Archive for March 2009

Open Thread: Cravath & Co. to Shorter Summers

By Kashmir Hill

summer associate program ATL Above the Law blog.jpgDaylight savings is on. The weather keeps flirting with the idea of getting warmer. And area stores are starting to put miniskirts on display in their front windows. You know what that means: Summer’s a-coming. Law students bound for BigLaw summer associate gigs may already be packing their bags. Except it looks like many will be able to pack less clothing, because this year’s summer gigs are going to be a little shorter.

Firms won’t comment on this E-mails are pouring in from law students across the land telling us that a 12-week program is just a summer dream now. According to tipsters, Cravath, Swaine & Moore; Gibson, Dunn & Crutcher; and Kirkland & Ellis are shortening their summers to 10 weeks; and Shearman & Sterling has confirmed that it is rolling it back to just nine weeks. Here’s what we’ve heard:

Cravath just called all of their upcoming 2L Summer Associates and informed us that the summer program would be cut to 10 weeks. They asked that we go online and reschedule our dates accordingly. No explanation given. I’m sure that they made calls rather than emails to avoid a paper trail.

We think the explanation is likely a financial one. Firms are cutting back, and they can get to know you just fine in 10 weeks rather than paying to have you stick you around for 12. Gibson-bound 2Ls got calls as well:

I received a call from the Gibson, Dunn & Crutcher summer coordinators today, as did many of my soon-to-be colleagues. The start date moved up to May 18th (instead of the 11th) and the end date moved back to July 24th (instead of the 31st). They tried to sell it as a “good move” for everyone because the recruitment season start so early now (August); they think both the firm administration and the summer associates will appreciate some time to prepare for recruitment season. Is this some sort of signal? Should 2L summers be planning to interview in the fall?

C’mon now. Let’s not totally freak out. Or let’s, but in the comments. Here’s an open thread to discuss which firms are scaling back their summer programs.

White & Case (Minor) Layoff Delay: A Purim Miracle?

By Marin

White and Case logo.JPGUpdate (5:35): We understand that White & Case began informing individual associates of the firm’s decision this afternoon.

We reported yesterday that White ‘n & Case sent out a firm-wide memo announcing the layoffs of 200 associates and 200 staff. However, we’re hearing that there’s not yet blood on the dance floor, as no layoffs occurred yesterday, at least not in the NY office. But there’s still panic at the disco:

I don’t think they’ve told anybody whether they are fired or not fired yet. Odd planning since they sent out the message today. Just got everybody worried.

Rumors are flying about why there’s a lag between the memo and the axe, as only the most powerful force would seemingly able to stop the engines of a layoff express already in motion. That mighty force, friends, is Purim.

A couple people said that it would be later in the week…and mentioned that this was because of Purim. I have NO IDEA if this is because people heard something from a valid source or just speculation because, as you know, tomorrow is Purim.

For those of you unfamiliar with the festival that is about as relevant to Judaism as Groundhog Day is to Americans, Purim is a costume holiday in which Jews commemorate their deliverance from death at the hands of the tyrant Haman. Haman conspired to kill the Jews and drew lots to determine the day on which he would hang them from the gallows he had built, but his plan was foiled by Queen Esther and Mordechai, with God pulling up the rear.

Find out how righteous White & Case may be observing the hamentashen holiday, after the jump.

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Morning Docket 03.10.09

By Kashmir Hill

Eric Holder Obama AG.jpg* The D.C. Bar is going after Avvo.com for violating privacy and copyright laws. Avvo takes lawyer profiles from the D.C. Bar’s site and posts them for clients to rate and write reviews. We’re pleased to see that our USAG Eric Holder has a “superb” rating: 9.4 out of 10. [Washington Post]

* Kiddie porn lovers put out a bounty on the head of New York Attorney General Andrew Cuomo. [WROC via Wonkette]

* Are crosses religious or a secular symbol of death? Utah decides. [Associated Press]

* More charges for David Kernell, the University of Tennessee student who hacked into Sarah Palin’s e-mail account: Identity theft, wire fraud, and obstruction of justice. [Threat Level/Wired]

