When I worked at a law firm, I knew that lawyers’ responses to audit letters — in which the firm confirms to auditors the status of litigation pending against a client — were a massive waste of time.
Firm policy dictated that we would speak only pablum in response to audit letters. We would identify each case by name, court, and number; explain that a complaint had been filed; list the causes of action; say where we stood in discovery and whether a trial date had been set; and then say that we didn’t have a clue who would win. (If we thought that the client’s chance of losing was either “probable” or “remote,” we were required to say so. I’m not sure we ever saw such a case.)
Every once in a while, a junior associate would receive an audit letter and write a real response to it — analyzing the lawsuit, the tactics, and who would win. When the powers that be learned about that mistake, there’d be hell to pay: “How could you write those things? Didn’t you run this past an audit letter review partner? We don’t actually provide information in those responses, you fool! Never do this again!”
As a partner at a firm, I knew that responding to audit letters was an expensive nuisance: A full-time audit letter assistant cranked out first drafts of responses to the letters. (That’s all she did, eight hours per day, 52 weeks per year — honest.) The appropriate client relationship partner reviewed each draft. An “audit letter review partner” (I had the misfortune to be one of those for four or five years) took another pass at the thing. Only then — after the letter had been stripped of all content — did the response go out the door. That was an awful lot of time and money invested to insure that the firm didn’t accidentally say something.
But I always assumed that someone — the client, the auditors, someone — thought those ridiculous letters served a purpose. Now I’ve gone in-house, and it turns out that audit letters serve no purpose at all. . . .
I’m a week late in reminiscing about 2012, but what can I say? I’m a step slow; you’ll just have to excuse me. These are some of the memorable things I heard during the last year.
First, an employment lawyer who recently moved from the United States to the United Kingdom:
“What’s the correct way to refer to black people over here?”
“In the United States, we refer to black people as ‘African-Americans.’ But you must have a different word for black people over here in England. Those people aren’t Americans, so they can’t be African-Americans.”
“We call blacks ‘blacks.’”
Second, a senior partner who serves on the executive committee of his Am Law 20 firm:
This post is both a request for information and a cry for reform.
Here’s the backstory: Back when God was young, I clerked for a federal appellate judge. I saw how things operated in my circuit, and my friends clerking elsewhere told me how things worked in other circuits. One operating procedure differed between circuits; the procedure affected litigants (without their knowledge), and one system was plainly better than the other.
My request for information is that recent clerks update my information: Does this operating procedure still vary among circuits today?
My cry for reform is that circuit judges discuss this issue internally to decide whether they’re convinced, as I am, that some circuits are hurting both themselves and litigants in the process by which the courts use bench memos….
A decade ago, I sat in the midst of hundreds of lawyers at a firmwide partners meeting. The managing partner explained that most of our revenue came from our 25 largest clients, and we should focus on expanding those representations. He then noted the conflicts problems posed by tiny clients, for whom we did essentially no work. He urged us to get the tiny clients off the books. To illustrate his point, his PowerPoint slide showed the clients to whom we had sent the smallest bills in the previous year. The firm’s smallest client had been billed a total of $3.25.
The managing partner scoffed: “Three and a quarter? Three and a quarter? Can’t we at least be as selective as the neighborhood bar? Maybe we should set a $25 minimum.”
I’ve inhabited law firms both small (for five years) and large (for twenty). Business development efforts at those firms are similar in some respects — “get famous; make contact; get lucky; repeat” — but differ in other ways. I’m thinking today about the ways that business development efforts differ depending on whether you work at a big firm or a small one….
Years ago, I was a barrel of laughs. (Well, more of a barrel of laughs then than I am now, anyway.)
When I was defending antidepressant-suicide cases, I barely resisted the urge to send in-house counsel an e-mail containing a political cartoon: The little lab rat was dangling (with his tongue hanging out) from a noose in the cage, having plainly just kicked the little stool out from under himself. One of the two researchers in white coats was saying to the other: “We have some bad news on the new antidepressant.”
Herrmann, you idiot! You can photocopy the thing and show it to the in-house lawyer the next time you see him, but the company just can’t have that in its e-mail system! Can you imagine that as Exhibit 1 at trial?
But I didn’t always censor myself. I’d share (funny) on-line humor with colleagues and clients, figuring that they’d appreciate it, and it was a painless way of letting clients know that I was thinking of them. I may well have been violating some firm policy by using the computer system for “non-business” purposes, but who cares, really?
When you start speaking to big audiences, you become more cautious. I wrote in Monday’s Inside Straight column, for example, that something had happened years ago, “when God was young.” I thought long and hard before I pressed the “publish” icon: Who will I offend? Orthodox Jews who never speak or write the name of Gxd? Devout Christians offended by the use of the Lord’s name in vain? Anyone else? Is it worth the risk of giving offense for the small benefit of making one column slightly more interesting?
A correspondent recently posed this question: I’m a litigation partner at a big firm. If I go solo, will my corporate clients continue to use me for their smaller matters?
I’ll use this column to do two things. First, I’ll offer the customary answer to all legal questions: It depends.
Second, I’ll ask my in-house readers at large corporations to let me know (either by posting in the comments or sending an e-mail to the link in the shirttail below) whether their corporations use sole practitioners.
Will big corporate clients follow an individual lawyer who jumps ship and goes solo?
But enough of that. Let’s hear from the managing partner of our law firm:
Ah! Orlando in March! What a fine time and place for our annual firmwide retreat.
I want to welcome everyone to this magnificent resort, and I want to take this opportunity to say a few words about a subject that’s dear to our hearts: Billing time.
