How to Negotiate a Billion-Dollar Law Firm Merger

New attorneys often leave law school with a lot of ideas about how the legal system works, but they typically don’t know much about the business of being a lawyer. How do law firms make money? How do they govern themselves? And what trends are shaping the law firms where they will work? On this episode of On the Merits, Bloomberg Law’s Roy Strom spoke with Kevin Burke, a former chairman at Hinshaw & Culbertson who’s now teaching law students the answers to these and other questions about the industry they soon will join. Burke's course at the University of Southern California’s Gould School of Law focuses on the nuts and bolts of law firm financials, operations, and marketing. His students also explore the future of legal practice. Burke tells Roy that students today are more interested than ever to understand the workplaces where they will make their careers. They're also surprisingly optimistic about what artificial intelligence might mean for their work lives. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.

It’s our final episode for the year — and it’s been a year, one that included subtle DEI language, substantial associate bonuses, and the reprise of Donald Trump. Bloomberg Law had a lot of news stories to cover this year. And on this episode of On the Merits, podcast producer Mo Barrow reviews eight of Bloomberg Law's top stories in 2024 with Editor at Large Bernie Kohn. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690

Lawyers have demanding careers with late hours and weekend work, for which many of them are handsomely compensated. So it may be surprising to learn that a growing number of attorneys have or are looking for a side gig. A recent Bloomberg Law survey found that 1 in 5 respondents either have a side gig or want one. For attorneys, a side hustle can be a way to explore their creative side, an opportunity to meet new people and possible new clients, or build some skills for their career. Sometimes, it even opens the door to a completely new career. But for firms and their leaders, how should they adapt to the reality of their lawyers having side jobs? On this episode of our podcast, On the Merits, our guest Robert Chesnut, the former general counsel and chief ethics officer for Airbnb, and current author and Bloomberg Law columnist, talks about the benefits of side gigs as well as the considerations for law firms. He say law firms should be adjusting their code of conduct to prepare for the potential conflicts and cybersecurity issues that could arise. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.

As the presidential transition picks up speed, a legal sector that overwhelmingly supported Kamala Harris is preparing for Donald Trump's return to the White House. A handful of Florida-based big law firms with connections to the incoming administration are hoping to leverage those Trump ties, while Democratic-leaning firms are looking to retool. At the same time, a cryptocurrency industry that spent the Biden presidency playing defense is starting to flex its muscle. The pivot includes a rare public warning from the CEO of Coinbase Global Inc., the exchange, to law firms that may hire outgoing government lawyers who had a hand in crypto regulations. On this episode of our podcast, On The Merits, reporters Meghan Tribe and Justin Henry discuss the Trump transition, Coinbase's shot across the bow, and what these new dynamics may mean for the Big Law landscape and the future of crypto. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690

Plenty of dealmakers expect a boom in M&A activity next year, anticipating a business-friendly Trump administration will rekindle animal spirits. That may mean private-equity firms will unload companies they've held for years. Traditionally, that means Big Law firms will have a flood of work. But it may also mean less of a certain type of complex transaction that has been occurring over the past year: Private equity companies selling pieces of businesses between themselves. On this episode of our podcast, On the Merits, Bloomberg Law’s Roy Strom spoke with Neil Barlow, a private equity partner at Clifford Chance, about what this environment could mean for Big Law's M&A fortunes. The upshot is that lawyers could be trading more complex deals for a greater volume of them. Either way, the trends highlight how important the private equity business has become for global law firms' success. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.

Attorneys have toiled for years in Big Law firms with the hope that one day they would make partner. The title carries prestige—and money, too. But in recent years, the promotion to partner hasn't always meant what it used to. A new class of non-equity partner is on the rise. This means these so-called partners-in-name-only don't own a share of the business and generally make a fraction of the compensation of an equity partner. For some attorneys, this arrangement is just fine, as it gives them an opportunity to build business with the prestigious partner title. But other attorneys aren't happy about it—and they're suing. Bloomberg Law reporter Justin Henry joins this episode of our podcast, On the Merits, to discuss this Big Law trend and what it means for law firms and lawyers. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690

Today’s Big Law firms are huge businesses—the world’s biggest might surpass $8 billion in revenue this year. As the largest firms create an elite tier, more law firm leaders are choosing to achieve scale through mergers. On this episode of our podcast, On The Merits, Bloomberg Law’s Roy Strom spoke with Kent Zimmermann, a principal at law firm consultancy Zeughauser Group, about how leaders close those deals. The process includes showcasing your best attributes, setting expectations for a potential partner, and only closing deals when the firms’ cultures align closely. In other words, it’s a lot like dating. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.

Corporate DEI measures saw a surge during and after the nationwide unrest over George Floyd’s murder by Minneapolis police, but they've since become a major political, legal, and cultural flashpoint. Companies that adopted diversity initiatives in 2020 and afterward are now trying to figure out how to retool as they confront a backlash that seems to be partly about weariness with bureaucratic initiatives, but also partly a reflection of demographic anxieties. On this episode of our podcast, On The Merits, analyst Kate Azevedo and reporter David Hood discuss the challenges that DEI initiatives are facing, the way business and other organizations are responding, and what the future may hold under an incoming administration that's openly hostile to diversity policies. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690

Generative AI has promised to reshape the practice of law ever since ChatGPT emerged. However, it's been unclear just how large law firms are using AI. Has it changed how practitioners do their jobs on a daily basis? Are we witnessing the emergence of a revolution in how lawyers do their work? Uncommon Law's Matthew Schwartz sits in as guest host on this episode of On the Merits. He talks with John Quinn, founder and chair of Quinn Emanuel Urquhart & Sullivan. They discuss Quinns' firm's stance on artificial intelligence and the future of the billable hour. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690

President-elect Donald Trump is poised to further shape a federal judiciary he remade during his first term. Building on his historic number of appointments, including Supreme Court justices Neil Gorsuch, Brett Kavanaugh, and Amy Coney Barrett, Trump will likely choose nominees that are even more reliably conservative this time around. And, because of his success moving the judiciary to the right, Democrats seeking to challenge future Trump policies have fewer options for finding a receptive forum. On this episode of our podcast, On The Merits, Bloomberg Law reporters Tiana Headley and Suzanne Monyak, along with Bloomberg Law columnist and Above the Law founder David Lat, discuss how the Trump team will select judges, who those nominees could be, and what this means for litigators. Do you have feedback on this episode of On The Merits? Give us a call and leave a voicemail at 703-341-3690.