Archive for May 2009

This Week In Layoffs: 05.30.09

By Law Shucks

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

Alright, this is getting ridiculous. Last week, no real layoffs until Ropes & Gray got busted doing stealth layoffs at 11:00 on Friday morning. This column closes Friday afternoon, usually. We actually submitted yet another version celebrating the first week of the year without layoffs. Then Weil Gotshal went and laid off 79 staff. We’ll have to save the celebration for next week (hopefully – although we’re planning to be on the golf course, not writing).

So back to the usual roundup.

As in the general US market, the rate of law-firm layoffs (or first-time benefit applications) continues to drop, even though unemployment numbers continue to rise. So most of the cutting may be behind us, even if the growth and hiring haven’t kicked in yet. Still, this recession is far and away the worst of the past 40 years, from a jobs perspective. Check out Clusterstock for interesting chart that shows employment levels are continuing to decline 15 months after the current recession began, a point by which the 1980 recession had completely reversed its losses, 1974-76 was almost back to pre-recession levels, and the others had at least flattened out if not started trending upwards. Elie will continue to monitor Latvian hookers for signs of life. In the economy.

After the jump, there were a few other near-layoffs this week and the usual non-layoff cost-cutting measures.

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Cupcake Stop Is a Great Detour from the Legal Profession

By Elie Mystal

Cupcakes 1.jpg
Last week, we brought you the story of an intrepid New York Law School graduate who started his own business. Think cupcakes on wheels.

Today, the proprietor of Cupcake Stop, Lev Ekster, stopped by our office with his delicious wares. Yumyumyumyumyum.

Ed. note: For the record, I really hate donuts. I don’t even particularly like sweets. I owe my girlish figure to (1) things that can be wrapped in bacon and (2) a zero tolerance policy when it comes to exercise.

The most important part of the visit was the excellent food. Lev brought over his three best-selling creations: cookie dough, Oreo cookies ‘n cream, and red velvet. I’d never had a cookie dough cupcake, but its gustatory greatness cannot be denied.

Lat preferred the cookies and cream flavor, while Kash opted to continue looking beautiful.

After we finished stuffing our faces, we sat down to talk with Mr. Ekster. Our notes from the interview, plus pictures of the cupcake-y goodness, after the jump.

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Non-Sequiturs: 05.29.09

By Elie Mystal

Tamron Hall.JPG* I actually saw Tamron Hall interview the Men-in-Power guy, yesterday. She totally ripped him a new one on live television. [Jane Genova]
* On the other hand, Tom Goldstein went on MSNBC and dominated. [SCOTUSblog]
* A DNA database brings us one step closer to an Orwellian universe run by CSI. [True/Slant]
* Here’s a new website devoted to all the Indian legal practitioners who are willing to do Biglaw work without Biglaw perks. [Legally India]
* From the department of “I can’t believe this hasn’t happened already,” Geeklawyer has been sued. [Geeklawyer]
* Acela Bob has made the list of “must read” law blog posts for 2009, so far. [3 Geeks and a Law Blog]
* Suing God. [Legal Toast]
* Does being massively hungover count as a sick day? Or are you supposed to drag your ass in and yack in the executive bathroom? [Young Lawyers Blog]
* She’s getting laid off, She can’t pay her debts now
And all she wants to do is dance. [What About Clients?]
* Been working, so hard. Keep punching, my card. Eight hours, for what?
Oh, tell me what I got. [Popsquire]

Why Hello, Old Chap! Say Good Day to Chambers Associate

By David Lat

Chambers Associate Chambers and Partners.jpgLast month, we mentioned the plans of Chambers and Partners, the U.K.-based publisher of law firm guides, to launch an online guide to U.S. law firms called Chambers Associate. Already well-known for its rankings of top firms in different practice areas — which firms love to tout in their PR materials, since they’re always good news — Chambers now seeks to supplement its coverage with a resource for law students and laterals.
The Chambers Associate site is now live. Enter a firm’s name in the search box to find its profile, or use the advanced search feature to find firms by region, practice area, or some other criterion.
How does Chambers Associate compare to other resources in the market? The field is already crowded, with players such as Vault and the new ATL / Lateral Link Career Center. Editor Michael Lovatt, whom we met at the NALP conference, explained Chambers Associate:

The emphasis we have gone for is away from the Vault prestige ranking model, and toward the notion that there isn’t a ‘best’ firm, rather that an individual’s specific interests and ambitions make different firms — with their various cultures, policies, practice strengths and identities — the right fit.

