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Accelerate Advancement: Initiate Your Lateral Attorney Move Before Year-End for Optimal Career Opportunities

As the luminous spirit of the festive season begins to envelop the concluding chapters of the year, numerous legal professionals invariably defer their lateral career aspirations to the new year, succumbing to the pervasive notion that January heralds a more conducive environment for such transitions. “Often, attorneys believe that the beginning of a new year symbolizes a fresh start in many aspects, including career changes. However, what they may not realize is that initiating a lateral move in the final quarter of the year can actually unveil a wealth of untapped opportunities and set the stage for a prosperous transition,” notes Lateral Link Managing Director, Vered Krasna. This prevalent conviction, while widely acknowledged, may inadvertently veil the untapped benefits and strategic footholds that can be gained by embarking on lateral career navigations sooner rather than later.

Challenging the Norms: The Undervalued Merits of a Preemptive Search

“Many Attorneys unintentionally place constraints on their career trajectories by adhering to the false notion that hiring processes do not occur in Q4.  The truth is, a larger number of hires in Q1 actually get underway in Q4,” observes Zain Atassi, Principal at Lateral Link. A significant spectrum of opportunity lies veiled in the fall, providing a backdrop where competition is considerably tempered, and unique opportunities manifest within a less congested market.

  1. The Perceived Awkwardness of December Onboarding:

“An integral facet often overlooked by candidates is that the prospect of starting anew amidst the holidays is, in actuality, relatively infrequent,” comments Matt Bennett, Director at Lateral Link. While the apprehension surrounding a mid-holiday employment transition is comprehensible, it is crucial to acknowledge that positions commencing in January or even February are far from scarce, providing ample space for strategic lateral moves without holiday encumbrance.

  1. Navigating the Bonus Conundrum:

Navigating through the anxieties concerning annual bonus preservation presents its own set of complexities. Amy Savage, Chair of Lateral Link’s Government Enforcement and Regulatory Group, sheds light on this matter, stating, “Most firms, cognizant of the financial motivations and apprehensions of potential hires, will formulate pathways that either compensate any forsaken bonuses or create transition scenarios that ensure bonus retention from the present employer.”

  1. The Myth of the Year-End Interview Lull:

Countering the presumption that firms hibernate their interviewing activities as the year draws to a close, Lateral Link Director, Christine Berger, elucidates, “Every lateral move I made as an associate attorney was in October. Q4 is a crucial time for law firms. Firms use this time to (1) close open positions that support their existing business and (2) hire new associates to support anticipated business in Q1. The need to be fully staffed entering the new year allows candidates to apply to new and current opportunities.”

  1. The Energy Dilemma: The Exhaustion vs. Opportunity Dynamic:

Balancing energy conservation and seizing potential opportunities often puts candidates in a quandary. “Candidates, especially those navigating through the lateral move terrain for the first time, frequently perceive the process as more taxing than it practically is,” notes Christina Ahn, Lateral Link Senior Director. An initial dialogue with a recruiter, albeit amidst perceived lethargy, might not only reveal unforeseen opportunities but might also rekindle latent career motivations and energies.

In an era where meticulous and strategic career mapping becomes pivotal, it’s essential to critically examine the widespread practice of postponing lateral searches until the commencement of the new year. Engaging with recruitment specialists before the year folds might just unearth those bespoke opportunities, allowing legal professionals to carve a distinctive presence in a momentarily sparse candidate market.

Understanding and masterfully navigating the intersect between market demands, personal career aspirations, and strategic timing enables legal professionals to adeptly steer through the tangible and perceived boundaries of lateral career moves, ensuring their professional pathways are not inadvertently sequestered by the cyclical boundaries of the annual calendar.

Capitalize on Your Next Strategic Move with Lateral Link

Embarking on a lateral career shift need not be a solitary or perplexing journey. Lateral Link, with its formidable assembly of industry-leading legal recruiters, stands poised to render your transition not only smooth but also astutely aligned with your career objectives and market realities. Our team meticulously appreciates the intricacies and pivotal moments embedded in the legal hiring landscape, ensuring that your move is both timely and strategically advantageous.

As the holiday season approaches, we invite you to engage with a Lateral Link recruiter in your region. Allow us to be your strategic partner, unearthing and navigating through those hidden opportunities, and propelling your career forward with discernment and strategic finesse. Your next career milestone might just be a conversation away – reach out to us and let’s shape your professional journey together into and beyond the holiday season.

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Evolution of Legal Billing Practices: Navigating Competitive Pricing in Today’s Legal Landscape

The legal industry is at a crossroads, driven by AI, industry consolidation, and evolving client expectations. As we transition from 2023 into 2024, legal professionals wrestle with key pricing concerns: “Am I overcharging? Am I undercharging?” These questions were spotlighted in the recent Twitter vs. Wachtell lawsuit, revealing the intricate dynamics of legal billing practices.

Billing pressures persist in our profession. Achieving a 100% realization rate seems like a distant dream. To navigate these uncertainties, we explore the current trends in legal billing, offering insights for legal professionals grappling with fee structures. A comprehensive understanding of your billing methods can alleviate some pressures of our dynamic profession.

For decades, the hourly rate model has been the bedrock of legal pricing. It assigns monetary value to an attorney’s time and expertise. While it serves complex cases well, it often faces backlash due to cost unpredictability and potential inefficiencies.

