tag:blogger.com,1999:blog-91389371427410135122024-03-08T11:00:53.272-06:00David E. CalkinsDavid E. Calkins
Attorney at Law, Business Counselor,
Collaborative Law Practitioner, Mediator
decalkins@sbcglobal.net
www.davecalkins.com
www.linkedin.com/in/davecalkins
214-395-1239
It may be legal, but is it right?David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.comBlogger16125tag:blogger.com,1999:blog-9138937142741013512.post-75769385722380322372013-07-18T18:51:00.002-05:002013-07-18T18:55:49.294-05:00What does it cost a business to have its contracts reviewed, redlined, and negotiated?<div class="MsoNormal">
An “average” sale, purchase, rental, or lease contract takes
about an hour or two to thoroughly read and spot issues; a one pager takes less
and a multi-document takes more. Once
the attorney is familiar with the subject matter and intent of the parties, the
redlining begins. If the original
document was drafted from a one-sided perspective where all of the risk is
shifted from the offering party, the edits will be significant. If the document is generally balanced (where it
is a matter of watching out for the occasional slips into greed and selfishness)
only a few edits may be necessary. <o:p></o:p></div>
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Attorneys are taught to “zealously represent their clients.”
To most, this means attempting to shift <b><u>all</u></b> the risk, and “while I’m at
it, why not slip a few things past the other side.” The typical response is to take a position at
the other extreme with a goal of meeting in the middle. The redlining process attempts to tip the
scales and to find all the “gotchas”.<o:p></o:p></div>
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<br /></div>
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A seasoned, business-oriented attorney will recognize that
client representation means <b><u>doing
business</u></b>, not negotiating, disputing, and litigating. He will represent your interests, rather than
your position, and offer a balanced agreement to begin with. In most cases, the other side quickly agrees
to consummate the deal because it is such a welcome relief from the many
terrible contracts being pushed on businesses.
As an attorney representing the receiving party, a balanced response to
a one-sided offer is usually met with the same welcome relief.<o:p></o:p></div>
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Given the range of balance or lack thereof in the offered
document, redlining (marking words for deletion and inserting new language) may
take two to three hours. <o:p></o:p></div>
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<br /></div>
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After the review and redlining, all that information must be
communicated to the client so he knows where he stands. The client needs to make business decisions
on which risks to accept and which provisions to negotiate. (Notice that we are not talking about
rejecting the offer. The business folks want
to do business and it is the attorney’s job to facilitate the transaction.) Communications may take another hour or so
depending upon how much detail the client needs.<o:p></o:p></div>
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In some cases I have personally read, redlined, and
responded to clients in an hour, but the average business contract seems to
take about three to four hours for a complete review. Add in a review of negotiated terms, and the
average attorney time may be five or six hours from start to finish.<o:p></o:p></div>
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<br /></div>
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Again, it all depends on the document and the parties. The time invested by the attorney in the
review and editing can vary significantly.<o:p></o:p></div>
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Why go through all that?
Why pay an attorney to read your contracts? Because, it is much less expensive to avoid
problems than it is to fix them. You
say, “But this is going to cost me a small fortune!” Not if you have a working relationship with
your attorney. An experienced business
attorney in solo practice in Dallas, TX typically charges $300 to $350 per
hour. However, if he can depend on you
for repeat business, he will likely discount the fee by as much as fifty
percent. Give him the equivalent
business of full time in-house work and you can probably hire him for a third
of his normal hourly fee.<o:p></o:p></div>
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Bottom line on what it costs? As any good attorney will tell you, “It
depends.” It depends on all the
facts. The fees will vary. If you want a fixed fee for a contract review
you can hire in-house counsel to conduct all of your reviews for a salary. If you insist on a flat fee for a single
contract review, expect to get canned templates and be content with marginal advice.<o:p></o:p></div>
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Was the original question answered to your complete
satisfaction? Probably not, but at least
you now have a few reference points from a business oriented attorney with more
than thirty years of experience.<o:p></o:p></div>
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<br /></div>
<div class="MsoNormal">
<a href="http://davecalkins.com/legal_or_right.html" style="background-color: #f7f0e9; color: #4386ce; font-family: Helvetica, Arial, Verdana, 'Trebuchet MS', sans-serif; font-size: 13px; font-weight: bold;">It may be legal, but is it right?</a></div>
David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-27635597124749034472012-12-18T15:38:00.000-06:002012-12-18T15:38:00.305-06:00Why hire an attorney who has a business background?<!--[if gte mso 9]><xml>
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<div class="MsoNormal">
<span style="font-family: "Calibri","sans-serif"; font-size: 11pt;">If you run a business, you want your entire team aligned behind
your efforts.<span> </span>Obviously, the Sales and
Marketing personnel are interested in revenue and number of units sold, but
does your support staff understand the sales process as well as fixed,
variable, short term, and long term costs?<span>
</span></span></div>
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<br /></div>
<div class="MsoNormal">
<span style="font-family: "Calibri","sans-serif"; font-size: 11pt;">Your legal counsel should be as interested in business as you
are.<span> </span>Counsel with a background in
business can relate to your problems and offer solutions that make sense in
your environment.<span> </span>The legal experience
provides the boundaries while the business experience provides the innovation
and practical understanding.<span> </span>In-house
attorneys handling transactions need to be even-keeled, patient, detail-oriented
individuals who can catch potential problems to save your business from
disaster.<span> </span>To do that, your counsel needs
the breadth of knowledge from years of exposure outside of law schools, law
firms, and legal departments.<span> </span>To be a
true team member, the individual you hire for this role should be comfortable
interacting with all levels within the company and should be a potential
resource to be tapped should a need occur on the business side.</span></div>
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<div class="MsoNormal">
<span style="font-family: "Calibri","sans-serif"; font-size: 11pt;">If your legal counsel cannot relate to the truck drivers, the work
crews, the sales reps, the office staff, the accounting team, the executives,
and the board members, you may wish to consider a change.<span> </span>Consider bringing in a well-rounded
individual to represent your interests.</span></div>
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<br /></div>
<div class="MsoNormal">
<a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a><span style="font-family: "Calibri","sans-serif"; font-size: 11pt;"> </span></div>
