In the not-so-new normal, clients continue to refuse to pay full freight for inexperienced first-year attorneys to work on their legal matters — or, as one law firm recently mused, “client demand for first year associates has declined.”
What’s a Biglaw firm to do?
It seems that one firm has found a pretty good solution to this problem: make someone else hire those lawyers to work as junior in-house lawyers, and then bring them into the fold as associates after they’ve gained some real-world experience.
Which Biglaw firm has teamed up with a big bank — the biggest bank in the U.S. — for this program?
* CeeLo Green, through his attorney, tells the judge and prosecutors in his criminal case to, um, Forget themselves. He’s miffed that the judge and prosecutors set up cameras during his arraignment and left themselves out of the shot creating a false impression of guilt. This marks the first time this guy didn’t want a camera fixated solely on him. [TMZ]
* Samsung wants a mistrial in its case with Apple because Apple’s attorney, Harold McElhinny, implied in his closing argument that American-made jobs building TV sets moved overseas because companies failed to protect intellectual property. Samsung is arguing that this is racist. [Bloomberg]
* JPMorgan is awfully sorry for making the conscious decision to sell toxic securities that helped destroy the economy. “Our bad, y’all!” [Gawker]
* The justices who penned Bush v. Gore shamelessly admitted how terrible the decision was by trying to claim it had no precedential value. Unfortunately, no one listened to them. [Mother Jones]
* In addition to the many lawfirms that are contributing to Typhoon Haiyan relief efforts, several Asian-American lawyer groups are organizing a fundraising event this coming Monday. If you’re in New York, please consider attending! [Facebook; AABANY]
* In sad news, the son of Ninth Circuit Judge Jay Bybee shot and killed himself in the courtyard of the LDS Temple in Henderson, NV. Our thoughts are with Judge Bybee and his family. [Las Vegas Review-Journal (gavel bang: Las Vegas Law Blog)]
* A Texas court overturned Tom DeLay’s conviction on money laundering charges. DeLay immediately thanked Jesus, who played an instrumental role in the three judge panel’s deliberations. [New York Times]
* Eric Holder has eliminated mandatory minimum sentences for those low-level nonviolent drug offenders whose cases are currently pending. In related news, here is a cow riding a razor scooter. [Washington Post]
* This says J.P. Morgan actually did just fine in their settlement with the Securities and Exchange Commission. I get the hugest boner from underdog stories like this one. [WSJ Law Blog]
* A woman has sued Getty Images after her photo was used in an HIV advertisement. She’s apparently holding out for the herp campaign. [New York Post]
* More from Clarence Thomas in Portland: “Why was a black kid in Georgia reading Ayn Rand?” I don’t know. Because he was dumb? [ABC News]
As we mentioned in Non-Sequiturs last night, JPMorgan Chase is getting out of the student loan business. The bank will stop accepting new student loan applications this October.
A spokesperson for the bank said: “Students and their families are increasingly relying on government-backed loans rather than private student loans, and as a result the market has declined by 75% in the last five years.”
My friends, this is a bad sign. JPM is just a minor player in the student loan game, but the fact that they don’t think lending money to students for education is a good business anymore should make us worried. The fact that the federal government has crowded out this private lender is not good.
