Big-firm associates - why they go and how to keep them
Corporate Counsel
At the 250 largest law firms, the arrows are pointing up for many associate indicators. Summer internships are up. Incoming associate classes are up. Recruiting costs for both summer and first-year associates, in dollars and in partner time, are up. Salaries are up... to $160,000! Bonuses are up... to $50,000!. Concierge services are up. Stress management services are up. Twenty-five percent of the 40,000 graduating law students today go to these 250 firms, by some estimates.
But for all this effort, larger law firms lose 30%-50% of associates after three to four years - with half to two-thirds of the defections due to associate choice. They go to smaller firms or more competitive firms in the same city, firms in other cities, in-house, government, teaching and non-legal jobs.
Judge refuses to grant dismissal motions in Milberg Weiss case
The National Law Journal
A federal judge in Los Angeles has refused to grant four out of the five dismissal motions filed by Milberg Weiss in the federal government's kickback case. Prosecutors allege that Milberg Weiss and seven of its partners, including its founding partner, Melvyn Weiss, generated $250m in attorney fees by paying illegal kickbacks to name plaintiffs. In January, Milberg Weiss filed motions to dismiss several of those claims.
Former Covad GC's derivative suit settles for $7m
The Recorder
Covad Communications and its ex-general counsel have finally laid to rest a sordid six-year saga of allegations of self-dealing directors, sexual harassment and retaliatory firing. Covad directors have agreed to pay the Silicon Valley telecom company $7m to to settle a derivative suit originally filed by former GC and co-founder Dhruv Khanna after he was fired in 2003, accusing directors of wasting money and enriching themselves at the expense of shareholders.
European Commission Fines Microsoft $1.35bn
The Deal
The European Commission on Wednesday fined Microsoft a record $899m ($1.35bn) for flouting a 2004 antitrust decision. Regulators said Microsoft failed to comply with a March 2004 order requiring the company to charge "reasonable" royalty rates for patent licenses needed by competitors to connect products to the Windows platform. This is the largest-ever imposed by the Commission against a single company, bringing to $2.53bn the total penalties against the software giant.
McDermott Will & Emery to Open Houston Outpost
Texas Lawyer
On 3 March, Chicago-based McDermott Will & Emery will open a Houston office staffed by three energy lawyers from Houston firm Bracewell & Giuliani, making it the 15th office for the 1,170-lawyer firm. Washington DC partner Paul Pantano, head of McDermott's energy practice, says he has had an interest in a Houston office for several years because Houston is the center of the nation's energy business. In addition, Pantano says McDermott sees an opportunity to build its M&A and IP practices in Houston.
Can Microsoft and Yahoo weather IP together?
The Recorder
If Microsoft conquers Yahoo, some intellectual property lawyers say that the companies will be on course for a clash over their IP attitude. The two companies' views about what should be shared and what should be kept proprietary have been as different as sunny Silicon Valley and dreary Seattle.
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