Within the last month, three different people have contacted me to say that they’re approaching retirement, so it’s time to start serving on boards of directors. These folks came to me (of all people!) to network.
By keeping my ear so close to the ground, I’ve discovered the new, new thing. And you’re in luck — I’ll share it with you!
Everyone’s getting old and thinking about retirement.
Or maybe I’ve buried the lede. Maybe hordes of baby boomers are now thinking about finding a part-time job that pays good money and keeps you entertained after you’ve stopped working full-time.
That’s not a bad strategy, really. If you’re industrious, you could serve on four or five boards, carefully analyze the board materials before each meeting, monitor the companies’ fortunes, contribute insights and ask tough questions during the meetings, and follow up after meetings in pursuit of the corporate good.
On the other hand, if you’re less industrious, you could show up for a few board and committee meetings every year, enjoy cocktails and dinner with the boys, sit like a cardboard cutout during the meetings, and pocket a few hundred grand annually for your efforts, . . .
I’ve never met you, but I assume that you’re incompetent.
I realize that sounds a bit harsh, but it’s time someone told you the truth.
Some people assume that strangers are competent. One of my colleagues in our Law Department said to me recently: “Outside counsel says we won’t have much liability in that case.”
I naturally asked, “Is he right?”
She was shocked: “He’s a partner at a well-respected firm. We hired him. I assume he’s competent.”
That got us to talking. My colleague gives strangers the benefit of the doubt; she assumes that people are competent until they prove otherwise. I’m exactly the opposite: When I meet you, my working assumption is that you’re inept. Over time, there’s a chance you’ll convince me that I’m wrong. (But probably not.)
Why do I assume that all new people I meet are incompetent?
No, that’s too easy. Here’s the better question: Why am I right to assume that everyone’s incompetent, and why is that a helpful way to go through life?
I never heard these words before I went in-house: “If you send something to a person above me in the hierarchy, then send a copy to me, too.”
Now I hear (or speak) those words all the time. And those instructions seem pretty easy to grasp.
Remarkably, a fair number of people don’t seem to understand what those words mean.
I offer this column for the benefit of in-house newbies, and in-house oldbies who don’t understand, and lawyers at firms who might want to consider whether these instructions make sense at law firms, too.
If you’re sending something to someone above me in the hierarchy, then send a copy to me, too.
I’m in-house, so Chambers & Partners — one of the outfits that rates lawyers and law firms — sent me a free copy of their 2014 guide.
If you’re profiled in that book, you get to write your own (very short) bio. You get something like 50 words to convince the world to hire you. So what did one person, from the distinguished firm of Bigg & Mediocre, write? I’ll slightly alter the bio, to disguise the guilty, but you’ll get my point:
“Charles Darnay has argued more appeals in the Second Circuit than any other lawyer at Bigg & Mediocre.”
This guy isn’t competing for business with other law firms; he’s trying to steal business from his own partners! His pitch is not: “I’m better than other lawyers in the world.” Instead, it’s: “I may not be better than most lawyers in the world, but at least I’m better than any of the other clowns you’ll find here at B&M.”
Very nice. But that’s not the best of it; Chambers conceals many secrets . . .
Ambrose Bierce, Esq., would have said: “‘Business-friendly legal advice’ means telling the client that it can do illegal stuff.”
Bierce, Esq., would have been funny, but wrong.
It’s important for lawyers to give useful advice. But many lawyers, both in-house and out, don’t seem to understand this. I’ve recently seen (or heard about from others) senior folks in businesses or in-house law departments ask not to receive advice from certain lawyers: “Don’t go to her! She’ll just tell me that everything is illegal!”
Or: “Don’t go to that firm! They’ll give us some theoretical answer that we can’t possibly use, and we’ll end up having to figure out a solution for ourselves anyway.”
Those reactions (and those words) make sense to business people and in-house lawyers; clients need real advice, not self-defensive crap. But some lawyers — typically at firms, but occasionally in-house, too — don’t understand this. To help those folks, here are illustrations of what “business-friendly” (or the opposite; shall we call it “business-hostile”?) advice sounds like . . . .
I have two reactions. First, thank you! Let’s debate these issues in public! And, so long as you spell my name right, you’re doing us both a favor!
Second, I’m right, and you’re wrong! Why? Because I’ve never in my life reviewed the work of a new lawyer and thought: “This draft would be pretty good if only it used a bunch of longer sentences. The cure to what ails this brief is to add some complexity to it.” If you were honest with yourself, Professor Osbeck, you’d admit that you’ve never seen that, either. On the other hand, both you and I frequently see sentences that desperately need to buy a period. So what should we teach — the rule or the exception?
In 1983, when I graduated from law school, essentially no one wanted in-house legal jobs, and people who worked in-house weren’t held in very high regard.
To the contrary: With few exceptions, in-house lawyers were viewed as failures. These were the folks who couldn’t succeed at real jobs. People went in-house because law firms wouldn’t have them; jobs with short hours, low pay, no challenging assignments, and no stress were the only available alternative.
