Law firm consultants have endless advice about how best to compensate partners at firms. The consultants analyze the extremes: Lockstep compensation avoids quibbles about pay, but it may reward less productive older partners at the expense of the young turks. Eat-what-you-kill compensation rewards people who bring in business, but may cause bitter fights over client origination credit or cause partners to hoard their clients.
Various permutations on those extremes have their own advantages and disadvantages. But riddle me this: Why don’t we see consultants debating the pros and cons of pure black-box compensation? Under this system, the managing partner (or a small committee) sets compensation for each partner in the firm. There is no specific formula for allocating the spoils, and partners are forbidden from discussing their compensation with each other. Each partner is told what he’ll make in the coming year (either as an absolute number or as a projected draw assuming the firm hits 100 percent of budget), and the process is over.
At least a few large firms use black-box compensation systems, so this subject surely deserves a moment’s thought. What do you think of a black-box compensation system — good, bad, or indifferent?
So it seems that there will be two David B’s in the building. Boies Schiller was founded, of course, by the legendary David Boies, one of the greatest litigators of our time — known for his work on such marquee cases as Microsoft, Bush v. Gore, the Perry / Prop 8 case (which could end up in the Supreme Court), and too many others to mention.
Let’s take a closer look at David Bernick’s résumé, and analyze what his arrival means for BSF….
I decided that it was somehow a good idea to live apart from my (pregnant) wife and 3-year-old son for about a year. I needed a job. I was scared and desperate, my clerkship was ending, and I had no prospects in D.C. or New York. So, I headed to Rochester.
At first, it was great to have law firm money coming in, and my salary and relative short distance from Rochester to Maryland allowed me to either drive or fly down to BWI on the weekends. But soon, the rigors and expectations of moving from junior to senior litigation associate began to make such trips difficult, and always stressful. This was when Citrix connections and Wi-Fi were in their infancy, and of course our house was just in a valley deep enough to cause problems with me connecting.
Stress soon turned potent as the pending birth of our second son was timed to occur with the due dates of several motions and depositions, etc. The Rochester partner for whom I was doing a majority of my work was not pleased that I took time to be in D.C. waiting for the baby to be born. The situation took a toll on me, my wife, and our son.
On the day of my wife’s labor, D.C. experienced the backlash of an East Coast hurricane, and a storm was brewing with my lawyer gig as well. Things were coming due, communication with the home office was difficult at best, and my work was suffering; I was suffering. I still have the emails that came to me in the delivery room and during recovery. I was torn between being present with my wife during this most important time, and trying to please the boss(es) in Rochester.
A mere two weeks after my son was born, we were caravanning to our new house upstate. Oh yes, I failed to mention that I was house hunting up until the date I traveled to D.C. to be with my wife while we awaited the due date. It was more than enough to break me….
Ed. note: This is the final column by Anonymous Partner based on his interview of a more-senior partner, “Old School Partner” (“OSP”). You can read the first column here and the second column here.
We had been talking for a while, when the conversation turned to Old School Partner’s experiences as a general counsel. He pulled no punches. “I was a very sophisticated consumer of legal services,” Old School Partner told me. In short, Old School Partner, when he turned to outside counsel, had high standards.
Having already decided to leave the security of a leadership position at a Biglaw firm for in-house life, Old School Partner demanded the same attention to detail and professionalism from his chosen outside counsel as he displayed when doing work for his former clients. As an example, he shared how he went about choosing litigation counsel.
“I was looking for counselors,” he told me, and that meant no fluffy credentials without real experience backing them up. “I wanted trial lawyers with real trial experience, who could have the confidence to forego a deposition that was not going to be of any value at trial.” Unlike many clients today, Old School Partner was willing to pay top dollar for real guidance, and did not default to assigning his cases to the lowest bidder or a firm that had a “preferred relationship” with his company. I got the sense that he viewed each case his company was engaged in as a business problem that needed solving, and was willing to pay handsomely for a solution — because he realized that throwing money at a litigation “team” was ultimately less effective and more costly than buying top-drawer help….
Writing at Above the Law brings you fame, if not fortune: Two different groups (an ABA Committee and a CLE outfit) recently asked me to help design courses that would be irresistible to all in-house lawyers. These guys wanted me to pick topics for “must attend” programs — events that no in-house lawyer could afford to miss.
My first reaction was this: Are you kidding me?
If I’d stumbled onto the “must read” topic for all in-house lawyers, don’t you suppose I would have shared that insight in these columns? If I knew what everyone really wanted to know, would I still be filling my twice-weekly slot here at ATL with random musings and pontifications?
But my second reaction was better: Now, at long last, I’ve figured it out….
So, OMG you seriously haven’t heard that Brittany likes Mark, but Mark likes Claire even though he’s flirting with Brittany? Yeah, Mark — the guy who’s so dumb that the last time he cheated on a test he still failed… I know right, he’s so hot!
High school gossip can cover many aspects of life. Sometimes the chatter is about school and tests. Sometimes it’s about who got invited to the cool parties and got sick on the street later. But most often, it’s about juicy dish. (Kind of like ATL, pimply puberty-style, except… hmm, never mind, it’s just like ATL.)
