Law Firm & Life
January 30, 2024
I started my law firm in February 2017. As I approach that anniversary again, I have some reflections on the lessons I’ve learned over the past seven years.
First, some background. Early in my career, I worked at two large NYC firms (i.e. BigLaw). My experience at those firms is a story for another day, but if you want an idea what that life is like, others have a more recent tale to tell.
After leaving BigLaw, I spent more than 10 years at a litigation boutique. My colleagues were incredibly good to me over that decade, teaching me a lot about how to be an effective lawyer. They supported me when I needed to get my feet underneath me after the death of both of my parents, and then when I got married and had a baby. But I reached a point where not only had I learned everything they had to teach me, I knew that I needed and wanted something else for my next chapter. I spent about a year figuring out what I wanted to do (while still working full time) and, ultimately, decided I couldn’t see myself working for someone else anymore. Also, having worked for people who had started their own law firms, I figured it couldn’t be that hard.
To a certain extent, I was right. It wasn’t that hard. However, in some ways, I was really, really wrong. I hadn’t fully anticipated the amount of reflection and introspection required to not just build something, but to build something that works for me and my clients. I believe the lessons I learned are worth sharing because they apply not only in the context of a small law firm, but to anyone trying to develop a client base.
First, I am not for every client, and not every client is for me. This has probably been the hardest thing for me to learn and an area where I’ve repeatedly failed to take my own advice, although I keep trying. I’ve slowly learned to interview potential clients so I can decide if they’re people I want to work with and, most importantly, to say no to those I think aren’t going to align with how I work and what my firm is about.
Why does this matter so much? Working with clients who aren’t a good fit can feel like a chore. It’s a drain on my time and energy and, I suspect that no matter how hard I try, these clients are going to be disappointed with my work. It’s not a formula for success, especially considering I get about 99 percent of my business from referrals. I know there will be attorneys better suited for the people I turn down, and I do my best to help those potential clients find them.
Of course, no one can always pick and choose clients. Like everyone else, I need to make a living. But screening clients carefully is critical regardless of your field, and this holds particularly true for what I do — commercial litigation. I frequently have adversaries who think that the best way to litigate is to be incredibly unpleasant (generally, it’s not, but that’s a subject for another post), and I don’t need to deal with this and a difficult relationship with a client at the same time, especially when a part of my job is sometimes to deliver bad news to the people I represent. Of course, this isn’t to say that my relationships with clients are all sunshine and flowers and unicorns who poop rainbows. The nature of the litigation beast is that sometimes things are going to get tense. All part of the job. However, focusing on working with simpatico clients is a north star that has been incredibly helpful, and has gotten me to a place where I work more and more with people I respect and trust — and who respect and trust me.
A second key lesson I’ve learned is to make time for the uncomfortable and the unpleasant. In my experience, to run a successful business you’re going to have to do some things that are difficult or you don’t enjoy. For a long time, what I hated more than anything was marketing myself. I felt I had no idea what I was doing and I was really afraid that someone out there on the Internet was going to criticize my marketing efforts. As I look back, I realize this self-doubt was something I picked up at one of the firms I worked at previously, but that too is a story for another day.
Because of this, for the longest time I would start every day intending to write a blog post, a newsletter, or something for LinkedIn, but because I found this marketing work so uncomfortable it was all too easy to push it aside in favor of other, less unpleasant or less scary things. Then, when I blew it off I would get frustrated with myself and feel bad about not doing the work. Suffice it to say, this was a pretty awful spiral that I do not recommend.
My solution began with recognizing the pattern, then blocking out an hour in the middle of each day to devote to growing my firm (I’m writing this during this time). Do I use this hour wisely and productively every day? Of course not. But do I use it wisely and productively more often than not? Yes. This doesn’t necessarily solve the problem of feeling uncomfortable doing things to market my firm — I still am — but it does make sure I don’t avoid it.
Stay tuned for more and let me know if there are any business development topics you’d like to see me talk about. I know we can all benefit from an exchange of ideas.
March 7, 2023
Not all attorneys do the same things. One of the most significant distinctions is between litigators — attorneys who handle disputes, particularly in court or arbitration — and non-litigators.
Here are some tips for the non-litigator (or non-lawyer) to think about if you see a dispute brewing:
- Is there anything you have to do before filing litigation or arbitration? For example, if there’s a contract governing the parties relationship, does your client have to give notice of the dispute? Is there a clause requiring the parties to try to mediate their dispute before proceeding to litigation or arbitration?
- What documents are likely to be relevant to the dispute and what document retention policies are in place? If employees or consultants are using outside devices or channels (they shouldn’t be), you need to make sure that no documents or information go missing.
