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Professional Services Disruption Threats* & Opportunities*
Stephen J. McGarry
Leadership Directory
Legal and Accounting Executives Page 61
Professional Services Disruption
ii
Lawyers and Accountants
Professional Services Disruption
Threats* and Opportunities*
Stephen J. McGarry
President: AILFN
BA, MA, JD, and LLM (Taxation)
Founder:
Lex Mundi
World Services Group
AILFN
LocateLawNetworks.com
Requests for Qualifications (RFQ)
HG.org
LawyersAccountants.com
Table of Contents
I Summary …………………………………………………………………………………………………………………………………. 1
II Professional Services Markets in the 1980s and 1990s ………………………………………………………….....
(A) Biglaw, Vereins, and the Big Four
(B) Law Firm Networks
(C) Accounting Networks and Associations
(D) Alternative Legal Services Providers
4
III The Future of Biglaw and Vereins …………….….………………..………………………………………………………… 9
IV Threats to Law Firm Networks by the Big Four***** ………………………………………………………………. 12
V Threats to Accounting Networks and Associations by the Big Four** ………………………………………. 15
VI Collaborative and Cooperative Opportunities for Networks ***** …………..………………………………
Issue: Mutual Lack of Information on the Other Profession
Solution: Internal Education and External Promotion of Networks
(A) Lawyers and Accountants – Perspectives
(B) The Global Professional Services Markets
(C) Bridging the Gap – Strategy and Implementation
1. Macro
2. External
3. Internal
4. Websites
5. Database
6. Technology
(D) Opportunities for Networks with Biglaw and “Other” Law and Accounting Associations
(E) Other Services – ALSPs
19
*Threat Level (1-5 stars) *Opportunity Level
VII 12 Conclusions and Predictions ……………………………………………………………………………………………….. 33
Appendix 1 – Global Legal Market – 2000 ………………………..………………………………………………. 35
Appendix 2 – The Big Four and Biglaw Online – Unique Visitors Per Month ………………………. 36
Appendix 3 – Bibliography –017/2018 ……………………………………………………………………………… 37
Appendix 4 – Multidisciplinary Partnerships – Lawyers and Accountants ………………………….
Consultants ( Treatise 2002), Stephen J. McGarry
CHAPTER 14 – Multidisciplinary Organizations (MDOs), the Competitive
Alternative to the Big 5
39
Appendix 5 - Directory of Law and Accounting Network Executives ………………………………….. 61
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I. Summary
Over the last several years, there have been many articles written about the Big Four entering the legal
profession that evoke a sense of déjà vu.1 Their focus has been on the threat to Biglaw, i.e., the largest law
firms based in the largest cities.2 The general consensus is that the Big Four3 will pose a significant threat to
Biglaw practices. (Chart4) Add to this the disaggregation of law-related services by alternative legal service
providers (ALSPs), and there seems to be every reason for concern regarding the future of the legal
profession.
This paper will demonstrate
why this conclusion is incorrect
on a number of levels. The
principal reason is that Biglaw
markets intersect with the Big
Four in the same locations that
both have occupied for
decades (e.g., London, Paris,
Tokyo, Beijing, Mexico City, and
New York, among others).
Adding more lawyers to these
markets has little to no effect
on the competitive
environment. Meanwhile, the separation between the legal and accounting media means that the Big Four
1 J. Patrice, Twilight Of The Law Firms: The Big 4 Are Poised To Conquer The Legal Landscape, ABOVE THE LAW (Feb. 8, 2018), https://abovethelaw.com/2018/02/twilight-of-the-law-firms-the-big-4-are-poised-to-conquer-the-legal-landscape; Nicholas Bruch, David B. Wilkins & Maria J. Esteban Ferrer, Taking on the World: The Big Four in the Global Legal Market, LAW.COM (Oct. 18, 2017), https://www.law.com/americanlawyer/almID/1202798449576; The Big Four’s Expansion in the Legal Services Market, ALM INTELLIGENCE (Sept. 2017), https://www.alm.com/intelligence/solutions-we-provide/business-of-law-solutions/analyst-reports/elephants-in-the-room-the-big-4s-expansion-in-the-legal-services-market/; Steve Burkholder, Law Firms, Regulators Keep Eye on Big Four Move to Legal Services, BNA (Oct. 17, 2017), https://www.bna.com/law-firms-regulators-n73014471292/; Stephen Poor, Big Four vs. Big Law: The Race to Change Legal Services Delivery, BIG LAW
BUSINESS (Oct. 4, 2017), https://biglawbusiness.com/big-four-vs-big-law-the-race-to-change-legal-services-delivery/; Stephen McGarry, The Big Four and the Real threat to the Global Legal Market, LEGAL BUSINESS WORLD (Oct. 7, 2017), https://www.legalbusinessworld.com/single-post/2017/10/04/The-Big-Four-and-the-Real-Global-Legal-Market; David B. Wilkins & Maria J. Esteban Ferrer, The Rise, Transformation, and Potential Future of the Big 4 Accountancy Networks in the Global Legal Services Market, THE CLS BLUE SKY BLOG (Sept. 26, 2017), http://clsbluesky.law.columbia.edu/2017/09/26/the-rise-transformation-and-potential-future-of-the-big-4-accountancy-networks-in-the-global-legal-services-market/; Debra Cassen Weiss, PwC to Open US Law Firm, a Sign of Increasing Focus on Legal Operations by Big 4 Accounting Firms, ABA
JOURNAL (Sept. 21, 2017), http://www.abajournal.com/news/article/pwc_opens_us_legal_arm_a_sign_of_increasing_focus_on_legal_operations_by_bi; Chris Johnson, Do the Big Four Accounting Firms Pose a Big Threat to Big Law? LAW.COM (Sept. 14, 2017), https://www.law.com/sites/almstaff/2017/09/14/do-the-big-four-accounting-firms-pose-a-big-threat-to-big-law/; Michael Cohn, Big Four Increasingly Competing with Law Firms, ACCOUNTING TODAY (Sept. 14 2017), https://www.accountingtoday.com/news/big-four-accounting-firms-are-increasingly-competing-with-law-firms; David Wilkins & Maria Jose Esteban, The Reemergence of the Big Four in Law, HARVARD CENTER ON THE LEGAL PROFESSION (Jan. 2016) (global legal market is $700 billion), https://thepractice.law.harvard.edu/issue/volume-2-issue-2/; Julius Melnitzer, Accounting Firms in Law: The Long Game, LEXPERT (Sept. 11, 2017), http://www.lexpert.ca/article/the-long-game/?p=&sitecode=Miriam Roze; Miriam Rozen, Brand Rankings Show Law Firm Alternatives' Growing Clout, LAW.COM (Feb. 14, 2018), https://www.law.com/americanlawyer/2018/02/14/brand-rankings-show-law-firm-alternatives-growing-/. 2 List of Largest Law Firms by Revenue, WIKIPEDIA, https://en.wikipedia.org/wiki/List_of_largest_law_firms_by_revenue. 3 Big Four Accounting Firms, WIKIPEDIA, https://en.wikipedia.org/wiki/Big_Four_accounting_firms. 4 Nicholas Bruch & James Mayer, The Big Four’s Expansion in the Legal Services Market, ALM.COM (Sept. 2017), https://www.alm.com/intelligence/solutions-we-provide/business-of-law-solutions/analyst-reports/elephants-in-the-room-the-big-4s-expansion-in-the-legal-services-market/.
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are not yet recognized as part of the legal profession.5 Formal integration and recognition of the Big Four will
require a considerable amount of time and resources on their part.
What is actually taking place is the redistribution of legal services everywhere else in the world – except for
the United States and the major markets. This leaves indigenous firms to face the brunt of new competition
from the Big Four. These are countries in which the Big Four already have a large local presence and are local
themselves in every sense. In turn, this will affect law firm networks whose members are among the largest
local firms.
This paper will discuss:
The changing parameters of competition from a global market point of view
New and unexpected competition for the Big Four because of their competitors’ potential local
alliances
Significant opportunities being created for independent law firms, networks, and allied ALSPs
Development in technology that may overwhelm the Big Four as it becomes universally available
Networks will themselves become more sophisticated as a result of this technology’s availability. Technology
will also be used externally to promote networks and their work. For example, AILFN’s
LawyersAccountants.com and Requests for Qualifications (RFQ) already make network members accessible
to everyone in minutes by exact expertise — everywhere on earth. These have now been extended to locating
independent accounting firms.
