Close

Articles Posted in Non-Law Firm Costs

Updated:

Outsourcing inside a far-flung Nestlé’s legal team, and three consequences

Nestlé, with 250 lawyers worldwide, “has a matrix of legal departments covering 52 countries,” according to the Financial Times report, “Innovative Lawyers 2009,” dated Oct. 23, 2009 at 33. The report says that the legal team “has set up centres of skill and scale, where premium, specialist work is carried…

Updated:

Thoughts on different goals of outsourcing, offshoring and unbundling by legal departments

A report from BNA, HR Department Benchmarks and Analysis 2008, pronounced that “Outsourcing of HR functions has become a widespread practice. Three out of four employers have outsourced one or more HR activities. The single most important motivation for HR outsourcing is access to greater expertise, although for the largest…

Updated:

Trivial cost-reduction steps commonly reported by legal departments in survey

Hildebrandt, a unit of Thomson Reuters, released some data on cost control strategies from its 2009 Law Department Survey. Not exactly bold steps taken by general counsel. Reducing travel expenditures tops the list of 18 measures tracked in the survey as the most widely implemented cost savings strategy among law…

Updated:

If procurement (sourcing) wants to make inroads on legal spend, it has to team with the legal group

Procurement professionals may chafe at legal budgets: huge, scattered and opaque, wide variability, ad hoc decisions on retentions of firms, abysmal metrics, and generally a deplorable lack of discipline. Other than that, what legal spends conforms perfectly to model sourcing stratagems. But if sourcing experts step onto the field of…

Updated:

Implications if there is a clustering of settlement amounts in litigation

“It’s a range [of damages] of about 5 percent, one standard deviation from the mean.” That statement comes from Jeff Carr, FMC’s general counsel, whose database of litigation outcomes shows how consistently outcomes converge around a similar amount. The quote comes from Litigation 2009, Fall 2009 at 101. It is…

Updated:

Growth over four years in the number of offshore legal service companies in India

In 2005 there were approximately twenty offshore legal-service providers, according to David Galbenski, Unbound: How Entrepreneurship is Dramatically Transforming Legal Services Today (2009) at 138. “Two years later, in the spring of 2007, there were sixty legal-service companies ready to perform legal outsourcing work. Today, there are over one hundred…

Updated:

More than $60 billion spent in the US to prepare documents for discovery?

“America’s 1,000 largest corporations spend more than $60 billion, or 50 percent of their total legal operating budgets on average, to prepare documents for litigation, which is the single largest legal operating expense for most corporations. The growth of electronically stored information, which is the key driver of this expense,…

Updated:

Clients string out litigation costs because delayed settlement is financially smarter?

Marshall Grossman, a partner at Bingham McCutcheon, is quoted in Litigation 2009, Fall 2009 at 30. He perceives that clients in these malignant economic times may be more reluctant to start lawsuits because of the expense. But, if sued “they are much more anxious to litigate and defer settlement consideration…