In contrast, the flat fee model offers a transparent, predefined cost, eliminating unpredictability. Ideal for routine legal work, it can, however, fall short when dealing with complex cases with unforeseen twists.

To stay competitive, it’s crucial to understand the nuances of industry trends, competitor rates, and client expectations. Regular reassessment of your fee structure ensures you neither overcharge nor undercharge your clients. It also highlights when an overhaul of your billing strategy is due.

The future looks promising for hybrid models that integrate the strengths of both hourly and flat fee billing. These models offer a guaranteed base payment with the option for an hourly rate for additional work. The emergence of value-based billing models shifts the focus from time to perceived value, radically altering our billing perceptions.

The Twitter vs. Wachtell case underscores the importance of understanding and adapting to these evolving trends. Legal professionals must remain current with changing dynamics to ensure fair treatment for clients and appropriate compensation for their work.

Keeping a pulse on competitors’ strategies, regularly evaluating your own billing practices, and adapting as necessary will be essential as we delve into 2024. These shifts will significantly impact the operations of law firms and the value delivered to clients.

Navigating competitive billing practices in this demanding landscape can lighten our professional burdens. By ensuring we’re appropriately compensated, we can stake our claim in the fluctuating terrain of the legal industry while delivering high-quality services to our clients.

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Adapting to Market Shifts: U.S. Law Firms in Hong Kong Rethink COLA Strategy

At least three top-tier US law firms in Hong Kong are currently planning to phase out Cost Of Living Adjustment (COLA) allowances within the next two years, and others are discussing doing the same. The plan is to reduce the payment by 50% in 2024 and to zero by 2025. At least one firm has announced the change internally office-wide, while two others have apparently made the decision internally but have yet to announce to their associates and counsels in Hong Kong.

Will this work? Time will tell, but history suggests these firms are facing an uphill battle to phase out COLA in Hong Kong. This isn’t the first time firms have made moves to rein in COLA. Similar plans have been deployed during previous down cycles. The problem is that unless every firm in the market ends the practice, associates will simply move from firms that reduce COLA to peer firms that maintain it.

If the current hiring downturn lasts for an additional two full years, it is conceivable that no firm would see an advantage in maintaining COLA, while others are phasing it out over two years, and using that policy to attract lateral talent. But a downturn of that length, with both soft and hard hiring freezes going on for three total years, would be unprecedented. It is more likely that the hiring market will pick up in due course at some point in 2024, reestablishing the tight supply dynamics that led firms to offer significant COLA allowances in Hong Kong in the first place. If that happens, firms will have a strong incentive to use COLA as a recruiting tool. And the firms now planning to stop paying it may find themselves reconsidering, especially when their star associates may consider moves next year as their COLA begins to be phased out.

Around ten years ago, two top US firms in Hong Kong made plans to have a three-year tail on their COLA for their US associates, whereby COLA would only be in effect for an associate’s first three years at those firms’ Hong Kong offices. However, around seven years ago, when the scheduled end to COLA for their star associates was looming, both firms quietly continued providing COLA after the three years. One of these two firms completely abandoned the idea of the three-year tail.

Unsurprisingly, firms would rather not make substantial COLA payments, especially in the current down market. There are presently very few associate openings in Biglaw offices in Asia—a major deviation from the norm. Some firms perceive this rare hiring downturn as an opportunity to implement change.

Cost of Living Adjustments: Why Biglaw Offices in Asia Pay US Associates More Than Any Other Region

The market for US-qualified Biglaw associates in Asia has long been unique. As in other regions, Biglaw firms are looking for candidates with top academic credentials and deal experience. But in addition, they look for local language skills—most commonly, fluent Mandarin. This combination of attributes shrinks the eligible candidate pool, and under normal market conditions, competition for the relatively limited number of associates who check all the boxes is intense.

That’s why firms have for many years paid so-called Cost of Living Adjustments (COLA) to US-qualified associates working in Asian offices. Describing these payments as COLA is a misnomer, in that they bear no particular relation to cost of living (which is typically in Biglaw Asian markets roughly the same or slightly lower than in New York). Further, there are substantial tax windfalls for associates who land in tax havens such as Singapore and Hong Kong. This is true for both US taxpayers and non-US taxpayers, although the latter’s tax windfall is much larger than the former’s.

Instead, COLA is more accurately understood as simply an increase in base pay, rather than being tied to any cost of living adjustments or living expenses in general.

How much COLA do firms pay?

Before getting into the numbers, allow me to offer some context about my background. I recently joined Lateral Link, but my close association with Biglaw offices in Asia goes back nearly two decades, and over 500 attorney placements have been made in Asia, mostly at top-tier and second-tier US firms.

The table below presents the typical range of annual COLA (in US Dollars) in Hong Kong. To keep things simple, I have listed a Low, Medium, and High value, along with the number of firms paying at that level, among what we consider to be the top 20 US and UK law firms in Hong Kong. Please note that these COLA numbers are basic and do not include additional COLA allowances paid to associates who have children (a minority of firms in Hong Kong do this). Further, it is likely that by this time next year, there will only be one firm in the “High” range, with one of those firms considering lowering COLA a bit and one of those firms planning to phase out COLA. Outside of the handful of firms considering to phase out COLA, there has been no move to lower the COLA below the current low-end range ($60,000 to $95,000) in the Hong Kong market. This has been the range of COLA for the top 20 firms in Hong Kong for more than ten years.

