Dallas Bar Association
HEADNOTES March 2010 Volume 34 Number 3
Transition to Law Practice Program
Focus Corporate Counsel
DBF Fellows Present 2010 Award to Hon. Douglas S. Lang by Elizabeth Philipp
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The Transition to Law Practice Program, which pairs new lawyers with seasoned attorneys intended to “guide” the beginning lawyers to success, had its third annual program January 27. The event was met with great response, with 225 mentors and mentees attending. Laura Benitez-Geisler, chair of the program, introduced the night’s speakers—Hon. Douglas S. Lang and keynote speaker Cynthia Pladziewicz, J.D., Ph.D., Chief Development Officer with Thompson & Knight, LLP, who gave a presentation entitled, “Top Ten Tips to Being a Great Mentor.” The event concluded with break-out discussions. To find out more about the Transition to Law Practice Program, or to volunteer, contact Alicia Hernandez at ahernandez@dallasbar.org or (214) 220-7499.
National Counsel and Alternative Fee Agreements By Edward M. Slaughter and Christa D. Hykaway
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braham Lincoln once famously said, “A lawyer’s time is his stock in trade.” If Honest Abe had it to do over again, I suspect he would choose his words more carefully. Attorney fee structures premised exclusively on the billable hour have been under scrutiny almost since the time they were popularized in the late 1960s. Is there a compensation system that improves the delivery of legal services, the reputation of the profession and our relationships with clients? The billable hour has not always been the prevailing model. One of my partners, a trial lawyer for over 40 years, recounted for me the 1960s billing practice. He and two partners would gather in a conference room and review the correspondence file for a recently concluded case. From the letters to the client they would discern the amount and quality of work done, and assign a value. They might add a little if the result was especially good, or subtract if it was below average. Consider the history of legal fee structures. In the 1800s, state law capped legal fees by task in many places. In the 1930s, state bars published minimum fee schedules for their members. Until the middle 1960s, many lawyers provided bills for “services rendered” in one lump sum. Due to anti-trust concerns, the desire of carriers and
clients to have more detailed information about work performed, and the profession’s need to better track our work, the billable hour has almost completely replaced these fee structures. The American Bar Association “Commission on Billable Hours Report” noted both the strengths and weaknesses of the billable hour fee structure. The billable hour is simple to apply and understand, provides detailed information about work performed, and reduces the risk of price-fixing. On the other hand, it discourages attorney-client communication, early case planning and efficient use of resources. Also important, the billable hour is based on work performed rather than value obtained. As one looks for an improved method of valuing services, one should be mindful of both the strengths and weaknesses of the existing paradigm. The use of national counsel can be one method to improve the delivery of legal services while controlling costs. When managed properly, national counsel can leverage expertise, and improve attorney-client communication, early case planning, and efficient use of resources. Appropriate alternative fee structures through national counsel may result in lowering total attorneys fees for the litigation or project and reflecting the value of the service rather than continued on page 8
n Wednesday, March 31, 2010, the Fellows of the Dallas Bar Foundation (DBF) will honor Justice Douglas S. Lang, Fifth District Court of Appeals-Dallas, as the recipient of the 2010 Fellows Award at the 19th Annual Fellows Luncheon at the Pavilion at the Belo Mansion. The Fellows Award, the most prestigious honor of the DBF, is presented to a member of the Dallas Bar Association who has adhered to the highest principles and traditions of the legal profession and who is highly respected by those in the legal Hon. Douglas S. Lang profession. The DBF Fellows Committee noted the work Justice Lang has done in promoting professionalism and the mentoring of young lawyers. His work with the Transition to Law Practice program has placed the Dallas Bar Association in the national spotlight. The Dallas Bar is leading the way with the Texas State Bar’s statewide initiative as a result of Justice Lang’s leadership. “I know of no lawyer who has done more to promote the ideals and values of the profession than Justice Lang,” said Herbert Hammond of Thompson Knight LLP. “Over the course of his career as a distinguished trial lawyer, pro bono advocate, Dallas Bar President, State Bar Director and Justice of the Fifth District Court of Appeals, he has consistently exemplified the highest values of the legal profession. As a leading author and speaker on the field of professionalism and as the founder, and driving force behind the Dallas Bar Association’s Transition to Law Practice mentoring program, he passes on to the next generation of lawyers the highest standards of integrity and honesty. This program, now in its third year, serves as an inspiration to bar associations across the country. Justice Lang’s highly regarded book Deeds, Not Words-Mentors as Guiding Lights of Integrity, is studied by law students in ethics courses across the state. But ultimately, Justice Lang’s deeds are exactly the shining light of integrity of which he so eloquently writes. “ It comes as no surprise that Justice Lang feels so strongly about the importance of mentoring. He shares his own stories of having mentors in his book, Deeds, Not Words, and writes, “During my 35 years since I graduated from law school, my life has been immersed in the legal profession. Most of my friends have been lawyers. Lawyers have been my employers and partners. Most importantly, lawyers and judges have been mentors to me. For all of their guidance and mentoring, I am indebted.” Justice Lang is a native of St. Louis, Missouri. He received his undergraduate degree in Business Administration from Drake University in 1969 and earned his juris doctorate from the University of Missouri-Columbia School of Law in 1972. Immediately after graduating from law school, his practice began as a briefing attorney at the Supreme Court of Missouri. Since October 2002, Justice Lang has served on the Fifth District Court of Appeals at Dallas. Prior to that, he concentrated in the area of complex business litigation as a trial partner at Gardere Wynne Sewell L.L.P. for 24 years. Justice Lang has been active in community and bar association activities, having served as the President of the Dallas Association of Young Lawyers and the Dallas Bar Association. During his tenure as DBA President in 1991, he held the first Goals for Professionalcontinued on page 8
Inside
Financial Assistance Needed in Haiti
3 Distressed Companies Must Manage HR and Benefit Risks
Much financial assistance is needed for the victims of the earthquake in Haiti. There are many ways to give. See www.whitehouse.gov for more information or give through the Red Cross.
6 Business Organizations Code Now Applies to All Entities 7 Revised FTC Guidelines Can Hold Advertisers Responsible
To send a $10 donation through the Red Cross, text ‘Haiti’ to 90999, log on to www.redcross.org or call 1-800-REDCROSS. Thank you for your generosity.