* The BigLaw model is broken? [Risky Business/U.S. News & World Report]

Non-Sequiturs: 03.09.09

By Elie Mystal

Survivorman Les Stroud.JPG* People who have been laid off need to remain positive and open minded. For instance, if you don’t do so already, watch Survivorman Les Stroud. He generally has a positive attitude even when he’s near death, and he teaches you skills that will be very important for the new economy. (Seriously though, watch Survivorman. You always leave that show feeling better (because you have access to clean drinking water) and totally prepared for anything). [Law and More]

* The Biglaw beating is coming to a partnership near you. [Adam Smith Esq.]

* But turning associates into at will employees, tends to sap their will. [Ideoblog]

* With all the employed people roving about, participate in the official drinking holidays coming up (St. Patrick’s Day, Opening Day, Cinco de Mayo) with extreme caution. [My Law Life]

* Here’s what Blawg Review looks like from across the pond. [Head of Legal via Blawg Review]

Stealth Layoff Watch: Davis Polk & Wardwell Bring Layoffs into the Vault 5

By Elie Mystal

Davis Polk Wardwell DPW Above the Law blog.jpgLast week, we mentioned that it doesn’t look like top Manhattan firms are immune to the layoff bug. Today, we can report some of the things that have been happening at Davis Polk & Wardwell over the past few months.

Stealth layoffs started happening at DPW in December. Corporate associates (notably, associates in Capital Markets, Credit, and M&A) were laid off the way it used to work in Biglaw. Laid off associates were told that their performance was not up to standards and given three months “notice” to find a new job.

That will put people out on the street by the end of this month, unless they have already secured a job by then. How do you think that is going in this market? This tipster neatly summarizes some details we’ve received over the past couple of months:

[T]he people who got hit by the (stealth) layoffs have to work their a**off for the three months, i.e. they bill almost regular hours…. nobody knows how many people will have to leave (at DPW “we” don’t talk about things like that…) but it’s at least a dozen or more in the corporate department alone.

We believe that 20 – 30 attorneys have been laid off from DPW in this manner since December, and we believe that those people only account for New York City cuts.

Remember, DPW suffered a significant drop in profits per partner. AmLaw reported that the firm’s PPP was down 17% in 2008.

The firm responds and tipsters weigh in after the jump.

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Incoming First Years at Morgan Lewis See $100K of Compensation Go Up in Smoke

By Elie Mystal

Morgan Lewis.JPGFor those of you that have read the comments on the Morgan Lewis layoff post, you already know that MLB is mandating a deferral program for all of its incoming first year associates. We wanted to dedicate a separate post to discuss this plan, as it is very different from what we’ve seen from Latham & Watkins or Orrick.

Here’s how Morgan Lewis characterizes its deferral plan:

Today, we are taking a number of steps to adjust our workforce in light of changed economic circumstances. Among other things, we have decided to defer the start dates for new associates so that incoming entry-level associates will start with us in October 2010. We will offer each affected individual the opportunity to work in a public interest organization between October 2009 and his or her start date, and will pay each a $5,000 monthly stipend.

Unlike Latham or Orrick, this plan is not optional. All incoming first years have to take this plan. Because the plan is mandatory, MLB is in the position where they will have no 2009 first year attorneys. But the firm will save at least $100K on every first year associate they hired.

I say “at least” because obviously not every associate will receive the $60,000 that is contemplated in this memo. The memo clearly states that the monthly stipend will be paid only to associates who secure work at a public interest organization, and even then on a month to month basis. Latham, in contrast, will be giving $75K to incoming first years up-front. (We do assume that the deferral plan includes a “bar stipend” which would bring MLB’s total package closer in line to Latham and Orrick. The memo doesn’t say that specifically though, so we are making an assumption.)

It’s not out of the realm of possibility that some people won’t be able to secure a public interest job by October 2009 (there is not an infinite supply of public interest work). If you don’t get a job until January, you’re not getting a stipend until January, allowing the firm to save even more money.

After the jump, we see that Morgan Lewis expects the tough times to continue right through 2010.

