Self-employment Opportunities
There are two types of self-employed paralegals: freelance paralegals and independent paralegals. An experienced paralegal may choose to become an entrepreneur — to operate a paralegal business within certain legal and ethical boundaries.
Freelance Paralegals
Freelance paralegals contract with attorneys to perform paralegal services. These paralegal services are similar to the services supplied by paralegals directly employed by the lawyer, but the freelance paralegal is hired on a temporary or task-based basis. The attorney pays a fee to the freelance paralegal, but does not provide any employment benefits. When the specific assignment is complete, the paralegal is free to move on to the next contract opportunity.
Freelance paralegals are more successful in large cities. The freelance paralegal business must be marketed and promoted to ensure a steady supply of assignments. Freelance paralegals may set their own hours, but they are responsible for arranging their own health insurance, business insurance, equipment, and secretarial or clerical support. As with any independent business, the success of a freelance paralegal depends on the ability to generate fees.
Independent Paralegals
Independent paralegals are similar to freelance paralegals, but they do not work under the supervision of an attorney. Independent paralegals concentrate on providing those paralegal services that do not constitute the unauthorized practice of law. Independent paralegals usually provide services that help customers obtain and fill out legal forms. These forms are often court approved and the independent paralegal supplies information about certain legal procedures and filing requirements. Independent paralegals often assist customers with simple divorces, the preparation of simple wills, or the preparation and filing of bankruptcy forms.
Fact
Some see independent paralegals as a partial answer to lowering the cost of routine legal services. Most proposals would allow an independent paralegal to assist clients interested in a simple will or simple divorce. These proposals are closely related to the ones emerging about licensing paralegals, an issue that has split the profession.
An independent paralegal is subject to the same business advantages and risks experienced by a freelance paralegal. In addition, an independent paralegal must be very careful not to commit unauthorized practice of law. Advice about the selection or legal effect of a particular form is not permitted, nor is providing assistance concerning the information included on the form. The independent paralegal is mainly limited to typing forms with information supplied by the customer and giving directions about the proper means of filing the document with the court. Independent paralegals are not permitted in all states; in California, these paralegals must hold a specific license to conduct this type of business.