Getting law students and lawyers to look beyond prestige, in a profession as status-obsessed as the law, may be a challenge. But at least Chambers has done its homework:

For each firm, we write an overview based on the detailed practice area rankings from Chambers USA, then write 10 sections of editorial based on anonymous telephone interviews with a random, representative sample of junior associates at that firm. It’s an in-depth, substantive approach that we think gets under the skin of law firms in more detail than any other publication.

Present company excluded, of course; here at ATL, we pride ourselves on the ability to “get[] under the skin of law firms.” We checked out a few of the Chambers Associate profiles, and they struck us as comprehensive, if a bit tilted towards the positive.
Press release, after the jump.

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Staff Layoff Watch: General Motors Won’t Save Weil Staff

By Elie Mystal

Weil.gifWorking at a firm that gets high profile work doesn’t make you immune to the ravages of the tanking economy. Above the Law can now confirm that Weil Gotshal has laid off 79 staffers. We received the following statement from a Weil spokesperson:

Effective today, the Firm has eliminated 79 administrative positions across its US offices. The decision to undertake this action has been an extremely difficult one; the fact that many peer law firms were forced to make similar moves is of little consolation. In taking these steps, we have made every possible effort to be fair-minded and those who are affected have received severance packages that provide transitional income and benefits, with access to a range of services that include healthcare and career guidance. We believe the package we have designed to assist those whose positions have been eliminated more than meets industry norms.

For those keeping score at home, this means that Weil believes it is perfectly able to handle the mega-bankruptcy work it is involved in without the benefit of extra staffers — or a fresh class of incoming associates.
If staff isn’t safe at Weil, are they safe anywhere?
The Weil statement goes on to cite cost concerns from its clients as the reason for the layoffs:

The buyers of legal services – many of whom are experiencing declining markets or even financial distress – are demanding that their service providers produce the most cost-efficient product possible. We have to be cognizant of this industry-wide expectation and plan accordingly.

Have Weil staffers been crushed under the wheel of economic efficiency? Congratulations to the survivors. Good luck to those that have been let go. Luckily, tomorrow is Saturday. Nobody gets laid off on Saturday.
Read the full statement after the jump.

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Yolanda Young v. Covington & Burling: Case Dismissed

By Elie Mystal

Covington Burling LLP logo Abovethelaw Above the Law blog.JPGWe’ve been following the lawsuit filed by former Covington & Burling staff attorney Yolanda Young against Covington. She alleged that various incidents of racial discrimination derailed her Covington career.
Covington denied those claims.
Today, we have a judgment. Attorneys from Akin Gump — which represents Covington in this matter — sent out the following press release, earlier today:

United States District Court Judge Reggie B. Walton today dismissed Yolanda Young’s lawsuit against Covington & Burling LLP after Ms. Young and her attorney failed to appear for a court hearing.
Young filed her complaint in February 2009 against Covington and five of its present or former lawyers. Covington answered, denying Ms. Young’s allegations. Separately, on March 11, Covington filed a motion to strike certain of plaintiffs’ allegations on the grounds that they were false and scandalous, a motion which plaintiff neither responded to nor disputed. In addition, two of the individual lawyer defendants moved for dismissal for failure to state a claim against them, which the Court granted on May 28.
The Court on May 14 issued an order warning plaintiff that her failure to abide by the Rules and participate in a meet and confer conference might be treated as grounds for dismissal. Today’s hearing was scheduled more than two months ago. When neither Ms. Young nor her attorney, Latif Doman, appeared for the hearing or contacted the Court, Judge Walton dismissed the case without prejudice for want of prosecution.

Talk about anticlimactic.
After the jump, more details from the order.

