Mark Herrmann

Mark Herrmann is the Chief Counsel – Litigation and Global Chief Compliance Officer at Aon, the world’s leading provider of risk management services, insurance and reinsurance brokerage, and human capital and management consulting. He is the author of The Curmudgeon’s Guide to Practicing Law and Inside Straight: Advice About Lawyering, In-House And Out, That Only The Internet Could Provide (affiliate links). You can reach him by email at inhouse@abovethelaw.com.

Posts by Mark Herrmann

Although I won’t name names here (because my employer is, among other things, the insurance broker to the stars, and I can’t afford to offend clients or potential clients), I just stumbled across an article that indirectly told me how to pick outside counsel.

In a relatively high-profile situation, a government entity recently had to retain an outside law firm. The government naturally retained an outside adviser to help the government make its choice. (How else could one possibly pick counsel?)

The outside adviser — I think you’d call the outfit a management consultant, although the website left me a little confused — has lots of MBAs on staff, but there’s not a lawyer to be seen. No matter: The MBAs created a questionnaire for the law firms to fill out, and the law firm that accumulated the most points won the business.

This is great! It’s time (once again) for me to stop thinking and start copying! We’ll revamp our whole system for choosing counsel! In the future, we’ll give the law firms who want our business a form to complete. We’ll add up the points — even I can do that. And then we’ll choose the law firm with the most points, thus retaining the best firm in the world to handle our matter through an objectively defensible selection process, in case anyone ever wants to second-guess our choice of counsel.

Shoot! If only I’d gone to business school, I could have been this smart! Let’s take a look at the questionnaire, so I’ll know the form that I’m copying to choose counsel for my next case . . . .

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Sometimes, we care about questions. Sometimes, we care about answers. Sometimes, we care about both.

When you’re reporting on a situation, remember that.

I see many, many interview reports that unnecessarily include questions when the reader cares only about answers. If you’re interviewing a witness, and the witness lived the facts (and you personally know bupkis), then we really don’t care about your questions; we care only about the witness’ answers.

So, when you’re reporting on your interview of the witness, do not assign an abbreviation to your name (Mark Herrmann, hereinafter MH), an abbreviation to the witness’s name (The Witness, hereinafter TW), and then report on your questions as though they mattered:

“MH asked . . . . TW responded . . . . MH followed up by asking . . . .”

We care only about the facts — which the witness knows, and you do not — so report only the facts:

“According to the witness . . . .” Your name should appear no more than once in the entire report, so we know who conducted the interview.

That’s a situation where we care only about answers. But there are other situations where we care only about questions . . . .

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Here’s one great benefit of blogging: Publishers send you free copies of books, hoping that you’ll review them!

I received and read, but now choose not to review, Steven J. Harper’s valuable new contribution to the literature: The Lawyer Bubble: A Profession In Crisis (affiliate link).

I’m not reviewing the book, but instead using it as a jumping-off point to discuss a tangent. Harper explains in his book two things that every sentient lawyer has noticed over the past several years: (1) students are graduating from law school buried under a mountain of debt, and many of those students can’t find jobs, and (2) many law firms have lost sight of the law’s noble history as a learned profession and are now obsessed with maximizing their profits per partner in the coming year.

Harper’s right about these things, of course, and this isn’t exactly late-breaking news to anyone who’s been following either Above the Law or Harper’s blog, The Belly of the Beast, for the last few years. Harper’s book advances the discussion, however, by exploring these issues in more detail than others have. He also proposes possible solutions to these problems, including “allowing the federal government to recover [law school loan] guarantees from a law school (and its university) whenever a student loan became the principal contributor to an alumnus’s later bankruptcy.” (Page 159.) Or encouraging law firms to release their “Working Culture Index,” which would show the percentage of lawyers billing more than 2000, 2100, 2200, 2300, 2400, and 2500 in the previous year (perhaps with separate totals being released for partners and associates). (Page 173.)

