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10 Things To Know About Working As An Attorney Overseas

Do you have what it takes to secure one of these coveted positions?

By Lawrence Hsieh  
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Ed. note: Welcome to the latest installment of Better Know A Practice Area, a series introducing readers to different practice areas. Each post is written by an editor at Practical Law who previously practiced in that area and currently writes about it. Prior columns have covered capital markets and corporate governance, securities litigation and enforcement, patent litigation, executive compensation, commercial transactions, labor and employment, real estate, startup law, bankruptcy, antitrust, being an in-house generalist, employee benefits law, entertainment law, and tax.

Today’s topic: working overseas.

  1. What do you do in a typical day?

What an attorney working overseas does in a typical day depends on the practice area. It also depends on local regulations governing the practice of law, which vary from jurisdiction to jurisdiction. Many of our major trading partners allow experienced American attorneys to practice U.S. law or work under the supervision of a local attorney.

The work will also vary depending on the setting. The most common scenarios include working in an overseas office of a U.S. law firm or as a local hire in a foreign law firm. But American attorneys can also work in-house for the local subsidiary of a U.S. multinational company, or directly for a foreign multinational company.

Common denominators, however, are that most practices are transactional and the deals typically have an international component. One example is a strategic alliance or joint venture between an American company and its foreign counterpart to develop and commercialize the specified technology. Other examples include a cross-border business combination or the simultaneous issuance of securities in multiple jurisdictions.

Many of these transactions could be serviced by a U.S. law firm working with unaffiliated local counsel. But U.S. law firms with substantial international business have determined that it makes sense to service these deals with American (and their own foreign) attorneys located in both the U.S. and the foreign jurisdiction. Local law firms with substantial international work also hire American attorneys to help them in cross-border transactions.

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Overseas-based attorneys may also coordinate with local attorneys to provide guidance to U.S. companies on compliance with local regulations in their day-to-day operations. They also provide guidance to foreign companies on compliance with U.S. regulations, which run the gamut from data privacy to proprietary trading.

  1. Who do you work with?

In most situations, attorneys working overseas interact with their colleagues as they would in a U.S.-based setting. The nature of the contact with foreign clients depends on a variety of factors, including corporate culture and language barriers. Local regulations regarding the practice of law may also impact the nature of client contact.

  1. What does a common career path look like?

High-quality transactional experience and excellent academic credentials are prerequisites to overseas job postings, which are highly coveted. U.S. law firms tend to second their own experienced associates to overseas posts. The best way to secure an overseas assignment with either a U.S. or foreign law firm is to first do great transactional work at a large law firm in the U.S.

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If all goes well, seconded attorneys typically return to work at the firm in the U.S., where they will continue to work on international transactions. Others get jobs as in-house counsel at multinational companies either in the U.S. or overseas. Some of these companies might be clients of the firm that the attorney served while posted overseas.

American attorneys working as local hires in foreign law firms frequently have fixed-term contracts of two or so years. They can try to extend their terms, but should think about their next move well before the expiration of their contracts.

Attorneys looking to return to a new firm or company in the U.S. should emphasize the quality and quantity of the deals that they worked on while overseas. This may help to overcome any bias among U.S. hiring managers who might perceive overseas experience as quirky and unsophisticated.

  1. If variety is the spice of life, how spicy is this practice area?

Attorneys based overseas are likely to encounter a variety of legal issues, as well as a regulatory environment and business practices that are unique to the jurisdiction or the region, which makes practicing overseas interesting. Outside of work, chances are they will live in or near a world-class city with many opportunities to explore and sightsee, attend cultural events and try new foods.

  1. How much wear and tear?

Deal flow varies like it does in U.S.-based transactional practice, so there will be extremely busy times followed by not-so-busy times. Time zone differences and business cultural norms may create pressure to stay at the office even if one is not busy.

Non-practice factors like homesickness, an unfamiliar culture and language barriers may add stress, which increases wear and tear. Married couples might feel stressed, especially if one spouse wants to be there more than the other, or if the other spouse cannot work due to visa restrictions or an ill-fitting job market, or cannot join the expat because of work or family commitments at home.

  1. Of the people in this practice group who hate it, what exactly do they hate about it?

A common complaint is burnout from a workflow that can be difficult to predict, but this is also true for transactional attorneys based in the U.S. Another common complaint is that overseas practice may not live up to expectations, especially after the initial excitement of working overseas wears out.

Another problem may be more prevalent in foreign law firms than in overseas offices of U.S. law firms. An American attorney expecting to work on substantive legal matters may end up spending a disproportionate amount of time correcting the English in locally produced documents. If the governing law of the document is local law, this makes it difficult for the American attorney to provide legal guidance.

Foreign language ability is not always a prerequisite, but if it is, it almost always means native or near-native speaking and writing ability. If it is not a prerequisite, an attorney with foreign language ability may be frustrated by the lack of opportunity to use those skills in a business setting.

  1. Of the people in this practice group who love it, what exactly do they love about it?

It’s a great opportunity to gain international legal experience, become acclimated to global business practices, and build a global network of contacts. If the firm has good deal flow, the attorney should have little difficulty translating substantive legal skills acquired overseas to a law firm or in-house position back in the U.S.

  1. Are there common avenues out of this practice area?

Most Americans working overseas return to U.S.-based practice, either in the same firm or company, or with a new firm or company.

  1. What are some market trends that impact this practice area?

International transactional deal flow depends on a variety of legal factors. For example, international tax law can drive companies to engage in transactions to shift income-producing assets like intellectual property to low-tax jurisdictions. Deal flow can also be directed to specific jurisdictions based on business-friendly corporate governance, merger control, and labor and employment laws, among others. Deal flow is also impacted by interest rates, and volatility in the financial markets, including currency markets. Another factor is the international political climate, which if uncertain, can stifle transactions that may otherwise make business sense.

  1. If you had to recommend one candidate from a room crowded with recent bar exam graduates, what specific qualities would he or she have that would ensure success in this practice area?

A good candidate would have a few years of transactional legal experience at a large law firm or in-house legal department. The candidate should be curious, flexible and non-judgmental. Being bilingual helps, but in many cases is not necessary.

Candidates should conduct thorough due diligence before agreeing to work overseas. For example, Americans working abroad are subject to special federal tax filing requirements, including the requirement to annually notify the IRS of any foreign bank or other financial accounts.

Lawrence Hsieh is a senior legal editor with Practical Law, where he focuses on commercial transactions and writes periodic legal commentary for Reuters. Previously, he was in-house counsel at Nissho Iwai American Corporation, and a corporate associate at Shea & Gould and Ober, Kaler, Grimes & Shriver (now Baker Donelson). Lawrence also worked in Tokyo as a foreign associate at Komatsu & Koma, and spent a summer at Nagashima & Ohno.

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