- Where would a case be brought? If there’s a contract, does it have anything to say about this?
- What is your clients’ internal position and what’s their external position? DO NOT communicate the internal position to the opposition! This is one of the biggest problems I encounter. In discussions with the other side, while it’s important to say enough so that they know you’re serious and understand the basis for your argument, you don’t have to tell them everything. If you’re ever in doubt as to whether to say something, the best policy is always to keep mum and listen.
- Who is speaking for the client and is the message consistent? It’s not helpful to have your lawyer saying one thing and the CEO saying something else.
- Generally speaking, what are your client’s potential claims or the potential claims against your client?
- Is there anyone else involved or who needs to be notified? Is there a third party that might have played a role? Is an insurance company involved?
- Don’t set deadlines or draw lines in the sand if you don’t mean it.
Aligning on these issues can help a client (or, for non-lawyers, your business) save time and money by either avoiding litigation altogether or ensuring that arguments are properly prepared for litigation if it happens.
January 10, 2023
Among the most frequent — and sensitive — disputes in business are those between co-founders or co-owners of a company. These conflicts come in all shapes and sizes, but some types are most prevalent. Because they can be so contentious and emotionally charged, it’s best to handle them carefully and quickly before they fester and cause irreversible damage. Here are the ones we’ve seen the most, along with a few paths parties can take to resolve disputes and prevent worst-case scenarios.
Different Perceptions, Divergent Goals
Credit and recognition can be key drivers of conflict: When junior owners of an organization feel like their recent contributions aren’t being recognized or, conversely, when senior owners feel they’re not being given their due for past efforts that grew the business into what it is today. In other conflict scenarios, a senior owner wants to keep the business on its traditional course while a junior owner is anxious to expand into new areas. Also common are situations when a senior owner is moving toward retirement, but can’t let go of his or her baby and hand over responsibility to junior owners.
Attorneys are a great resource for co-founders and co-owners for help in these situations, but there are other options business owners can turn to in addition. Mediators work with conflicting parties to lay out different means of resolving disputes while evaluating the advantages and disadvantages of each. Business coaches can suggest new methods for the owners to execute their roles, or facilitate difficult discussions around the issues at hand and identify ones that haven’t yet been addressed. Similarly, an external business consultant might be able to help balance divergent goals, discover unseen opportunities or chart a new course for a business that everyone can align on.
Expenses: Business or Personal?
Small business owners often blur the line between business and personal expenses — dining out, gym memberships, travel, etc. — and this can cause conflict when two or more partners are involved. It quickly becomes a problem when co-owners or co-founders have different ideas about what is or isn’t an appropriate use of the company credit card, or if one partner feels another is abusing it or simply deriving more benefit than him or herself.
In these cases, an accountant may be able to help explain what is considered appropriate use of corporate funds, determine how co-owners use them when the expense is questionable and install mechanisms to be sure no one is taking advantage.
Unequal Effort
One of the most common causes of dispute: when one founder or owner, rightly or wrongly, feels like another founder or owner isn’t doing his or her fair share of the work.
When one partner believes they are doing more work than the other, recognize that things shift over time and while you may be carrying more of the load today, the situation may be reversed in a few months. Time is a great leveler.
Substance Use
A leading cause of someone not pulling their weight, this becomes a serious concern when a co-founder or co-owner is unable to productively participate in the operation of the business due to their substance use.
When this is the problem, it may be most effective to first consult a doctor or other medical professional, while also considering mediation or a business coach.
Overall, if you are a co-owner or co-founder involved in a dispute with your partner(s), the key is to talk to them, listen and try not to judge. In many cases like those described above, the issues are not new: they’ve been present in the business for a while, the co-owners or co-founders have discussed them repeatedly and feel like they’ve had the same conversation over and over again without getting anywhere.
That’s frustrating, and frustration leads to resentment and, many times, anger and rash decision making. Early intervention is key to try and resolve the issues before too much resentment builds. And wherever you are in the process, sometimes taking a step back and thinking about what is really motivating the other party, or why they believe what they believe, can provide fresh insight and help break a deadlock.
November 29, 2022
Some people relish a fight. Most, however, don’t — especially when the conflict results in litigation. This is especially true for business owners because litigation costs money, takes time and attention away from running the business, and can be emotionally exhausting. If you do find yourself in litigation, what should you do? Here are 10 techniques for resolving disputes.
- Recognize that most disputes are resolved by the parties before a trial. While reliable statistics are almost impossible to come by, it’s a fact that most disputes do get resolved without a trial. Remember that and take heart: no matter how bad things seem at first or how unpleasant the process may become, the odds are overwhelmingly in favor of a pre-trial resolution.
