Solo Practitioners

There are plenty of good reasons why a solo lawyer should, and indeed must, refer a case to another firm. For example, if a particular case isn’t compatible with your business – either because it falls outside of your firm’s practice area or it’s not economical for your firm to handle – there’s no reason to hang on to it.  And notwithstanding the advance conflict waivers that large firms foist on clients, in my view, conflicts of interest are a non-negotiable grounds for referral, because they “spawn an alarming number of ethics complaints.”

But there are other situations where a solo shouldn’t be so quick to send a case packing, notwithstanding conventional wisdom to the contrary. Here’s a list of examples where you might want to think twice before referring a case:

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Keith Lee

I was on Facebook the other day (no, I don’t want to be your friend), and a status update from a lawyer I’m friends with caught my eye. She was walking into the courthouse and was confronted by a “protester” who was yelling at everyone, proclaiming that attorneys are liars, are not to be trusted, are scum, etc. The usual.

Lots of people just don’t like lawyers. It’s a common trope. See yesterday’s post about a lawyer asking a teacher what he makes. Lawyers have become the punching bag for much of society. The butt of jokes, the target of scorn. Why is it that people dislike lawyers so much? Has it been the race to the bottom in lawyer advertising? Manipulative conduct in court? Taking advantage of “the little guy?” Personally, I think it comes down to one thing:

Lawyers are professional a-holes….

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Q: You can’t just have a bunch of clients with preexisting intentions to kill someone?

A: Yeah, that would certainly make things more risky for the firm.

– An exchange between Above the Law columnist Carolyn Elefant and Daily Show correspondent Jordan Klepper, in a segment about the trend of small law firms offering “self-defense retainer plans” for gun owners.

(Read more and watch the full, funny clip, after the jump.)

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Every once in a while, I would run a Google search on myself. On the first page, I would see my LinkedIn profile, an article I wrote a few years ago on an obscure topic, and my five-star Yelp rating. Thankfully, no drunken college pictures appeared. So my Google footprint was clean — which is supposed to be good. But then I ran a search on two other attorneys I highly respect and saw pages showing their accomplishments, their connections, and newspaper articles featuring their names. That’s when I realized that I was a nobody.

But now that I am looking for a job, it is very important that my internet image is clean and wholesome. So I did a more detailed search. I tried using different search engines, like Yahoo and Bing. I also used more detailed search terms. Unfortunately, I discovered an old rant on a message board which I think some employers might find offensive. So now I had to find a way to remove it before someone sees it….

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If you ask a bunch of solos and smalls of their opinion about automated legal-form fillers like LegalZoom, you’re likely to hear one of the following reactions:

Reaction #1: Legal Zoom doesn’t worry me at all. Let’s face it, consumers have always had the option of buying forms – if not from Legal Zoom, then from an office supply store or Nolo. But the clients who come to me want more than a form – they want someone to advise them on options or strategize about their business or to work through a stressful family situation or personal matter. In fact, some of my best clients simply want an ongoing relationship with a lawyer whom they can call with questions in advance of a decision to stay out of trouble to begin with. LegalZoom can’t provide those services.

Reaction #2: LegalZoom? What’s the big deal? I use it all the time. What I mean is that if I get a call from a small entrepreneur – like a mom planning to start a web design business out of her house, or a group of students running a lawn mowing service – who can’t pay for much and really only want an LLC or a basic contract, I’ll direct them to resources online where they can find free forms or contracts – and I might mention automated services like LegalZoom if clients don’t want to take the time to fill out the documents themselves. Sometimes, if clients are on the fence about using forms or hiring me, I’ll walk them through the LegalZoom site and explain that for many services, LegalZoom pricing isn’t that much less expensive when they consider the amount of time that LegalZoom requires to complete the documents, as well as the fact that the fees don’t include attorney advice, an assurance of confidentiality through attorney-client privilege or malpractice protection….

double red triangle arrows Continue reading “How Should Solos and Smalls Respond to The Rise of Automated Self-Help Services? Not Like This…”

Keith Lee

What do you need when starting a solo practice or a small firm? A huge office in the middle of downtown? The most cutting edge computer? A paralegal and an associate?