These ideas are well worth discussing, and I’m glad that Harper has taken the time to analyze these things. But I have another topic to highlight, which is an odd tangent to Harper’s two issues . . . .

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I’ve finally plucked “big firm mediocre” out of my life.

First, I left Biglaw, so I’m no longer revising lifeless drafts that arrive either up through the ranks or from co-counsel.

Then, my corporation entered fixed fee deals for virtually all of its litigation work. We invited only firms that do good work to compete for our business, and the winners have performed as expected: No brief arrives at our doorstep until it’s been reviewed by someone who can write.

But we still have a few strays: There are cases in oddball jurisdictions or involving unusual specialties where we select counsel on an individualized basis. And we still have old cases lingering from before our fixed-fee days staffed by an assortment of counsel. Once in a long while, I still run into briefs written in the “big firm mediocre” style.

What’s funny is how consistent it is. Although the briefs address different subjects in different jurisdictions, and they’re written by different people, “big firm mediocre” constitutes its own distinct literary genre. Care to write in that genre (or assess whether you already do)? Here are the characteristics:

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Folks (including those who wrote the Federal Sentencing Guidelines) think that “tone at the top” matters. And those folks are right: If senior executives include the words “with absolute integrity” in their elevator speeches about the company, other people in the organization will catch on. People will come to believe that ethics matter, and ethics will thus come to matter.

But there’s another aspect of “tone at the top” that the Federal Sentencing Guidelines don’t compel: What are we trying to achieve as an institution? What’s your organization’s “tone at the top” on issues apart from obeying the law?

Does a drug company want to “discover and manufacture new substances to help people live longer, healthier lives”? Or does it want to “deliver maximum return to shareholders”?

Or maybe it’s all the same thing. As the (perhaps apocryphal) story goes: An interviewer asked Itzhak Perlman what he wanted out of life. Perlman said he wanted to play the violin. The interviewer was shocked: “Don’t you want to be happy?” “I want to play the violin. If I play the violin, I’ll be happy.”

Maybe if you develop drugs that improve and prolong lives, your shareholders will be rich. (And you’ll probably be happy, too.)

What’s the goal of your professional services firm: Do you want to strive for perfection? Or do you want to generate revenue? Or do you bill by the hour, so it’s all the same thing?

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My daughter — you remember her — recently chose her job for the summer after her first year of business school. She was so earnest and diligent about it; it makes a Dad proud.

Choosing a summer job is a huge event in the life of the student: This is, after all, the place where you’re likely to work for at least the first several years of your professional career. A summer job is a big deal.

But consider how things look from the other side of the table: Yet another crop of summer kids appears at your firm for a fleeting moment and promptly vanishes, perhaps to return 15 months later when there’s a chance one of them might help in a real way with some case. Or maybe they won’t come back. Or be any good. Could you remind me again what city I’m flying to tonight, and what motion I’m arguing tomorrow?

Don’t get me wrong: A fair number of lawyers pal around with the summer folks, because (1) those lawyers enjoy spending time with the newcomers, (2) it’s important to the firm to recruit the summer class effectively, and (3) the firm has a budget for entertaining summer associates, and you might as well get your fair share of free lunches and drinks after work.

Eating lunch with a summer associate isn’t a bad deal. But work with one of ‘em? That’s a very different story….

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We had the good fortune to have Patrick Fitzgerald — the former U.S. Attorney for the Northern District of Illinois who recently joined Skadden — speak to my company’s global compliance conference last month.

Let me prove that I’ve learned a little about this blogging business over the years: Before the jump, I’ll give you my personal thought or two about introducing prominent speakers. I’ll hold the good stuff — what Fitzgerald, the famous guy, said — until after the jump. (Watch this, Lat! They’ll be drawn through the jump like vultures to carrion!)

How do you introduce a prominent speaker? You can do it the usual way: He went to school, got a job, and did some fancy stuff, zzzzzzzz.