As the Big Four enter the legal markets, referral patterns will shift. Biglaw firms will refer cases to local law
and accounting firms that are network members, as they are not in direct competition with each other.
ALSPs (alternative legal services providers) will grow; they are projected to provide $27 billion in law-related
services by 2024,6 and their primary competition will be the Big Four. They can easily become an ally of both
Biglaw and legal networks. They can easily be factored into LawyersAccountants.com as a source of referrals.
The legal profession has nothing to fear if they anticipate these tectonic changes. The future is bright for
members of law and accounting networks, as well as associations of independent firms.
Paper Structure
The paper will provide both a macro overview and micro details of each profession and their respective
models for providing professional services.
Sections I-V set the stage by analyzing the culture, economic and dynamics of these professions; they
also describe the cooperative and collaborative opportunities generated by the disruptions.
Section VI defines how, through cooperation and collaboration, legal and accounting networks and
associations, Biglaw, and ALSPs can profoundly benefit from this disruption.
5 See discussion at Section III, infra. 6 Legal Process Outsourcing (LPO) Market Worth $27.19 Billion By 2024, GRANDVIEW RESEARCH (Dec. 2016), https://www.grandviewresearch.com/press-release/global-legal-process-outsourcing-lpo-market.
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Today and Tomorrow
Setting the Stage: Law7 and Accounting8 - The $1.1 trillion market
Potential Projected Market Consolidation, 2018 to 20219
7 Attack of the Bean Counters, THE ECONOMIST (March 19, 2015); https://www.economist.com/news/business/21646741-lawyers-beware-accountants-are-coming-after-your-business-attack-bean-counters; Taking on the World: The Big Four in the Global Legal Market, AMERICAN LAWYER (Oct. 18, 2017), https://www.law.com/americanlawyer/sites/americanlawyer/2017/10/18/taking-on-the-world-the-big-four-in-the-global-legal-market/?slreturn=20171117172407; Nicholas Bruch, David B. Wilkins & Maria J. Esteban Ferrer, Taking on the World: The Big Four in the Global Legal Market, LAW.COM (Oct. 18, 2017), https://www.law.com/americanlawyer/almID/1202798449576. 8 Global Accounting Market Research Report, IBISWORLD (Sept. 2017), https://www.ibisworld.com/industry-trends/global-industry-reports/business-activities/accounting-services.html; Auditor Market Share of S&P, AUDIT ANALYTICS (Feb. 27, 2017), http://www.auditanalytics.com/blog/auditor-market-share-of-the-sp-500/; Mike Robinson, The Top 40 Networks & Associations of 2016, ACCOUNTANCY AGE (July 13, 2016), https://www.accountancyage.com/2016/07/13/the-top-40-networks-2016-firms-switching-networks-like-a-game-of-musical-chairs/. 9 Chart adapted from: Steven Martin, 3 Charts Which Illustrate the Future of the Legal Industry, FRESH MINDS (April 13, 2017), http://www.freshminds.net/2017/04/3-charts-illustrate-future-legal-industry/.
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II. Professional Services Markets in the 1980s and 1990s
Law and accounting can be approached from several different perspectives (some examples being ethical,
legal, and business, among others). This paper primarily concerns law and accounting as businesses. From
this perspective, these services12 relate to the scope and depth of the professional expertise and experience
of their attorneys and accountants. They also both concern the organizations providing support structures in
the provision of services. A shift or change in law or accounting practices, such as entering the geographical
areas and practice markets of the other profession, will ripple or even create a tsunami capable of traveling
across the world. New market penetration by one profession increases pressure on the others to maintain
the status quo. It is a zero-sum game.
Most would prefer to defend the status quo. There are others who seek to exploit them to create new
opportunities. Today, both are simultaneously happening in the legal and accounting professions. Who will
win?
How did we get here?
(A) Biglaw, Vereins, and the Big Four
The legal market reconfiguration began in the 1980s with globalization.13 The largest U.S. and U.K. firms were
quickly expanding outside of their markets with branch offices. Their considerable revenues and size
accelerated their capacity to expand.
Law firm networks, composed of local firms, were rapidly being established and growing to address these
competitive changes.14 In those years, Biglaw was seen as a threat to the local firms. Today, they remain as
such in regard to the largest local firms (see table), given their financial size and — in particular — brand
recognition.
The Big Five15 emerged from the shadows at the end of the 1990s in the legal market. The higher fees were
too large a temptation. They need to take advantage of their global network. They saw themselves as a
natural fit for the legal profession.
As a result of their auditing practices, they had been global for decades. This was different from Biglaw which
had to invest in new offices. The only impediments to this extension of services were bar associations and
ethical regulations.16
The debate lasted for several years until Enron and Sarbanes Oxley seemingly ended this expansion.17
This set off a firestorm in the legal profession to maintain the status quo. This intrusion caused commissions
to be established, articles written, and committees created. While global, the storm was essentially
concentrated in the United States because of strict ethics codes prohibiting the sharing of fees with non-
lawyers. Soon after, however, it spread to other nations. It was not the debate that seemly eliminated the
12 Accounting, WIKIPEDIA, https://en.wikipedia.org/wiki/Accounting. 13 Stephen McGarry, Multidisciplinary Practices, Lawyers, Accountants and Consultants, ALM (2002). 14 Stephen McGarry, The Handbook – Law Firm Networks, AILFN (2018) (see chapter 1). 15 The Big Five included Arthur Anderson, which ceased to exist in September 2002 as a result of the Enron scandal. 16 American Bar Association Rule 5.4: Professional Independence of a Lawyer, available at https://www.americanbar.org/groups/professional_responsibility/publications/model_rules_of_professional_conduct/rule_5_4_professional_independence_of_a_lawyer.html. 17 American Bar Association, Commission on Multidisciplinary Practice, available at https://www.americanbar.org/groups/professional_responsibility/commission_multidisciplinary_practice/febmdp.html.
Professional Services Disruption
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expansion but Enron and Sarbanes Oxley.21 While not exactly sub rasa, the expansion continued in countries
which did not have the same ethical restrictions as the United States.
This left Biglaw to continue their own global expansion. This effort did not last long. Reality struck Biglaw
when their international expansion hit a wall during the worldwide recession in 2008. Managing dozens of
their own offices was no longer financially practical in a recession,
and so they consolidated offices in key commercial centers. If a
branch was outside of a commercial center, they kept it only if
another Biglaw firms did not have an office in that location.27 Other
also restructured the firms into vereins, a network or type of club or
association under Swiss law; this allowed them to reduce financial
risk, because each member firm remained independent. The result
is today Biglaw is competitively squeezed between vereins and the
Big Four.
What was the actual reality in the late 1990s? The legal media was
abuzz with the dire implications (much as the media are today).
Global practice charts illustrated issues and compared income
among firms to show different aspects of the market. They focused
on the micro aspect rather than the macro economics. The fact is
the relative market share for the Big Five firms never exceeded 0.4%
of the total legal market which remains the same today.
The contrast between size and markets (or countries) is illustrated
by the opposite two charts. While the size of individual law firms is similar to the Big Four, the Big Four legal
practices are, on average, located in more than twice the number of countries.
Financially, each of the largest firms or vereins has
revenues exceeding the combined total of $2 billion of
legal services provided by the Big Four.30 The risk to
Biglaw is illustrated by the sheer size of the Big Four’s
legal coverage. Biglaw is confined to the same exact 30
locations (Paris, London, Frankfurt, Beijing, Rio de
Janeiro, etc.) in which the Big Four have their largest
office.
The risk for Biglaw is that their market footprint is smaller
than vereins and the Big Four, as illustrated by the charts
below. As financially-interconnected firms, their growth
continues to be limited. Additionally, they are not able to
combine resources with accounting networks and associations as a result of their structures.
21 Big Four Accounting Firms, WIKIPEDIA, https://en.wikipedia.org/wiki/Big_Four_accounting_firms; Enron, WIKIPEDIA, https://en.wikipedia.org/wiki/Enron. 27 Supra note 11. 30 David Wilkins & Maria Jose Esteban, The Reemergence of the Big Four in Law, HARVARD CENTER ON THE LEGAL PROFESSION (Jan. 2016) (global legal market is $700 billion), https://thepractice.law.harvard.edu/issue/volume-2-issue-2/.
