. For a
http ://ww w.c o m p aq . com/y ea r2000 list of vendors, check out the website for Beyond
http://www.lawyersweekly.com Computing: http://www. beyondcomputingmag
.com. Diagnostic software may also be down­
h ttp: //y 2k. das . state.or. us
loaded from these sites:
http://www.RighTime.com
The following sites provide definitions of
http://www.sbhs.com/y2k/index.htm
compliance:
http://www.rigel.co.nz
Federal Acquisition Regulation Final Rules on
Year 2000 Compliance If you subscribe to CD-ROM servic�s or online
http://w ww. c o m li nks.com/g o v/fa rf8 9 7 ; h t m search services, contact suppliers about Y2K
compliance.
Information Technology Association
htt p: //w ww.i taa . org/far c omment s.ht m K ...."n ..lrll't-r
Check Software Into The Office
General Services Administration Individuals: This includes screens avers.
http://www.itpo!icy.gsa.gov/mks/yr2000/ Introduction of non-compliant software of any
contlang.htm kind may affect a network or personal computer.
Consider adopting a firm-wide policy prohibiting
New York State Year 2000 Warranty Standard
h ttp:// w ww.ir m . s tate.ny.us/ yr2000/co n tract .h tm unauthorized installation of software on worksta­
tions or laptops.
IBM
http : //www yr2k.raleigh . i bm . co m /s p e c . htm l •
Look Over Vour License Agreements: Take an
inventory of your computer hardware, software,
The Institute of Electrical and Electronic
CD-Rom services, and on-line search services.
Engineers (IEEE) "draft standard for Year 2000
Locate the licensing agreements and other con­
terminology" (Standard 2000.1), can be
tracts that go along with the products, and analyze
purchased for $36 by calling 1-800-678-4333�
them for representations, warranties, and any lia­
bility limitations related to year 2000 issues.
Page 4 B RI EF NOVEMBER 1998

5. Consider contacting your vendors and requesting
that they make the products year 2000 compliant. OREGON STATE BAR Y2K CLE
Failure to take this step may be considered a
waiver of your right to reimbursement for dam­
On Friday, November 20, 1998, the Oregon
State Bar will present The Millennium Bug:
ages. The manufacturer may have fixes or
Protecting Your Clients and Yourself from the
upgrades to offer.
Year 2000 Computer Problem at the Oregon
Check Other and Electronic Convention Center in Portland. The program
Devices: In addition to reviewing and upgrading qualifies for 4 MCLE credits and 1 ethics credit.
your computer system, do a firm-wide inventory For additional information, contact the OSB
of all technology currently in use. Any device or CLE Registration and Order Desk 503-684-7413
piece of equipment that incorporates micro­ or 1-800-452-8260, ext. 413.
processors or embedded logic is vulnerable to
the year 2000 bug. Contact vendors and/or man­
ufacturers if in doubt. Get written reassurances. Review Your Insurance Policies: Review all of
If you have licensing agreements, maintenance your insurance policies including property, casu­
lease agreements, or other agree­ alty, liability, eriors and and fiducia­
ments, check to see who is responsible for fixing ry. If your policy does not cover losses related to
non-compliant systems. year 2000 issues, you may still have time to pur­
chase applicable coverage.
Contact Key Vendors and Suppliers: If you are
YEAR 2000 TIPS FROM MICROSOFT ready for the year 2000, are your vendors and
key suppliers? You may want to contact your
To reduce the potential for errors or unex­
bank, payroll service, bookkeeper, CPA firm,
pected results, Microsoft recommends the fol­
landlord, utilities, local and long distance tele­
lowing:
phone carriers, and any other vendors who pro­
Update all applications with date fields that vide key services to your firm. If necessary,
do not accept 2000 and beyond. obtain compliance agreements.
•
Set your computer to display all 4 digits of a •
Respond Carefully to Client Inquiries: Oregon
year as the default so users are aware of pos­ law firms are already receiving inquiries from
sible errors as dates are entered. * corporate clients about year 2000 compliance.
Frame your responses to these inquiries carefully.