David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-42028312543935053342010-07-23T09:37:00.003-05:002013-07-18T18:57:14.573-05:00Some thoughts on legal feesIt is no surprise that few potential clients with prior experience hiring legal assistance ask about the cost to address their current legal problem. Most understand the complexities involved or they trust the professional. After all, we don’t ask a doctor how much it will cost to address our physical problems, or how much the plumber will charge to fix a leak under the house. Often, it is difficult to provide an exact answer because we don’t have all the facts – and we can’t know the facts until we spend time working on the problem. However, once the problem is reduced to actual tasks, it becomes much easier. For example, a doctor can tell you how much a splint costs even though he can’t tell you which splint he might use until he performs the examination. A plumber can tell you how much a section of copper pipe costs but he can’t tell you how much pipe he will use or how much digging he will have to do until he makes his examination. Likewise, an attorney can provide the prices for mailing, paralegal support, and copying but he won’t be able to tell you how much it will cost to review a contract, much less rewrite it or negotiate it, until he has had time to review it.<br />
<br />
Any attorney can quote an hourly rate, but beyond that, the total is unknown at the beginning of the project. (A large law firm may be able to provide a corporate client with a flat rate using cost averaging over many transactions, but a small business using legal counsel on a less than full time basis doesn’t have the wherewithal to support an attorney on a flat fee basis.) As with the doctor or the plumber, an examination is necessary.<br />
<br />
Beyond the hourly rate, the client must consider the experience and wisdom of the attorney. Typically, more experienced attorneys have higher rates (within reason) but in most situations, an experienced attorney will be able to complete a project at a lower total cost. Again, using the contract example, an experienced attorney will spot the issues and have language available while the less experienced attorney may need additional time.<br />
<br />
There are alternatives you may wish to consider. If you need ongoing services, you may wish to explore “bulk pricing” with your attorney. If the hourly rate is $300, perhaps you could negotiate a full day of services on a periodic basis at $1500 a day. Or, if you would like to have an attorney on-site for a week of work, the rate may drop to $5,000 per week. A half day of mediation services may be $500 per party while a full day is $800 per party. Like any other business person, if an attorney can obtain a commitment of his time, he has less down time and can average his costs over a greater number of hours.<br />
<br />
Rates quoted here are examples only. A major downtown law firm may charge $250 per hour for a junior associate while a senior partner may cost $800 or more per hour. Small rural solo practitioners with low overhead may be in the $150 per hour range or may charge flat fees because the work is more routine.<br />
<br />
Now no doubt you are doing the math and comparing those fees to your hourly wages. Unfortunately, that comparison does not take into account the expenses of running the business. Remember, revenue minus expenses equals profits. Expenses in running a business include taxes, insurance, licensing fees, office expenses, continuing education, employees, etc. The margins in running a legal practice aren’t as bad as a grocery store or a warehouse club but attorneys don’t just multiply their hourly rate by 40 hours for 52 weeks to determine their take home pay.<br />
<br />
If you have a question about fees, ask your attorney. But understand that the answer may be, “It depends.”<br />
<br />
<a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.comtag:blogger.com,1999:blog-9138937142741013512.post-1652807233789345882010-01-07T10:11:00.005-06:002010-01-07T10:21:07.624-06:00Business Contracts Audit<h2><meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 9]><xml> <w:worddocument> <w:view>Normal</w:View> <w:zoom>0</w:Zoom> <w:trackmoves/> <w:trackformatting/> <w:punctuationkerning/> 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table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0in; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} </style> <![endif]--> <p class="MsoNormal">When was the last time you went through all your contracts?<span style=""> </span>If you are in business, you have contracts.<span style=""> </span>Maybe you buy goods and services or sell them; probably both.<span style=""> </span>But do you know the quality of your contracts?<span style=""> </span></p> <p class="MsoNormal">If you tend to do business on a handshake, you have a contract, you just don’t know all the terms.<span style=""> </span>You may know the price, the quantity, and the delivery terms, but do you know the warranty, the limitation on liabilities, the governing law, or the extent of extraneous documents that are considered “contractual”?</p> <p class="MsoNormal">Maybe you are one who insists that all contracts be documented but have accepted the other party’s paper with terms and conditions even though your paper also has “fine print.”<span style=""> </span>If a dispute arises and there is a conflict of terms, do you know which provisions will withstand the test?</p> <p class="MsoNormal">Well written contacts may be evidenced in a single document signed by all parties or on multiple non-conflicting documents, each signed by a single party.<span style=""> </span>Anything short, and you may find yourself having a third party constructing a contract for you based upon the Uniform Commercial Code.</p> <p class="MsoNormal">One method of trying to get a handle on your situation is to audit a sample of contracts.<span style=""> </span>Pull out 10 to 20% of your files from a specified period of time and determine the strength of the contracts.<span style=""> </span>To keep it simple, divide them into four groups:</p> <p class="MsoListParagraphCxSpFirst" style="margin-left: 0.75in; text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">1)<span style="font-family: "Times New Roman"; font-style: normal; font-variant: normal; font-weight: normal; font-size: 7pt; line-height: normal; font-size-adjust: none; font-stretch: normal;"> </span></span></span><!--[endif]--><span style=""> </span>A single document containing all the terms and conditions, and signatures of both parties.</p> <p class="MsoListParagraphCxSpMiddle" style="margin-left: 0.75in; text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">2)<span style="font-family: "Times New Roman"; font-style: normal; font-variant: normal; font-weight: normal; font-size: 7pt; line-height: normal; font-size-adjust: none; font-stretch: normal;"> </span></span></span><!--[endif]-->Two documents, each signed by a party, where offer and acceptance is obvious and there are no conflicting terms.</p> <p class="MsoListParagraphCxSpMiddle" style="margin-left: 0.75in; text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">3)<span style="font-family: "Times New Roman"; font-style: normal; font-variant: normal; font-weight: normal; font-size: 7pt; line-height: normal; font-size-adjust: none; font-stretch: normal;"> </span></span></span><!--[endif]-->Two documents where the parties attempted to agree but where conflicting terms exist.</p> <p class="MsoListParagraphCxSpLast" style="margin-left: 0.75in; text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">4)<span style="font-family: "Times New Roman"; font-style: normal; font-variant: normal; font-weight: normal; font-size: 7pt; line-height: normal; font-size-adjust: none; font-stretch: normal;"> </span></span></span><!--[endif]-->No documentation evidencing a contract is contained in the file – no signature, few if any terms, some or no supporting evidence of an attempt to agree to do something.</p> <p class="MsoNormal">While reviewing the contract files, take notice of the processes used (or lacking), use of checklists by those touching the files, signature authorities, access to systems controlling and supporting the relationships, the language used by the other party, the formatting of your documents, etc.</p> <p class="MsoNormal">Once you understand your exposure, you may take steps to tighten up language, processes, approvals, etc. while also taking steps to strengthen the relationships with the other parties.<span style=""> </span>You may never achieve 100% “air-tight” documents and processes (or even care to), but the less you strive for excellence, the more risk you accept for your business.</p> <p class="MsoNormal">Don’t believe that bad things don’t happen to good people (or good companies).