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(B) Law Firm Networks
While this was developing, more than 150 legal networks
were almost silently created in response. The 30 largest
networks have 300,000 attorneys in 4,000 firms. The three
largest networks have more attorneys than the 20 largest
law firms combined.
Up until now, everyone has all but ignored law firm
networks. They are composed of local firms in small
jurisdictions.31 However, in their markets, they may be the
largest firms by size, surpassing both Biglaw and the Big
Four. Despite this, they lack recognition and are largely ignored in the legal media.32
Gradually, networks developed substantial
resources. Many have multimillion-dollar
budgets. Their staffs have grown. As the
global market grew, their local members
firms gained access to the same resources
as Biglaw. In combination with the largest
local firms, they are many times larger than
foreign offices; this is because of the
proliferation of technology. There attorneys
31 Stephen McGarry, The Handbook: Law Firm Networks, AILFN (2018), 32 In The Lawyer over the last 20 years Clifford Chance was referred to10261 times and Lex Mundi 105. Lex Mundi members have 10 times the number of lawyers, found in 600 offices, who provide an estimated $10 billion of services annually to clients/
Professional Services Disruption
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can provide exactly the same services as the largest firms in the economic centers. Their advantage is they
are local.
This resulted from three factors: First, there is now universal legal education via which students from all
countries can achieve LLMs abroad. Secondly, organizations like the International Bar Association (IBA) and
the American Bar Association (ABA) have contributed to educating the global profession. Lastly, and perhaps
most importantly, they are involved as local counsel on most matters with Biglaw.
How can one subjectively evaluate a legal network and their members? There are three ways:
1. Size is an indirect measure of the reflection of member firms and their number. In this regard, the
largest networks’ footprints are equal to any
of the Big Four. Statistically, the number of
ranked members of any country’s law
networks is far larger in terms of the number
Biglaw or the Big Four. However, this fact is
not common knowledge, because network
members are in smaller countries and receive
very little media attention. This is contrasted
by the Big Four, which are also in small
jurisdictions but are recognized by their
presence in the largest countries. When a Big
Four member opens a legal office in the
smallest country, it is big news.
2. Network firms are local and of the highest
quality, but they are not perceived as such.
This difference is dramatically illustrated by
the number of directories published
annually, in which more than 95 percent of
these firms are the highest ranked. These are
the same firms that are members of networks
but are not recognized as members in
rankings.33
3. Despite high rankings in practice areas, the common perception is that the global firms have more
experience and are of higher quality. This perception is created by the legal media, whose offices are
in New York and London.
The combination of these factors reduce the perceived importance of law firm network members in their
countries. They should be measured by the scope of their practices and the quality of their services.
33 See Chambers and Partners, the Legal 500, and IFLR 1000.
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(C) Accounting Networks and Associations
The market forces creating
disruption in the legal
profession34 are simultaneously
creating opportunities in the
accounting profession. When
the Big Four expands to legal
services, it shifts the referral
pattern from the Big Four to
other accounting firms which
are not competitors of law
firms.
The history of accounting
networks and associations was
different from legal networks.
While they were created for
similar reasons as law firm
networks, i.e. to provide an alternative, the difference was that their consolidation began much earlier. As a
result they used the same network model, unlike Biglaw which used the firm model.
The competition is and always has been head-on, since a continuous consolidation has taken place over
decades.36 The market has become complacent given the very large difference between the Big Four and the
networks/associations.
As only a limited number of accounting firms can be network members, this has pushed the continuing need
for the development of new networks.37 However, there may be an effective limit on the number that can be
created. This has raised two questions: Can the association/network members sustain this new competition
for the best clients? Can any network or association by itself compete with the Big Four?
What opens the Big Four to a challenge by other networks and associations is technology. It can change the
equilibrium without the investment level required to create the Big Four.
(D) Alternative Legal Services Providers (ALSPs)
New players emerged much later with legal process outsourcing (LPO) services.39 To a large extent, they were
document management services. This has given way to new groups of services renamed “alternative legal
services providers.” The range of services has greatly expanded. At first, the charge was led by independent
34 John Gould & Michael Stacey, Are Accountants Disrupting the Legal Services Market? ECONOMIA (Jan. 14, 2016), http://economia.icaew.com/opinion/january-2016/are-accountants-disrupting-the-legal-services-market. 36 Big Four Accounting Firms, WIKIPEDIA, https://en.wikipedia.org/wiki/Big_Four_accounting_firms. 37 Charles W. Wootton, Carel M. Wolk, & Carol Normand, An Historical Perspective on Mergers and Acquisitions by Major US Accounting Firms, SAGE
JOURNALS (May 1, 2003), http://journals.sagepub.com/doi/10.1177/103237320300800103. 39 Legal Process Outsourcing, WIKIPEDIA, https://en.wikipedia.org/wiki/Legal_outsourcing.
Professional Services Disruption
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companies, but now those services are being provided by the Big Four.40 This expands the Big Four from audit
and accounting to legal services and management services.
Section summary: Legal and accounting services are inter-related, but they provide different components of
professional services. From an accounting perspective, legal services are simply another service they can offer
clients41. This also applies to ALSPs. From the law firm perspective, legal practice is unique. As a result of an
extensive list of ethical rules, some would argue it is more professional. Other would argue law is a business
subject to what the client wishes to purchase.
In a world of professional services convergence and disaggregation, both views have their merits. The result
is disruption.
40 Neil Rose, Growth of Alternative Providers – Especially Big 4 – Could Push Law Firms into ‘Contractor’ Role, LEGAL FUTUREs (Feb. 1, 2017), https://www.legalfutures.co.uk/latest-news/growth-alternative-providers-especially-big-4-push-law-firms-contractor-role; David Curle, Alternative Legal Service Providers: Changing Buyer Perception, THOMSON REUTERS LEGAL (May 2, 2017), https://blogs.thomsonreuters.com/answerson/alternative-legal-service-providers-buyer-perception/; Mark A. Cohen, Legal Delivery at the Speed of Business -- and Why It Matters, FORBES (June 25, 2018), https://www.forbes.com/sites/markcohen1/2018/06/25/legal-delivery-at-the-speed-of-business-and-why-it-matters/.
41
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III. The Future of Biglaw and Vereins
Biglaw has a bright future in the medium term, despite external market pressures. The primary threats,
however, come from existing law firm competitors in particular the vereins because they have adopted the
network model. The threat do not come from the Big
Four accounting firms.
There are eight reasons.
1. Biglaw has a substantial legal presence in 30 countries
more significant than those occupied by the Big Four.42
Any increase in the Big Four’s footprint represents only
marginal growth in competition in those countries.
(Chart 43)
2. The largest law firms have substantial brand
recognition44 and are known for particular practices as a
result of Chambers and Partners or Legal 500 rankings.
3. The Big Four are not ranked in these directories,
examples being Chambers and Partners and the Legal
500. Entry would require a substantial shift in recognition
by directories. It would also require the directories to make
evaluations for which they are not prepared and in which they have
no financial interest.
4. Biglaw has had decades to develop practices in dozens of areas.45
The Big Four are not recognized in these practices. They have
concentrated on tax, finance, M&A, labor, and immigration.46
5. Unlike accounting, there are hundreds of other practice areas. It
will take substantial time and resources to develop these practices.
6. General counsel started their careers comes in Biglaw and law
firms. It will take years to change this cultural preference.
7. In terms of internal business operations, the legal and financial
services departments are separate and protected functions. This
internal corporate barrier can actually limit the migration of legal
services to accounting.
42 PWC has 49 partner level attorneys in all of the UK. This is a tiny amount compared to law firms. Michael Kapoor, Big 4 Firms Plot Moves Into Global Niche Legal Markets, July 4, 2018 https://biglawbusiness.com/big-4-firms-plot-moves-into-global-niche-legal-markets/ 43 Acritas, Steve Blundell, Market analysis 44 Acritas, Global Elite Ranking, http://www.acritas.com/global-elite-law-firm-brand-index-2016 45 See articles Appendix id 46 The Big Four’s Expansion in the Legal Services Market, ALM INTELLIGENCE (Sept. 2017), https://www.alm.com/intelligence/solutions-we-provide/business-of-law-solutions/analyst-reports/elephants-in-the-room-the-big-4s-expansion-in-the-legal-services-market/.
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8. Biglaw can hire at the same levels or higher as the Big Four. This is reflected by the starting income of
new attorneys in major markets.47
In the longer term, there is a Big
Four threat to Biglaw at the
marketing, administrative, and
operations levels concerning
branding, social media, and
operation efficiencies.