It means that we’re one step closer to the whole student loan bubble bursting…
* Fine Print as “Surrealist Masterpiece.” Because sometimes you need legal analysis involving Foucault. [Concurring Opinions]
* Speaking of fine print, the story behind an attack ad in Virginia is all about fine print. Virginia AG Ken Cuccinelli is running an attack ad against Terry McAuliffe connecting him to the collapse of Global Crossing. The problem is the former Global Crossing workers in the ad thought they were talking to a documentary film crew about the company, not making an ad attacking McAuliffe. Should have read that waiver form more closely! [Mother Jones]
* JPMorgan Chase is dropping out of the student loan business. Must be getting too difficult to package likely defaults into some kind of billion-dollar derivative these days. [American Banker]
* A New York attorney candidly tells the world that dealing with his kids “is not my problem” because he has a long-suffering wife for that job. See conservatives, gay marriage hasn’t destroyed all the traditional families. [Dealbreaker]
* More analysis on the legality of intervention in Syria under international law. Welcome to the art of writing listicles, Lawfare! [Lawfare]
* A Q&A with Ignatius Grande of Hughes Hubbard & Reed on the importance of Twitter for clients and law firms. Intriguingly, Hughes Hubbard doesn’t have an active Twitter account. What gives? [Commercial Litigation Insider]
* Most folks think the police overreacted by issuing a civil disobedience warning for a 3-year-old girl, but those people need to watch Children of the Corn. [UPI]
* Speaking of the Brits, authorities detained Glenn Greenwald’s partner (interestingly, Greenwald’s partner is named Miranda) for nine hours and “confiscated his computer, phone, camera, memory stick, DVDs and video games” while passing through Heathrow. Wow, this is the sort of thing that might make Greenwald mad at the surveillance state. [ABA Journal]
* A detailed analysis of confidential sources. I’m pointing this out to publicly clarify that ATL keeps its tipsters confidential unless they specifically ask to be cited. So feel free to tip away! [Talking Biz News]
* Tales of Ted Cruz as a young man. So we’re calling parliamentary-style debate “debate” now? OK. [Daily Beast]
* Professor Rick Hasen examines North Carolina’s new voter suppression law and how it proves that the country still needs the Voting Rights Act. [Slate]
* Maybe bar exams should write better questions that actually cover all the material candidates have to learn. Personally, I was just fine not having to memorize a lot about New York commercial paper law. [Ramblings on Appeal]
* The tale of a wealthy couple evading the law. The article describes the story as an “arthritic version of Steve McQueen and Ali MacGraw in The Getaway, perhaps, moving at nursing-home speed.” Hollywood just found a plot for Expendables 4. [Seattle Weekly]
* The government’s obsession with FCPA enforcement has bit JP Morgan over hiring the children of Chinese officials to woo business. [Dealbreaker]
* Chief Judge Michael P. Mills of the Northern District of Mississippi weighs in on a copyright suit between the estate of William Faulkner and Woody Allen. The judge is apparently not a fan of Sharknado because he has no soul. Video of the quirky conflict after the jump…
* Based on the justices’ reactions during oral arguments in Windsor v. U.S., there was no defending the Defense of Marriage Act. Not even Paul Clement, the patron saint of conservative causes, could save the day. [New York Times]
* Alas, the David Boies and Ted Olson Dream Team stole much of the spotlight from Roberta Kaplan, the Paul Weiss partner who argued on behalf of Edith Windsor in an effort to overturn DOMA. Seriously, you go girl! [WSJ Law Blog (sub. req.)]
* Dude, you’re getting a Dell! Alston & Bird and Kirkland & Ellis are the latest firms to join the Biglaw sharks (including Ho-Love, Debevoise, Wachtell, SullCrom, and Simpson Thacher) circling this major tech buyout. [Am Law Daily]
* It looks like it’s time for JPMorgan to face the music for its investments in Lehman Brothers, because a federal judge just ruled that the bank cannot “dispatch plaintiff’s claims to the waste bin.” [Reuters]
* An alleged killer’s sense of mortality: James Holmes, the suspect in the Colorado movie theater shooting, offered to plead guilty and spend life in prison in order to avoid the death penalty. [CNN]
* The horror! The horror! Sacrilege! Constitutional law nerds nationwide will weep at the very thought of someone suggesting that our country’s governing document be amended to abolish life tenure for Supreme Court justices. [Los Angeles Times]
* Quite frankly, it’s pretty amazing how quickly the preclearance section of the Voting Rights Act went from being seen by states as something that wasn’t “onerous” to being “arbitrary and burdensome.” That’s politics for you. [It's All Politics / NPR]
* Jim Woolery, an M&A superstar formerly of J.P. Morgan, has made the jump to Cadwalader after only two years at the bank. Upgrade or downgrade from his Cravath partnership? [Wall Street Journal (sub. req.)]
