David Lat is the founder and managing editor of Above the Law. His writing has also appeared in the New York Times, the Wall Street Journal, the Washington Post, New York magazine, Washingtonian magazine, and the New York Observer. Prior to ATL, he launched Underneath Their Robes, a blog about federal judges. Before entering the journalism world, he worked as a federal prosecutor in Newark, New Jersey; a litigation associate at Wachtell, Lipton, Rosen & Katz, in New York; and a law clerk to Judge Diarmuid F. O'Scannlain, of the U.S. Court of Appeals for the Ninth Circuit. David graduated from Harvard College and Yale Law School, where he served as an editor of the Yale Law Journal. He has received several awards for his work on ATL, including recognition as one of the American Lawyer’s Top 50 Big Law Innovators of the Last 50 Years; one of the ABA Journal’s Legal Rebels, a group of pioneers within the legal profession; and one of the Fastcase 50, "the fifty most interesting, provocative, and courageous leaders in the world of law, scholarship, and legal technology." His first book, Supreme Ambitions: A Novel, will be published in 2015. You can connect with David on Twitter and Facebook.
Don’t get that jail cell ready for Paris Hilton just yet. Hilton’s defense team has launched a last-ditch effort to keep her out of jail after a Los Angeles traffic court judge made international headlines by sentencing the socialite to 45 days in county jail for repeatedly driving while her license was suspended.
Her attorneys have filed a notice of appeal at the courthouse. Though the document does not lay out the grounds for the appeal, her attorney, Howard L. Weitzman, has said the sentence was far too harsh given Hilton’s misdeeds.
We used to specialize in criminal appeals. But you need neither experience nor expertise to conclude that this argument is a legal loser. Here’s a good quip from a prof at Loyola Law:
“I don’t think the Founding Fathers had Paris Hilton’s driving conviction in mind when they enacted the cruel and unusual punishment provision of the Constitution,” said Loyola Law School professor Laurie Levenson.
But don’t count Paris out just yet. More discussion, after the jump.
Some of you have asked us for a new thread to discuss clerkship bonuses. Your wish is granted.*
We’ll kick off this clerkship bonus discussion with some good news. It concerns Sullivan & Cromwell, which first got the ball rolling on clerkship bonuses, by raising to $50K in the wake of the Brokeback Lawfirm scandal.
(Law clerks, you owe Aaron Charney a debt of gratitude. If he sets up an Aaron Charney Legal Defense Fund, you should contribute generously.)
Anyway, here’s the news:
I just got a call from the recruiting coordinator at S&C confirming they are now paying 70K for those with two years of clerkship experience.
Please keep up the excellent work on this front, I desperately want Cleary to match!
A partial summary of where things currently stand in the clerkship bonus market, after the jump.
* We receive many requests to cover X or Y when salary matters are in full swing. We try to accommodate the ones that we can, but obviously there are many that we can’t. Sorry, we are not going to start a “List of Shame” for ERISA boutiques in Topeka that don’t pay $80,000.
The litigation boutique of Susman Godfrey is prestigious. And it is well-paying, especially around bonus time.
It’s also not shy about honking its own horn (which shouldn’t be surprising, given its Texas roots). In fact, Susman Godfrey just issued a press release about its pay raises that might make Gallion & Spielvogel blush.
Here are some excerpts (emphases added):
TOP LITIGATION BOUTIQUE SUSMAN GODFREY RAISES ASSOCIATES SALARIES IN LOS ANGELES & NEW YORK OFFICE
Susman Godfrey announced today a salary increase for their associates in Los Angeles and New York. The compensation package for first year associates joining their Los Angeles and New York offices is $160,000, plus benefits. Already among the best paid associates nation-wide, the compensation package for first year associates in their Houston, Dallas, and Seattle offices is $140,000, plus benefits….