Size
Size can be measured by the
number of lawyers, gross
revenue, profit margin and
number of offices. The largest
firm’s market share is essentially
fixed at less than 0.5 percent of
the global market.48 Doubling in
size will not significantly affect that
percentage. As each grows, the competition
will increase and additional costs will be
incurred. This is illustrated on the
concentration chart as the largest firms
remaining at the lowest level.
The number of offices and the profit per
lawyer are related. However, because the
highlight firms are vereins in which each
member is financially independent, it is not
possible to do a comparison. The firms in the
largest jurisdictions are likely to have similar
profit per lawyer as the non-vereins.
This would be comparable to the Big Four
legal where each firm is independent so
profits per partner will vary depending on the country.
Brand
The Big Four are already consolidated organizations at the top of their market development. The largest law
firms cannot achieve this without substantial consolidation of their markets. Is a 20,000-person firm possible?
Yes, a verein could grow to this size, but even then, it would be smaller than the largest legal networks.49
47id 48 List of largest law firms by revenue, https://en.wikipedia.org/wiki/List_of_largest_law_firms_by_revenue 49 Steven Martin, 3 Charts Which Illustrate the Future of the Legal Industry, FRESH MINDS (April 13, 2017), http://www.freshminds.net/2017/04/3-charts-illustrate-future-legal-industry/.
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Operations
The Big Four can offer integrated services beyond law that go
to management of the entire project. This is a true one stop
shop which in essence the exact purpose of the
multidisciplinary practice model. This is illustrated by EY –
OME Law. 51
The alternative is for law firms to create a joint venture with
ALSPs. Given the large number of law firms and the limited
number of ALSPs, this is not a practical solution.
Both professions can do the same thing. Law firms are
branching into this level of cooperation by bringing in
ALSPs.52 The Big Four are doing the same thing with law.53
Social Media
Social media will continue to grow in importance. While law firms at the top level will not be engaged because
of social member, it does mirror how a firm or company is perceived. The size and existing brand recognition
has created an inherent level of market awareness surrounding the Big Four. This is reflected by the number
of unique users going to the Big Four websites (more than 10 times the competing law firms and the LPO
providers).
(See Appendix 2 for enlarged version)
51 Rutger Lambriex, Operating Model Effectiveness, EY, http://www.ey.com/gl/en/services/tax/law/ey-law-solutions-operating-model-effectiveness. 52 id 53 id
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It is unlikely that any one firm can ever reach this number of unique users.54 This means that marketing
revenue must be spent to differentiate one firm from another. Given the number of law firms in the same
space only further increases the costs.
Section summary, the principal reason why Biglaw has nothing to fear in the medium term is because they
have offices in the same markets as their competition which cumulatively are much larger that the Big Four
who have focused on the smaller jurisdictions to expand. This means that adding more lawyers to these
markets has a small or no effect on the competitive environment.
The separation within the legal and accounting media means that the Big Four are not yet “formally”
recognized as part of the legal profession.55 Formal integration and recognition will require a considerable
amount of time and resources on their part, which is to Biglaw’s present advantage.
54 Similarweb.com Collected May 28, 2018 55 See discussion at Section III, infra.
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IV. Threats to Law Firm Networks by the Big Four*****
In a global market, it is all about numbers and professional media coverage.
A comparison of the number of countries covered by the Big Four and Biglaw shows why the competition
among local firms reflects the tectonic shift in the referral pattern.
The top 10 largest networks have a presence
in, on average, 80 countries. This is similar to
the Big Four. Biglaw averages 30 countries.
However, when one looks beyond the
numbers to the location and relative size in
the markets, there is no comparison. While
many network firms are of small and medium
size, a number of law firm networks include
the very largest firms in these countries.
In the case of the Big Four, they have been in
each of those 80 countries for decades. This is
similar to local law firms. Since they are
networks, creating a substantial legal practice
is not that difficult. Once created, they will be
in direct competition with local indigenous
firms in a relatively short period of time.
The Big Four have been expanding in legal for
more than 20 years in these countries. While
the focus of recent articles and discussion is
on the effects on “Biglaw,” the real and
immediate effects will be felt by law firm
networks and their respective members
because of head-to-head competition.56
Why? The largest law firms are generally
located in only 30 countries.57 On the other hand, law firm network members are in 80 countries without
significant international competition — until now. Network members have or will have several areas of
competitors in the Big Four. Because the Big Four are networks (not firms), their expansion is likely to be
exponential. Additionally, local Big Four firms are and have been part of the native business community for
decades. This greatly increases the threat, since they are all indigenous.
56 Jim Middlemiss, Accounting for Legal Work, CANADIAN LAWYER (April 2, 2018), http://www.canadianlawyermag.com/author/jim-middlemiss/accounting-for-legal-work-15535/. 57 Id.
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Law firm networks, despite their size, are not well-known. Compare this to Biglaw and the Big Four. While
Biglaw’s number of attorneys is fewer, media recognition for the Big Four is hundreds of times higher58
Local firms are also being assaulted from law vereins. They have substantial recognition (see Hungary table)
and large marketing budgets. The vereins are not limited by their structure. Unlike accounting networks, law
firms often belong to multiple networks which make membership in a verein inviting.61 As the vereins enter
the market by merging with local firms, a competitive threat is created.
An example is what happened in Houston, Texas when nine new firms entered the Houston market.62 The
same will occur to local firms in other countries.
58 id 61 LOCATE LAW NETWORKS, available at http://www.locatelawnetworks.com. 62Nicholas Bruch, When Regional Legal Markets Get “Invaded”: The Impact on Local Firms, LAW.COM (June 12, 2018), https://www.law.com/2018/06/12/when-regional-legal-markets-get-invaded-the-impact-on-local-firms?et=editorial&bu=ALM%20Intelligence&cn=20180628&src=EMC-Email&pt=Analyst%20Brief (an excerpt of ALM Intelligence's recent report on the invasion of regional legal markets and how mid-sized firms should respond).
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This illustrated in the Hungarian legal
market. Local firms compete against the
must larger and the much better
recognized Big Four and law firm vereins.
This is for clients and legal talent. The
competitor provide significant pressure.t
The Big Four can also be considered
invaders even though they offices in most
countries and are local in every sense.63
Their legal practices are an invasion not different from the firms entering the Houston market.
However, it is here that opportunities are created. It means that local law firms no longer will refer to
accounting firms but require reliable substitutes. It means also that Biglaw will refer to local law firms and
local accounting offices. The potential exists because law firm network members have the same competitive
footprint as accounting networks and associations. Cooperation and collaboration are only logical.
Section Summary: The future of law firm networks is secure for a few more years. However, in the longer
term, there will be an erosion of their membership. The members themselves will face new competition with
the Big Four’s legal division and also from vereins. They will also be invited to become members of a verein.
They are already in competition for the best lawyers. Vereins and the Big Four have greater resources and
name recognition which will attract professionals.
The principal competitive advantage is that networks are large and have global coverage which can be
combined with accounting networks and associations. How these are used will determine their future.
63 The Big Four’s Expansion in the Legal Services Market, ALM INTELLIGENCE (Sept. 2017), https://www.alm.com/intelligence/solutions-we-provide/business-of-law-solutions/analyst-reports/elephants-in-the-room-the-big-4s-expansion-in-the-legal-services-market/.
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V. Threats to Accounting64 Networks and Associations by the Big Four**
The Big Four, as networks of independent firms,65 are much larger than other individual accounting networks
and associations. (This is obvious by their name.) It is also obvious that the accounting networks and
associations, aside from the Big Four, are not well-known to anyone outside of the accounting profession.
However, as a result, networks and associations, being the model for accounting firms are at least recognized
as legitimate.
The advantage is that accounting networks and associations have recognized their common potential and
competitive position. This is very different than in the legal profession, where networks are isolated and
operate within their own world. For example, the accounting associations and networks formed EGIAN in
2009. Its objective was to lobby the European Union to adopt policies to promote competition.66 This reflects
an alliance culture in their profession.67
Lack of Information on Networks and Associations
Informational works are dependent upon publications such as Accountancy Age,69 Accounting Today,70 and
International Accounting Bulletin.71
While there are online directories, they are very different from the ranking directories fount in law.72 These
publication do provide an advantage in that routinely write about the networks and associations.. This is very
different from law firm networks, which are only references them in passing — if at all. The legal media
concentrates on the same 50 law firms.