You don’t actually need any of those things, but the one that often costs small firms the most headaches in terms of time and money is hiring staff. Many times, new solos or small firms feel the need to staff up right away — they’re lawyers! They have to have a secretary, an assistant, a paralegal, etc. It’s expected. Clients won’t feel comfortable coming into an office without a secretary. But after six months of a low volume caseload, becoming familiar with case management software, and discovering that clients don’t particularly care if you have a secretary, lawyers realize they are wasting money on unnecessary people. Even worse, lawyers might find they hired the wrong people. In a rush to get their office started, they took on whoever first came in the door. Or they only spend a cursory time with the interview process, relying on people’s résumé or referrals. After which they discover hiring the wrong person pulls everyone else down.

So when is the right time to hire someone? And how do you know if they are the right fit?

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Whenever I talk to fellow solo practitioners at a conference, a mixer or book club gathering, they tend to brag about the benefits of running their own business. One told me about how he regularly conducts a four-hour “client meeting” at the local golf course. Another tells me how she attends a CLE seminar via Skype in her living room wearing pajamas and bunny slippers. And someone else is elated that she is able to work while having time to attend her daughter’s piano recital.

A big draw of being a solo practitioner or a member of a small partnership is the freedom. The freedom to call the shots. The freedom to bill whatever and however you want. The freedom to pick and choose clients and practice areas. The problem is that these freedoms come with responsibilities and additional work, which made me wonder whether these freedoms were real or mythical…

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These days, fixed fees (also known as flat fees) are all the rage in the legal profession. Long employed by solos and smalls for practice areas as diverse as estate planning, business incorporation, trademarks, bankruptcy, and criminal defense, today, flat fees are gaining traction  even with the big boys at Biglaw.

While the benefits of flat-fee billing, including cost certainty, increased efficiency, and administrative simplicity are well documented, there’s not much guidance on how lawyers can implement fixed fees in practice. As a result, many lawyers shy away from fixed-fee billing, fearing that if they charge too little, they’ll be stuck working for free if the case winds up taking more time to resolve than originally anticipated.  Meanwhile, many lawyers who experiment with fixed-fee billing claim that it doesn’t work — largely because they haven’t implemented it in a way that benefits the lawyer as well as the client.

So below are a half-dozen tips to help solo and small-firm lawyers implement fixed-fee billing without paying the price. Though not exhaustive, these suggestions may help lawyers currently contemplating fixed-fee billing get started, or convince those who’ve tried flat fees unsuccessfully to reconsider…

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Ed. note: Please welcome Shannon Achimalbe to Above the Law. Shannon will be writing about the journey from solo practice to a larger law firm.

Since my last post, the ATL editors have been busy covering multiple layoff stories. That, along with news that hiring will not return to pre-recession levels, is scaring the crap out of me discouraging. But as every lawyer and law school graduate since 1950 knows, finding any lawyer job is a Herculean ordeal – whether boom or bust. And finding the right lawyer job is like finding a needle in a stack of needles.

Because of my non-peer pedigree and the continuing economic malaise, the traditional method of job searching is not going to work, and I’ll end up getting either nothing or a dead-end temporary job. In order to get the job I want, I’ll need to create and execute a long-term career plan.

I’m sure most of you are familiar with the “shotgun” method of job hunting. Towards the end of my third year of law school, I sent at least 500 unsolicited cover letters and résumés to every law firm, recruiter, in-house, out-house and temp agency my career counselor and I can think of. I must have spent hours customizing each cover letter and résumé for each firm explaining why I should be hired without sounding like a blowhard or a wimp. I took advantage of the free law student bar memberships and went to every networking event I could.

How did this turn out?

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Ed. note: Please welcome Shannon Achimalbe to Above the Law. Shannon will be writing about the journey from solo practice to a larger law firm.

Some time ago, I met with a consultant to discuss how I could improve and expand my solo practice. I told him my future goals: to be recognized as an expert in my areas of practice, make lots of money, and have free time for my personal life. He said I could accomplish these goals, but it would depend on how much time and effort I put in. He then told me that I would need to “invest” money in marketing, blogging, networking events, and joining various organizations. I would also need to make plans to upgrade my office and get a staff. Finally, he told me to pick a religion, because I’d be praying often.

But when I looked at the projected costs to accomplish my goals along with the non-guarantee of success, I hesitated. A flurry of questions went through my head: Who do I need to connect with and hire? What niches are marketable and enjoyable? When would I start to see a return on my investment? Where are my potential clients?  How many more networking events do I have to attend? Why am I doing this? Am I going to enjoy doing this? When I found myself asking that last question, I knew it was time to look at other options…

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