- Acknowledge your feelings. Anger, despair, and frustration are just a few of the emotions likely to arise during a dispute. Rather than try to hide from this discomfort, recognize the feelings as they occur, talk about them with people you trust, and work to use them, or get to a place where these feelings aren’t ruling the day.
- Know yourself and the other side. When a dispute arises, spend some time thinking about what’s motivating everyone involved. Often it just comes down to money, but in many cases, there’s more lurking beneath the surface. What is really driving you? What do you think they want? Justice? Revenge? Admission of responsibility? Determine what those motives may be for both sides. It will be a huge help defining a path to resolution.
- Problem solve. Now that you’ve identified the motives underlying the dispute, spend some time thinking about possible resolutions to both the spoken and unspoken issues. Don’t just do this for yourself: imagine resolutions that would satisfy you and the other side too.
- Think about what’s really important. When imagining a resolution, identifying and ranking priorities can clarify what’s most important to you (and what’s not). This can also help you find solutions you may have overlooked.
- Envision different solutions. Make a list of potential outcomes and think about the impact each will have on your business in three months, six months and a year.
- Talk. Communication with the other party in a dispute is critical, and in today’s world of email and text nuance is often lost. What’s more, a lot of people find it easier to be a jerk by email or text than in person. Avoid this by insisting on in-person or virtual meetings where you can communicate face-to-face.
- Sometimes skilled third-parties can help you get to a resolution. Lawyers who handle a lot of disputes have seen it all before (really!) and may have fresh ideas and different perspectives that can help bring about the best possible outcome. Similarly, skilled mediators are experts at resolving disputes, often by working with the parties to identify the risks and costs of continued conflict and eventual litigation.
- A good resolution usually means everyone is unhappy. It’s a maxim you’ll hear from lawyers and you know why? Because it’s true. Compromise is generally unwelcome but it’s at the core of any dispute resolution, and compromise inevitably means that everyone has to give up something they’d rather not. But people usually find that once all is said and done, the compromise was worth it.
- Focus on the future, not the past. Try to forget what happened to cause the dispute and focus on what’s in front of you. Put aside thoughts of who is to blame. What’s past is past, and you’re not going to be able to change it. That doesn’t mean you shouldn’t fight for what’s right or the best possible outcome. Just don’t let feelings about what happened in the past prevent you from attaining a resolution in the present that you’ll realize, in the future, was a satisfactory outcome.
October 27, 2022
A lot of people strive to make decisions with cool, clear, rational minds. However, it’s really hard to avoid that most primal force: emotion. This is especially true in stressful situations — and few situations are more stressful than litigation. At times, this means that even the most rational people want an outcome that is not only just: they may also want one that provides them with a sense of victory or revenge or they just want the whole thing to go away.
This means that a big part of our role in advising people in disputes is helping them manage the emotional turmoil and stress of a dispute or litigation. We do this by, among other things, having clients identify their primary goals so they can focus on what is most important, while, perhaps, shining a light on how their emotions and fears may push them away from these goals. Doing this work at the start often helps clients position themselves to best resolve disputes to their satisfaction and can make the entire process more efficient.
We also try to help clients think through the decision-making process and recognize the emotions raised by a particular situation. This helps clients avoid rushing to a conclusion just to get the stress over with, which can have big ramifications, especially when it comes to deciding when and whether to settle.
In practice, this means that we help clients understand not just the law, but what they’re going through and what they’re feeling. In other words, a big part of our job is making sure clients don’t get in their own way. We do this by helping clients dissect their emotions and how that fuels their decision-making process. Is it fear? What exactly are you afraid of? Is it anger? Is that anger clouding your judgment, impelling you not to settle when that’s the best call? Is it the anticipation of potential relief, of just getting this all behind you as quickly as possible, that might cause you to make a rash decision? Looking into the future, how will you feel one year, two years from now if you do X? What could cause you to regret that or feel good about that? We’ll talk about what you’re experiencing, try to identify the dominant emotions and what’s causing them, and use the knowledge to make decisions that will quell fears, satisfy desires and help achieve the best resolution.
Given that most disputes settle, a key aspect of this decision-making process is also figuring out the value of settling. Are you worried that the costs of continued litigation outweighs the potentially greater financial result of not settling now? How did you make that determination? At the beginning, we approach this by assessing the case. We work backwards from the client’s goal, examine the possible rewards and costs — and, again, the emotions associated with both. Together, we establish the basis for the entire process going forward that enables us to stay firm, focused and on track.