Accounting networks share the same issue as law where there is no connection between membership and
the network in non-branded organizations. The vereins have occupied this space in legal, as has Grant
Thornton, BDO, and several other networks in accounting with a brand.
Revenue Statistics
What is different in accounting is the availability of statistics to compare networks and associations by many
different types of metrics.
The accounting media also focuses on statistics, which is understandable. This chart is created each year by
Accountancy Age73. The results are used by the associations and networks in their marketing materials.
64 Accounting services have been redefined with different terminology. For example, PwC focuses on audit and assurance, tax, and consulting services. Deloitte’s practice is audit, consulting, tax, and advisory services. EY services are advisory, assurance, tax, and transaction services. 65 Accounting Networks and Associations, WIKIPEDIA, https://en.wikipedia.org/wiki/Accounting_networks_and_associations. 66 EGIAN, available at http://www.egian.eu/about_key.htm. 67 Tyrone Pitsis, Martin Kornberger & Steward Clegg, The Art of Managing Relationships in Interorganizational Collaboration, CAIRN.INFO (2004) https://www.cairn.info/revue-management-2004-3-page-47.htm. 69 ACCOUNTANCY AGE, available at https://www.accountancyage.com/. 70 ACCOUNTING TODAY, available at https://www.accountingtoday.com/. 71 INTERNATIONAL ACCOUNTING BULLETIN, available at www.internationalaccountingbulletin.com. 72 AICPA, available at https://www.aicpa.org/signin.html?returnTo=/content/dam/aicpa/research/externallinks/downloadabledocuments/firmassociationservices.xls%3FcontentType%3Dsecured (the AICPA published a paywall-protected directory of associations and networks). 73 Accountancy Age, October 17, 2016.
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Each year, a veritable tidal wave of statistics is provided by networks to the media, which focuses the
discussion on objective analysis. (This is not done in the legal profession whose only focus is on large law
firm) It makes relative comparison almost impossible between
law firms and legal networks. Without these statistics, who
would know that there are 20 networks and associations whose
members have cumulative revenues of more than $1 billion
annually.
Information in accounting networks is usually based upon gross
revenue of their members. When various types of revenue are
divided into practices, the picture of accounting services is
potentially quite different. When auditing is removed, the remainder is $80 billion, which is not significantly
greater than the combined revenues of accounting networks and associations. Technology can change this,
but it remains a long-term issue.
What is not obvious is that as a whole, members of accounting networks and associations provide a similar
level of accounting services annually to their
clients. This is because approximately 40
percent of the Big Four’s revenue is derived
from audits.74
As previously established, the Big Four enjoy
vast recognition by the world at large. This is
illustrated clearly in the media, where the
74 Revenue of the Big Four Accounting and Audit Firms Worldwide in 2017, by Function (in Billion U. S. Dollars), STATISTA, https://www.statista.com/statistics/250935/big-four-accounting-firms-breakdown-of-revenues/.
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Big Four have (on average) five million unique views per month.75 Compare this to BDO, which gets fewer
than 250,000.76
The technology investment by each Big Four member is considerable. This means while there are quality
firms, at the same level, accounting networks and their members have the very difficult task of making the
case for their quality. This is compounded by little no advertising or marketing by the networks.
The threat is that the Big Four can grow exponentially grow as a result of large budgets. Cumulatively,
networks have the potential for greater growth since there are five times more of them. This would require
their expansion at a similar level.
This cannot happen without the collaboration of law firm networks.
75 Id. 76 SIMILARWEB, available at http://www.similarweb.com (analysis conducted on May 31, 2018).
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Section Summary: The future of accounting networks and associations is secure. Since they have always been
in competition with the Big Four for decades, the competitive equation will not substantially change without
rethinking their objectives. The members themselves will face new competition in the form of legal and ALSP
services that the typical member will not be able to offer. This will potentially marginalize their client
offerings. Even with similar services, lack of resources and name recognition will be serious impediments to
market differentiation leading to growth.
The principal competitive advantage is that networks have cumulative size and global coverage. Deployed
with law firms that are members of networks and ALSPs, they have significant opportunities.
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VI. Collaborative and Cooperative Opportunities for Networks*****
There are two principal commonalities for both professions: Do right by the clients. Grow and expand your
business. This section focuses on the creation of opportunities that can be developed through cooperation
and collaboration between the legal and accounting networks.
Collaborative Relationships
The previous section analyzed the tectonic shifts in market competition among the Big Four, Biglaw, and
network members. If opportunities may be propelled by competition, they are created by interorganizational
cooperation and collaboration.77 “Cooperation is the process of groups of organisms working or acting
together for common, mutual, or some underlying benefit, as opposed to working in competition for selfish
benefit.”78 “Interorganizational collaboration may be defined as a process through which parties, who see
different aspects of a problem, can constructively explore their differences and search for solutions that go
beyond their own limited vision of what is possible.”79
Professional services firms reflect the collective attitudes and perspectives of the professionals. Over the
years these have been categorized for lawyers and accountants. 80
Attitudes regarding collaboration are also different for each generation; Baby Boomers and Generation X
have different perspectives, for example.81 Generation Y82 professionals have now entered the accounting
and legal professions. They have grown up with the same hierarchical institutional foundation as their parents
and grandparents, but they entered the Internet age in their teens. They are part of a new culture based
upon open relationships with diverse groups around the world. In five years, the first Generation Z
professionals will enter the legal and accounting professions. These are professionals whose lives are now
shaped by the Internet and, in particular, Facebook, LinkedIn, and other Internet tools. They will carry the
social network model to the professional services business network.
When professions expand, they encounter these cultures with their firms and as they interact with other
organizations. Market forces compound their effects. This discussion is different from market analysis and
goes to cultural differences and similarities that must be taken into account for interorganizational
collaboration..
(A) Lawyers and Accountants – Perspectives
To understand the synergies within these professions at the network level, it is important to understand both
their common and different perspectives that have developed through their practices. This will allow for the
design of strategies where they can meet to achieve common objectives. It is also necessary to factor in other
77 Tyrone Pitsis, Martin Kornberger & Steward Clegg, The Art of Managing Relationships in Interorganizational Collaboration, CAIRN.INFO (2004) https://www.cairn.info/revue-management-2004-3-page-47.htm; Heidi Gardener, Collaborating Better Across Silos, HARVARD BUS. REV. (Jan. 5, 2017), https://hbr.org/ideacast/2017/01/collaborating-better-across-silos.html. 78 PATRIK LINDENFORS, FOR WHOSE BENEFIT? THE BIOLOGICAL AND CULTURAL EVOLUTION OF HUMAN COOPERATION (Springer 2017). 79 B. GRAY, COLLABORATING: FINDING COMMON GROUND FOR MULTIPARTY PROBLEMS (Jossey-Bass 1989). 80 Larry Richard, Herding Cats: The Lawyer Personality Revealed, http://www.lawyerbrain.com/sites/default/files/caliper_herding_cats.pdf, Torri Myler, 10 Traits Every Great Accountant Has, https://www.accountingweb.com/community-voice/blogs/torri-myler/10-traits-every-great-accountant-has 81 Nancy Peppard, Closing the Generation Gap: Managing the Multigenerational Law Firm, 32 L. PRAC. MGMT. 30 (June 2006). 82 Generation Y, WIKIPEDIA, en.wikipedia.org/wiki/Generation (Generation Y refers to the generation born between 1980 and 1990. In 2013, this generation would have been 23 to 33 years old).
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organizations to which these professions look for guidance. When creating new opportunities, this means
forming new collaborative relationships.
Each profession starts out speaking a different cultural language. It is imperative to recognize what each is
trying to convey. Nothing should be taken for granted. The skills may be different, but they must be respected
and understood. Simply put, lawyers cannot provide accounting advice, and accountants cannot provide legal
advice. However, they often need to connect with each other; this means they can and should establish good
working relationships.
Cooperation is necessary because of an increasingly litigious and multifaceted environment. Clients are now
employing complex structures to manage their personal and business affairs. Both propel collaboration
between the two professions.
Before one can create opportunities, there must be some analysis of each profession’s subjective qualities.
It is also necessary to understand within each profession how they cooperate to maintain standards of
professionalism and quality. It is against this multi-tiered backdrop that opportunities must be viewed. The
true convergence occurs because at the heart of the matter is the best interest of the client.
Accountants
Accountants focus on numbers, which are (in theory) objective. While working in the best interest of their
clients, society has also given them the role of public watchdogs as a result of their audit function.