In-house gossip is thoroughly less satisfying. It’s more about who ticked off whom a couple of years ago, who’s slacking off and getting away with it when the rest of us can’t, and who could vie for the gold if kissing up to senior executives were an Olympic event. The juicy stuff that I used to get wind of once in a while from law firm peers seems rare in an in-house setting. Little did I realize that I was giving up such a quality of life factor when taking this job. People really need to give you a heads up about these things.
Seriously though, kids who gossip in high school are immature. But, well, that’s just about everybody in high school, so it’s all good. (The mature ones are the weirdos — avoid them like the plague, high school kiddies.) Gossiping at work, however, is viewed as less acceptable and is instead indicative of needed soft skills improvement…
At law firms, you only occasionally hear people criticizing lawyers for not “being proactive.” Maybe that’s the nature of the beast: When you’re a litigator at a firm, you’re always considering what moves to make, anticipating the other side’s responses, and planning several moves ahead. Being proactive is the name of the game.
But I often hear in-house lawyers either being criticized (or criticizing others) for not being sufficiently proactive. How can you prove to the world that you’re proactive?
There are two parts to this puzzle: First, you can create the illusion of proactivity. This takes no effort at all, and it will impress people. Do it! Second, you could actually be proactive. This takes a little effort; I’ll leave it to you to decide whether the game is worth the candle. But at least consider being proactive; you might enjoy it, and it might be good for your career . . . .
“I kept asking Clarence why our world seemed to be collapsing and things seemed to be getting so sh*tty. And he’d say, ‘That’s the way it goes, but don’t forget, it goes the other way too.’ That’s the way [life] is… Usually, that’s the way it goes, but every once in awhile, it goes the other way too.” Alabama Worley, True Romance.
Someone wrote in recently that “it was about time that I was giving honest appraisals of real life,” or something to that effect. Obviously, I can’t sit here and name names from my past or current positions. But after thinking it through, I decided to give an assessment of how I landed here in-house, inclusive of as much truth as is prudent. Keep in mind that this post is in two parts, and due to space constraints, I simply can’t give all the details and dirty little secrets….
When it comes to the representation of women in the top positions in the legal profession, the news seems somewhat mixed. Things could be better in Biglaw. According to a recent survey, women constitute just 15 percent of equity partners — a number that has stayed roughly the same for the past 20 years.
On the in-house side of the divide, though, the news is better. Women lawyers are ascending to the post of general counsel in record numbers.
As we mentioned yesterday in Morning Docket, Judge Marcia Gail Cooke (S.D. Fla.) recently issued an omnibus order on multiple motions for sanctions in the high-profile case of Coquina Investments v. TD Bank. The plaintiff, Coquina Investments, moved for sanctions related to various alleged discovery violations.
At a contempt hearing held back in May, Judge Cooke heard testimony from employees of TD Bank and current and former lawyers from Greenberg Traurig, which previously represented the bank. She took the matter under advisement — but not before saying things like, “It is hard for me to describe in words the difficulty throughout this trial related to documents and discovery.”
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: firstname.lastname@example.org.
We currently have a very exciting and rare type of in-house opening in China at one of the world’s leading internet and social media companies. Our client is looking for an IP Transactional / TMT / Licensing attorney with 2 to 6 years experience. The new hire will be based in Shenzhen or Shanghai. Mandarin is not required (deal documentation will be in English) but is preferred. A solid reason to be in China and a commitment to that market is required of course. This new hire will likely be US qualified (but could also be qualified in UK or other jurisdictions) and with experience and training at a top law firm’s IP transactional / TMT practice and could be currently at a law firm or in-house. Qualified candidates currently Asia based, Europe based or US based will be considered. The new hire’s supervisors in this technology transactions in-house team are very well regarded US trained IP transactional lawyers, with substantial experience at Silicon Valley firms. The culture and atmosphere in this in-house group and the company in general is entrepreneurial, team oriented, and the work is cutting edge, even for a cutting edge industry. The upside of being in an important strategic in-house position in this fast growing and world leading internet company is of the “sky is the limit” variety. Its a very exciting place to be in China for a rising IP transactional lawyer in our opinion, for many reasons beyond the basic info we can share here in this ad / post. This is a special A+ opportunity.
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When Chintan Panchal decided to leave a global BigLaw partnership to start his own firm, he could only hope that he would face the high-quality problem of firm building that many had cautioned him about. Focused on the uncertainty surrounding of a new firm launch, he decided to tackle staffing needs, IT challenges, and financial planning requirements after he had built up his legal practice.
Panchal Associates LLP–a corporate/finance and outside general counsel boutique–was quickly off to a great start. Clients and matters were flying in the door, and Chintan soon had a team of lawyers and staff with a variety of operational needs. To continue building an excellent team and provide them with a competitive benefits package, to expand his physical presence to include a European practice and additional partners, and to scale his operations and IT capabilities to support this growing enterprise brought with it demands of time, money, and expertise. Chintan knew he needed help.
“With the assistance of NexFirm, we have upgraded the capabilities of our firm to meet, and in some cases exceed, the standards we were used to at our former BigLaw firms. Operationally, we can now attract and service clients we didn’t have the bandwidth to support in the past, and continue to build our team with the best and brightest legal talent in the industry,” said Chintan Panchal, adding “It has worked out quite well in our case; NexFirm is an essential partner for us.”
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