{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

22 Hilton[1] - Electronically Stored Information(ESI Thomas...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
AICPA NATIONAL FORENSIC ACCOUNTING CONFERENCE Comments and opinions expressed by the speaker do not necessarily reflect the positions, opinions or beliefs of the AICPA and should not be construed or interpreted as such. Speakers retain the copyright for all of the following materials. Any replication without written consent is unlawful. Session 22 Electronically Stored Information (ESI) Thomas Hilton
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Emerging Issues in Electronic Discovery AICPA National Forensic Conference In recent years, the electronic record has replaced the paper document and likewise, a multitude of storage medium from backup tapes to separate servers has replaced the file cabinet ¾ The revised FRCP, which became effective December 1, 2006 have placed ESI on a par with paper documents ¾ Unlike paper documents where evidence of physical tampering is readily apparent, changes to ESI can go virtually undetected ¾ The world of one original has given way to a world in which every document can appear to be an original ¾ Is there such a thing as an original anymore? The fact that changes to ESI can be undetectable creates significant problems for the forensic accounting expert ¾ If the electronic information provided to and relied upon by the expert cannot be authenticated, are the expert’s opinions built on sand? ¾ If such ESI does not meet the authenticity standards or the Federal Rules of Evidence, will the court allow it to be admitted at trial? ¾ What’s an expert to do? Information is fundamental to the legal system ¾ Information is used to assist the trier of fact in getting to the truth ¾ Information is used by testifying experts as a basis upon which to form an opinion ¾ The fact that the volume of information in electronic form has multiplied exponentially in recent years has created a landscape that has stressed the legal system, due to what several authors have termed “information inflation”. ¾ Consider the article, Information Inflation: Can the Legal System Adapt? By George Paul and Jason Baron ¾ A new Information Ecosystem is emerging ¾ The quantity of information humankind can create is unlimited ¾ Couple this with the fact that, as the ability to create and store massive amounts of ESI mushrooms, the cost to store that information plummets ¾ In 1990, a typical gigabyte of storage cost about $20,000; today it costs less than $1 ¾ As a result, businesses are receiving and storing more and more data, which means more information must be collected, considered, reviewed, and produced in litigation. ¾ With billing rates for junior associates at top law firms at $200/hour, the cost to manually review one gigabyte of data can easily exceed $30,000. ¾ These economic realities: i.e. the huge cost differential between the $1 to store a gigabyte of data and $30,000 to review it, acts as a driver in changing traditional attitudes and approaches about how to search for relevant evidence during discovery.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}