Accountants must serve the public when they are acting as independent auditors, but when preparing a
client's tax returns they are certainly hired as advocates; as such, their work papers are privileged.83
There are a number of organizations in which accounting firms are members. Examples are IFAC,84 AICPA,85
the International Auditing and Assurance Standards Board,86 and the Association of Certified Chartered
Accountants.87 The difference between these organizations and networks or associations is that the latter
examples focus on relationships in regard to clients. The former’s primary function is policy.
Like all professions, the media and profession ranks firms by size. Like law there are various tiers with the Big
Four on the top level. The rankings have an effect on the perspective of each firm.
Lawyers
While lawyers have some public obligations, the primary focus of legal representation is associated with the
attorney-client relationship. The perception is that they are confrontational rather than collaborative.88
Broad attorney-client privilege protects the secrecy of what a client tells his lawyer, and the “work product”
doctrine protects a client against having his lawyer’s work papers brought into court as evidence against him.
It is illustrative of the idea that everything is a confrontation.
There are some areas in which attorneys are collaborative. For example, there are a number of organizations
in which law firm attorneys are the principal members, the most prominent examples being the American
83 Accountant, WIKIPEDIA, https://en.wikipedia.org/wiki/Accountant%E2%80%93client_privilege. 84 IFAC, available at https://www.ifac.org/. 85 AICPA, available at https://www.aicpa.org/. 86 IAASB, available at https://www.iaasb.org/. 87 ACCA GLOBAL, available at http://www.accaglobal.com/. 88 Mark A. Cohen, How Important is Collaboration for Lawyers? LEGAL MOSAIC (May 18, 2015), https://legalmosaic.com/2015/05/18/how-important-is-collaboration-for-lawyers/.
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Bar Association89 and the International Bar Association.90 Participation tends to be a mix of professionalism
and business development. The difference between these professional organizations and networks and
associations is that a network or association focuses on relationships related to business opportunities.
Network executives do not know one another because there is no focal point or common competition —
until now. The largest firms may be in competition, but they are also the source of business because the
largest firms are in relatively few countries and rely on local counsel in other jurisdictions.
How do these factors play out in the professional services business world?
Marketing. The market configuration of both professions is reflected in their respective professional media.
The accounting media focuses on the networks themselves, because this is the business structure of the
largest accounting firms. This provides accounting associations and networks with an advantage in their
profession by legitimizing their structure.
This is quite different from law, where networks are not recognized as models for global business because
the focus is on law firms. The largest firms dominate the news simply because of name recognition. The result
is that there is little attempt to market a network or network membership. In general, there is a lack of
promotion of membership on the websites of law firm network members.
The result is that legal networks direct almost all of their activity inward and lack external legitimacy.
Economics. Lawyers charge more per hour than accountants. Salaries for new attorneys in major firms can
reach $200,000 per year.91 This is in comparison to $80,000 for graduates of accounting. Bidding wars for
legal graduates are common. This internal competition may result in a difference in cultural attitude and
professional perspective that affects collaboration.
Education and professional certification. In the United States, law is a three-year program. In most other
countries, law is an undergraduate degree, though admission to the bar is still a requirement. This is in
contrast to accountants receiving a CPA certificate.92 Since legal networks do not practice law but are a
business-related organization, they have been until now at the periphery of the profession.
Professional privilege and ethics. Lawyers have the attorney-client privilege. Accountants are only protected
if they work under a lawyer or through their working papers.93 In the United States, lawyers are not allowed
to share income with other professionals.94 The privilege and ethics still separate the professions.
Websites and social media. The emphasis in legal is on the individual attorney and the particular partner’s
resume. A review of LinkedIn reflects this difference. It would appear that almost every attorney, including
89 AMERICAN BAR ASSOCIATION, available at https://www.americanbar.org/aba.html. 90 INTERNATIONAL BAR ASSOCIATION, available at https://www.ibanet.org/. 91 Sara Randazzo, Starting Law Firm Associate Salaries Hit $190,000, WALL STREET JOURNAL (June 12, 2018), https://www.wsj.com/articles/starting-law-firm-associate-salaries-hit-190-000-1528813210. 92 Adem Tahiri, How Much Do CPAs Make? INVESTOPEDIA (Nov. 1, 2017), https://www.investopedia.com/articles/investing/051415/how-much-do-cpas-make.asp#ixzz5I9HHxk5a; Staci Zaretsky, Sorry, Law Students, But Your Starting Salary Will NOT Be $190K, ABOVE THE LAW (June 7, 2018), https://abovethelaw.com/2018/06/sorry-law-students-but-your-starting-salary-will-not-be-190k/. 93 Accountant Workpaper Privilege Upheld by First Circuit, JOURNAL OF ACCOUNTANCY (Jan. 23, 2009), https://www.journalofaccountancy.com/news/2009/jan/accountantworkpaperprivilege.html. 94 American Bar Association, Rule 5.4: Professional Independence of a Lawyer, https://www.americanbar.org/groups/professional_responsibility/publications/model_rules_of_professional_conduct/rule_5_4_professional_independence_of_a_lawyer.html.
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those at the largest firms or organizations, has a profile. This is not the case in accounting, where the referral
comes from the firms themselves.
The websites of accounting firms also reflect this, as the focus is on the partners. On many accounting
network and firm websites, partners’ emails are inaccessible. The same is true for the leadership of
associations and networks.
B. The Global Professional Services Markets
Market Share by Business Model
There is a difference between the actual model market share and perceived market share. This is the result
of the media’s focus on segments perceived to be the most interesting to their readership.
Business Models: $1.1 trillion legal and accounting markets95
The largest legal market share is the “other” category. This is composed of in-house lawyers, both large and
small firms, academics, and lawyers in the justice system. The largest market share in accounting is also the
“other” category. These are corporate accountants, independent accounting firms and those employed by
government and other organizations. To a large extent the “others” are the accountants who engage the
firms. Since all of those in the other categories require lawyers or accountants from time to time, this creates
huge opportunities.
95 The legal profession does not provide exact data for legal services, and information is found in a variety of different places. These are a few locations where data is referenced: The Handbook: Law Firm Networks, AILFN (2018), http://online.flipbuilder.com/smcgarry/idfm/; Attack of the Bean Counters, THE ECONOMIST (March 19, 2015), https://www.economist.com/news/business/21646741-lawyers-beware-accountants-are-coming-after-your-business-attack-bean-counters; Taking on the World: The Big Four in the Global Legal Market, AMERICAN LAWYER (Oct. 18, 2017), https://www.law.com/americanlawyer/sites/americanlawyer/2017/10/18/taking-on-the-world-the-big-four-in-the-global-legal-market/?slreturn=20171117172407; Global Accounting Market Research Report, IBIS WORLD (Sept. 2017), https://www.ibisworld.com/industry-trends/global-industry-reports/business-activities/accounting-services.html; Auditor Market Share of S&P, AUDIT ANALYTICS (Feb. 27, 2017), http://www.auditanalytics.com/blog/auditor-market-share-of-the-sp-500/; The Top 40 Networks & Associations of 2016, ACCOUNTANCY AGE (July 13, 2016), https://www.accountancyage.com/2016/07/13/the-top-40-networks-2016-firms-switching-networks-like-a-game-of-musical-chairs/.
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C. Bridging the Gap (Members Only)
The objectives of this paper are to: (1) objectively define the global legal services market past, present and
future, (2) subjectively define the differences and similarities in accounting and legal services, and (3) define
the opportunities that have been created by the tectonic shift in the professional services market.
This section will define the strategies and discuss their specific implementation.
This will require the creation of both a formal and informal organization to establish a framework. Within this
framework, the parties will reach an agreement as to the common objectives and the parameters for
achieving them.105
Let’s start with the objectives, the primary one being to consolidate legal and accounting networks so they
are at the same level as the Big Four. If this can be done, huge opportunities will be created almost simply by
the fact that their members already provide their clients $180 billion in professional services annually. Even
the smallest change in the referral pattern represents more than a significant amount of revenue.
105 Tyrone Pitsis, Martin Kornberger & Steward Clegg, The Art of Managing Relationships in Interorganizational Collaboration, CAIRN.INFO (2004) https://www.cairn.info/revue-management-2004-3-page-47.htm.
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What are the factors that will push the professions up the consolidation curve?