<span style=""> </span>As many found out in the recession beginning in 2008, the ripple effect of negative behavior by some has touched many families and businesses who thought they were secure. </p> </h2><h2><a href="http://davecalkins.com/legal_or_right.html"><span style="font-size:85%;">It may be legal, but is it right?</span></a></h2>David E. 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style=""> </span>As if that were not bad enough, six months later he started receiving bills from doctors, hospitals, and labs for services rendered to his family during his employment.<span style=""> </span>Although he had paid the required co-payments, his former employer had failed to pay the premiums for the insurance policies covering the employees.<span style=""> </span>As a result, this man is facing personal bankruptcy –a devastating situation for an accountant looking for a job. </p> <p class="MsoNormal">In another situation, a husband and wife had no debt other than their mortgage.<span style=""> </span>Both were laid off from their respective jobs in different industries.<span style=""> </span>Subsequently, after COBRA benefits were exhausted and pre-existing conditions could not be covered by their person health insurance, the husband was hospitalized.<span style=""> </span>In order to pay the medical bills, they sold everything, including their house.<span style=""> </span>Both continue to seek employment.</p> <p class="MsoNormal">There are many who have worked continuously for the past 20 or 30 years, have incurred little if any debt, and have faithfully supported their families.<span style=""> </span>Some do not qualify for various programs because they fall outside the qualification time period or have just enough assets left to bump them over the minimum thresholds.<span style=""> </span>Many others will never accept government assistance for moral, political, or other reasons.</p> <p class="MsoNormal">If you are employed in a full time position for which you are fully qualified and fairly compensated, consider yourself very fortunate.<span style=""> </span>However, don’t forget about the other 20% of the population.<span style=""> </span>You are not an island.<span style=""> </span>Your actions have both a direct and indirect impact on others.<span style=""> </span>Remember the ripple effect in everything you do throughout your day.<span style=""> </span>Consider taking those calls or responding to those e-mails from your unemployed friends – they are not contagious.<span style=""> </span>Someday, you may find yourself on the outside looking in.</p> <p class="MsoNormal">If you are not fully employed for your level of education and experience, continue to actively seek work on a daily basis and trust that this is a storm in your life through which you will emerge.<span style=""> </span>This is not something that you can control, but you still have responsibilities.<span style=""> </span>Seek true wisdom.<span style=""> </span>Persevere.<span style=""> </span>Help others less fortunate than you.<span style=""> </span>(If you believe no one is having more trouble than you, give me a call for a list of people you can visit.)<span style=""> </span>Hang in there.</p><p class="MsoNormal">
<br /></p><h2><span style="font-size:85%;"><a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a></span></h2>
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<br />David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-47697474676041003882009-10-26T17:17:00.007-05:002009-10-26T17:42:46.312-05:00The Slippery Slope of ConflictJust in case you thought Collaborative Law (Reconciliation), Negotiation, Mediation, and Arbitration aren't really the ways we should be resolving conflict, take a look at the <span class="pagetitle"><a href="http://www.peacemaker.net/site/pp.aspx?c=aqKFLTOBIpH&b=958151&printmode=1">The Slippery Slope</a> illustration</span> from Peacemaker Ministries. Notice that Litigation is listed as an attack response on the escalation side, right after Assault and just before Murder.<br /><br />Why are we, in the US, so quick to jump over all the other responses and move directly to Litigation? When you call your legal department or outside counsel, is the first, or only, suggested solution a trip to the courthouse? What about other ways of addressing conflict? Do you suppose there are better ways? Why do you suppose the other ways have survived for so many centuries while litigation is relatively new and has fallen out of favor in many cultures?<br /><br />Perhaps the above list of questions will help you formulate your own list of questions for your legal staff. Better still, perhaps you could resolve your own conflicts with a bit of coaching or self instruction.<br /><br /><a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-78944362564507512302009-10-20T10:34:00.004-05:002009-10-20T10:43:48.044-05:00Hiring legal expertise during an economic downturn<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 9]><xml> <w:worddocument> <w:view>Normal</w:View> <w:zoom>0</w:Zoom> <w:trackmoves/> <w:trackformatting/> 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{mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0in; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} </style> <![endif]--> <p class="MsoNormal">Business is good but it’s not that good.<span style=""> </span>So says the business person struggling to keep the doors open, the employees working, and the customers satisfied during the economic downturn.<span style=""> </span>If only I could afford an attorney to help me with my contracts, build my business, and respond to issues that seem to come up on a daily basis.</p> <p class="MsoNormal">Perhaps it is time for the business person and the attorney to become creative.<span style=""> </span>How can this problem be solved?<span style=""> </span></p> <p class="MsoNormal">Facing a similar situation recently, I recently proposed three alternatives to the normal attorney-client billing and working relationship.<span style=""> </span></p> <p class="MsoListParagraphCxSpFirst" style="text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">1)<span style=";font-family:";font-size:7pt;" > </span></span></span><!--[endif]-->Traditionally, attorneys bill on an <b style="">hourly basis</b> for services performed.<span style=""> </span>In this suburban town, based upon experience, overhead, type of work, etc., hourly rates range from $275 per hour to just over $400 per hour (large downtown firms are generally in the $600 per hour range for comparable services).<span style=""> </span>Under this arrangement, compensation is fair but the client may be conscious of the “tick of the clock” during every conversation.</p> <p class="MsoListParagraphCxSpMiddle" style="text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">2)<span style=";font-family:";font-size:7pt;" > </span></span></span><!--[endif]--><b style="">Contract work</b> has always been an alternative and its use is now growing.<span style=""> </span>Under this scenario, the business may hire the attorney for a particular project as they would any other subcontractor.<span style=""> </span>However, a better arrangement would be to hire the attorney for a <b style="">fixed number of days</b> each week at a fixed price.<span style=""> </span>For example, having ready access, in your building, to legal expertise two days a week at a reduced hourly rate (for example, eight hours times two days at a rate of 50% to 60% less than the normal hourly rate) would not only provide a consistent, fair return to the attorney on an on-going basis but it would also allow the client to focus on the issues rather than the clock.<span style=""> </span></p> <p class="MsoListParagraphCxSpLast" style="text-indent: -0.25in;"><!--[if !supportLists]--><span style=""><span style="">3)<span style=";font-family:";font-size:7pt;" > </span></span></span><!--[endif]-->Finally, there is the alternative of bringing the expertise <b style="">in-house as a full time employee</b>.<span style=""> </span>Again, the hourly rate drops (perhaps 30% off the contract rate) but the attorney picks up employee benefits rather than just 1099 status.<span style=""> </span>Now the businessman has a “partner” in the business with an interest in success.</p> <p class="MsoNormal">But wait a minute, if my business is already struggling, how can I afford to hire a legal expert on a regular basis?<span style=""> </span>That is where more creativity comes into play.