LocationLow (11 Firms)Medium (6 Firms)High (3 Firms)
Hong Kong$60,000 – $70,000$75,000 to $85,000$90,000 to $95,000

One might assume that COLA is for Americans moving to Asia as expats. In the mid-2000s when the COLA system was more basic and the US law firm offices in Asia were very small, that was basically true. But the picture today is more nuanced, especially in Hong Kong—the most competitive market for associate hiring.

COLA is typically offered to attorneys that are in a “US team” (e.g., US Capital Markets, M&A, FCPA, etc.) usually (but not always) led by US-trained and qualified partners. Keep in mind that members of such teams are not necessarily Americans. Many associates are native to the region but are qualified as US lawyers. So a native Hong Kong citizen with an American JD (and with no obligation to pay US taxes) will earn COLA despite living in his or her home jurisdiction.

There are also numerous UK and Australian qualified associates at US firms in Hong Kong that work on US teams and get COLA, regardless of whether they are admitted in any US state.

Interestingly, a minority of US law firms in Hong Kong provide COLA to all or most of their solely Hong Kong-qualified associates. These lawyers are admitted to practice only in Hong Kong and typically grew up in Hong Kong, or at least have been living in Hong Kong their entire legal career. They work side-by-side with US-qualified colleagues who receive COLA, and their firms want to retain them. Accordingly, at these select offices, COLA has effectively transformed into increased base pay for all associates across the board.

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Hybrid Work and Generational Divide: Navigating Differences in Modern Law Firm Practices

More than three years after COVID-19 upended where and how we work, law firm offices in some ways resemble the pre-pandemic normal. Attorneys mingle freely at in-person gatherings. Face masks and hand sanitizer have receded. But one thing is still starkly different: just how many desks are unoccupied on any given day.

Return-to-office policies are not uniform

One might have predicted that Biglaw firms would potentially use their return-to-office policies as a recruiting tactic that resulted in uniform policies given the fierce competition for talent and the ensuing (and somewhat uniform) salary increases over the past few years. The competition for talent has cooled as firms have learned to deal with COVID-19, however, and firms are moving towards bringing their attorneys back into the office on at least a hybrid basis. Superficially, it may seem that Biglaw has arrived at something approaching consensus: a survey released in January found that a third of Am Law 100 firms mandate three days per week of in-office presence, with another third encouraging three days in office. But dig a little deeper, and you find a surprising lack of convergence as firms determine what works best for their needs.

For instance, O’Melveny and Myers, like its peer firms, wants attorneys to spend more time in the office. But instead of specifying a set number of days per week, O’Melveny has announced an expectation that lawyers be present in the office for more than half the time over the course of the year. This policy emerged from a series of town halls and surveys, which delivered the clear message that flexibility was important to O’Melveny attorneys.

Even among the firms with a three-day mandate or expectation, there is no consensus on who chooses the days. Some firms have designated “anchor days,” either at an office or practice group level, where the whole team is expected to go in together. Several Morgan Lewis practice groups have recently mandated attendance on Tuesdays, Wednesdays, and Thursdays, justifying the decision in part by noting that summer associates will be in the office on those days. Meanwhile, other firms allow lawyers to choose any three days.

And then there is the matter of compliance. Despite supposed “mandates,” noncompliance has been widespread at many firms, with limited attempts at enforcement. Many firms have preferred carrots to sticks, offering incentives such as free lunch to entice lawyers to come in. But some have been more pointed, making payout of annual bonuses contingent upon in-office attendance. Firms taking that stand include: Simpson Thacher, Sidley Austin, Davis Polk, Cahill, and Ropes & Gray.

The generational divide

So why are we seeing a lack of convergence regarding a model for the future of work at law firms? A key factor is generational differences, particularly among seasoned attorneys and junior attorneys.

Firm and practice group leaders entered the profession under very different circumstances from those of today’s junior associates. Two or three decades ago, the notion of a lawyer routinely working from home would have sounded strange. The early-career experiences of today’s senior partners were defined by long hours in the office, yes, but also by substantial in-person mentorship and training.

Given that background, it’s unsurprising that firm leadership is eager for associates to return, both for cultural and developmental reasons. It’s difficult to build culture when attorneys are remote, and effective training in a remote setting is challenging. When law firm leaders consider how they became partners—by creating strong ties with the partnership while they were associates—they struggle to conceive of how a fully remote associate could build comparable relationships and successfully navigate the path to partnership. 

Meanwhile, at the base of the pyramid are Gen Z associates who graduated from law school during the pandemic and began their law firm careers in a fully remote setting. Now that these junior lawyers are (largely) expected to be back in the office, they miss the flexibility. I sometimes receive questions about whether it’s possible to find a fully remote job at a firm. One current Biglaw junior associate recently asked me if he could go to a smaller firm with a lower hours expectation and work remotely. When I brought up the professional development benefits of in-person work for early-career attorneys, he responded that he was not sure if he wanted to practice law long-term, let alone become a law firm partner. He also mentioned that he put a premium on work-life balance and flexibility, which he thought remote work could help him achieve.

This candidate is hardly alone. A recent survey of Gen Z attorneys found that 60% would sacrifice compensation for a flexible work schedule and just 23% aspire to be a law firm partner. Gen Z also prioritizes work-life balance and flexibility.

Having been a judicial law clerk for over a year and a law firm associate for almost five years, I also know that the first five years of practice are critical for skills development, even if partnership is not necessarily in your future. I benefited tremendously from in-person mentorship and training, and I still value my mentorship and training even though I no longer practice law. When candidates ask about fully remote positions, I tell them that some midsize and boutique firms do not have a formal policy for days in the office. But I advise them to consider various types of firms with hybrid schedules, both to keep all their options open and to accelerate their development of transferable skills, for if and when they do leave the law firm track.

Ultimately, the generations are each going to have to give some ground in acknowledgment of the other’s reasonable perspectives. It remains to be seen how firms will treat hybrid or remote work to promote work-life balance and attract (and retain) talent. Whatever the equilibrium is, we haven’t reached it yet.

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Business Development for Women Lawyers: Strategies for Success

The current legal landscape—like the economy as a whole—is uncertain. 2022 was a moderately down year for major law firms, as compared to the industry’s remarkable 2021 boom. With firms bracing for what could be a challenging period, adopting effective approaches to business development will be more critical than ever.

This is especially true for women lawyers. Even in smoother economic climates, women confront particular challenges in business development and career advancement in the legal industry. In many practice groups, there remains a lack of female role models for successful business development. Strategies that have traditionally worked well for many male partners don’t always feel authentic and comfortable for women attorneys. More broadly, women often find that they must advocate more actively to receive origination credit and to receive fair consideration for equity partnership and for practice and office leadership positions.

For women associates and counsels, learning how successful women partners approach business development can be eye-opening. The transition to being responsible for developing business is a hard one to navigate for any lawyer. After years of focusing on the practice of law and becoming a highly competent attorney, it can be jarring to confront the reality that legal skills are no longer enough. The discomfort can be compounded for associates and counsels whose practice group leadership is heavily male. Mentorship from female leaders in the profession—including those outside your firm—is often invaluable. When it comes to developing business, there is no one-size-fits-all method for success. Exposing yourself to a diversity of styles and strategies can help you identify and pursue an approach that resonates with your personality, practice, and goals.

For women partners, the business development learning curve doesn’t stop. You have already received a vote of confidence in your ability to bring in clients, but delivering on that potential by growing a solid book of business requires targeted strategies. Business development success is key to increasing compensation, making the jump from non-equity to equity partner, or executing a successful lateral move to a more desirable firm.

On May 24, a virtual event organized by the Women Lawyers Association of Los Angeles (WLALA) Business Law Section will offer actionable advice for women lawyers interested in successful business development strategies. The program will address strategies for success for every woman lawyer: associate, counsel, junior partner, and senior partners leading groups. The moderated discussion will feature three senior legal recruiters, including Susan Agopian and Gloria Sandrino of Lateral Link.

Themes that Susan and Gloria will emphasize include the need for women lawyers to be intentional about business development and the fact that “business development” is “client development”—one client at a time. Focusing on individual clients is a must in today’s legal industry.

After decades of working closely with partners and associates at the highest levels of the profession, Susan and Gloria are well-attuned to what it takes to develop business as a lawyer. Business development planning is central to the partner lateral recruiting process, with candidates expected to present a compelling case for how they will bring clients to their new firm. So Susan and Gloria regularly discuss business development strategy in detail with successful partners—including many women—at a wide spectrum of top law firms. In addition, Gloria brings her perspective of a decade spent practicing M&A in NYC and Miami.

If you are interested in joining the conversation on May 24, please get your tickets here. Note that the session is free for WLALA members!

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Navigating the Legal Industry: In-Depth Guide for Law Students and Legal Practitioners

Embarking on a legal career can be both challenging and rewarding. This comprehensive guide delves into law school, selecting a law firm, law firm life, the lateral market, and maintaining a successful career throughout. By understanding the intricacies of each aspect, you can make more informed decisions and excel in your legal profession.

Prioritize Your Law School Grades: Strong academic performance in law school is crucial for securing prestigious summer associate positions that can lead to permanent roles. Maintaining high grades throughout law school is important, as second- and third-year grades can impact lateral moves or in-house opportunities, especially for litigators. Prospective employers will request your transcript when applying for lateral attorney positions and, in some cases, even for partner candidates.

Consider a Federal Clerkship for Litigators: Aspiring litigators should consider the value of a federal clerkship, as it can enhance your legal career, particularly if you plan to work in a litigation boutique or prestigious law firm. A clerkship can be completed before starting your legal career or as a break from law firm work. For corporate associates, a clerkship may not hold the same weight and might not count towards your years of experience.

Choose a Prestigious Law Firm: The prestige of the law firm where you begin your career plays a significant role in your ability to lateral to another firm or move to a company. While smaller firms may offer better hands-on experience and training, prospective employers often prioritize candidates with experience in prestigious firms.

Select the Right Practice Area: Choosing the right practice area involves considering factors such as your personality, lifestyle, academic background, geographic preferences, and future goals. Assess whether you enjoy the substance of the work, can handle the personalities and work culture in a specific practice area, and have the necessary educational background and aptitude.

Understand Law Firm Structures: Understanding law firm structures, such as lockstep firms and two-tier partnership tracks, is essential when making career decisions. Lockstep firms may foster cooperation and have more institutional clients, while two-tier partnership tracks can offer opportunities to prove your worth as a business-building partner.

Manage Your Professional Development: Take charge of your professional development, as law firms may not always prioritize your long-term growth. Be proactive in seeking opportunities for growth and learning within the firm and externally, such as attending workshops, conferences, and networking events.

Stay Informed in Your Field: Stay updated on the latest firm and industry news to remain competitive and knowledgeable about your field. Be aware of emerging practice areas, firm financial performance, and potential opportunities for growth or lateral moves.

Prepare for the Lateral Market: The lateral market requires you to ensure your résumé, deal sheet, and firm bio are always up to date and easy to understand. Having a clear record of your experience and accomplishments can increase your chances of being contacted by recruiters and considered for lateral opportunities.

Invest Time in Interview Preparation: Invest time in preparing for interviews, researching the firm or company, and practicing common interview questions. Maintain a positive attitude during the interview process, avoiding negativity or complaints about current or former employers. Respond promptly to interview requests to convey interest and enthusiasm.

By understanding the intricacies of law school, selecting the right law firm, and navigating the legal industry, you can make more informed decisions and thrive in your legal career. Keep these tips in mind as you progress through your journey and remember to be proactive in managing your professional development.

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Partner Group Hiring: A Common Alternative to Traditional Expansion Strategies

2022 was a difficult year for major law firms, with considerably reduced opportunity to drive profit growth as compared to 2021. It’s no surprise, then, that the more challenging environment is influencing firms’ strategies for expanding their partnerships. With reduced margin for error, firms are mindful of the risks inherent in the traditional methods of hiring individual lateral partners or of merging with another firm. According to our clients and many of the law firm leaders with whom we work closely, hiring groups of partners has emerged as a sweet-spot alternative.

Hiring partner groups is less risky than individual lateral hiring

Hiring partners in groups can mitigate many of the risks associated with traditional lateral hiring. Take cultural fit, for example. A lateral partner hire who turns out to be a poor cultural match can do real damage to the cohesion of a firm and, in the final analysis, undermines the very purpose behind their hire. A 2021 survey by ALM Intelligence and Decipher Investigative Intelligence found that 29% of firms have had a lateral partner leave due to cultural fit issues with other partners. Rather than take the risk of integrating a single new lateral partner, firms often prefer to bring on a group of partners with a proven ability to work together, expecting that the group will replicate its existing equilibrium in the new firm and, thereby, contribute as efficiently as possible to the bottom line.

Group hiring also arguably offers greater security that claimed portable books of business are real. Nearly half of respondents to the ALM/Decipher survey reported that the majority of their firm’s partner laterals underperformed in relation to their stated book of business. The survey found that more than two-thirds of law firms have had a lateral partner leave for this reason.

Group moves improve these outcomes significantly. When a group moves together, clients are more likely to move with them and there are several additional indicators that portables will be solid. These range from such soft indicators as the trust shown by associates, counsels, and service partners moving alongside their rainmaking colleagues to harder indicators available when cross-referencing the business case provided by each partner in their lateral questionnaires.

Lastly, group hiring is also more efficient, offering more bang for the buck and swifter growth than a piecemeal approach – saving both time and money.

Group hiring is more targeted—and certain—than pursuing a merger

In theory, the greatest bang for the buck expansion strategy is a merger; but although we have seen some merger activity this year among smaller firms, and some attempts among larger ones, too, the specter of failure often looms large and a firm may invest significant energy in the process, only to walk away with nothing (take, for example, the recent merger attempts between Shearman Sterling and Hogan Lovells or O’Melveny and Allen & Overy). Worse yet, failed mergers often attract unwanted attention from competing firms looking to take advantage of any resulting turmoil by siphoning off spooked talent – the opposite of growth! Group hiring is less complex than conducting merger talks and a deal is more likely to be reached. In addition, the hiring firm can be more selective about the partners it takes on. Underperformers are less likely to be admitted through a group hire than through a larger-scale merger.

Partner group hiring is ideal for secondary market expansion

As we have previously discussed, we are in the midst of accelerated Biglaw expansion into new or smaller markets across the country. Consider the options available to a firm committed to opening a new office in Miami or Austin or Salt Lake City, with no prior presence in those markets. While they may, in the past, have hired two or three individual lateral partners from local firms and transferred some of the firm’s current partners to the new office in the hope it all jells successfully, firms are now more inclined to hire a group of local partners and use that group as the anchor for the new office, to be supplemented by some internal transfers.

Mintz Levin’s entry into the Toronto market is one example. This week we learned that the firm’s new office will be anchored by a group of three partners from leading Canadian firm Torys. Mintz has also hired a Toronto-based Dentons partner who was previously at Torys.

Expansion into a new market is a high-stakes move, with considerable reputational risk. A group with existing local client relationships that already works together productively provides a strong initial platform. Firms’ desire to maximize their likelihood of success in new markets is a key driver of the partner group hiring trend.

***

If you are interested in learning more about firms’ partner hiring strategies, please contact me.

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How To Write an Effective Cover Letter

Every candidate for a lateral or in-house role should write a cover letter. This is true even if you are working with a recruiter, and the recruiter is promoting your candidacy through other channels, such as phone calls. Why? It’s crucial that you give your recruiter any and all information that may be helpful in marketing you to the prospective employer.