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Nationwide Layoff Watch: White & Case Round 2

By Elie Mystal

White and Case logo.JPGWe are now firmly into the “second round” of law firm layoffs. We are increasingly dealing with firms who already laid people off in late 2008 or early 2009 who have to go back and make more cuts as the economic outlook continues to worsen.

White & Case, which laid off about 70 associates back in November , laid off 400 people today: 200 attorneys, and 200 staff.

But, in a rare move, White & Case sent around an internal memo announcing that partners would be next on the chopping block:

These measures follow a thorough, strategic review of our business, including discussions with our Regional Section Heads, Global Practice Leaders and Office Executive Partners.

It is clear from this review that the deterioration of the global economy will continue to affect our clients and their demand for our services for the foreseeable future. As a result, we are planning the following actions:

• An evaluation of our partnership, which will result in a reduction in the number of our partners, commensurate with current and anticipated business needs.

And many incoming White & Case first years will have to find something else to do this fall:

• Deferring the start date of about 60% of this year’s incoming associate class in the United States until 2010. Incoming associates who are not deferred will join the Firm on November 2, 2009.

How terrible are the projections for 2009? And how many more rounds of layoffs do we have to go?

White & Case brings us to 731 associates and staff laid off today. What a bloody, black, March Monday.

Read the full statement after the jump.

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Nationwide Layoff Watch: Morgan Lewis Lays off 216

By Elie Mystal

Morgan Lewis.JPGThis one even caught us by surprise. We had received some indication that Morgan Lewis was finished with its layoffs, but apparently the reductions earlier this year were just the beginning. A firm wide memo announced the sad news to MLB employees a short while ago.

Unfortunately, we have reached the point where we believe that the greatest good for the greatest number of our colleagues will be achieved by eliminating some positions and bringing our overall numbers more in line with the realities of the present economic environment and what we believe will be the expectations of our clients in the future. Therefore, we will be informing today a number of our attorneys and members of our staff throughout the firm that their employment will end. We expect to inform those of you who are being affected by this decision as early as possible today, at which time we will also discuss with you certain available termination benefits.

The memo goes on to list the damage: 55 attorneys and 161 staffers. The memo makes no mention of the severance package that is going to be offered to the ex-MLB people.

It is not going to be a happy Monday.

Read the full memo after the jump.

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Thacher Has More Bad News For Its First Year Associates: “We’re going to need that $10K back”

By Kashmir Hill

Thacher.jpgThis month is a rough one for former Thacher-ites. Many are still jobless. The last of their WARN-mandated paychecks have come. And first year associates are being reminded that they still owe the firm money, and the firm wants it now.

Legal Times reports that Thacher Proffitt & Wood is putting a call out for the $10,000 loans the firm made to first year associates to cover their moving and bar expenses in 2008. The members of Thacher’s dissolution committee place the blame at the bank’s doorstep:

Omer “Jack” Williams, a former Thacher managing partner who left retirement to chair Thacher’s seven-member dissolution committee, says associates knew the money was a loan when they took it. “In the exit interviews, we made it clear we anticipated they would pay their loans back,” he says.

Former managing partner Paul Tvetenstrand, now a partner with Sonnenschein Nath & Rosenthal, says Citigroup — which held the firm’s debt — made the decision to go after the money. “The bank has asked for those loans back. It’s not the firm. The firm is in dissolution,” he says. Williams says the committee wasn’t explicitly ordered to pursue the associates for repayment by the bank, but “the situation is the bank is our secured creditor, for better or for worse. And our main obligation as the dissolution committee is to collect all receivables.”

Hasn’t Thacher done enough to ruin the lives of its 33 first year associates, asks one of those in the payback bind. One of the Thacher debtors wrote in an e-mail to us:

This ‘exit interview’ was really just them collecting our Blackberrys and then telling us they were doing us a favor by not making the balance of the loan due immediately. But they said they expected us to make the same payments ($833.33 a month) until the balance was paid. I told them that offer was completely ridiculous – you expect me to pay the same amount when I’m making nothing as I was when I was making 3K/week? You guys are crazy. Every other first year that took the loan had pretty much the same meeting – some people were actually brought to tears.