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Legal Eagle Wedding Watch 5.24: Food for Thought

By Laurie Lin

champagne glasses small.jpgBefore we discuss this week’s finalists, here’s a peek at some of the weddings we can’t feature due to space constraints: a former Kirkland & Ellis partner marrying the youngest-looking 62-year-old we’ve ever seen, the creator of the Anonymous Lawyer blog marrying an anonymous doctor, and a Rhodes Scholar marrying an ordinary person.
The fact these couples couldn’t make the cut should tell you a little something about the quality of the field as we near the summit of the wedding season. Here are the three lucky couples who’ve reached the finals this week:

1. Kate Adamick and Kay Diaz
2. Sabrina Charles and Jamie Dycus
3. Jessica Chilson and Franklin Reece

Read more about these newlyweds, after the jump.

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Job of the Week: An IP Opportunity

By Above the Law

Job of the Week Lateral Link ATL logo.gifAlthough not completely immune to the downturn, intellectual property has weathered the recession better than many other practice areas. Today’s Job of the Week, brought to you by Lateral Link, is for an IP position in California. Lateral Link recently placed an attorney at this company, and they are now looking to expand their legal department with another IP attorney.
Position: Senior Corporate Counsel / Director of IP
Location: San Jose, CA
Description: The attorney will be the third attorney in the legal department and will have significant and wide-ranging responsibilities and opportunities for career advancement. The individual will primarily be responsible for intellectual property litigation management, intellectual property portfolio management, complex technology licensing and related commercial contracts.
Primary responsibilities will include managing the company’s ongoing intellectual property litigation matters, aggressively pursuing indemnification claims against suppliers and effectively defending against such claims from vendors, advising the company on IP issues, cost-effectively supervising outside counsel, developing and coordinating IP portfolio strategy for the company, negotiating complex technology licensing agreements and consulting on open-source matters. Opportunity exists to gain experience in other functional areas as well, such as corporate governance, SEC reporting, mergers and acquisitions, etc. This is a fantastic opportunity to join a well-established company and be part of an exciting group.
For more information on this position or to apply, please see Position #10569 on Lateral Link. Current members can also contact their personal search consultant directly to discuss this position. Membership in Lateral Link is free and you can apply at www.laterallink.com.
P.S. A reminder: if your firm is offering a paid deferral, please contact your Lateral Link search consultant, since Lateral Link has dozens of in-house positions for deferred attorneys.

Calling All Drunken, Unemployed, Chicago Lawyers

By Elie Mystal

Craigslist.jpgYou wouldn’t think it would be hard to find a group of unemployed Chicago lawyers these days. There are a lot of them lying around. But can they overcome the collective action problem to join together for an epic bender? Let’s turn to Craigslist to find out.
Here’s the text from an ad that went up earlier this week:

Looking for Desperate Lawyer! (Chicago Metro)
Seeking desperate lawyers to form drinking club. Job duties include drinking with the thousands of other out of work/can’t get a job/fresh from passing the bar grads like self who lack the connections/money necessary to find even minimal legal employment. Must be fluent in Scotch-Whiskey, Irish-Whiskey, Smithwicks, Bass, Harp, and any other sophisticated blue-collar drink. Occassional duties of blacking out from excess alcohol will be called upon as needed.
People who dig criminal defense and wasted hundreds on Lexis/Westlaw for their overpriced Illinois books will be given extra consideration.
Interested applicants may respond to the email listed above for further consideration.
Matt/David
www.myspace.com/mattdavidfilms

Oooh, they have a website. Let’s check out the virtual backstory after the jump.

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Salary Cut Watch: Summers at McDermott Get Pinched

By Elie Mystal

Salary Cuts.jpgMcDermott Will & Emery is still on the $160K scale for first year associates. Summer associates arriving at MWE might have expected to be paid on the same scale throughout the summer.
But they would have been wrong.
Above the Law has been able to confirm that McDermott summers are being paid on a $135K scale, instead of $160K. A McDermott spokesperson had this to say about the cuts:

McDermott’s Summer Associates will be paid at the rate of $135,000 this year. We advised this year’s class of incoming Summer Associates that their compensation would be determined in the spring of 2009. The information regarding compensation for the summer was shared with all of the Summer Associates at the Firm upon arrival, as we have done in years past.

Sources that we spoke with didn’t feel that the salary cut was properly communicated. One tipster reports:

I’m subletting an apartment based on a $160,000 salary. The salary cut isn’t going to break me, but it would have been nice to know before I signed the papers.

Another tipster had a response that makes those of us at ATL happier:

I am now 15% more likely to tip ATL about any crap I see [at MWE] this summer.