1. Macro Collaboration - Moving Network Consolidation up the Curve106
The beginning of this paper set out the macro view of the legal and accounting professions. There
were seven primary perspectives and tools:
(1) Recognize that there are global shifts occurring in
regard to who offers services and how those services are
provided. In other words, it is not about the short- or
medium-term; it is about structural constructs and not
what is occurring in any particular market. It is about
professional history, not about local developments. It is
about the translation of ideas into implementations. It is
about the big picture and, at the same time, it is
ultimately about the micro results.
(2) Change must be pushed externally. The status quo is
affected by understanding the external environment.
External development means education at many levels. Any upward movement can easily be set back
by a lack of knowledge on the part of those involved.107
(3) Internal actions must be taken to educate network members. External transformation of the
market does not mean an automatic internal transformation at networks.
106 Chart adapted from: Steven Martin, 3 Charts Which Illustrate the Future of the Legal Industry, FRESH MINDS (April 13, 2017), http://www.freshminds.net/2017/04/3-charts-illustrate-future-legal-industry/. 107 Heidi Gardener, Collaborating Better Across Silos, HARVARD BUS. REV. (Jan. 5, 2017), https://hbr.org/ideacast/2017/01/collaborating-better-across-silos.html.
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(4) Various products must be developed. In 2018, having a searchable website is a key component.
However, websites tend to fall under the education process in (2) and (3) above. Any website must
create opportunities for interaction rather than just be an online newspaper and Rolodex.
5) The objective should be refined by a database of each element in the developmental process.
Everyone involved, related to, or affected by the process needs to be informed. This is only
accomplished by a database can pinpoint individuals and organizations who are affected by the
changes.
(6) Technology is the engine of the overall collaboration process.
2. External Education and Relationships
Publications. The most important element is to get everyone on the same page and define common
denominators. This is particularly important when each profession has different competitive
perspectives. The following books and manual serve this purpose:
Multidisciplinary Practices: Lawyers, Accountants and Consultants, the only treatise on
MDPs;
The Handbook: Law Firm Networks (2011-2018), a detailed 177-page analysis of legal and
accounting networks as the model for global business;
Leaders in Legal Business (2015 and 2018), the only book written by 33 leaders in legal
business about their companies’ and organizations’ contributions to the legal profession.
Authors include the presidents of the ABA, ACC, IBA, LMA, ALA, ALM, leading consultants,
and academics; and
The 1,000 Influencers and Leaders in Legal Business (2017), a comprehensive directory of the
most important influencers in legal business.
It is not just the publication of information that matters, but to whom that information is directed.
The amount and scope are crucial. Too much information will be viewed negatively as an attempt to
sell something. Too little, and there is no ability for the professional to connect the dots.
The issue is to whom the information is directed. This requires the evaluation of each organization.
For example, some organizations are hierarchical, meaning there is one or very few decision makers.
In this case, information goes only to them. However, if there is a negative decision, it will be
extraordinarily difficult to reverse it.
In others, it is the opposite. There may be 20 directors, each of whom has a vote. Only one objection
is required to negate a positive decision or essentially postpone a decision. This can be positive if
there is one champion and the other 19 do not have a strong opinion. Therefore, it is key to locate
this individual by contacting all of the directors.
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Social Media
Social media is key because networks and associations require an independent means to deliver their
messages. The reality is that legal media will rarely publish an article on networks. When there is an
article, the subject matter is always the same. Something similar takes place in accounting. While
there will be articles about events like a new executive director or the loss of a key member, the
press tends to focus on the Big Four.
AILFN has used social media to its advantage. The Independent Business Law Firm newsletter had
5,000 subscribers. Downloads of our publications include 17,300 of The Handbook: Law Firm
Networks, 12,000 of Leaders in Legal Business, and 3,000 copies of The 1,000 Leaders and Influencers
in Legal Business. A database of more than 26,000 individually-selected attorneys, legal
entrepreneurs, and law firm managing partners, academics, the legal media, and anyone else
interested in the business of law are now kept fully informed about networks. AILFN has 17,000-plus
followers on LinkedIn. Information on networks has been viewed an estimated 750,000 times on
social media.
3. Internal Education and Relationships
It is little value if no one in the legal and accounting professions is aware of a collaboration strategy
except the firms and their professionals who participate in the consolidation. What is required is to
establish a focus that complements existing practices without creating a different layer of activities.
This is where AILFN’s websites can be utilized.
As such, organizations must enter the relationship with a thirst for new knowledge and be committed
to the mutual growth so they can reach their objectives. Learning must be fostered, encouraged, and
supported through knowledge management systems. This would include publications, websites, and
social media.
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Collaborative knowledge management involves bringing organizations together to transform
collaborative learning into intellectual assets by capturing, storing, retrieving, and disseminating
knowledge that adds value. Knowledge of organizations needs to be known and recognized by
individual professionals.
“Collaborative knowledge management requires appropriate information technologies that
promote foster collaborative relations. It also requires management systems in place that
promote and foster the notion of collaborative learning. Integral to the success of this
synthesis is the ability for the collaborative partners to transfer knowledge. First, they must
be able to transfer the knowledge within each parent organization across the project, and
second, the parent organizations must be able to transfer the knowledge gained at the
project level back into the organization. In this sense, there should be specifically-designed
processes for capturing and sharing knowledge in addition to the knowledge management
tools outlined above. There must be a commitment to knowledge transfer and clear
procedures regarding what knowledge is captured and transferred, and what knowledge is
not important. Ideally, all professionals, irrespective of seniority or role, will be able to
recognize the inherent value of learning.”108
4. Websites
There are two types of websites, the most common being a passive provider of information: an online
newspaper or Rolodex.
The second is one that creates interaction and relationships. This should tie into internal education
and relationship development.
Aside from individual organizational memory, it is critical that collaborative learning and knowledge
is captured and stored in an easily-accessible way. Human memory serves a critical function for
survival. For a professional, having a system on which to rely for client representation is a form of
professional survival. The right website can provide this type of system.
108 Tyrone Pitsis, Martin Kornberger & Steward Clegg, The Art of Managing Relationships in Interorganizational Collaboration, CAIRN.INFO (2004) https://www.cairn.info/revue-management-2004-3-page-47.htm.
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5. Database
The focus of the above has been on
targeting the right individual or
organization. A database is the key
component in this search. It should be able
to allow an individual to appear in multiple
categories. For example, a person may be a
partner at a firm, a member of a committee,
a director of an organization, or located in a
certain country/region. Segmentation
allows one to direct information based upon
specific interests, which facilitates collaboration.
6. The Technology Revolution – Leveling the Playing Field109
Of the six factors previously mentioned, information technology will have the greatest impact on
professional services networks. It cuts across and is an integral component of all the other factors,
for the simple reason that technology has already revolutionized how people interact with one
another. Technology is scalable, so networks of all sizes are in an optimal position to use it. Even the
smallest members in the most remote jurisdictions are now linked through networks that meet their
specific needs. Technology enhances both the effectiveness and the efficiency of the services that
they provide their clients. Multidimensional technology will allow attorneys to offer cost-effective
and individualized services to clients. Networks, as the consolidator of resources, can provide or
facilitate technology reaching all their members.
Technology is a key component in bridging the gap.110
There are three types of technology: matter-centric, administrative, and organizational. Each of these
types of technology relates to the others. Matter-centric facilitates specific types of projects or
matters. Administrative relates the operation of the organization. Organizational relates to
relationship among the professions or between organizations. For example, communications
109 Stephen Kelly, Digital Business: Technology Trends to Watch Out For in 2018, SILICON REPUBLIC (Feb. 8, 2018), https://www.siliconrepublic.com/enterprise/digital-workplaces-ar-vr-iot-2018; Roberto Saracco, A Never Ending Decrease of Technology Cost, IEEE
FUTURE DIRECTIONS (Oct. 18, 2017), http://sites.ieee.org/futuredirections/2017/10/18/a-never-ending-decrease-of-technology-cost/. 110 “Depending on what the collaboration is meant to produce — be it a technological innovation, construction of a building, or to provide a service — technology and available expertise are critical. Experts are able to adapt and respond to uncertainty because they can use their knowledge and skills to overcome almost any problem. However, the technology they have available is also critical because expertise is embedded also in systems, things and material practices. Collaboration should not be entered into because, as some literature suggests, it is a cheaper way of doing business, but because there is a desire to achieve excellence at all levels of the project. Collaboration is by no means a ‘cheap’ way of doing business.” Tyrone Pitsis, Martin Kornberger & Steward Clegg, The Art of Managing Relationships in Interorganizational Collaboration, CAIRNS.INFO (2004), https://www.cairn.info/revue-management-2004-3-page-47.htm. 110 How Tech is Leveling the Playing Field for Small Businesses, SPRINT BUSINESS (2017),
https://smallbusiness.sprint.com/wp-content/uploads/sites/4/2017/02/Sprint_how-tech-is-leveling-the-playing-field-for-small-business.pdf; Mark A. Cohen, Global Legal Tech Is Transforming Service Delivery, FORBES (Aug. 29, 2017),
https://www.forbes.com/sites/markcohen1/2017/08/29/global-legal-tech-is-transforming-service-delivery/#62531dbe1346; Aaron Baer, Legal Tech and the Changing Legal Services Industry, LEXOLOGY (April 18, 2018), https://www.lexology.com/library/detail.aspx?g=2372fd05-ba5b-4888-8ee8-b8c7452fe4f8.
