Jill Schachner Chanen, in an excellent article in the July 2005 of the ABA Journal, states that clients are sick of "profit-minded, specialty-touting multinational megalaw firms. Given the high salaries firms pay lawyers, clients can no longer hire advisers who have nothing to offer besides basic legal training."
Enter, the "strategic business lawyer" who:
Makes Deals Go, rather than simply Saying No;
Is Integrated, not Isolated;.
Offers practical advice, not "ivory tower" observations;
Is a Deal Saver, not a Deal Killer;
Engages in Strategic Questioning, Not Naysaying;
Understands Risk, and is not frightened by it;
Earns trust, rather than demanding respect;
Devises creative solutions, rather than acting like a technician;
Anticipates problems instead of just reacting to them.
As noted in this summary of Ms. Chanen's article by Larry Bodine, clients want a strategic lawyer who:
"Knows how to approach a problem in light of the company's overall business strategy.
Helps the client accomplish its business goals.
Is one part cosigliere, one part Sun-Tzu warrior and one part Yoda.
Shows clients how the law helps them gain a competitive position.
Are business-centric, not law-centric.
May say "no" to a client, but will have another suggestion to meet the business objective.
Understands the client's business, how it operates, how it makes money, who its competitors are, what its key relationships are and what its goals for growth are.
Understands how much risk the business accepts.
Won't suggest filing suit if it would jeopardize an important business relationship.
Advises clients how to set up new systems for oversight so that it can prevent litigation in the first place."
Good article. While it has high aspirations for us lawyers in the trenches, it ignores many realities of the practice of law, particularly litigation work, where the client often wants a "no holds barred" litigator to take the case from point A to point B. This is particularly true of many larger companies or companies that are often targets of litigation. There is usually team of well-educated and litigation savvy in-house folks who are hiring you to address a particular problem, a particular lawsuit, and would be quite offended to be getting business advice from their "hired gun." The paradigm suggested in the article would have more applicability to smaller (or mid-size) businesses that do not have the full complement of in-house expertise, but only those that have the resources to hire the strategic lawyer. Plus, in my experience, small business owners (even the succesful ones) usually wait until they have a problem before they go to a lawyer because they perceive using the lawyer at the inception of whatever deal they've created as not cost effective. Perhaps we need to do a better job of educating the client about the strategic services we can offer. But then, again, they need to use us. You can lead a horse to water, .....
Comment By: Joe Martin | 1/22/06 at 12:00 AM The Strategic Business LawyerThanks for your comments, Joe. I agree that often you are engaged to be a hired gun. I would imagine, however, even in such situations, opportunities exist for creativity and proactivity that are often overlooked by attorneys. In chicken and egg style, lawyers embrace the image of being a hired gun in response to what they perceive the client wants or needs and the client determines that what the client needs is a hired gun based on the client's perception of what lawyers bring to the table. I also agree that the people who run businesses do not contact their attorneys early enough. For small businesses, this is often due to a perception (created I believe by the use of billable hour billing) that contacting an attorney costs money and is to be avoided except as a last resort. For larger businesses, unfortunately, the attorneys are often perceived as deal-killing naysayers. Neither situation is optimal. That is why the concept of strategic lawyering is appealing.
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