* It you want to be employed, make damn sure you nail your interview because “[t]he stakes are higher than ever” — fewer than 13 percent of permanent law jobs were obtained from OCI in 2011. [National Law Journal]
* Greenlight Capital’s case against Apple might have been perceived as a “silly sideshow” by some, but it looks like Judge Richard Sullivan of the S.D.N.Y. purchased front row tickets. [DealBook / New York Times]
* Speaking of silly sideshows, the DOJ recently joined the fray with Floyd Landis and his False Claims Act suit against Lance Armstrong. Perhaps it’s time for the disgraced biker to take his ball and go home. [Bloomberg]
* Alan Westin, privacy law scholar and professor emeritus of public law at Columbia, RIP. [New York Times]
* “This case has nothing to do with the United States.” We’d normally let that slide because of this law from 1789, but now the Supreme Court is suddenly skeptical about the validity of the Alien Tort Claims Act. [Reuters]
* “Why are we being punished for Dewey & LeBoeuf?” Come to think of it, former employees at the failed firm are probably wondering the exact same thing as the fictional characters on “The Good Wife.” [WSJ Law Blog]
* Reduce, reuse, and recycle your claims? New York Attorney General Eric Schneiderman filed suit against JPMorgan, alleging that the bank’s Bear Sterns business defrauded mortgage-bond investors. [Bloomberg]
* A man of many firsts: Randall Eng, the first Asian judge in the state, was appointed to lead New York’s Second Department as presiding justice, the first Asian-American to serve in the position. [New York Law Journal]
* Why shouldn’t you get a dual JD/MBA? Because hiding out in school for another year isn’t going to save you from all of the extra debt you’ve incurred earning yet another degree. [Law Admissions Lowdown / U.S. News]
Clean-up efforts are underway at Dewey & LeBoeuf — and we’re not talking about the work of the janitors (at least not the ones who were allegedly stiffed on $300,000). Rather, we’re talking about the work being done by Dewey as debtor, aided by its high-priced advisory team, to put its affairs in order and to maximize the recovery for its creditors.
One of the biggest messes: how to deal with the firm’s hundreds of former partners. Dewey’s lead lawyer, Albert Togut of Togut Segal & Segal, has already made clear his plans to seek some funds from them.
In a conference call yesterday afternoon, Dewey’s bankruptcy advisers informed ex-partners about the contours of a possible global settlement….
Jiminy jillickers! ATL editors are going all over the place over the next month or so. Or at least all over the Eastern Seaboard. If we aren’t heading to your neck of the woods on these trips, never fear, we may hit you up on the next time around. We’ve already hit up Houston, Chicago, Seattle, San Francisco, and Los Angeles in the past year.
Kinney Recruiting’sEvan Jowers is currently in Hong Kong for client meetings and still has a few slots available through October 22. Evan will also be in Hong Kong November 14 to December 15. Further, Robert Kinney has been in Frankfurt and Munich this week and is available for meetings with our Germany based readers.
One of our key law firm clients has referred us to one of their important clients in the US, Europe and China – a leading global technology supplier for the auto industry – in order to handle their search for a new Asia General Counsel and Asia Chief Compliance Officer.
Kinney is exclusively handling this in-house search.
This position will have a lot of responsibility and include supervision of eight attorneys underneath them in the Asia in-house team. The new hire will report directly to the global general counsel and global chief compliance officer, who is based in the US. The new hire’s ability to make judgement calls is going to be as important as their technical skill set background.
The position is based in Shanghai and will deal with the company’s operations all over Asia and also in India, including frequent acquisitions in the region.
It is expected that the new hire will come from a top US firm’s Shanghai, Beijing or Hong Kong offices, currently in a top flight corporate practice at the senior associate, counsel or partner level. Of course, the candidate can be currently in a relevant in-house role.
The JOBS Act created new tools for companies to publicly advertise securities deals online. As a result, thousands of new deals have hit the market and hundreds of millions in capital has been raised, spurring a wealth of new business development opportunities for attorneys.
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The Jumpstart Our Business Startups Act (JOBS Act) went into effect in 2013 and permits Regulation D offerings of securities to be advertised publicly. This means that funds and companies can now use social media, emails and web sites to market transactions to new “accredited” investors.
However, with these new powers come new pain points. InvestorID FirmTM provides a secure, fully hosted, cloud-based platform with a breadth of tools for your clients, including: