Posts on ‘February 11th, 2009’

A noted anti-tobacco attorney jailed for conspiring to bribe a Mississippi judge pleaded guilty to mail fraud Tuesday in a second bribery scheme. Richard “Dickie” Scruggs admitted he was involved in a scheme to entice a judge to rule in his favor in an asbestos case by promising he’d be appointed to the federal bench with help from Scruggs’ brother-in-law, former U.S. Sen. Trent Lott. Scruggs, who already is serving five years in jail, was sentenced to a seven-year term that will run at the same time.

As the capital market freeze wears on, corporate lawyers’ energies have shifted from helping clients borrow money or raise cash through stock offerings to crafting complex debt-restructuring deals and calling in litigators to fight lawsuits from existing bondholders. Lawyers say many companies’ need to push bond repayment dates into the future is driving the rush to restructure. They also say that healthy companies flush with cash are jumping on opportunities to buy back debt at low interest rates.

The new administration has repeatedly stated how technology will make government more transparent and how the country’s infrastructure requires innovation. Richard Raysman and Peter Brown discuss Barack Obama’s technology-related initiatives, and the legal issues involved.

In a significant victory for white-collar prosecutors, the 9th Circuit has held that corporate executives lack standing to challenge workplace searches outside their offices unless they can show a personal connection to the place searched or material seized. The decision, which has already created a buzz among white-collar lawyers, treads into new territory by importing language from similar search cases in the 10th Circuit, but the 9th Circuit expands and clarifies the language.

Japan’s umbrella Bar group has shaken up the country’s international legal community by stating that all foreign lawyers, regardless of position, must be formally registered to practice. Most foreign law firm partners are registered as such, but the majority of associates and counsel are not. In recent years, top law school graduates with strong Japanese language skills have been highly sought by foreign firms’ Tokyo offices, but such hires would be stymied by the new requirements.

White & Case’s London office is to freeze associate pay in a bid to cut costs in response to the global recession. The pay freeze will affect all London-based associates, counsel, trainees and professional support lawyers, although support staff salaries will be reviewed, as normal, on May 1, 2009. The move comes after Freshfields Bruckhaus Deringer on Monday became the first U.K. firm to break with lockstep salary increases by freezing pay.

Omair Farooqui had always wanted to hang up his own shingle, but he had a good job as a mid-level associate at Manatt, Phelps & Phillips. Then he got laid off last June. It was the nudge he needed, and the following month, he and attorney Javed Ellahie announced their new operation. Farooqui is not alone, as several small firms seem to be sprouting up due to large firm layoffs or rising out of the ashes of large firm meltdowns. Some are finding surprising upsides to starting up small firms in a recession.

Individual coaching can enhance the performance of a law firm and its top performers. However, the cost of providing it to every attorney in a law firm is prohibitive. Peer coaching, through the creation of an internal coaching culture, is a cost-effective means of spreading the advantage of coaching from one individual to the entire organization, says consultant Susan Letterman White. She describes how a peer-to-peer coaching works, and how it differs from other types of relationships such as mentoring.

Nixon Peabody is parting ways with 20 attorneys and 36 staffers — just the latest in a long string of law firm layoffs. A firm spokeswoman offered few details about the cuts, except to say that they affect only the firm’s U.S. offices. Nixon Peabody has locations in 15 U.S cities, as well as four international offices. The spokeswoman declined to say what practice areas were hit with attorney layoffs and if the departing attorneys are all associates.