I don’t offer candidates a cover letter template because it’s essential that the letter not sound insincere or formulaic. The letter should be authentic and, if signed by you, in your own voice. If you use the same cover letter to apply for multiple positions, at least tweak the text for each employer and re-read each version in full before sending. It’s easy to spot a non-tailored letter—this conveys laziness and disinterest.

Crafting a great cover letter starts with preparation. You want to be clear on what the letter is trying to achieve before you write it.

  1. Read the job description. Read it line by line. I cannot stress enough the importance of tailoring your cover letter to the specific job and in particular to the required and preferred qualifications listed.
  2. Research the firm/company. You must ensure that your stated interest in that employer will resonate with the reader. Make sure you have enough context to convey convincingly that your skills will help this firm achieve its strategic goals.  
  3. Think of your cover letter as a first-round interview. What questions might you anticipate? You will want to address (if applicable):
    a. Why are you looking to make a move, and why specifically do you want to work here, with us?
    b. If applicable, why do you want to move to the new city? What personal or professional ties do you have to the new location?
    c. If applicable, why do you want to move from a firm to an in-house role, or vice versa?
  4. Above all, your cover letter must answer the question, “How are you going to add value to our firm/company?” In your cover letter and in your interviews, remember that it’s not about you. It’s about what you can do for them. A prospective employer will be turned off by candidates who only talk about how this move will advance their own personal goals.

Once you fully understand the opportunity and are clear on how you can add value, it’s time to start drafting. There are a number of common pitfalls to avoid.

  1. Be concise. It’s a letter, not an essay.
  2. Ensure that the letter is well-structured. Keep it simple: an opening sentence/paragraph, your “arguments,” and a conclusion. Your cover letter will offer substantive information, but it will also be judged as a representation of your writing and communication skills.
  3. Connect the dots. Do not assume the relevance of your experience is obvious. You may need to help the employer get from Point A to Point B to see that you do indeed have the relevant experience.
  4. Remember the old adage “Show, don’t tell.” Give concrete examples, especially for your relevant soft skills. There is nothing more annoying than reading “I have great interpersonal skills” with nothing to back up that claim. Consider:
    a. What precise skills or experiences do you have that qualify you for this job?
    b. What do you bring to the table that makes you unique?
    c. Why should we hire you instead of your competition?
  5. Be thoughtful about tone. Err on the side of formality, but avoid sounding pretentious or unrelatable. If you are applying to a start-up, perhaps a less ceremonious tone would be more appropriate?
  6. Do not simply repeat what is on your resume. You may want to highlight the most important points from your resume that match the job description, but the cover letter is primarily an opportunity to include relevant information not in your resume.
  7. Explain moves and gaps. If you have made numerous moves already, have left an employer after a short amount of time, or are currently unemployed, get ahead of the issue. No need for a complete memoir, but failing to address the matter may cause the prospective employer to suspect that you’re hiding something.
  8.  If you are applying for a lateral law firm position and your class year for promotion purposes is different from your JD year, be sure to highlight this.
  9. Proofread. Absolutely no typos!

After you’ve drafted, revised, and proofread (go do that once more, just in case!), follow best practices in sending the letter.

  1. Try to find the appropriate recipient’s name. I am always turned off by “To Whom it May Concern” letters.
  2. This tip is from my friend who is a senior executive with a large bank: make your cover letter and attached materials forwardable! Send everything in a clean email (separate from any personal chit-chat if you are sending to a personal contact) with the cover letter in the body of the email and not as a separate attachment.

A recruiter can help you decide which information is appropriate for a cover letter and which is not. Be sure to give your recruiter all the information and trust them to guide you. (If you don’t trust your recruiter, get a new one.) If you need visa sponsorship, you cannot start a new job within the next month or two, or you have any other complications to your job search, let your recruiter know upfront.

Will a good cover letter really move the needle? Realistically, it may only make a difference to a small percentage of applications. But why not give every job application your best shot?

Associate Market, Associate Tips, Featured, Market News

Back to Normal: A Reality Check on the Associate Lateral Market

If you’re an associate entering the lateral market, I have good news and bad news.  The good news?  Despite all the talk of recession, the lateral market remains open for business.  The bad news?  The days of minimal scrutiny and massive sign-on bonuses are behind us.  For associates whose conception of the lateral market was forged in the chaotic, unprecedented period from late 2020 through mid-2022, a reality check is in order.

Firms have more power now

It’s hard to overstate just how remarkably imbalanced the lateral market was in 2021.  Transactional associates with even average credentials held substantial leverage, often receiving quick offers from multiple firms, complete with sign-on bonuses of $50,000 or more.  Given that the 2021 market was a striking departure from the historical norm, it’s not surprising that the pendulum has swung back to a more typical place.

In 2023, a lateral move requires more strategy and effort.  That starts with the decision about which firms to pursue.  A good recruiter will be honest with you about the firms that are realistic options in light of your credentials.  You can help us help you by being transparent about where you’ve applied and interviewed in the past, and why you’re looking for a change.  If we understand the reasons motivating your search, we can give better advice on which firms are likely to be a match.

Traditional interviews are back

Just as offices are beginning to look more like the pre-Covid normal (at least on Tuesdays and Wednesdays!) the lateral interview process is starting to resemble 2019.

