Corporations and Law Firms: The Existing Market Gap
Until now, corporations lacked a reliable source for a top-quality, hands-on litigator when they need one
- While corporations would prefer to cost-effectively handle certain matters in house – particularly since the onset of the U.S. recession in December 2007 – they often cannot because they lack either
- permanent in-house capacity or
- a top-quality, cost-effective outside resource to step in
- Law firm “secundment” to clients is very expensive, if available
- Temporary staffing agencies offer inexperienced attorneys with no in-house experience for low-end, high-volume work
- Reliance on outside counsel to meet the internal gap in service is increasingly less cost-effective
The structure of law firms does not allow cost-effective, flexible management of litigation ebbs and flows
- Litigation and bankruptcy peaks often reveal a dearth of experienced, trial-ready, hands-on, senior attorneys creates a “talent gap”
- Temporary staffing agencies provide inexperienced “document review” attorneys, unlicensed JD’s and paralegals for high-volume document reviews
- Recruitment of experienced, permanent legal talent to staff active matters is costly, time-consuming, and risky:
- Excessive fees and employment costs
- Quality risks: Unknown level of professional development and quality of practice
- A permanent hire also creates a risk of low utilization during slow periods