After the jump, the McDermott spokespeople explain the reason for the cuts.

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Morning Docket 05.29.09

By Kashmir Hill

naked cowboy.jpg* The “Naked Cowboy,” who went after M&Ms for using his likeness, is now being sued by Gameloft. The video game maker wants a declaration that a character in its game is only “reminiscent” of the Cowboy. Perhaps Gameloft should spend its time improving its game, “New York Nights,” described as “simulat[ing] life in New York City, with tasks such moving into a Greenwich Village apartment, getting a job and navigating the city’s neighborhoods.” That’s not a game; that’s the nightmare that many of us are living these days. [Courthouse News Service]
* Personal-injury attorney Bill Marler is an Omnivore’s Delight for Washington State University. [New York Times]
* The White House scrambles to address the abortion issue and where SCOTUS nominee Sonia Sotomayor will stand on Roe v. Wade. [Washington Post]
* “Sotomayor’s sharp tongue will make her a match for Scalia.” [ABA Journal]
* Rihanna may make a court appearance in the Chris Brown assault trial. [Associated Press]
* Man charged for pissing off the IRS. [Smoking Gun]

  • 29 May 2009 at 9:12 AM
  • Layoffs

Nationwide Layoff Watch: Clifford Chance’s New York Office Braces Itself

By Kashmir Hill

clifford chance above the law.jpgLast night, Magic Circle firm Clifford Chance announced that Mark Kirsch, the firm’s U.S. litigation leader, is leaving the firm’s New York office. It’s unclear where he will be going next or if this is part of the trimming of the partnership ranks that Clifford Chance warned about back in February.
Given his departure, a source within the firm tells us that Clifford Chance is looking hard at the 29 associate positions in New York’s litigation group. There will be layoffs, though the total number is not yet clear. The firm plans to move quickly so those associates being let go will know who they are soon.
This is the second round of bad news for associates in the New York office within a matter of months. In March, the firm laid off 24 of its New York associates.
The firm made the announcement of impending layoffs and sent around a memo last night. The memo emphasizes that litigation in D.C. is still very strong. The new U.S. litigation practice leader has already been chosen: Juan Morillo, who is based in the nation’s capital. Read the full memo, after the jump.

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The Theater of the Courtroom (Or, A Review of A More Perfect Union)

By Above the Law

perfectUnion.jpgYour ATL editors kicked off the Memorial Day weekend with a trip to the East 13th Street Theater in Manhattan, where we saw A More Perfect Union, presented by the Epic Theater Ensemble. The play, by Canadian playwright Vern Thiessen, is about two members of The Elect — i.e., two Supreme Court clerks, who fall in love while clerking at the U.S. Supreme Court. Maddie, a white Jewish woman from Ohio, clerks for a fictional conservative justice called “The Wise One”; James, an African-American man from Georgia, clerks for a fictional liberal justice called “The Enlightened One.”
Like the night we spent reviewing Law Revue videos, there were highlights and low points. A big highlight was a post-play discussion featuring former New York Times Supreme Court reporter Linda Greenhouse. As you know, we are what some might call Greenhouse groupies, though she was not as excited to talk to us as we were to talk to her. We just got a little handshake, a “nice to see you,” and an introduction to her daughter.
The post-show discussion also included professors Elizabeth Emens and Susan Sturm, both of Columbia Law School. Professor Sturm mentioned being a law school classmate of SCOTUS nominee Sonia Sotomayor, whom she described as “a straightforward person, who doesn’t hide from her background or make decisions based on it.” She also defended Judge Sotomayor’s Berkeley remarks about personal experience informing a judge’s jurisprudence, noting that Justice Ruth Bader Ginsburg basically said as much in discussing the recent strip search case before the Court (noting that her colleagues, who seemed less sensitive to the plaintiff’s plight, “have never been a 13-year-old girl”).
Obviously, we think the legal world is an exciting place, and we are always thrilled to see the courts get dramatic treatments. But our standards for fictional treatment of the courts, and especially the Court, are high.
Check out our reviews, after the jump.