We believe that case law is on our side from the minimal research we have done. It is our understanding that a loan like this is made in anticipation of employment – so cessation of employment is not a justifiable reason for calling the loan. Furthermore, it’s not as if I have this money in some interest-bearing account somewhere – it cost me a lot to move out here and to take the bar and to get set up. We were essentially used in a scheme to keep the firm sale-able: they wanted it to appear like everything was running smoothly while they were courting buyers.

The Legal Times estimates the total to be collected from the 33 former associates at $300,000 to $350,000. That’s a drop in the bucket compared to the $32 million total that the firm owes Citibank.

More angry reactions, after the jump.

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Open Thread: Congrats on being done with the MPRE
And speaking of standardized tests…

By Kashmir Hill

MPRE.jpgThis past Saturday, many lawyers-to-be took the Multistate Professional Responsibility Examination. Congratulations on being done.

We don’t have a lot to say about the MPRE, but maybe you do. Per the requests of a few Above The Law readers, here is an open thread for rejoicing, frustration, and general comment.

So that this post is not completely devoid of news value, we shall include a little meditation on test preparation materials for standardized tests.

Once the tests that lead to law school admission and esquire-dom are done with, many people celebrate by sending their test prep materials to Craigslist heaven. But those with TestMasters LSAT prep books should exercise caution before doing this. One ATL reader writes:

My friend (who decided not to take the LSAT) posted an online ad on Craigslist to give away her TestMasters books. Below is the email she got in response. DMCA? Copyright infringement for giving away a book? How do you “violate the LSAC”?

I get the idea of protecting their trade secrets and breach of the enrollment agreement but can there be any merit to some of these other allegations? Also, does she really have to return the books? The shipping on these textbooks is substantial and these are still her books for which she paid.

Obviously, it’s not worth the hassle to contest this, but there’s no way TestMasters can get away with these claims. Seems like the LSAC would want to know that TestMasters intimidates their clients with trumped up criminal charges.

Check out the threat-laced e-mail from TestMasters, after the jump.

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And speaking of standardized tests…“

U.S. News Law School Rankings Will Be Late This Year

By Elie Mystal

world college rankings.JPGPrestige-whore Christmas will be a little late this year. On Friday, TaxProf Blog pointed out:

Robert Morse, Director of Data Research at U.S. News & World Report, announced yesterday that the new law school rankings will be published online on April 23, 2009, the latest date since the annual rankings began in 1990.

Over at The Faculty Lounge, the news was perplexing:

Now that’s a little strange, because I’d think that a lot of law students would already have made their choice of school by then.

Why the delay? According to the U.S. News announcement, it takes more time to count part-time:

The law school rankings will be getting an upgrade. We plan to publish our first-ever ranking of part-time J.D. law programs. This new ranking will evaluate the part-time law programs at 87 American Bar Association fully accredited law schools that are fully accredited by the American Bar Association. We defined a part-time J.D. program as a law school that has a separate admission process for part-time law students and has at least 20 part-time students enrolled. As we have annually since 1990, we’ll also publish updated law school rankings, which will cover all law schools.

When U.S. News announced that they were looking at part-time programs, Brian Leiter noted the questionable choice:

Leiter notes that the proposed change could harm the mission of legal education:

“For many, probably most, part-time programs serve older, working students, who might not have time for fancy LSAT prep courses, but who bring levels of dedication, seriousness, and pertinent experience that enrich legal education and the legal profession.”

But given the horrendous job market, the new debate is whether the rankings still mean anything, or if it is more important than ever?

Of course, this all assumes you can get a loan to go to law school in the first place. Good luck with that.