Zoom interviews are no longer the default.  You should expect a “hybrid” process.  Some interviews—especially those with partners—may still be virtual, but you should assume that a visit to the office will be required, even if you don’t live locally.

When interviewing with local firms, you should anticipate at least a half day in person.  If you’re interviewing with a group out of state, be prepared to devote at least a full day to interviews, accounting for travel time.  Try to make yourself as available as possible.  Firms must typically coordinate the schedules of several partners to accommodate your interview, so your flexibility will be appreciated.  Once the interview is confirmed, commit to showing up as promised—only a dire emergency should cause you to ask to reschedule.

Firms are more selective now than they have been in recent years, with multiple candidates typically interviewing for a single opening.  Given the increased competition, preparation is essential.  Know who you will meet, and have a plan for what you hope to achieve in the conversation.  Based on the available background information, can you anticipate any potential sources of rapport with your interviewer?  On what topics might this person have uniquely valuable insight?  Make sure you arrive with some thoughtful, well-tailored questions.

Remember to dress professionally.  In-office dress codes are looser these days than ever, but you should still wear a suit to an interview.  If you haven’t dressed formally in a while, take a moment now to confirm that you have appropriate, well-fitting attire.  And if you’re flying, make sure to pack your interview clothing in your carry-on bag.

Firms are taking their time to extend offers

Back when the market was red hot, firms were forced to make offers exceptionally quickly. Today, it’s customary to take more time.  Some firms may still move fast if there’s a pressing need to do so, but taking a week or longer to put together a written offer is not unusual.  Occasionally, firms may run conflicts checks before a formal offer is made, further delaying the process.  Be patient, but tell your recruiter if you have another offer pending, or some other good reason why an urgent decision is necessary.  Nobody wants to lose a strong candidate over timing, and we can prod firms to speed up where it’s genuinely necessary.

Once you receive an offer, there tends to be little scope for negotiation.  This is particularly true in large markets with lockstep associate salaries.  In some cases, class year may be a point of discussion: if you’re re-tooling to a different practice area, lateraling to a more sophisticated practice, or the scope of your practice is shifting, you may be asked to take a class year “haircut.”  This is standard practice and is often to your long-term benefit.  That said, if you disagree with the firm’s assessment of your level, talk to your recruiter about it.

Before 2021, sign-on bonuses were not standard practice, and today they are once again the exception.  Even so, there are circumstances where it makes sense to ask.  If you’re taking a pay cut to move from Big Law to a regional firm, walking away from your previous year’s bonus, being asked to start on an accelerated timeline, or you have multiple offers, it’s reasonable to attempt to negotiate a sign-on payment.  If you are relocating, it’s common for large firms to pay a “relocation” allowance in the form of a sign-on bonus.  In any case, it’s important to keep your expectations realistic.  You aren’t going to get a $50k+ sign-on bonus as a matter of course.  The typical current range in a large market is more like $10-25k.

Be aware of post-offer expectations

Once you have received an offer, you should inform the firm of your decision as soon as you’ve made it, ideally within a few days.  If a quick decision isn’t feasible (for example, because you’re juggling other interviews or offers), be transparent with your recruiter to enable us to manage the firm’s expectations.  Note that conflicts and background checks can take as long as a few weeks, so it’s best to get that process started as soon as possible.

Upon clearing conflicts and giving notice, it’s standard to start within 2-4 weeks.  If your circumstances require a longer gap, state your request clearly, but be aware that asking for more than a month is generally frowned upon.  Wrapping up a trial you’ve been staffed on or taking a pre-planned vacation are good reasons for requesting a delayed start.

Don’t get discouraged

All of us wish that the post-Covid lateral bonanza could have continued indefinitely.  But that was never going to happen.  Instead of lamenting the reversion to more normal conditions, focus on the positive.  If you commit to a lateral search and approach it correctly, you still have every chance of landing at a firm that will be a better fit.  In the end, that’s what matters most.

Associate Tips, Director, Featured, Tips

Questions to Ask Your Interviewer in a Lateral Interview

Are you a law firm associate preparing for lateral interviews?  If there’s one thing I can guarantee, it’s that your interviewer will ask at some point: “Do you have any questions for me?”  This article will help ensure you don’t meet that invitation with an awkward silence.

Asking thoughtful questions has two benefits.  First, you score points with the interviewer by demonstrating your genuine interest in the firm.  Second, you can elicit useful information to help determine whether the firm is the right fit: don’t forget that you are interviewing the firm, just as the firm is interviewing you.

Asking questions helps create a genuine dialogue

Before delving into what constitutes a good question, it’s worth pausing to talk about the overall interview dynamic.  The most successful interviews are dialogues, not depositions.  Your goal is to establish a natural back-and-forth, with both parties eliciting and conveying information, building on each other’s points.  Don’t feel you need the interviewer’s permission to ask a question.  Instead, play your part in making the interview a genuine conversation.  

Naturally, you want to leave space for the interviewer to ask most of the questions in the first part of the interview.  But there’s no reason to hold all your queries until the end, especially if you have a question that follows directly from something the interviewer has just said.  The more seamlessly you weave in questions throughout the interview, the more likely your interviewer will leave with the impression that it was a great conversation and that spending more time with you would be enjoyable.

Formulating intelligent questions

Whoever said there’s no such thing as a stupid question must not have been talking about law firm interviews.  Taking the time to learn about the firm and formulate some informed, targeted questions is an important part of preparing for your interview.

Speaking generally, good questions tend to invite the interviewer to elaborate on their perspective about a topic that arises in the interview or to share insights from their personal experience.  These questions help build rapport.  Conversely, asking questions that seem overly formulaic or divorced from the interview conversation will tend to damage rapport: you risk giving the impression that either you weren’t listening closely or you weren’t interested in what the interviewer had to say.  Whatever you do, don’t ask for information that is readily available on the firm’s website!

Law firms and in-house legal departments want to hire lawyers who are genuinely excited to join their team.  Asking specific, informed questions that show you’ve diligently researched your interview panel and the firm will demonstrate real interest.  Questions that suggest an appetite to stay for the long haul are especially favored.  Asking about topics like performance reviews, feedback, mentoring, training, and business development signals to the interviewer your interest in building a career at the firm.

Keep in mind that most people — and especially attorneys — love to talk about themselves.  So be sure to ask questions about your interviewer’s practice.  In particular, this is an opportunity to communicate your interest in the firm by asking about information you’re able to find from the interviewer’s web bio, firm website, LinkedIn page, or even public records such as PACER for a litigator or Pitchbook for transactional lawyers.  For instance, if you’re interviewing with a litigation partner, check out the representative matters section of the partner’s web bio and ask about a recent case or investigation they handled.  If the interviewer is ranked in Chambers or Legal 500, mention that you saw the write-up and ask about a deal referenced there.

A particularly savvy form of question, when executed well, is one that both highlights something you bring to the table and confirms that that attribute or experience will be valued at the interviewer’s firm.  This could be a skill, an achievement, or an aspect of your personality.  You can both ask an intelligent question and simultaneously steer the conversation toward a point you wish to make about your interests or qualifications.  An example: “I’ve been fortunate to have the opportunity to take a handful of fact witness depositions at my current firm, which I really enjoyed.  Would the team consider giving me the opportunity to handle more senior tasks if I prove I’m ready for them?”

Remember that your time is limited, so you want to be strategic about how you allocate questions across interviewers.  For example, partners will likely be better equipped to answer questions about the matters and clients you will be staffed on and the firm’s growth trajectory, while associates will be better equipped to answer questions about the firm culture, training, mentoring, and reviews.

What to ask

Below is a non-exhaustive list of sample questions to use as a starting point.  In addition, you should feel free to ask the hiring partner (or the recruiting coordinator) about the next step in the interview process and when the firm anticipates deciding who will advance to the next stage.

Role, Team, and Nature of the Work

  • Is this a growth position or are you replacing someone? 
  • What are your (or the team’s) biggest staffing needs right now?
  • What are you looking for in this role?  For example, what qualities do you think make for a successful mid-level corporate associate at this firm (or on this team)?
  • Will I be working primarily with a particular partner or team?
    • If not, how are associates staffed on matters?
    • If yes, who makes up the team?  Are there particular clients/matters/cases/deals that I will be working on immediately?  Over the next year?

Firm Culture, Clients, and Growth Plans

  • How would you describe the firm’s culture generally and the culture in this practice group?
    • [If interviewing outside of the firm’s main office] Do you think the culture in this office aligns with the culture firmwide?
  • Who are the firm’s biggest clients?
    • Does the firm have institutional clients in [your practice area]?  Or is developing business from new clients emphasized?  
    • How does the firm support and encourage cross-selling within the firm?
  • What can you tell me about the firm’s future plans?  Are there plans to grow, and if so, how do you think the firm will look in the next 5 or 10 years?  Any specific growth plans you can share relating to our practice area?
    • If the firm has recently merged, acquired a firm, or expanded into a new market, work that into your question.  For example, you could say, “I read that the firm recently opened offices in Texas and Miami.  Does the firm have plans to continue expanding in the Southeast?”

Integration, Training, Mentoring, Evaluations, and Promotions

  • How does the firm handle integration of lateral associate hires, both here in this office and firmwide?  Is there a formal integration program or is it more informal?  
  • Do you have any recent lateral hiring success stories you can share?
  • [If the interviewer lateraled to the firm] How was your experience as a lateral hire?
    • How did the firm support your integration?  
    • Were there formal events or was it more informal? 
  • [Ask about success stories for other lateral hires, such as lateral hires who have made partner at the firm.  If you’ll be working with a particular team, consider asking if any lateral hires have made partner from that team or in that practice area.  However, if you get the sense that your interviewer isn’t prepared to answer these questions, don’t put them on the spot.  You can always ask to speak to successful lateral associate hires after you’ve received an offer and are evaluating it.]
  • What training opportunities are available for associates in my practice area?  Is there a formal training program or is it more informal?  Does the firm offer access to outside training resources, such as litigation skills courses offered by the National Institute for Trial Advocacy (NITA)? 
  • How does the group/office/firm handle mentoring (formal and informal)?
  • Does the firm do formal evaluations on an annual or semi-annual basis?  Will I receive more immediate feedback on my work product in between?
  • What is the typical path to partner for a lateral hire?
    • Are there objective criteria/benchmarks that I’ll be expected to achieve to make partner? 
    • [If you are a senior associate] When will I first be eligible for partnership consideration?