<span style=""> </span></p> <p class="MsoNormal">Who says the guy with the legal training can’t also be your Ops or Marketing guy?<span style=""> </span>An attorney with a business background no doubt enjoys making decisions rather than just rendering opinions.<span style=""> </span>Why not make him a part of the senior management team?<span style=""> </span>In one major private company in Dallas, the General Counsel is also the VP of Human Resources.<span style=""> </span>He is a one-man legal department but also manages the entire HR function.<span style=""> </span>An attorney with experience supporting Sales, Marketing and Operations could step into the role of VP of Operations in addition to being the in-house legal counsel.<span style=""> </span>This could even work on a contract basis where the attorney performs “business related duties” in addition to legal work.<span style=""> </span>In a start-up, who says those with legal training can’t run a department or empty the trash cans?<span style=""> </span>Yes, there are some ethical issues to be addressed, but they are not insurmountable.<span style=""> </span><span style=""> </span></p> <p class="MsoNormal">In this economy, it is time for attorneys and business people to be creative in many areas, including the hiring of legal expertise and the billing for those services.</p><p class="MsoNormal">
<br /></p><p class="MsoNormal"><a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a></p><h2>
<br /></h2> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-53214691937700195742009-10-13T18:54:00.004-05:002009-10-13T19:00:03.392-05:00Conflict within an organization<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 9]><xml> <w:worddocument> <w:view>Normal</w:View> <w:zoom>0</w:Zoom> <w:trackmoves/> <w:trackformatting/> <w:punctuationkerning/> 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mso-ascii-theme-font:minor-latin; mso-fareast-font-family:"Times New Roman"; mso-fareast-theme-font:minor-fareast; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi;} </style> <![endif]--> <p class="MsoNormal">How should I handle conflict within my organization?</p> <p class="MsoNormal">Embrace it!<span style=""> </span>Thank the members for their differences of opinion and their willingness to share.<span style=""> </span>Without healthy disagreement and discussion, organizations become stagnant.<span style=""> </span>If the boss hires nothing but clones, the organization may be “tight knit” but that is at the expense of being able to relate to the rest of the world.<span style=""> </span>Without various opinions, ideas are never explored.<span style=""> </span>The environment becomes stifling and individuals no longer step out to express themselves.<span style=""> </span>Any good meeting facilitator (or mediator) will reserve ample time for brainstorming without reaction or criticism.<span style=""> </span>A meeting to generate product or process improvements needs open, frank discussion without the fear of retribution.<span style=""> </span>Think about Apple or Google and you can see how conflict can be very beneficial.</p> <p class="MsoNormal">However, (isn’t there always a “however” or a “yes but” – unless you’re an attorney in which case it becomes a “but for” or “except that”) unmanaged conflict dissolves or escalates, depending upon the viewpoint, into disputes.<span style=""> </span>Then the organization becomes dysfunctional either short term or long term. In an organization where there is a culture of conciliation, individuals may overlook the offense, talk to each other, involve a coach to assist with the reconciliation, or involve an internally trained mediator. </p> <p class="MsoNormal">If the dispute is not resolved internally, the parties may seek assistance using an external mediator or arbitrator.<span style=""> </span>Beyond those alternatives, they start on the path toward the courthouse.</p> <p class="MsoNormal">Fortunately, Collaborative Law has now moved beyond the arena of Family Law to the business world.<span style=""> </span>Disputes with or between employees, with customers, and with suppliers are now being resolved outside the courthouse without the use of third parties.<span style=""> </span></p> <p class="MsoNormal">With the final reading and approval of the Uniform Collaborative Law Act in 2010, states will have a model for statutory implementation (some states will no doubt enact their own statutes before 2010 and the Texas legislature will take up the issue when they meet again in 2011).</p> <p class="MsoNormal">But we don’t have to wait for legislative involvement since the courts in our area recognize and support the collaborative process.</p> <p class="MsoNormal">If you have conflict, appreciate it and manage it.<span style=""> </span>If you have disputes, deal with them early and effectively using the process most likely to deliver the desired results for the parties.</p><p class="MsoNormal">
<br /></p><p class="MsoNormal"><a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a></p> <p class="MsoNormal"><o:p>
<br /></o:p></p> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-45735528437776761242009-10-13T17:26:00.006-05:002009-10-13T17:34:09.910-05:00Attorneys have target markets; are you a good fit?<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 9]><xml> <w:worddocument> <w:view>Normal</w:View> <w:zoom>0</w:Zoom> <w:trackmoves/> <w:trackformatting/> 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font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-fareast-font-family:Calibri; mso-bidi-font-family:"Times New Roman";} .MsoChpDefault {mso-style-type:export-only; mso-default-props:yes; font-size:10.0pt; mso-ansi-font-size:10.0pt; mso-bidi-font-size:10.0pt; mso-ascii-font-family:Calibri; mso-fareast-font-family:Calibri; mso-hansi-font-family:Calibri;} @page Section1 {size:8.5in 11.0in; margin:1.0in 1.0in 1.0in 1.0in; mso-header-margin:.5in; mso-footer-margin:.5in; mso-paper-source:0;} div.Section1 {page:Section1;} --> </style><!--[if gte mso 10]> <style> /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:"Times New Roman"; mso-fareast-theme-font:minor-fareast; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman"; mso-bidi-theme-font:minor-bidi;} </style> <![endif]--> <p class="MsoNormal">Dave, what’s your target market?<span style=""> </span>What type of client chooses you? <span style=""> </span>What type of client do you refer to other attorneys?</p> <p class="MsoNormal">The last question is the easiest to answer.<span style=""> </span>For ethical reasons, attorneys may not accept clients facing problems in areas of the law in which they lack competence, cannot become competent with reasonable effort, or do not wish to associate with a competent attorney.<span style=""> </span>Beyond that, it is personal preference and interest. </p> <p class="MsoNormal">I am personally interested in legal issues, conflict, and disputes involving businesses, neighborhoods, and churches.<span style=""> </span>My preventative law practice focuses on transactions, contracts, business documents, and business policies, but if a conflict has escalated to the level of a dispute, I move into settlements, negotiations, use of the collaborative process, and mediation.<span style=""> </span>I do not care for family law (even though I help many individuals in this area through the in-take process at Legal Aid), because I respect the sanctity of marriage (“…let no man put asunder… etc.”) even though there are plenty of innocent parties out there.<span style=""> </span>I also don’t care for criminal law or personal injury cases.</p> <p class="MsoNormal">So what is my target market?<span style=""> </span>It would have to be the business people who make decisions and wish to be in control of their destinies.<span style=""> </span>It includes entrepreneurs who developed their businesses through their own sweat and do not have funds set aside for litigation.<span style=""> </span>It’s those people who realize that telling the attorney to “sue the bastards” is a no-win situation for the client.<span style=""> </span>It includes the construction industry, the high tech industry, and many shops and operations in between.<span style=""> </span>My clients want to be able to talk to a business person about business problems.<span style=""> </span>They are willing to consider out-of-the-box solutions.<span style=""> </span>They want to do things on their own but sometimes need a sounding board or a little guidance.