New U.S. News Rankings to be Released April 23 [TaxProf Blog]

The Grad School Rankings Are Coming Soon [U.S. News]

LSAC says: Applications up, applicants flat [Legal Writing Prof Blog]

US News 2010 Law School Rankings Coming Soon to a Bookstore Near You [The Faculty Lounge]

Earlier: The Rankings Versus The Cash

The Asia Chronicles: Partner Chances in Asia: You Got Any? (Part 1)

By Kinney Recruiting

3.10 Robert K. Pic rev.JPGAsia Chronicles logo.jpg[Ed. note: This post is authored by Evan Jowers and Robert Kinney of Kinney Recruiting--sponsor of the Asia Chronicles. Kinney has made more placements of U.S. associates and partners in Asia than any other firm in the past two years. You can reach them by email: asia at kinneyrecruiting dot com.]

Robert here. Loyal readers of our blog will have noticed that I tend to remain in the background here. The truth is that Evan really is an outstanding recruiter, and I prefer to have him out in front of our associate recruitment efforts in Asia. After seven years of recruiting, four years in Asia, my recruiting interest is primarily in assisting partners. My practice dovetails with that of Evan and our other recruiters since satisfied partners continue to have needs at the associate level for many years after we place them and they tend to hire us to fill those needs. Luckily for us, we’ve been involved in more than our share of partner recruitment successes. With the addition of Alexis Lamb to our Hong Kong office, our Asia team is truly coming into its own. I’m very proud of what we have done in Asia but I’m happy to have Evan and Alexis doing most of the direct work with associates.

It seems to me that as a sort of diversion from our usual intense focus in this column on matters that pertain to associate candidates’ immediate interests, some of you actually still want to be partner in a law firm and might benefit from knowing a few things about the process before arriving. Who makes partner at firms in Asia compared to US counterparts, for example? Are your chances better or worse as a result of moving to Asia? And what will the future be for those who succumb to the allure of an Asian career and actually “succeed” in a law firm by becoming partner?

***More after the jump.

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Nationwide Layoff Watch: K&L Gates Reduces by 36 Associates

By Kashmir Hill

KL Gates logo.JPGThe week is off to an ugly start in law firm layoff land. K&L Gates sent the following memo out this morning announcing a “workforce reduction” of 36 associates and 79 staff:

To: All K&L Gates Personnel

From: P.J. Kalis on Behalf of the Management Committee

As with other enterprises adjusting to the global economic downturn, including dozens of major law firms, we have had to adopt measures to strike a balance between the size of our workforce and the demand for certain of our services.

Today, with regret, we announce a reduction in workforce involving 36 associates and 79 staff in the United States. In addition, six lawyer posts are being considered for redundancy in the London office. These reductions (including the possible reductions in London) represent 4.9% of our associate lawyers and 4.3% of our staff. Each of the affected individuals will be personally notified today and informed of transitional arrangements.

For the affected individuals, there is little that can be said here that will not ring hollow. Although impersonal economic forces are sometimes difficult to understand, their highly personal effects are all too easily understood. Good people will be searching for jobs.

We hate to say it, but laying off just 4.9 percent of associates is almost something to brag about these days, with firms like Latham cutting as high as 10 percent in one fell swoop. Full memo, after the jump.

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Morning Docket 03.09.09

By Kashmir Hill

Thumbnail image for iphone.gif* Former DLA Piper partner Geoff Willard pipes up about Virtual Law Partners and the benefits of working from home. We hope virtual partnership comes with an avatar. [Washington Post]

* When President Obama indicated U.S. attorney incumbents could stick around for a bit, they breathed a sigh of relief (and an especially big one in this hiring environment for lawyers). If Maryland is any indication, the USAO Nationwide Layoff Watch will be on hold for quite awhile. [Baltimore Sun]

* The investigation of John Yoo and the rest of the legal Bush crew raises difficult questions: “What is a government lawyer’s responsibility if legal advice he gives turns out to be, in the view of many authorities, grievously flawed? Can he be blamed for damaging, and arguably illegal, acts carried out with his imprimatur? Should he suffer any punishment?” [New York Times]

* Ira Lee Sorkin will no longer be doing double duty with the Madoffs. [Newsday]

* Law students everywhere, eat your hearts out. A Duke 3L won praise from Judge Brett Kavanaugh during her debut in the U.S. Court of Appeals for the D.C. Circuit. Kavanaugh called her performance “superb.” [BLT]

* Will the iPhone one day usurp the Blackberry at law firms? Will someone at Chapman & Cutler please use their Magic 8-ball iPhone application and let us know? [American Lawyer]

  • 07 Mar 2009 at 11:37 AM
  • Layoffs

This Week In Layoffs: 03.07.09

By Law Shucks

Lawshucks layoff tracker.JPG[Ed. note: Above the Law has teamed up with Lawshucks. Lawshucks has done excellent work translating all of the layoff news into user-friendly charts and graphs: the Layoff Tracker.]