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Non-Sequiturs: 05.28.09

By Elie Mystal

Roland Burris ATL Lawyer of the Day.jpg* Right now, I’m Terrence Howard in Crash. Roland Burris is Ludacris. It’s too bad because I hate Terrence Howard in that movie. [FOX News]
* Who the hell is Charles Whittaker? [CQ Politics]
* Some help for Mayer Brown summer associates. [Copyranter]
* Wait, am I the only dude that actually kidnaps white women and takes them to Disney World? Damn man, I can’t catch a break. [Bossip]
* Take a good look at this picture, partners. Remember, you can’t do this if you fire all of your associates. [Legally Drawn]

OMG. Law Firm in Memphis Offers Yoga.

By Kashmir Hill

burch porter and johnson working out in the storage room.jpgNot all firms are cutting back on the perks. The Memphis Commercial Appeal has an enthused article today about the perks to be had at the small Tennessee firm of Burch, Porter & Johnson.
The article, “Legal firm helps its employees find essential balance,” talks about the firm’s AMAZING perks:

Something refreshing for body and soul is happening within the 119-year-old walls that house a venerable Memphis law firm.
Refreshing as a good yoga session. Strengthening as a brisk core-body workout. And uplifting as guest speakers whose work has made Memphis a better place.

Sweet. You can work out at work! And they friggin’ bring in guest speakers at lunch. Wow! Do they have as much free coffee as you can drink too?
If you thought firm life in Memphis couldn’t compare to Biglaw in the big city, think again:

That quest for balance explains why Leah Hillis strolled down the hallways on a recent lunch hour wearing workout clothes for a yoga session.
The associate attorney headed for the firm’s large, third-story storeroom overlooking Court Square… Other exercise classes to strengthen the core-body are Mondays and Fridays in the same unfinished space, which holds files of old cases, surplus furniture and cleaning supplies.
The classes are inexpensive: $4 for yoga and $3 for the core-body sessions.

Only $4 to work out in the storage closet!
If that’s not your cup of tea, you can spend lunch with a guest speaker during one of the firm’s “fireside chats” in the Crump Room. A recent speaker mentioned in the article is a Holocaust survivor. Fun times.
Law and life: Legal firm helps its employees find essential balance [Memphis Commercial Appeal]

Road Trip: Delaware!

By Elie Mystal

If you are of a certain age, your first experience with Delaware was probably this:

But then you went to law school. And at some point, you learned this:

But now we are in the 21st century. And it’s not your father’s Delaware, not anymore.
After the jump, Delaware gets ready for football season.

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Covington & Burling Staff Attorneys: An Endangered Species?

By Elie Mystal

staff attorney contract attorney doc review.jpgIn March, we reported that Skadden was essentially canceling its staff attorney program. We reported:

Only staff attorneys that were “integral” to ongoing matters have been kept on. And there is no word on whether those people will have any job security after their matters wrap up.

It appears that Covington & Burling is also undergoing a major reduction of its staff attorney program.
Tipsters (including some recently laid off staff attorneys) report that firm management has decided to effectively discontinue its staff attorney program. The firm has been letting go of staff attorneys at the rate of a couple per week over the last few weeks. As we understand it, as staff attorneys finish up their active matters, they are being let go.
Our sources tell us that the decision was made by firm management some weeks back. At the time the decision was made, the staff attorney manager was out of the office on vacation. When she came back, she allegedly told Covington’s staff attorneys that they should start circulating their resumes.
In some cases, laid off staff attorneys are being given a one week severance option. One week, if they sign a form promising not to sue the firm over the circumstances of their termination. Some Covington personnel that spoke to Above the Law believed that clause is proof that Covington decided to move out staff attorneys as a response to the lawsuit filed by former-Covington Staff Attorney Yolanda Young.
After the jump, we have statements from Covington & Burling, and Yolanda Young.

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Career Center: Weekend Warriors
At which firms can you expect weekend work?