Susman Godfrey also pays year end merit bonuses to associates who have been with the firm for at least one year. Last year, associate bonuses topped out at $120,000. In 2005, some associates received a walloping $150,000 in year-end perks. More commonly, our merit bonuses have accounted for 20% to 60% of an associate’s annual compensation and are far in excess of bonuses paid by our competitors. Thus, associates’ year-end merit bonuses tend to range from an additional $30,000 to $80,000 on top of the base salary.
In some of the comment threads to our pay raise coverage, questions have been raised with respect to summer associates. For the firms that have recently raised associate salaries, people are wondering: Will summer associates be in on the fun?
Our take: Of course they will. Summer associates are traditionally paid at the rate of permanent or regular first-year associates, and we see no reason for that to change.
After all, firms are trying to woo summers. This is why they pay SAs ridiculous amounts of money to do “jack s**t” and go out to fancy lunches. Why would they want to alienate SAs, whom they are trying to convince to return to the firm on a permanent basis, by paying them according to a lower, outdated pay scale?
So if you’ll be summering at a law firm that just went from the $145K scale to the $160K scale, relax. You will surely be paid based on the new going rate. Unless your firm is completely lame, in which case you shouldn’t take their permanent offer. As the old saying goes, “Cheapness in one area suggests cheapness in all areas.”
Several firms that have just raised associate base salaries have officially informed their incoming summer associates that they will be paid according to the new scale. We reprint a representative memo, from Latham & Watkins, after the jump.
There is no longer any doubt: the nation’s capital is on the so-called “$160K scale.” Say good-bye (or good riddance) to the salary differential between (1) Washington-based firms, and (2) the D.C. offices of New York or California firms.
Why? The homegrown firm of Hogan & Hartson just raised associate base salaries, matching the $160K scale in its Washington, Baltimore, and Los Angeles offices (for the 1950 hour track, but not the 1800 hour track).
This means that the other top D.C. firms, like Arnold & Porter and Covington & Burling, have no choice but to follow suit. Failing to match, now that a true peer firm has done so, would give rise to mortification (and deservedly so).
The full Hogan & Hartson memo, after the jump.
Cravath isn’t big on lateral hiring. When they hired tax lawyer Andrew Needham away from Willkie Farr & Gallagher in 2005, he was their first lateral partner in more than six decades (per Wikipedia).
Nor has Cravath been into bankruptcy work. Even though many other white-shoe firms have entered that historically “icky” practice area, CSM has stayed on the sidelines. Update/Correction: Actually, Cravath’s relationship with bankruptcy practice is a bit more complicated. And that last paragraph may be somewhat misleading. Click here for more.
At long last, Cravath is starting up a bankruptcy practice. And it’s bringing in a heavy hitter to get things up and running.
From a Cravath press release (just sent around the firm by email):
Cravath, Swaine & Moore LLP has announced that Richard Levin (at right), one of the authors of the 1978 U.S. Bankruptcy Code, will join the Firm as a Partner on July 1, 2007 to head its newly established restructuring and insolvency practice.
Mr. Levin joins Cravath from Skadden, Arps, Slate, Meagher & Flom LLP, where he was a partner in that firm’s corporate restructuring department.
So Cravath is moving into bankruptcy work. Is this a bad sign for the U.S. economy — the Biglaw equivalent of, say, rising home foreclosures? Update: Perhaps. Some thoughts on the subject are now up at the WSJ Law Blog. DealBook also has this post.
The complete Cravath memo, after the jump.
Yes, we have seen the comments stating that Gibson Dunn & Crutcher has raised associate base salaries for its non-New York offices. We have no reason to doubt this tip, or to question the authenticity of thismemo.
But we still want to dot our i’s and cross our t’s. We’re in the process of getting confirmation from sources at the firm. If you’re willing to help us out, please email us.
Once it’s verified, we’ll post the GDC memo after the jump. Thanks. Update: The memo, confirmed for us by multiple sources at the firm, appears after the jump.