<span style=""> </span>They are self confident, know they don’t know everything, and know they don’t have to know everything. </p> <p class="MsoNormal">Sadly, from the perspective of a seasoned professional, the vast majority is relatively young – more mature individuals, who should have more wisdom, seem to be tainted from having grown up in a litigious society that rewards winning at all costs. <span style=""> </span>Younger folks seem to understand the societal shift toward cooperation and collaboration.<span style=""> </span>Most have grown up with the internet and understand the value of information and time.<span style=""> </span>Yes, there are some of us who remember the tag line, “And that’s the way it is”, but we realize it doesn’t have to be that way.</p> <p class="MsoNormal">Am I like most attorneys? <span style=""> </span>Certainly not.<span style=""> </span>According to one survey, I am least like lawyers and most like Operations Managers, Manufacturing Managers, Construction Managers and Information Center Managers.<span style=""> </span>This means I have more in common with problem solving executives in action-driven organizations than I do with individuals earning a living from the litigation process.<span style=""> </span>(Survey results available upon request.) </p> <p class="MsoNormal">When hiring legal expertise, be sure you have a good fit.<span style=""> </span>As with other professions, there are competencies and personalities; choose your counselor carefully.</p><p class="MsoNormal">
<br /></p><p class="MsoNormal"><a href="http://davecalkins.com/legal_or_right.html">It may be legal, but is it right?</a></p><p class="MsoNormal">
<br /></p><p class="MsoNormal">
<br /></p> <p class="MsoNormal"><o:p> </o:p></p> <p class="MsoNormal"><span style=""> </span></p> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-33807468110338847002009-10-09T13:08:00.010-05:002009-10-09T15:00:17.540-05:00A Conversation with a Litigator<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link style="font-weight: bold; font-family: arial;" rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link style="font-weight: bold; font-family: arial;" rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link style="font-weight: bold; font-family: arial;" rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 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mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin:0in; mso-para-margin-bottom:.0001pt; mso-pagination:widow-orphan; font-size:10.0pt; font-family:"Calibri","sans-serif";} </style> <![endif]--> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:100%;">An interesting conversation occurred between a Collaborative Practitioner and a Litigator after the Collaborative Law Section meeting at the local Bar Association. The Litigator made a number of accusations and assertions concerning the use of the Collaborative Process:<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">1) “The practice of Collaborative Law attracts lawyers who can’t find their way around the courthouse and who don’t know how to litigate.” <o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">2) “If you look at the attorneys beginning to practice Collaborative Law, you’ll find they are generally young or have a business background and have not been Litigators.”<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">3) “As a Litigator, I can win more cases and obtain bigger settlements than the Collaborative Practitioners can achieve.”<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">4) “The Collaborative Practitioners are running up bills and using all the assets so there is nothing left when they finally turn the matter over to the Litigator.”<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:100%;">Sadly, this seasoned attorney stated that he attended the meeting just to see if he could network with Collaborative Law Practitioners for referrals of those cases where the parties opt out of the Collaborative Process. He was not interested in understanding the process or learning enough to be able to offer the Collaborative Process as an alternative to Litigation to his clients.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:100%;">A couple of us gently explained the future of the practice of law (see “The New Lawyer: How Settlement Is Transforming the Practice of Law” by Julie Macfarlane, for a study of the progression of the profession) and the normal development of a society from lawlessness through a period of “law” to collaboration. </span><span style="font-size:100%;"><o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:100%;">Lawyers have been hired to be the warriors for people in conflict so they no longer have to physically fight or kill each other over a dispute. Although they are sometimes considered to be counselors, many lawyers have forgotten this role or view it only as part of the preparation for “war” in the courtroom. The New Lawyer is a “conflict management advocate” for his client and avoids the infliction of emotional and financial distress whenever possible.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:100%;">In response to the assertions, we stated:<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">1) Collaborative Lawyers are no more or less competent than those making a living in the courthouse. We have merely chosen to put the interests of the clients ahead of our personal interests. With greater than 90% all cases being settled before trial, does it make sense to conduct trial preparation rather than expending that energy in resolving the dispute in a timely manner? Litigators enjoy the fight and the spotlight – nothing wrong with that. Collaborative Practitioners enjoy problem resolution, maintaining on-going relationships between parties, and allowing the parties to work on a solution that may not be available through the courts.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">2) Many attorneys beginning to practice Collaborative Law are generally young or have a business background and have not been Litigators. However, many entering the practice are middle aged or older, and may have been practicing law all their lives. Certainly, those under 35 have grown up with the web, instant access to information, sharing of ideas, working in team environments, and quickly moving beyond conflicts. Why would it surprise anyone that young law school graduates are disillusioned with the current judicial system’s method of dispute resolution? Those attorneys who have been in management positions outside of a law firm no doubt are better positioned to assist their business clients in addressing the issues and developing solutions. Is it surprising that they find the structure of the Collaborative Process appealing? Finally, of the members of the Section at the meeting, the vast majority have been Litigators – many for more than two or three decades. Perhaps they have now found something they could not provide to their clients in all those years of doing battle.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">3) As a Litigator, you are concerned about winning and winning big. In the Collaborative Process, the focus shifts from the attorneys in the spotlight to the clients working on resolving their differences by expressing their interests rather than their positions. Why wouldn’t the client want to be involved in the resolution process and keep the dispute out of the public eye? Should the use of the legal system be about the lawyer or about the client? <o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.75in; text-indent: -0.25in; line-height: normal;font-family:arial;"><span style="font-size:100%;">4) The Collaborative Practitioners use assets to resolve disputes. If the parties had been able to resolve the issues without assistance, they would have done so and avoided all expenses. However, most Collaborative cases are resolved faster and at less expense (both financially and emotionally) than cases taken through the courts. If a party opts out of the process, additional assets will need to be used to go through the litigation process, but that is a known risk; just as an appeal from a trial is a risk in the litigation process. Doesn’t it make more sense to try to resolve the dispute through an agreed upon process with a controlled outcome where the parties may maintain complete privacy? The Collaborative Process, done correctly, does take time and hard work and professional fees will add up; but consider the alternative. <o:p></o:p></span></p> <p face="arial" class="MsoNormal"><a href="http://davecalkins.com/">