Turns out last week was just a break in the storm. When “only” 560 people in major firms lost their job, we thought it was a reprieve from the previous week’s bloodbath of 1,002 – 352 lawyers, 650 staff. Once again, our expectations have been shattered.

Cutting to the chase, 337 attorneys and 795 staff of major law firms have been let go this week – upping the record for the worst week of BigLaw layoffs to 1,132. That skews slightly more toward staff layoffs than we’ve been seeing from US firms, which were previously a little closer to 2 staff laid off for each attorney. UK firms have been closer to 1:1.

It was California firms wielding the axe this week – a trend we’ve noted previously. Orrick, which traces its routes back to San Francisco in 1863, (300 – 100 lawyers, 200 staff) and O’Melveny & Myers, founded in Los Angeles (200 – 90 lawyers, 110 staff), picked up where Latham & Watkins, founded in LA in 1934, left off last week. Orrick’s action was also notable in that the firm cut just under 20% of its non-partner attorneys. Most of the other significant cuts have capped out around 9-12% (although note that that list omits the UK firms).

Pillsbury Winthrop Shaw Pittman, founded in San Francisco (although involved in many subsequent major mergers), ended the week by announcing it had laid off 155 (55 attorneys / 100 staff). This time, the firm used a memo – correcting the horrendous botching of the disclosure by a partner on a train.

Sheppard Mullin laid off 25 lawyers two weeks ago, so that pretty much leaves Gibson Dunn; Irell & Manella; Manatt, Phelps & Phillips; Paul Hastings; and Quinn Emanuel as the major California firms that haven’t had layoffs yet. Most of those skew towards litigation, so perhaps there won’t be major cuts.

In addition to the folks at those remaining California firms, the silence out of New York is becoming deafening. Of the NY firms, only Cadwalader, Proskauer and White & Case have had significant announcements so far. Speculation is rampant at this point that there are further major cuts coming and/or that the NY firms have mastered the art of the “stealth” layoff (e.g., Schulte).

Further analysis and context of this week’s numbers after the jump.

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Options for Incoming Orrick First Years

By Elie Mystal

Orrick logo.JPGOn Tuesday, we were able to tell you that Orrick would be giving a $75K stipend to 3Ls who are willing to defer for a year. We are now able to bring you additional information on Orrick’s plan for its incoming first year associates.

First and foremost, we understand that the $75K stipend is available only if 3Ls are able to secure a public interest or government fellowship. 3Ls received a memo from Orrick which listed some organizations that are hiring. But if you can’t get a job, you can’t get the money.

That said, the firm is open to suggestions. We talked with an Orrick spokesperson who said that the firm would look at any suggestions that 3Ls had for fellowship options. The firm will look at it on a case-by-case basis, looking at whether the job will give the 3Ls good legal training. The firm has put a full time pro-bono manager in charge of helping incoming first years get placements at other organizations. Speaking about the 3Ls, the spokesperson said that the firm likes all of the people that have offers to return to the firm: “We want them back.”

But that isn’t the only option for incoming first years. Details after the jump.