Or you can find something offbeat about the person. I chose to introduce Fitzgerald by saying that I was afraid that our speaker had peaked too young. He had been named one of the sexiest men alive by People magazine in 2005; how do you ever surpass that? And, also in 2005, he had received an award from Washingtonian magazine for “best performance without a script.” For most people, it’s all downhill from there.

Fortunately, our speaker managed to surpass his early achievements. And then I trotted through what must be the usual litany in a Fitzgerald introduction: Led the prosecutions of former Illinois Governors George Ryan (sentenced to five years) and Rod Blagojevich (14 years) and a bunch of others.

That was my contribution to the hour. But, you might ask, what did the famous guy have to say?

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The “talent management” folks are so different from lawyers.

Lawyers (at big firms, anyway) ask junior lawyers to do things and, ten years later, look to see who survived.

Talent management people couldn’t be different. They assess individuals and groups to try to find ways to improve performance. “O brave new world that has such people in’t!”

But when the talent management folks turn their sights on me, I realize that I have a split personality.

I (and everyone on my compliance team) recently took the Thomas-Kilman Conflict Mode Instrument. This puppy repeatedly asks which of two ways you would choose to resolve a conflict. After you make 30 of those choices, a computer spits out the “conflict-handling mode” that you prefer. The five conflict-handling modes are “competing,” “collaborating,” “compromising,” “avoiding,” and “accommodating.”

This test revealed my underlying split personality before I even learned the results. As to virtually every one of the 30 choices I was asked to make, my answer depends on the circumstances. When representing a party in litigation, I’m often a “compromiser”: He demands 100; I offer 10. He drops to 90; I go to 20. He wants six months to trial; I offer 24. On most subjects, litigants have equal power, and no one wants to be blamed for bothering the judge, so we compromise. According to Thomas-Kilman, I’m a “compromiser.”

But that’s just one of my many personalities. Suppose I’m not representing a party in litigation, but rather “negotiating” with one of my own clients. Goodbye “compromiser,” and hello….

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Quick! Grab that piece of paper in front of you!

Draw three circles, along the lines of a Venn diagram.

One circle represents the past; one represents the present; and one represents the future. Your three circles should show the relationship between past, present, and future.

People from different cultures tend to draw those circles very differently, and I’ll explain your cultural bias after the jump.

Why am I writing about this? Because my corporate law department recently held its global law conference, at which all of our lawyers from around the world gathered in one place for two days of meetings. (February in Chicago! Who could resist?) We’re quite an international group, and we invited a speaker (from one of our businesses, which consults on talent management issues) to talk to us about working on cross-cultural teams.

This is just the sort of touchy-feely stuff that I typically can’t bear, but this guy was actually pretty interesting. He both revealed the cultural biases of people within our group and gave some suggestions about how to work together more effectively in the future.

I’ve now stalled for long enough. If you’ve drawn your three circles representing past, present, and future, you’re allowed to click through the jump and learn about your cultural prejudices….

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Let me regale you with two recent examples of lawyers disclosing client confidences. There’s a lesson tucked into each.

First: An acquaintance sent me the résumé of, and asked me to speak to, a young lawyer. The idea was to give some general career advice, rather than necessarily to hire the person.

I’m a pushover, so I agreed to have a cup of coffee with the relatively new lawyer. Over coffee, he (or she, but I’ll use the masculine) explained that what he liked least about the job he’d just left (which was identified on his résumé) was being asked to do unethical things. My curiosity piqued, I asked for an example. He explained that he’d been asked to draft a contract that committed his employer to violating the law as part of the contractual relationship. (Think along the lines of, “We will ship the illegal weapons to you in New York.”) My young acquaintance said that he’d gone to the general counsel, who had instructed him to draft whatever contract the business wanted. The earnest young lawyer had solved the ethical problem by drafting a contract that, when read carefully, would prohibit the illegal conduct. (Think: “Under no circumstance will any weapons of any type be shipped pursuant to this contract.”)

I’m afraid I won’t be recommending this person for any jobs. . . .

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