<br /></a><a href="http://davecalkins.com/">It may be legal, but is it right?</a></p><p face="arial" class="MsoNormal"><a href="http://davecalkins.com/">
<br /></a></p> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-109221080219204532009-10-06T17:06:00.027-05:002009-10-09T14:59:45.863-05:00Business owners need to ask about alternatives to litigation<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link style="font-family: times new roman;" rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link style="font-family: times new roman;" rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link style="font-family: times new roman;" rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 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{page:Section1;} --> </style><!--[if gte mso 10]> <style> /* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:yes; mso-style-priority:99; mso-style-qformat:yes; mso-style-parent:""; mso-padding-alt:0in 5.4pt 0in 5.4pt; mso-para-margin-top:0in; mso-para-margin-right:0in; mso-para-margin-bottom:10.0pt; mso-para-margin-left:0in; line-height:115%; mso-pagination:widow-orphan; font-size:11.0pt; font-family:"Calibri","sans-serif"; mso-ascii-font-family:Calibri; mso-ascii-theme-font:minor-latin; mso-fareast-font-family:"Times New Roman"; mso-fareast-theme-font:minor-fareast; mso-hansi-font-family:Calibri; mso-hansi-theme-font:minor-latin;} </style> <![endif]--> <p class="MsoNormal" style="font-family:times new roman;"><span style="font-size:100%;">I’m a business owner.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">I dedicate most of my day to running the business.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">I grew up in a society that solves problems immediately.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">I don’t have an attorney on staff and I don’t have a reserve fund for litigation.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">I don’t have time to take away from my business for three to five years of litigation. </span><span style="font-size:100%;"> </span><span style="font-size:100%;">Isn’t there an alternative to litigation?</span><span style="font-size:100%;"> </span><span style="font-size:100%;">Why do the lawyers want to sue everyone?</span></p> <p class="MsoNormal" style="font-family:times new roman;"><span style="font-size:100%;">If you have similar thoughts, you should ask about alternative dispute resolution.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">Ask your attorney about conflict prevention, conflict avoidance, conflict management, and dispute resolution without litigation.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">Greater than 90% of all conflicts are settled before trial and yet discovery, depositions, expert opinions, and numerous filings over a three to five year period leading up to the trial means big business for most law firms.</span></p> <p class="MsoNormal" style="font-family:times new roman;"><span style="font-size:100%;">Lawyers are in a service profession and respond to the needs and demands of the clients.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">And yet, many see dollar signs when it comes to dispute resolution.</span><span style="font-size:100%;"> </span><span style="font-size:100%;">For the client, in many cases, little if any value is created by the litigation process. </span><span style="font-size:100%;"> </span></p> <p class="MsoNormal" style="font-family:times new roman;"><span style="font-size:100%;">Until clients ask for alternatives to litigation such as mediation, arbitration, or the collaborative process, most law firms will continue to push litigation as the only method of resolving disputes.</span></p> <p class="MsoNormal" style="font-family:times new roman;"><span style="font-size:100%;">Certainly, for some situations and some clients, litigation is the best method; but for many, the alternatives are very attractive.</span></p><p class="MsoNormal" face="times new roman">
<br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a></p><p class="MsoNormal" face="times new roman"><a href="http://davecalkins.com/">
<br /></a></p> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-85138486306065351522009-09-28T12:30:00.010-05:002009-10-09T14:59:21.231-05:00D CEO Magazine Article on Collaborative LawThe <a href="http://www.dmagazine.com/Home/D_CEO/2009/September_October/Collaborative_Law_Promises_a_Kinder_Gentler_Approach_To_Business_Disputes.aspx">Sept. Oct. 2009 issue of D CEO magazine</a> has a great article on the current status of Collaborative Law in the State of Texas. It seems the process works so well that the litigation attorneys have banded together to try to stop the movement.<br /><br />As an entrepreneur, you owe it to your business to understand how this process may be used to resolve conflicts and get you back to what you do best.<br /><br />If you have a relationship with a law firm, ask them if they do Collaborative Law. If they don't, ask them why not, and tell them you will find someone who does.<br /><br /><a href="http://davecalkins.com/"></a><br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-57539252337986539692009-09-17T14:14:00.006-05:002009-10-09T14:58:56.781-05:00Hiring talent, wisdom, and experience in a down economy.In this economy, many employers are filling positions with highly qualified applicants who possess the exact experience needed to do the job. It is truly a buyer’s market.<br /><br />However, employers thinking about the long term (yes, we all believe the economy will turn sooner or later) should consider the applicants who have more to offer. Because it is a buyer’s market, now is the time to load up the bench. Take a look at the applicants with broader work experience and greater depth. Add a bit of wisdom to the workforce within your company. Instead of screening out those that do not check all ten boxes, ask your HR department to bring you some candidates with fresh view points. Perhaps you could use an infusion of thinking from outside your industry or perhaps a generalist would be able to bridge the gaps among departments.<br /><br />Do you really need clones in every department? Should your sales reps have nothing but “sales” in their backgrounds? Do all of your programmers know everything about software and nothing about business? Has you legal staff done nothing since law school but offer opinions? Do your construction folks have any idea what makes a business profitable?<br /><br />Now is the time to build strength while your competition frets about survival. Some strategically placed generalists who have experience and expertise in multiple areas may be just what you need to leave the competition in the dust.<br /><br /><br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a><br /><br /><a href="http://davecalkins.com/"></a>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-23002050392775505322009-08-27T15:24:00.009-05:002009-10-09T14:58:41.155-05:00Business Relationships Maintained Through Collaborative Law<meta equiv="Content-Type" content="text/html; charset=utf-8"><meta name="ProgId" content="Word.Document"><meta name="Generator" content="Microsoft Word 12"><meta name="Originator" content="Microsoft Word 12"><link style="font-family: arial;" rel="File-List" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_filelist.xml"><link style="font-family: arial;" rel="themeData" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_themedata.thmx"><link style="font-family: arial;" rel="colorSchemeMapping" href="file:///C:%5CUsers%5Cdcalkins%5CAppData%5CLocal%5CTemp%5Cmsohtmlclip1%5C01%5Cclip_colorschememapping.xml"><!--[if gte mso 9]><xml> <w:worddocument> 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font-size:10.0pt; font-family:"Calibri","sans-serif";} </style> <![endif]--> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">If you are in business, you know the importance of relationships.<span style=""> </span>You spend time and money establishing, developing, and cultivating relationships.<span style=""> </span>Your business depends upon the transactions and contracts you execute with the parties with whom you have relationships.<span style=""> </span><o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">Unfortunately, sometimes conflicts arise.