Over the past few months, we’ve offered extensive coverage of Bingham McCutchen, the once high-flying law firm that’s now struggling to survive. Bingham has remained mainly mum during these trying times.
This week, however, managing partner Steven Browne — who took over earlier this year from Bingham’s longtime leader, Jay Zimmerman — has been on a charm offensive. He gave interviews to the Boston Globe and the Wall Street Journal, which along with the American Lawyer ran long pieces on the state of affairs at the firm. We’ll share with you the new and most notable material from all three stories.
Before we get to the substantive stuff, though, let’s check out the Wall Street Journal’s interesting choice of a photo for its Bingham piece….
* The Supreme Court’s new term kicks off today, and lawyers are pumped — especially since “the Roberts court [may] be to the rights of gays and lesbians what the Warren court was to the rights of African Americans.” [New York Times]
* But come on, the Supreme Court hasn’t even decided to take up a same-sex marriage case for October Term 2014, you say. Not to worry, because “[h]owever slow the term is starting, it could obviously explode.” [USA Today]
* This year’s law firm merger pace is slightly more robust than last year’s record-breaking rate. Lawyers should probably get ready for some real merger mania before the new year comes. [Am Law Daily]
* The legal services sector just lost the largest number of jobs in a one-month period in almost five years. Our condolences to recent law school graduates who are still searching for employment. [WSJ Law Blog]
* On the other side of the spectrum, this recent law school graduate has it made. This former bank robber turned D.C. Circuit clerk just found out he’ll be allowed to take the bar exam. Yay! [National Law Journal]
Earlier this month, we reported on Bingham McCutchen and Morgan Lewis & Bockius’s agreement to merge. The 750-lawyer Bingham firm has been going through a rough patch lately, so news of the deal with 1,200-lawyer Morgan Lewis sounded like a rescue to some observers.
But rescues come with terms and conditions. What are the ones at issue here? There’s good news for some Bingham partners, and bad news for others….
She’s not a porn star, she’s a law student. We could see where you might be confused by that one.
* Now that we know Eric Holder is resigning, there’s been speculation as to where he’ll go next. The obvious choice is a return to Covington & Burling, but he could still surprise everyone. [National Law Journal]
* “Judicial campaign cash is burning a hole in the Constitution.” State court judges are pumping money into their election campaigns, and some have been left to wonder about its true price. [New York Times]
* Details have emerged as to conditions that must be met for Bingham McCutchen’s proposed merger with Morgan Lewis: partner promises, de-equitizations, and forgivable loans, oh my! [Reuters (sub. req.)]
* A former law student who was falsely identified as a porn star on the radio had her day in court and pulled out a win. Here’s the money shot: she’s walking away with $1 million in damages. [Kansas City Star]
Ed. note: Stat of the Week is a new feature that pulls data points from ATL Research as well as noteworthy sources across the web.
Rumors of a Bingham McCutchen/Morgan Lewis merger were confirmed this week when news broke that the two firms had reached an agreement to combine. The firms have a lot in common in terms of financial metrics: for 2013, Bingham came in at $1.48 million for profits per partner and $960,000 for revenue per lawyer, while Morgan Lewis posted similar numbers, $1.57 million and $945,000, in those categories (according to Am Law).
Something the two firms don’t have in common? The direction they’ve been heading in….
September is shaping up to be a busy month for law firm merger news. On the heels of the Locke Lord / Edwards Wildman deal, we’re getting word that Bingham McCutchen and Morgan Lewis have reached an agreement to merge.
The news doesn’t come as a shock. Rumors of a Bingham/Morgan combination have been circulating for months. There was talk that such a deal could trigger some partner departures, and those departures have already come to pass (presumably removing from the picture some potential objectors to a merger).
Let’s have a look at what a Morgan Bingham — or Bingham Morgan, or maybe just a bigger Morgan Lewis, if no name change takes place — might look like….
Everybody in the Canadian legal profession knows that international firms Baker & McKenzie, Norton Rose and Dentons have set up shop in Canada. Baker & McKenzie has actually been in Toronto since 1962. Norton Rose absorbed the venerable Ogilvy Renault in 2011 before conquering the west by merging with energy powerhouse MacLeod Dixon in 2012. Dentons made its Canadian play in 2013 by merging with another long-established firm, Fraser Milner.
But how many people realize that there are several other prominent U.S./international firms working somewhat under the radar in the Canadian market? Powerhouses like Paul Weiss, Shearman & Sterling and Skadden Arps all have small Canadian offices where they service mostly American clients. Similarly, Dorsey & Whitney, Hodgson Russ, Dickinson Wright, Fragomen, and Clyde and Co. all have small Canadian presences.
By my count, that’s eleven U.S./international firms that have a real footprint in Canada, which leads to this question: why aren’t there more? Canada is a G8 nation with a strong economy. Our citizens are warm and friendly. We wear deodorant. Why have you forsaken us, international law firms?
Size matters, and to be successful today you really have to be in that Am Law 50.
– Alan Levin, managing partner of Edwards Wildman, commenting on the importance of being viewed as a “tier 1″ law firm in the overall Biglaw hierarchy. Levin identified possible merger partners by commissioning a study to separate firms into “tier 1″ and “tier 2″ groupings. Locke Lord was considered a “tier 1″ firm, and Levin will become vice chair of Locke Lord Edwards if the merger goes through.
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.
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: