The legal needs of the financial industry are diverse and complex, requiring skilled outside counsel to navigate the intricacies of regulatory compliance, litigation, and transactions. Our most recent infographic on the subject, "Outside counsel staffing benchmarks for the financial industry", sheds light on the staffing patterns and billing practices employed by financial companies when engaging outside legal resources.
These are some key insights from the infographic, highlighting the utilization of partner and associate resources, partner representation in billing for litigated matters, and the billing patterns of top-tier law firms.
- Almost half of financial companies use partner and associate resources relatively evenly. This balanced approach to staffing demonstrates the importance of leveraging the expertise of both partners and associates to address the legal needs of financial institutions. Partners bring in-depth industry knowledge and strategic guidance, while associates provide support through research, document drafting, and other tasks. By combining the strengths of partners and associates, financial companies can optimize legal service delivery and achieve cost-effectiveness.
- While there is significant variation by matter type, partners are strongly represented in billing for most litigated matters. Litigation often involves complex legal strategies, extensive case preparation, and courtroom representation, which typically require the expertise and experience of partners. Their deep understanding of legal nuances and their ability to handle high-stakes matters make them valuable assets in navigating the complexities of litigation on behalf of financial companies.
- The highest tier Am Law firms bill financial companies for the smallest number of partner hours. This finding challenges the conventional belief that top-tier firms predominantly rely on partner-level expertise for billing purposes, indicating that these firms utilize a more efficient and streamlined approach to staffing, deploying partners strategically for maximum impact while leveraging the contributions of talented associates to handle a significant portion of the workload. This approach not only ensures high-quality legal representation but also provides financial companies with cost-effective solutions.
For a more in-depth analysis of these important takeaways, download and read our LegalVIEW® Insights volume 4, finance edition report, available on the Wolters Kluwer ELM Solutions website.