We have to step away from our computer for a bit. So here’s an open thread for discussion of either (1) more West Coast pay raises or (2) more increases in clerkship bonuses.
Also, the rumor from the comments that Paul Hastings has raised is confirmed. The verified memo appears after the jump.
We are favorably disposed towards former Justice Department lawyer Ty Clevenger. We owe him a debt of gratitude, since he’s the person who first told us about Shanetta Cutlar — the crazy-ass colorful chief of the DOJ’s Special Litigation Section, and one of our favorite people to write about here at ATL.
Now Ty Clevenger is making waves once again — and some of you aren’t sure if it’s all that favorable. Several of you emailed us about his latest exploits. This message is representative:
Ty Clevenger is in the news again, this time making accusations about the politicization of the hiring process at the DOJ. See here and here.
Between his law school activities, Shanetta Cutlar, and this, he’s beginning to look like a little tattletale to me….
Tattletale? Or, more charitably, a person of great honesty and integrity (perhaps too much for his own good)? Or, more cynically, a shameless seeker of attention?
We don’t know Clevenger personally, so we won’t opine. But the truth probably lies somewhere in between. Many great whisteblowers throughout history have had mixed motivations — such as a desire for the truth to come to light, and a desire for personal fame and/or fortune.
But we can say this. If we ever hang out with Ty Clevenger, we sure as hell won’t jaywalk with him by our side. Or try to sneak through the express lane at the supermarket with more than 15 items. Congress probes allegations of politicized hiring [CNN] Congress considers broadening Justice Department inquiry [McClatchy] Earlier: Prior ATL coverage of Ty Clevenger (scroll down)
Ed. note: The Asia Chronicles column is authored by Kinney Recruiting. Kinney has made more placements of U.S. associates, counsels and partners in Asia than any other recruiting firm in each of the past seven years. You can reach them by email: firstname.lastname@example.org.
Please note that Evan Jowers and Robert Kinney are still in Hong Kong and will stay FOR THE REMAINDER OF THIS WEEK. We still have a handful of available slots for meetings with our Asia Chronicles fans. If we have not been in touch lately, reach out and let us know when we could meet! There is no need for an agenda at all. Most of our in-person meetings on these trips are with folks who understand that improving a legal practice through lateral hiring is an information-driven process that takes time to handle correctly.
Regarding trends in lateral US associate hiring in Hong Kong, we of course keep much of what we know off of this blog. Based on placement revenue, though, Kinney is having one of our most successful years ever in Asia. We are helping a number of our law firm clients with M&A, fund formation, cap markets, project finance, FCPA and disputes openings. These are very specific needs in many cases, so a conversation with us before jumping in may be helpful. As always, we like to be sure to get the maximum number of interviews per submission, using a well-informed, highly targeted, and selective approach, taking into account short, medium and long-term career aims.
Making a well informed decision during a job search is easier said than done – the information we provide comes from 10 years of being the market leader in US attorney placements at the top tier firms in Asia. There is no substitute for having known a hiring partner since he/she was an associate or for having helped a partner grow his or her practice from zip to zooming, and this is happily where we stand today – with years of background information on just about every relevant person in all the markets we serve, and most especially in Hong Kong/China/Greater Asia. So get in touch and get a download from us this week if we can fit it in, or soon in any case!
The legal industry is being disrupted at every level by technological advances. While legal tech entrepreneurs and innovators are racing to create a more efficient and productive future, there is widespread indifference on the part of attorneys toward these emerging technologies.
When the LexisNexis Cloud Technology Survey results were reported earlier this year, it showed that attorneys were starting to peer less skeptically into the future, and slowly but surely leaning more toward all the benefits the law cloud has to offer.
Because let’s face it, plenty of attorneys are perhaps a bit too comfortable with their “system” of practice management, which may or may not include neon highlighters, sticky notes, dog-eared file folders, and a word processing program that was last updated when the term “raise the roof” was still de rigueur.