To paraphrase Sir Thomas More in “A Man For All Seasons“: “When a man [fills out his timesheets,] he is holding his own soul in his hands like water; and if he should open his fingers then — he needn’t ever hope to find himself again.”
For the junior associates in the crowd, consider this: You will, at some point, have a slow month. You’ll get nervous that the firm will punish you for not having billed enough hours. To protect yourself, you’ll be tempted to borrow from the future. You’ll think that, if you add just four hours to this month’s time, you’ll have hit your billing target. If you charge those four hours to your largest client, no one will notice that you’ve slightly padded the bill. And you’ll figure that you’ll make this up to the client in some future month; you’ll work four hours some Saturday morning that you won’t write down, so the client will come out even in the long run. “That’s not really fraud,” you’ll think, so you’ll have eased your conscience. . . .
Personally, I gave up on law reviews in the mid-90s.
For a while after I graduated from law school, I flipped through the tables of contents of the highest profile law reviews, to see what the scholars were saying and to read things that were relevant to my practice. But by the mid-90s, I gave up: There was no chance of finding anything relevant, so the game was no longer worth the candle.
(When I took up blogging about pharmaceutical product liability cases, I began rooting around for law review articles in that field, which could generate the fodder for blog posts for which I was always desperate. Even then, the law reviews rarely offered much that practitioners would care about.)
None of that convinced me that the law reviews were dead, however, because I figured that the academics were at least still relying on the law reviews to screen and distribute each other’s work. But I had dinner recently with an old law school classmate who’s now (1) a prominent scholar in his or her field and (2) a member of the hiring committee at his or her law school. A short conversation with this guy (or gal) convinced me that law reviews are not long for this world. . . .
Some years ago, information technology and research firms realized that they could thrive only by attracting and retaining employees with two very different skill sets. These firms needed both great scientists and great managers.
Great scientists, however, were being undervalued, while great managers were being given too much dignity. In many corporations, the more people under your supervision, the more authority, respect and, often, pay you command. How could IT firms keep pure scientists — who loved thinking great thoughts and creating great inventions, but loathed managing people — happy? Wouldn’t those folks become frustrated as they saw their peers — less able scientists, but great managers — move ahead in the ranks?
Those firms pioneered the idea of creating dual career paths. One path was the standard route to success: Manage people; control a P&L center; prosper.
But the second path was the innovative one: Lead specified projects; work with key clients; generate new ideas; prosper equally!
After the IT firms blazed that trail, sales organizations soon followed suit. Those outfits needed both great sales people and great administrators. So they created dual career paths, offering routes for advancement (and power, and riches, and corner offices, and all the rest) to both types of people.
Isn’t an analogous dual-career-path model worth considering, both at law firms and in-house law departments?
I figured the editor at the NYT might think she owed me one, so I cranked out a replacement piece proposing to reform legal education. I’m pleased to report that this op-ed piece was not preempted! No, no, no: It was rejected on the merits. The editor said that my article made too many points and felt like a “report, rather than an opinion piece.”
But she was wrong. And, in any event, you should judge for yourself.
So here’s my recently rejected op-ed piece proposing how we should reform legal education. (I do believe this is the last in my short-lived series of “crap I wrote for the Times that the Times didn’t publish.” It’s an awful lot of work to produce 1,200-word pieces that become mere fodder for another column here at Inside Straight.) . . .
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 six years. You can reach them by email: [email protected].
Since late last year, things have been booming in Hong Kong / China in cap markets, especially Hong Kong IPOs. M&A deal flow has recently been getting a bit stronger as well. Although one can’t predict such things with any certainty, all signs are pointing to a banner entire 2014 for the top end US corporate and cap markets practices in Hong Kong / China. This is not really new news, as its been the feeling most in the market have had for a few months now and things continue to look good.
The head of our Asia practice, Evan Jowers, has been in Hong Kong for about 10 days a month (with trips every other month to both Shanghai and Bejing) for the past 7 months (Robert Kinney and Evan Jowers will be in Hong Kong again March 15 to 23), and spending most of his time there meeting with senior US hiring partners at just about all the major US and UK firms there, as well as prospective candidates at all associate levels and partner levels, and when in the US, Evan works Asia hours and is regularly on the phone with such persons, as our the other members of our Asia team. Our Yuliya Vinokurova is in Hong Kong every other month and Robert is there about 5 times a year as well. While we have a solid Asia team of recruiters, Evan Jowers will spend at least some time with all of our candidates for Asia position. We have had long standing relationships, and good friendships in some cases, with hiring partners and other senior US partners in Asia for 8 years now.
Are you challenged by the costs and logistics of maintaining your office, distracting you from the practice of law?
Many small firms are successfully moving part—or even all—of their practice to a virtual setting. This even includes multi-jurisdictional practice spanning several states and practice areas, although solo and small partnerships are still the largest adopters of virtual law.
Can you do the same? The new article Mobile in Practice, Virtual by Design from author Jared Correia, Esq., explores how mobile technology bring real-life benefits to a small law firm. Read this new article—the next in Thomson Reuters’ Independent Thinking series for small firms—to explore how a mobile practice:
Everyone is talking about the importance of Social Media in Corporate America. But it is relatively safe to say that most law firms and lawyers are slightly behind the social curve. Most lawyers, at minimum, use LinkedIn, for networking. Some even use Twitter for pushing out short, pithy content, while many have Blogs, where they write their little hearts out. The adage “it is better to give than to receive” is not always true though in the world of Social. In the Social World – it is best to listen, give back and engage.
Social Media is a communications tool that can deeply educate you about the needs and wants of your clients and prospects when used in conjunction social media monitoring and sharing tools.
Take this quick quiz and see if you know how to use Social to help you engage more with your clients or to better service the ones you have.