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Non-Sequiturs: 03.06.09

By Elie Mystal

Charles Nesson.jpg* You know who really is as cool as everybody says he is? Charlie Nesson. Don’t get me wrong, if the man wasn’t a law professor he’d undoubtedly be one of those people you’d never make eye contact with unless you were packing heat. But, safely locked inside the Ivory Tower, the man’s awesome. [Intellectual Property Colloquium]

* Rodge Cohen for deputy secretary? S&C’s loss could be the Treasury Department’s gain. [WSJ Law Blog]

* Denver law students are live blogging a major Colorado trial. And their professors approve! [Race to the Bottom]

* Yale is offering a three year J.D./M.B.A. program. Put another way, Yale is offering employment gold in exchange for depreciating American greenbacks. [TaxProf Blog]

* Harvard is still a good bet too. I think the right commodity is oil. The price might fluctuate but you still need it to do most things. [The Faculty Lounge]

* It’s funny how some firms still think they can control leaks. Like, you know, pretty much any firm whose name is “K & Any letter of the alphabet.” [Law and More]

* Russell Wetanson “woods” his own post better than I ever could. “Because of Paula Abdul’s negligence, I can no longer stand Straight Up.” [Popsquire]

* Don’t forget to “spring forward” this weekend! [Infoplease: Daylight Saving Time]

Nationwide Layoff Watch: Something Is Going Down At Akin Gump (Update: 47 associates and 57 staff laid off.)

By Elie Mystal

Akin Gump logo.JPGWe started hearing a lot of reports about impending layoffs at Akin Gump, earlier the week. One tipster put it succinctly:

Expect attorney and further staff layoffs this Friday.

Remember, Akin laid off 65 staffers in January. At the time, Akin indicated that there would be no attorney layoffs:

“There are no planned attorney layoffs,” said [Sheila Turner, a firm spokeswoman]. “But in these difficult times we of course expect to monitor the economy and staff the firm accordingly.”

Akin Gump did not respond to our inquires earlier this week.

Well, it is Friday. And we have been getting a lot of reports from other sources that layoffs are happening at Akin today.

Details after the jump.

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Mayer Brown Chairman to Leave at the End of the Year

By Elie Mystal

mayer brown logo.JPGWell, it’s been a tough few months for Mayer Brown. And now we are looking at the biggest casualty of all. Mayer Brown chairman James Holzhauer informed the firm that he would be stepping down at the end of the year. From the firm wide email:

Thus, it was with great difficulty that I informed the partnership at a meeting this morning that I intend to step down as Chairman effective at the end of the year, or earlier if a successor is chosen and ready to take over.

AmLaw Daily reports some recent facts from Holzhauer’s tenure:

Mayer Brown has certainly had more than its fair share of upheaval in recent years. Within the past two years alone, more than 100 partners have left the firm, 45 through a mass de-equitization in March 2007.

The firm has lost at least 15 partners since last August, when restructuring group cochair Raniero “Ron” D’Aversa, Jr., defected for Orrick, Herrington & Sutcliffe.

But there were lots of positives too:

“The firm is going to move forward quite well, and we’ve actually weathered some of the financial storms better than our competitors because we are geographically and practice area diversified,” he says. “We’re going to feel some bumps, sure, but our litigation practice is actually quite busy.”

Read the full departure memo after the jump.

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Nationwide Therapy Session

By Elie Mystal

Legal recession 2009.jpgToday’s National Law Journal takes an interesting look a the mental and emotional health of recently laid off attorneys. Quite obviously, people lose a lot more than a paycheck when they lose their job:

For the first time in their lives, many of these lawyers are struggling with a profound feeling of failure. And while they acknowledge that their troubles are just a part of the jobless scene nationwide, such perspective provides little comfort for these high achievers who are grappling with a loss of purpose and direction.

It’s important to keep perspective during these tough times. We are talking about temporary setbacks, not ultimate failures. But even “temporary” depression is difficult to deal with:

In October, [Scott] Chait was let go from New York’s Wagner Davis, where his work focused on real estate transactions. A 2006 graduate of Brooklyn Law School, he is collecting unemployment and has moved in with his parents in New Jersey. Without providing specific numbers, Chait, 31, said he is burdened with “a full debt load.” Rigorous workouts help keep his spirits up, he said. “It feeds the need inside me.”

He describes himself as competitive, with a “Type A” personality, and said that critical to his daily routine is not sleeping in. He spends much of his day looking for jobs on employment Web sites. He also goes to his synagogue every morning. “I get a lot of positive enforcement,” he said.

Are there good coping mechanisms out there unemployed attorneys should be looking at? A psychologist weighs in after the jump.

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