•
Check the impact of BIOS problems on older
Your ability to provide service will depend on
systems. (Try the date test described on page
your systems, and on the systems of suppliers,
3 of this issue.)
vendors� and contractors you use. Although you
Convert all years stored as 2 digits to 4 dig­ may want to please and impress a client� don't
its, confirming the accuracy of the conver­ provide unequivocal assurances. The best
sion. approach is to describe what you have done to be
prepared.
Establish a consistent date format using all 4
•
digits of a year for exchanging dates Watch for Malpractice Traps: There are many
between internal or external systems. potential malpractice traps related to failure to
properly advise clients on year 2000 risks.
Update systems to take advantage of new Mergers and acquisitions, disclosure statements
"ease of use" functions for dates into the in annual reports, acquisition of equipment and
next century. services are just a few of the potential problem
areas. (See Jeff Duncan Brecht's article, The
*In Windows 95, go to the Control Panel and select
Regional Settings, then the Date tab. Change the Millennium Bug, which appeared in the July
"Short date style /I to display all four digits of a year 1998 issue of the Oregon State Bar Bulletin and
(M/d/yyyy), which will cause all a pplications to dis­ watch the In Brief for future articles on this
play dates in the 4-digit format as a default. aspect of Y 2K.)
NOVEMBER 1998 Page 5

6. Make A Contingency Plan: Don't rely solely on
data entered in your computer, even if you
believe it to be year 2000 compliant. Keep a hard
copy backup of critical information: The PLF contacted the mam
Document key deadlines and tickle dates in
Software
client files.
Product Name Manufacturer
Use hard copy intake forms, checklists and Abacus Plus (DOS, Windows) Abacus Data SySI
tickle logs to back up computerized data.
Amicus (Windows, Mac) Gavel & Gown
Print out computerized docket and tickler Billing Software for Attorneys (Windows) Juno Corporation·
entries. CaseMaster(Tabs/ProfitSource Software Technoll
(�OS, Windows)
Maintain a desk calendar in addition to your CLAS (DOS; some fTlodules available in Softlaw Corporati
computerized docket and/or calendar. Windows or with Windows interface)
Conft ictSearch Tremco Legal Sol
Keep a paper trail documenting all data,
Gryphon (Windows) The Poseidon Gn
including time and billing.
HotDocs (DOS, Windows) Capsoft Oevelopr
Beverly Mic haelis
MS-DOS 6.22 Microsoft
Practice Management Advisor
Professional Liability Fund
OnTime (DOS, Windows) The OnTime GrOt
The PLF practice management advisors are available to
assist firms with these and other office systems issues. For PC Law Jr. (DOS, Windows) Alumni Computer
assistance, contact the PLF at 800-452-1639 or 503-639- Quicken/QuickBooks (DOS, Windows, Mac) Intuit
6911.
Sidekick (DOS, Windows) Starfish So·,
Time Matters (DOS, Windows) Data.TXT Corp on
FILES PILED IDGH... TimesJips (DOS,Windows, Mac) Timeslips Corp or.
ON THE FLOOR? Trial De Novo (Windows, Mac) De Novo System!
Windows 3.1 , 3.11, Windows 95 Microsoft
Call for
free and
confidential Windows 98 Microsoft
office systems WordPerfect 5.1 for DOS, 6.0 for DOS Corel
or 6.1 for Windows
assistance.
WordPerfect 7 or 8 for Windows Corel
Professional
Liability Fund Word 2.x, S.x, (DOS, Windows, Mac) Microsoft
.. Carol Wi Ison
it Dee Crocker
• Beverly Michaelis Word 6 or Word 7 (Word 95) for Microsoft
Windows
Practice
Management
Advisors Word 97 for Windows Microsoft
1
The PLF makes no warranties as to the accuracy or thoroughness I .;I !
639-6911 or use or contemplated for purchase. Such a review might include contactin�
1-800-452 1639 .. updates or patches from manufacturers, and testing products as applicabh
the default on your computer's control panel to a four-digit year, failure to d
Page 6 , BRIEF NOVEMBER 1998