By Above the Law

Career Center AboveTheLaw Lateral Link ATL.jpgThe new ATLCareer Center, powered by Lateral Link, is a useful resource for learning about law firms. Last week, we brought you information about partnership prospects at different firms.
This week, let’s talk about working on the weekend. Working on the occasional weekend is part of the experience at every big firm, but at some firms that experience is more frequent than occasional. (Of course, in this economy, some lawyers may welcome weekend work — staying busy is the best way to avoid being laid off.)
Quinn Emanuel takes the top prize for weekend workers, with 100% of associates surveyed saying that they regularly do some work over the weekends, and a full 14% saying that “weekends are just another workday.”
Also near the top are Sullivan & Cromwell, Simpson Thacher, Milbank, Kirkland, and Cleary — all firms where more than 80% of the surveyed associates said that it is common for them to work at least some portion of the weekends.
At Skadden and Gibson Dunn, the large majority of associates surveyed said that it is common for them to work on the weekends, but most associates reported that they do that work from home.
And what firms are more likely to leave associates free on the weekends?
Read about them, after the jump.

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At which firms can you expect weekend work?“

Am Law 200 Pwns Am Law 100

By Elie Mystal

AmLaw 100 2009.JPGCongratulations Am Law 200 firms. You have weathered all the disparaging comments about your cities, your practice, the quality of lawyers that work at your firms. And now, as we stare into the sewage drain of the American legal economy, the Am Law 200 firms are coming out smelling like roses:

Reports of their demise, it turns out, were premature. For years, the regional firms that constitute much of the Second Hundred were told that they were exactly the wrong size: too big to compete with the narrow focus of boutiques and too small to match The Am Law 100′s national footprints and marquee names. But last year, as the financial sector began its meltdown, the Second Hundred’s slow-growth strategies were vindicated.
While average revenue per lawyer at The Am Law 100 decreased by 1.2 percent in 2008 (the first decline since 1991), Second Hundred firms were essentially flat. And when the Second Hundred’s national firms, as well as those in the nation’s biggest money centers–Boston, Chicago, Los Angeles, New York, San Francisco, and Washington, D.C.–are left out of the calculations, average RPL growth was 1 percent. In all, 49 Second Hundred firms posted increases in RPL, compared to 42 Am Law 100 firms.

As Bob Sugar might say: “This is a nice moment for you, I’m going to let you have it.”
After the jump, more ego-shattering news for coastal, prestige conscious associates and partners.

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Pls Hndle Thx: Kill The Beast

By Marin

Ed. note: Have a question for next week? Send it in to advice@abovethelaw.com.

pls hndle copy 2.jpgDear ATL –
I’ve been unemployed for almost a year. I have good academic credentials, but lost my job as a junior-associate in Biglaw before I could develop a highly valuable set of skills. At first, finding interviews for available positions was easy; I just wasn’t able to close. But about five months ago, interviews stopped altogether. I haven’t even been able to find contract work.
The economic recession is obviously a big part of my problem. But I also feel that part of the problem now is my extended term of unemployment. So my question is: How long is too long? When do I have to accept that I simply will not be a lawyer?
He Who Longs to Measure Time in 6 Minute Increments

Dear He Who Longs to Measure Time in 6 Minute Increments,
The fairy tale that you’ve concocted for yourself — that you will never again be a lawyer after T-minus one year of unemployment — is an homage to the Beast, who despairs of turning back into a prince. From the Beauty and the Beast prologue:

Ashamed of his monstrous form, the Beast concealed himself inside his castle, with a magic mirror as his only window to the outside world. The rose she had offered was truly an enchanted rose, which would bloom until his 21st year. If he could learn to love another, and earn her love in return, by the time the last petal fell, then the spell would be broken. If not, he would be doomed to remain a Beast for all time.
As the years passed, he fell into despair, and lost all hope. For who could ever learn to love a Beast?

You have one year to receive True Love’s Kiss and clinch that “awesome” associate job before the enchanted rose’s last petal fell and seals your fate. After one year, you are to remain a Beast forever, hideous to law firms and vile to any employers other than traveling circuses and minstrel side shows. The End.
If really believe that you’ve been out of the law firm game for “too long,” what are your other options? Living as a hermit by the sea? If you have another dream career, by all means pursue it, but if you really want to be a lawyer, you can be one again, even if you’ve been out for a year. This economy is like the Mayer Brown swine flu outbreak — if you make it out alive, you’re expected back at the office. Law firms will have a hard time rejecting applicants based on gaps in their resume alone, when talented and bright laid-off attorneys will comprise a huge chunk of the applicant pool. Patience, Iago. The last petal has not fallen and Elizabeth Halverson has not sung.
Your friend,
Marin
Some advice from Le Fou, after the jump.

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