That was not simply my narrow-minded perspective. It was the widely shared belief of generations of lawyers who came of age in the law before about 1990. I recently had a drink with the general counsel of a Fortune 250 company, and he (or she, but I’ll use the masculine) told me that he could never be a success in his father’s eyes: “My father was a partner at a major law firm. He was pleased with me when I clerked for a federal appellate judge, took a fancy government job, and later became a partner at a big firm. But then I went in-house, and he lost all respect for me. He wanted me to ‘succeed’ in the law — to try high-profile cases and argue important appeals. When I went in-house, he quickly decided that I was a failure, and there was never any chance that he’d change his mind.”
Plug two: I’ll be back in the States for a few weeks in June, and I’m taking advantage of that opportunity to give my “book talk” about The Curmudgeon’s Guide to Practicing Law at three “Vault 50” firms. So long as I’ve dusted off the notes to give those three talks, I might as well speak at your firm, too, Please let me know if you’re interested.
Finally, some crystal-ball-gazing: I’ve been picking for years on the fictitious law firm of Bigg & Mediocre. For good reason: To my eye, a fair number of firms have decided that adding more offices and lawyers is the cure to all that ails them and that relentlessly focusing on quality is a failed strategy of the past.
Recent empirical evidence now suggests that I may actually have a point. The Am Law profitability ratings for last year show that the super-rich firms are getting richer, and the run-of-the-mill big firms are doing okay. But one group is getting crushed, seeing substantial decreases in both revenue per lawyer and profits per partner: what Am Law calls “the giant alternatives” or the “vereins.”
My mental category of “big and mediocre” doesn’t match Am Law’s “giant verein” group. To my eye, a few of the global giants have managed to pursue both size and quality. But several have not. (I can’t say publicly which firms I would place in which category, because my employer is the world’s leading insurance broker for law firms, and I can’t go around offending the clients and potential clients. Let me just say that your firm is great. Not just great — stupendous! But the other guy’s firm? Not so much.)
So “big and mediocre” got its clock cleaned last year. I’m predicting that big and mediocre will get its clock increasingly cleaned over time, and within a couple of decades, will suffer the fate of the sundial.
I’m spreading my criticism widely here: Lawyers both in-house and out are often guilty of the sin I’m describing today.
Look: When people ask for legal advice, they need legal advice. They don’t need to hear from empty conduits through which information passes unfiltered by a human brain.
What’s today’s lesson? When asked for legal advice, give useful advice. Don’t regurgitate silly nonsense that doesn’t help anyone.
Let me give two specific (but fictionalized) examples, both analogous to real-life situations, and which give a sense of the broader issue.
Example number one: A regulator raises a concern about some statement that your company has made repeatedly or some product that you’ve sold widely. A business person — or another lawyer, or any living human being, for that matter — asks you, reasonably enough, “What’s our likely exposure in this matter?”
At this point, many lawyers turn off their brains and give the terrible, horrible, no good, very bad legal advice . . . .
At a law firm, law matters. Law is the center of the institution’s universe, and it’s all everyone is thinking about.
It’s the other functions that don’t matter: “Another email from IT? Telling me about interfaces and gigabytes? Why don’t those clowns leave me alone?”
“Another email from finance hectoring me about time sheets? Don’t those morons know I’m busy?”
At corporations, law (and compliance) is an “other function.” The businesses are concentrating on their businesses, and law and compliance — along with human resources, information technology, and finance — are, at best, a means to an end. If you mirror the other “shared services” and send incomprehensible communications to the businesses, the businesses will soon realize that you’re just one of the pests, meant to be ignored.
Inevitably, if a business person accidentally steps over some legal line, you’ll hear that the business guy had no clue that the line existed: “Yeah, yeah. Now that you’re telling me about it, I understand that we have that rule. But how was I to know? The rule is buried on the fourth page of some impenetrable policy hidden somewhere in our computer system. I spend my time selling; I can’t waste time trying to make sense of your legalese.”
If you don’t sympathize with that guy, then you’ve been a lawyer for too long. His criticism is not just an excuse for having violated the rules; his criticism may well be the truth. How can you change that reality?
As part of a nationwide tour, Above the Law is coming to the great city of Chicago.
Join preeminent law firm management consultant Bruce MacEwen, Katten Muchin Chicago managing partner Gil Sofer, and JPMorgan Chase & Co. assistant general counsel Jason Shaffer for a panel discussion (sponsored by Pangea3) on the evolutionary and market forces bearing down on the law firm business model. Come on by Thursday, November 20, at 6 p.m., for thought-provoking discussion, food, drink, and networking.
Space is limited and there will be no on-site registration, so please RSVP
Average law school debt for graduates of private universities hovered around $122,000 last year. With only 57% of new attorneys actually obtaining real lawyer jobs, recent graduates have a lot to consider when it comes to managing their student loan payments. Thanks to our friends at SoFi, today’s infographic takes a look at student loan debt, including the possible benefits of refinancing for JDs…
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.