<span style=""> </span>Given the global economy and the mobility of the workforce, an unresolved conflict or a broken relationship not only impacts current business, but it may also come back to haunt you years later.<span style=""> </span>Often you deal with conflicts before they become disputes.<span style=""> </span>However, once at the level of a dispute, you may find yourself headed to the courthouse for resolution.<span style=""> </span><o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">But wait!<span style=""> </span>It does not have to be that way.<span style=""> </span>There are other means of dispute resolution; one of which is the collaborative process.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">Remember when you negotiated the contract?<span style=""> </span>Similar concepts apply to resolving the dispute.<span style=""> </span>The collaborative process allows you and the other party, perhaps a supplier, customer, or reseller, to work together the way you did in forming the relationship and the resulting contracts.<span style=""> </span>You set your own schedule for discussions, focus on the interests of the parties, explore all possible options, keep your negotiations confidential, and you don’t involve the courts.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">Best of all, relationships may be maintained.<span style=""> </span>The relationship with the other party may remain intact to allow for other contracts.<span style=""> </span>And, more importantly, from a business perspective, potential relationships with other vendors and customers are not negatively impacted by adverse publicity or the belief or observation that your only method of dispute resolution is through the courthouse.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">The collaborative process works well in resolving disputes over purchase and sale agreements, operating agreements, subcontracting agreements, promissory notes, employment agreements, non-compete agreements, vendor / customer contracts, lease agreements, nondisclosure agreements, and many other business contracts and situations.<o:p></o:p></span></p> <p class="MsoNormal" style="line-height: normal;font-family:arial;"><span style="font-size:85%;">Before following the path of litigation, consider some of the benefits of the collaborative process:<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.25in; line-height: normal;font-family:arial;"><span style="font-size:85%;">Preservation of existing relationships.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.25in; line-height: normal;font-family:arial;"><span style="font-size:85%;">Avoidance of damage to future relationships.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.25in; line-height: normal;font-family:arial;"><span style="font-size:85%;">Control of schedules, experts, communications and costs.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.25in; line-height: normal;font-family:arial;"><span style="font-size:85%;">Avoidance of courts.<o:p></o:p></span></p> <p class="MsoNormal" style="margin-left: 0.25in; line-height: normal;font-family:arial;"><span style="font-size:85%;">Maintenance of confidentiality.<o:p></o:p></span></p> <p class="MsoNormal" style="font-family:arial;"><span style="line-height: 115%;font-size:85%;" >Consult with a Collaborative Law attorney to see if your situation may be resolved through the collaborative process.</span></p><p face="arial" class="MsoNormal">
<br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a></p> David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-57180603865922289922009-08-05T22:27:00.011-05:002009-10-09T14:58:18.566-05:00Collaborative Law (presentation notes excerpts)<span style="font-weight: bold;">Collaborative Law – Getting Back to Business</span><br />(excerpts from presentation notes)<br /><br />All of us are involved in business. Businesses are in business to generate profits. When you are in court, unless you are a lawyer, you are not generating income.<br /><br />Collaborative law gets you away from the courts and back to business.<br /><br />A simple definition of Collaborative Law is “settlement by agreement.” That means no court intervention. The dispute is resolved between the parties, and relationships are maintained. Both parties have trained lawyers to help them develop solutions, and the parties cooperate. And, all the information discussed in reaching the settlement is kept private.<br /><br />To understand Collaborative Law, we have to understand conflict. What causes conflicts and why do some conflicts become disputes? Differences? What about Basic Human Nature? Within a business, differences, and our imperfection, leads to conflicts.<br /><br />Given that there will be conflict, is it all bad? Absolutely not! Within your organizations, you don’t have innovation or improvement without going through the process of conflict. However, conflict may lead to disputes, and disputes lead to breakdown within organizations. Left to fester, disputes lead to destruction.<br /><br />But, our society has designed ways of coping with disputes. In an organization where there is a culture of conciliation, individuals may overlook the offense, talk to each other, involve a coach to assist with the reconciliation, or involve an internally trained mediator. If it is not resolved internally, the parties may seek assistance using an external mediator or arbitration. Beyond those alternatives, they start on the path toward the courthouse.<br /><br />Collaborative Law fills the void between one-on-one discussions and involvement of an outside referee.<br /><br />The most important reason to go through the collaborative process is to maintain relationships. You may say, I don’t care about one customer or one supplier, there are plenty more where they came from. However, your other customers and suppliers, and potential customers and suppliers are watching to see how you handle yourself. Relationships extend beyond the immediate conflict and are preserved through the process.<br /><br /><br />What is the Collaborative Process?<br /><br />First, it is voluntary. Both parties must agree to go through the process.<br />Next, both parties need to find trained attorneys; not litigators who want to run up bills, but lawyers who are interested in avoiding conflict, managing conflict, and assisting the parties in resolving disputes. The best Collaborative attorneys for business disputes are those who have years of business experience. You’ll want to find someone who has been in the business world and who has resolved conflicts within organizations and between organizations. The benefit to you is that you have an advocate for your business, not just a hired gun.<br /><br />Next, there is a face to face meeting in which an agreement is signed. The agreement sets forth the process. A schedule of meetings is prepared, and agenda is set for the next meeting. Typically, meetings are only two hours long and everyone has homework for the next meeting. The benefit is that the parties control the schedule.<br /><br />What happens at the meetings? The issues are recorded and the parties have an opportunity to express themselves. Just as important, the parties have the opportunity to listen to the other side – directly rather than through the attorneys. The attorneys assist the parties and are not the mouth pieces for the parties. The benefit is direct participation without filtering.<br /><br />During the process, there will no doubt arise a need for more information. Documents and other information may be necessary. Unlike in litigation, all parties cooperate in compiling the information. The data is shared in the meetings. The information gathering is informal. The benefit is that the information is gathered much more quickly and at a fraction of the normal discovery expense.<br /><br />It may become necessary to hire some experts. In a business dispute, perhaps an outside accountant is needed, or a surveyor, or a chemist. In this process, the parties jointly agree upon and hire the expert. If the experts can’t address an issue, that portion of the discussion may be handed over to a mediator or arbitrator – but the parties still maintain control. The benefit is control of the experts.<br /><br />After all the relevant facts are gathered, the parties work on various solutions to the problem. Options are listed and discussed. Only then do the parties come to a solution; not necessarily their original “position”, but rather a solution that addresses their “interests.” The benefit is that the Parties are free to brainstorm and dig into underlying interests.