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August 26, 1994 - Image 48

Resource type:
Text
Publication:
The Detroit Jewish News, 1994-08-26

Disclaimer: Computer generated plain text may have errors. Read more about this.

PHOTO BY GLENN TRIEST

siness

awyers have never enjoyed a ro-
bust image. When a dinosaur
, consumed an attorney in
last summer's blockbuster
Jurassic Park, the-
movie
,
ater crowds cheered.
But the legal profession can be excused
for seeking some self-pity of late.
In a recent survey by the National Law
Journal, nearly half of the nation's top 250
law firms reported they cut their legal
staffs in 1993, the second year in a row.
And just 72.5 percent of law-school grad-
uates last year found full-time jobs six
months after graduation, down nearly 10
percent from 1989.
Once prominent local Jewish law firms
have fallen victim to industry consolida-
tion due to the recession, specialization,
corporate takeovers and down-sizing.
For instance, Levin, Levin, Garvett &
Dill in Southfield closed in March after 74
years in business. Gordon Ginsberg, a 42-
year partner with the firm, said he and
several other attorneys joined Mason,
Steinhardt, Jacobs & Perlman, also of
Southfield, and brought their clients with
them.
"Our old firm had several major clients
which were acquired by national compa-
nies, and consequently that reduced the
amount of business we had," said Mr. Gordon Ginsberg brought his clients with him to a new firm.
Ginsberg, senior shareholder with Mason,
Steinhardt. "Because of that, we had a lot
of space and overhead, and the best thing
we could do was combine with another
firm.
`There were certain economies of scale
which came into play, such as lower over-
head and the like. We looked around and
talked to several firms before choosing Ma-
R.J. KING SPECIAL TO THE JEWISH NEWS
son, Steinhardt. We decided to terminate
the old firm. We didn't merge. Some at-
torneys went elsewhere."
fession of law has become a cut-throat by computers, fax machines and answer-
Since joining the new firm, none of his business, where new jobs are tight and ing systems, many firms have laid off large
clients have complained, said Mr. Gins- partners can easily be let go if their bill- portions of their support staffs.
berg. In fact, he said the new firm offers able hours slip.
Lawyers also are finding themselves
more services and, in some cases, less ex-
Another problem lawyers face is over- slicing off the little extras from their bills.
pensive rates.
coming the boom years of the 1980s, when For instance, many attorneys no longer
Another prominent Jewish firm, Schlus- starting annual salaries at some large bill clients for rides home and firms which
sel Litton Simon Rands Galvin & Jackier firms were well over $80,000.
once charged 25 cents per page for photo-
in Southfield, also recently closed its doors.
One way firms have adapted to the na- copying in the '80s have dropped their
"Nothing lasts forever, I guess," said Mr. tion's zeal for savings is following the lead rates to 5 to 10 cents.
Ginsberg.
"We're seeing a trend where very large
of other industries forced to down-size or
In some respects, the once genteel pro- go bust. Tapping into time-savings offered clients today are going out and pricing

Legal profession dealing with cutbacks,
consolidation, and new hot areas of expertise.

THE D ET ROI T J E WIS H

,

things," said Mr. Ginsberg. "Legal bills
have become a big part of the budget with
many firms, and some are beginning to
negotiate price (drops). It's all part of the
business."
Like many professions, young and mid-
level lawyers with clear experience in a
hot area — computer law, environment,
health care — can clean up. Brokers and
doctors navigating the minefield of land
acquisition and health-care reform require
plenty of legal advice.
Another area of promise for lawyers is
to take training courses offered by the lo-

cal chapter of the American Arbitration
Association.
This knowledge gives lawyers a tool that
is becoming more appealing to clients —
the ability to solve cases in a swift amount
of time and at low cost.
While civil disputes taken through tra-
ditional courts may take several years and
thousands of dollars to resolve, arbitra-
tions last an average of four months and
mediations can take a day or two to wrap
up.
Many court systems now require op-
posing counsel to try to resolve their dif-
ferences in front of a mediation panel
before ever seeing a judge.
Law firms also are affiliating with out-
side companies to boost services instead
of starting divisions anew.
In June, Brodie Group Inc., a govern-
ment regulation consulting firm in Detroit,
affiliated itself with Plunkett & Cooney in
Detroit, one of the state's largest law firms.
"We still have our own identification
and stationery, but now we're in the of-
fices of Plunkett & Cooney," said Dorothy
Brodie, president of the Brodie Group and
a former appointee of Detroit Mayor Cole-
man Young. Under the former mayor, Ms.
Brodie helped develop the People Mover.
"It was a mutual decision," Ms. Brodie
said. "Plunkett & Cooney was looking to
offer its clients more services and I was
looking for a firm that would have clients
in need of my services.
"For example, if Plunkett & Cooney has
a client that has a problem or issue that
needs to be resolved by the state Legisla-
ture, I would interface with the state gov-
ernment. I think we'll see more of these
types of affiliations in the legal field." 111

Times

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