Ten Things an In-house Counsel Looks for in Selecting and Working With Outside Counsel

• Publication year: 2017
• Author: By Marty Hochman

Ten Things an In-House Counsel Looks for in Selecting and Working with Outside Counsel

By Marty Hochman

Marty Hochman is Assistant General Counsel at Callaway Golf Company in Carlsbad. He spends more time lawyering than golfing. His email is Martin.Hochman@callawaygolf.com.

Choosing the right law firm can be one of the most important and challenging decisions that an in-house counsel has to make. Corporate executives rely on their attorneys not only to deliver day-to-day legal advice, but also to identify and manage the right outside lawyers to best serve the company's needs. In many cases, the work product of an outside counsel is a reflection of the corporate attorney's judgment, performance, and management ability. The wrong choice can have significant consequences on an in-house counsel's career path and on the company's bottom line.

From a budgetary perspective, outside legal costs frequently comprise the single largest expense category for the in-house law department. With the hourly billable rates of partners at large law firms now regularly exceeding $1,000 per hour, in-house counsels are increasingly looking for more economical alternatives when hiring outside attorneys. At the same time, quality and timeliness of work remain of paramount importance in the decision-making process. This means that in-house counsels must find someone who can deliver prompt and expert advice on time and within a budget and meet corporate management's expectations.

While balancing all of this might seem like a challenge, the solo practitioner need not pass up the opportunity to bid for corporate work. Even the largest firms are sometimes "a mile wide and an inch deep" when it comes to talent. This means that there continues to be opportunities for sole practitioners and small firms to compete as a viable alternative to big law, particularly if they keep in mind some of the factors that go into the selection and retention of outside law firms.

To assist with this process, here are ten things you can do to help you land and keep that corporate work:

1. BE PART OF THE TEAM (AKA "THINK LIKE AN IN-HOUSE ATTORNEY"):

The fundamental difference between in-house counsel and outside counsel is that the in-house attorney has one client. As such, the success and failure of the in-house counsel is directly tied to that of the business. The in-house transactional counsel typically wants to get to "yes." The more you can focus on ways to help them get there, enhancing the business while still mitigating risk, the more valuable you will be to the in-house team. The best outside lawyers understand and embrace the unique nature of the corporate law department's role. They recognize that many in-house attorneys spend their days interacting with business people instead of other lawyers. They know that in-house counsels are expected to give prompt, practical advice (rather than the "CYA"-types of answers that some outside practitioners may be prone to offer). This is why good outside counsel generally do not spend a lot of time writing lengthy memorandums and legal opinions in...