<br /><br />Finally, we get to the results:<br />An agreement is reached without going to court.<br />An ongoing relationship may be maintained with the other party.<br />Costs are typically less than using the litigation path.<br />Private matters are kept private.<br />And satisfaction is achieved through control of the process.<br /><br /><br />Let’s take a look at the differences between Collaborative Law and Litigation.<br /><br />First, the process of litigation is completely adversarial. There is no “problem solving” and very little agreement.<br /><br />Second, typically, you will become involved in an emotional roller coaster where you begin to question your own interests because there will be an attempt to intimidate. You’ll wonder whatever happened to the original problem and how, and when, the problem will be solved. You’ll be speaking to and through your attorney who will attempt to control you and your statements. Eventually, you’ll say to yourself, “Why don’t I just talk to the other guy? I don’t need all the filtering.”<br /><br />In litigation, you’ll be inundated with discovery requests and hours if not days will be spent in depositions. If you think a phone call to your attorney is expensive, just wait until you see the bills for trial preparation. The attorneys will ask for everything remotely related to the case, and you’ll have to pay for lawyers and employees to gather the information. Then try to plan your business trips and annual vacation around the court docket.<br /><br />Do you think the newspapers print all the news that’s fit to print? No way; they will print anything to damage your business. Nearly everything in the case will be part of the public record.<br /><br />And where do you suppose your attorney is during the months and years leading up to trial? He’s trying to settle the case (95% of all cases settle before trial). But he’s also preparing his case for trial. You never know which 5% of the disputes will actually make it to trial.<br /><br />If you thought attorneys are expensive, try finding a cheap expert. Why should the parties hire two experts to take opposite positions at the trial? Why not agree on one expert to do the research and render an opinion that both parties may use?<br /><br />Do you really want to give control of the future of your business to a jury? Wouldn’t it make more sense to maintain control of the situation?<br /><br />What if someone misunderstands the other side or a mistake is made? In the Collaborative Process, there is a requirement for the correction of errors.<br /><br />Full disclosure in litigation? Forget it. If you don’t ask, you don’t get. In Collaboration, the parties base their settlement on all the facts that are relevant; and remember, the information is confidential.<br /><br />And finally, have you ever been up against a wealthier opponent? In collaboration, you have a say in how much is spent.<br /><br />Given all the benefits, which approach would you prefer?<br /><br />If you walk the maze to the courthouse, your attorney will be working on Pleadings, Discovery, Depositions, Motions, Hearings, and Orders. If you choose to work the issue on a collaborative basis, your attorney will be with you at the table, advocating for your business, and working on creative solutions.<br /><br />The problems with the judicial system are not new nor are they unknown. Abe Lincoln warned law students about it. A former Chief Justice had reservations about the system. And, local attorneys are recognizing the faults with the litigation process.<br /><br />As a business person, what can you do to address conflicts before they become disputes? It is up to you. You must create the right environment. A workplace in which conciliation is a way of life is a great beginning. Do your people approach each other when there is a conflict? Do you have trained conflict coaches among your population? Is your HR trained to recognize conflict and address it?<br /><br />After that, you’ll need the right processes. If you do have a conflict, intervene early. Make sure you have trained legal counsel. Does your legal counsel have broad experience in business? Does your attorney understand the mediation process? Has your attorney been trained in Collaborative Law? Does your attorney connect with people at all levels both inside and outside your organization? Does your attorney have language in your contracts in support of this process?<br /><br />Remember, conflict resolution is not just a process, it is all about relationships.<br /><br /><br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0tag:blogger.com,1999:blog-9138937142741013512.post-3841074897757847392009-08-05T22:17:00.011-05:002009-10-09T14:57:54.615-05:00Additional information on DaveCareer Path<br /><br />I'm sometimes asked for more details about my background after people learn bits and pieces of my history and experiences. In an attempt to provide information that may be helpful in determining if you have a need I can fill or a problem I can solve, I'd like to pass along a few more nuggets on my background.<br /><br />I was first licensed to practice law in Pennsylvania in 1980. Rather than following a traditional path, I chose to immediately apply my legal and business education (see LinkedIn for education and experience) in the public sector; I became a special agent for the FBI investigating organized crime, public corruption, and white collar crime. To more fully apply my finance background and to gain sales experience, I moved to the brokerage industry where I specialized in assisting businesses with their operating cash management and long term investments. This combination of investigative and sales experience led me to a corporate position targeting the curtailment of grey market telephone systems. I expanded this position over a number of years to include Legal, Marketing, Sales Support, and Operations.<br /><br />Today, I pursue my passion for conflict management and resolution through collaborative law, mediation, and workplace reconciliation. I also provide legal and business counsel in transactions, operations, contracts, anti-trust compliance, channel / distribution strategy, sales support, strategic alliances, negotiations, marketing communications, ethics, merger and acquisition due diligence, policy development, process implementation, and software licensing.<br /><br /><br />Career Validation and Interests<br /><br />As part of some ongoing career development, I underwent testing to determine how I align with others in my profession. Not surprisingly, the tests indicate that I am not your typical attorney. For example, my highest three areas of interest are “mechanical”, “outdoor”, and “social service.” I prefer direct action and solving practical problems. I am oriented toward tangible, visible and measurable results. Unlike most attorneys to whom I am compared, I do not rely upon selling, promoting, and influencing skills in accomplishing my goals.<br /><br />I'm a builder; not a professional builder or contractor, but a home improvement, energy efficiency, home remodeling, handyman kind of builder. I get dirty on Saturdays and understand the building trades.<br /><br /><br />Mediation Services and Collaborative Law<br /><br />I am a trained mediator available to facilitate dispute resolution through the mediation process. I am also a Collaborative Law practitioner available to represent clients in the process of addressing conflicts between parties seeking to maintain relationships.<br /><br /><br />Importance of Knowing<br /><br />What difference does this information make to you when choosing your business counsel? Perhaps no difference; but perhaps it matters that your counsel has lifetime experience, knows how to work with his hands, can relate to individuals at all levels, and understands the effort it takes to build – a shed, a house, or a business. Perhaps it matters that your counsel understands the basis of conflict and has been trained in dispute avoidance, management, and resolution.<br /><br /><br /><a href="http://davecalkins.com/">It may be legal, but is it right?</a><br /><br /><br /><div style="text-align: right;"><span style="text-decoration: underline;"><br /><br /></span></div>David E. Calkinshttp://www.blogger.com/profile/03739779509178912335noreply@blogger.com0