Law firm

From CEOpedia | Management online

Law firm is a company which employs lawyers and offers services related to law. The company can also employ other specialists, e.g. litigation secretaries, data specialists, case file managers, etc.

The most common legal services provided by law firms are related to:

  • general data protection regulation consultancy - helping companies to avoid managing data of its clients in inadequate way, what may results massive financial penalties,
  • real estate law - reviewing purchase and sale agreements, guidance in ownership issues and inheritance cases,
  • entrepreneur advisory - advisory in establishment a business, choosing a suitable organizational form or settlement properly agreements with suppliers and customers,
  • mergers and acquisitions - advisory in transaction like consolidations, transferring, changing ownership or structure different organizations,
  • litigation - representing a client in a judgment, preparing agreements between opposing parties, defends a client's legal rights, mediations,
  • restructuring and bankruptcy - advisory in restructuring of a company, proper conduct of bankruptcy process,
  • finance and banking - helping clients with finance agreements like loan agreement, borrow agreement or leasing agreement, obtaining accordance with financial institution requirements
  • public procurement - providing advisory in preparing procurement documents and forms according with legal policies and procedures of local and international law,
  • intellectual property - advisory in cases infringement, protection and benefit of copyright to intellectual property.

Generally, the primary objective of the law firm is (or should be) to advise clients about their legal rights and responsibilities and represent them in court or business transactions.

Organizational structure of law firms

According to S. S. Samuelson book, the most typical organizational form for law companies is partnership. Cooperating partners in this structure are managing and sharing all profits and debts in enterprise. (S. S. Samuelson, 1990, p. 650-651) Partners liability can be limited by agreement between them. On a top of structure chart is Chief Executive Officer responsible for company strategy, planning and performance results. Lower in hierarchy are non-partners employees - associates, working in a team's on a different cases. They are managing by Department and Industry Managers responsible for fulfilling project goals and their subordinates performance (S. S. Samuelson, 1990, p. 667-668)

The most prestigious law firms

Lawyer is respectable profession, which is associating with prestige, high earnings and luxury life. According to Karsten Strauss article in Forbes magazine, the most desirables US employers in 2017 was:

  1. Cravath, Swaine & Moore
  2. Wachtell, Lipton, Rosen & Katz
  3. Skadden, Arps, Slate, Meagher & Flom
  4. Sullivan & Cromwell
  5. Davis Polk & Wardwell
  6. Simpson Thacher & Bartlett
  7. Latham& Watkins
  8. Kirkland & Ellis
  9. Gibson, Dunn & Crutcher
  10. Weil, Gotshal & Manges.

(Strauss K. 2017)

Earnings in law firms

By information given by Robert Half, median salary of United States in lawyer profession is beginning from 68 $000 for First-Year Associate employed in law firm. Lawyer with 2-3 years’ experience could earn 88 $500 and 101 $500 with 4-9 years’ experience. In-House Counsels employed in law corporation could count on higher earnings: 90 $000 for lawyers with maximum 3 years’ experience and 109 $000 with experience between 4 and 9 years. Associate General Counsel can earn 138 $000 and 167 $000 is typical wage for General Counsel (R. Half 2017, p. 14)

Educational path to become a law firm employee

A person who want to be a lawyer in United States have to complete a bachelor's degree program and pass Law School Admission Test. The next step is complete Law school supported by American Bar Association and earn at least Juris Doctor degree. The last step is pass writing, bar examination, which lasts two days. During the exam, student have to proof their knowledge, competence and skill before state bar of examiners. After fulfil this minimal requirements candidate have to launch their professional career as associate in law office.

Examples of Law firm

  • A&L Goodbody: A&L Goodbody is one of the biggest and most experienced law firms in Ireland. It offers a range of legal services in business law, corporate law, banking and finance, insurance and dispute resolution. The company is also a leader in technology law, and has an extensive network of international offices.
  • WilmerHale: WilmerHale is a full-service international law firm with more than 1,000 lawyers across 18 offices in the United States, Europe, Asia and the Middle East. It provides litigation, employment, intellectual property, technology, corporate, finance and tax services to companies and organizations around the world.
  • Baker & McKenzie: Baker & McKenzie is one of the world's largest international law firms, with over 4,500 lawyers in 77 offices across 47 countries. The firm provides a full range of services in areas such as corporate, banking, and tax law, as well as dispute resolution, environmental law and government affairs.

Limitations of Law firm

Law firms are limited in the services they can provide due to their regulatory environment and the scope of practice of their lawyers. The following are some of the limitations of a law firm:

  • Regulatory Limitations: Depending on the jurisdiction, law firms may be subject to strict regulations that limit their range of services. These regulations can vary from state to state, and even between countries.
  • Scope of Practice Limitations: Most lawyers are limited to practicing in certain areas of law, such as criminal law or family law. This means that a law firm may be unable to provide legal services in an area outside of the scope of practice of its lawyers.
  • Financial Limitations: Law firms may be limited by the amount of money they have to invest in resources such as technology, personnel, and training. This can limit the services they are able to provide and the scope of the cases they are able to handle.
  • Time Limitations: Like any other business, law firms are limited by the amount of time they have available to take on new cases and provide legal services. This can be especially true for busy law firms that have a large caseload.
  • Geographical Limitations: Depending on the jurisdiction, law firms may be limited in the geographical area in which they can provide services. This can be especially true for firms that specialize in a particular area of law, such as international law or bankruptcy law.

Other approaches related to Law firm

A law firm is a business entity formed by one or more lawyers to engage in the practice of law. The primary service provided by a law firm is to advise clients (individuals or corporations) about their legal rights and responsibilities, and to represent clients in civil or criminal cases, business transactions, and other matters in which legal advice and other assistance are sought. In addition to providing legal services, a law firm may also provide other services such as lobbying, public policy analysis, business litigation, tax advice, and intellectual property protection. Here are some other approaches related to a law firm:

  • Alternative Fee Arrangements: A law firm may offer alternative fee arrangements, such as flat fees, hourly rates, or contingency fees, to clients, depending on the case.
  • Practice Areas: Law firms often specialize in certain practice areas, such as corporate law, family law, criminal law, or environmental law.
  • Client Representation: Law firms may represent clients in court proceedings, negotiations, settlements, and other legal matters.
  • Business Development: Law firms may also provide business development services, such as marketing and public relations, to help attract and retain clients.

In summary, a law firm is a business entity formed by one or more lawyers to engage in the practice of law, and may offer services such as legal advice, litigation, alternative fee arrangements, specializing in certain practice areas, client representation, and business development.


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References

Author: Artur Kopera

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