It’s time the U.S. legal industry puts pressure on State Bars to effect re-regulation that promotes competition, sanctions law firm investment capital for technology, process, and retention of top-flight talent, and allows ‘non-lawyers’ to invest in law firms, share profits, and take them public. Australia sanctioned such re-regulation of legal guild rules nearly two decades ago. The UK followed that path about a decade later with the passage of the Legal Services Act of 2007 (LSA) and its implementation in October 2011. Other developed nations—France, Germany, and Canada, for example—are on the cusp of some form of re-regulation. The U.S. has stood pat and has thrice rejected efforts aimed at re-regulation during the new millennium. Why? [Read more…]
The Center for the Study of the Legal Profession at Georgetown University Law Center and Thomson Reuters Legal Executive Institute recently released their 2017 Report on the State of the Legal Industry. ‘The Georgetown Report,’ as it’s commonly referred to, confirms that corporate legal buyers are directing more work away from large law firms, electing to take it in-house or to legal service providers (read: alternatives sources to the traditional law firm partnership model). [Read more…]
Our democracy is in crisis. For the first time, the Economist magazine has downgraded the U.S. in its ‘Democracy Index’ from a full democracy to a flawed one, based on its assessment of the electoral process, civil liberties, the functioning of government, political participation and political culture. The demotion centered on an ‘erosion of trust in political institutions.’ [Read more…]
My doctor-let’s call him Doug- walked into his office where my wife and I were already seated. His silver hair and crisp white lab coat were straight out of a daytime soap. Doug got right to it. “Hi guys,” he began, ‘the biopsy results confirm Mark has prostate cancer. Let’s go through what that means here, analyze some key data points, and review the options. I know you have undoubtedly read up on this and have lots of questions. Please let me give you the full picture and afterwards ask anything you like. Then we can discuss my recommendations. I encourage you to get a second or third opinion and will gladly provide some names. We should agree on our course of action within the next ten days or so. I’m confident Mark will be fine.’
Many years ago at a Finley Kumble partnership meeting a friend wryly commented, ‘We’re tents in the bazaar.’ He was right; each partner operated his/her own mini-firm– setting rates, hustling business, and engaging in non-stop origination disputes. It was by no means a collegial bazaar. Decades later, the Finley Kumble version of ‘partnership’—once anathema to white shoe firms—predominates. But in addition to the ‘bazaar’ that most large law firms are, a broader competitive marketplace also exists. Law firms once dominated the legal vertical, and there was plenty of work to go around. Those days are over. In-house legal departments and legal service providers now combine for nearly half of total legal spend. The ‘tents in the bazaar’ remain, but a new digital marketplace is also emerging. It is changing the way legal services are bought and sold.
Axiom, a legal staffing-turned-technology company, recently announced a five-year deal with Johnson & Johnson (J & J) to provide multi-shore contract management services to the pharmaceutical giant. Axiom will support J&J’s global procurement contracting function, helping to standardize its vast trove of procurement agreements across a dozen contract types and 10 languages. This is not Axiom’s lone big dollar, long-term contract with a major corporation. A couple years ago, it inked an eye-popping $73 million deal with Credit Suisse to process the bank’s “master trading agreements.”