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technology relates to all three. To be successful in collaboration, there must be common
denominators on which each sector agrees.
Related to technology is the concept of location. This has been described as primary markets and
secondary markets. It has also been used in relation to where expertise is found. The assumption has
been that there is different levels of technology in each. Technology flattens the world, and location
itself is only one factor that is largely irrelevant when considering the resources available. Today, it
is about access to information and resources.
A second theme of this paper is the size of member firms. As previously discussed, size is associated
with firm recognition. At one time, technology created an advantage for the largest organizations. In
order to lead, the organization had to invest. With technology, there is no need for industry
specialization because technology is fungible and scalable.111 These days, technology is professionally
neutral. All firms have access to similar technology created for an ever growing number of number
of companies.
The third aspect of technology is how network members communicate and the structural foundation
for their communications. Technology reconfigures the ability to contact one another and develops
relationships among members or others.
How can technology be used to benefit networks and clients?
The first step for using technology is to carve out a market. For example, Uber deployed technology
to use an existing underutilized resource. The resources were already in place, so all that was
necessary was to develop a way to use these resources. It carved out the market and deployed
resources for users to tap into the services for a relatively low cost. This was possible because if the
limited role it place as an intermediary.
In legal and accounting, it is possible to carve out such a market. AILFN has already accomplished this
by defining the commonalities with statistics. It then took those resources to develop
LawyersAccountants.com. Clients are asking for specific expertise at a fair cost. Locate Law Networks
and Requests for Qualifications, which serve as the foundation of LawyersAccountants.com, supplies
this.
Cost has always been a significant determinative factor when it comes to accessing technology.
Professional services integration requires a common level of technology, which was not possible as
recently as the year 2000. The Big Four had the cost of technology but lost their technical advantage
as pricing and availalbity of technology has decreased. The same technology available in 2000 costs
a fraction of that in 2018, making it readily available.112
The Internet, now a necessary part of daily life, is provided to through utilities. This means the cost
is substantially reduced because the largest market — consumers — are supporting it.
111 Id. 112 D. Jordan Lowe, James L. Bierstaker, Diane J. Janvrin & J. Gregory Jenkins, Information Technology in an Audit Context: Have the Big 4 Lost Their Advantage? 32 J. OF INF. SYSTEMS 1, 87-107 (May 1, 2017).
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As a result of cloud capabilities, the same software and apps are available worldwide at a reduced
cost because the distribution is greater. A cost and availability comparison chart would look similar
to this:113
The fragmentation in law placed smaller firms at the very bottom of the access to technology. One
of the reasons the Big Four were able to consolidate was because of common technology across the
network. To move up the consolidation curve have to have come common technology. This has
already effectively occurred because of the companies creating and supply technology provide it to
everyone.
Given the transformational impact that IT could have on both legal and accounting, a set of strategic
imperatives emerge at three levels for technology management:
Strategic: establishing a close alignment with the business, developing a highly strategic
approach to management of IT and building a radar/sensory function to spot and evaluate
potentially disruptive developments coming over the horizon.
Value-Additive: keeping a strong focus on innovation, value creation, communication,
collaboration, and greater employee mobility.
Operational: evolving an appropriate IT staff profile to support a more strategic role; helping
deliver cost and efficiency gains across the practice; learning to master data and knowledge;
strategic management of external partners; and ensuring a flexible technology
infrastructure.
(D) Opportunities for Networks with Biglaw and “Other” Law and Accounting Associations**
One of the largest market segments is the “other” categories. Some are accounting and law firms that are
not members of a network or association. These firms are not likely to use the largest firms for periodic
selection of international counsel. It includes Biglaw which requires attorneys and accountants in other
countries for their transactions or litigation.
Biglaw
113 Steven Martin, 3 Charts Which Illustrate the Future of the Legal Industry, FRESH MINDS (April 13, 2017), http://www.freshminds.net/2017/04/3-charts-illustrate-future-legal-industry/.
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Biglaw implies that the firms are global; however, the reality is that firms are international at best. Biglaw will
continue to consolidate in the high-end market. Network member firms represent a location for each firm to
find the talent to complete their team for any transaction.
The assumption is that these firms already have connections. There are only 300 firms in the United States large enough to have any significant international practice.114 Networks can easily approach these firms acting as a group. This provides all of them access to quality firms for their clients. These firms are not in competition with local firms in the vast majority of countries.
If you put the charts together, one discovers a fantastic and low-cost opportunity.
Beyond the 25 largest, U.S. law firms do not have large international practices necessitating offices in other countries. This does not necessarily mean they do not have international clients.115
Their predilection may be to use indigenous firms as opposed to the competition, verein or the Big Four.
114 United States-Based Law Firms, WIKIPEDIA, https://en.wikipedia.org/wiki/List_of_largest_United_States-based_law_firms. 115 Nicholas Bruch, ALM Legal Compass Snapshot: The NLJ 500, LAW.COM (June 28, 2018), https://www.law.com/2018/06/28/alm-legal-compass-snapshot-the-nlj-500?et=editorial&bu=ALM%20Intelligence&cn=20180628&src=EMC-Email&pt=Analyst%20Brief.
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Opportunity: Networks should market to all of the largest 500 firms — except the largest 25. If you look at the IBA directory, you see the U.S. membership is sparse. The Law Firm Yellow Book, on the other hand, provides access to 750 firms and their corporate practice leaders. Regular communications with them about network resources is easy and free.
“Other” Accounting and Legal Opportunities
Even when an accounting or a law firm is not a member of a network or an association, from time to time they will need to locate an attorney or accountant in another jurisdiction. The potential market for this is large, representing 60 percent of the global market for services.
This is easily done with LawyerAccountants.com.
Opportunity: This can only be accomplished through group efforts. Al that is required to do is contact the
managing partners and corporate attorneys at each of the 500 largest U.S. firms and send them periodic
information on networks and their resources.
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(E) Other Services – ALSPs**
The ALSP market is projected to be worth $27.19 billion by 2024.116 The issue is who the providers will be: Will they be independent providers, or will they be offered by the Big Four on their menu of law services?117
The independent ALSP companies do not directly compete with law firms in the jurisdictions they both occupy. Firms are their clients, which may not want to use the Big Four because of competitive issues.118 The companies are highly specialized beyond the services that can be offered.
Opportunity: While their services are currently being offered to Biglaw, these services and products will be offered to smaller firms.119 This can create an opportunity for mutual referrals, since their profile with clients will increase.
116 Legal Process Outsourcing (LPO) Market Worth $27.19 Billion By 2024, GRANDVIEW RESEARCH (Dec. 2016), https://www.grandviewresearch.com/press-release/global-legal-process-outsourcing-lpo-market. 117 Neil Rose, Growth of Alternative Providers – Especially Big 4 – Could Push Law Firms into ‘Contractor’ Role, LEGAL FUTURES (Feb. 1, 2017), https://www.legalfutures.co.uk/latest-news/growth-alternative-providers-especially-big-4-push-law-firms-contractor-role; David Curle, Alternative Legal Service Providers: Changing Buyer Perception, THOMSON REUTERS LEGAL (May 2, 2017), https://blogs.thomsonreuters.com/answerson/alternative-legal-service-providers-buyer-perception/; Mark A. Cohen, Legal Delivery at the Speed of Business -- And Why It Matters, FORBES (June 25, 2018), https://www.forbes.com/sites/markcohen1/2018/06/25/legal-delivery-at...it.../2 118 ALSPs Are About Specialized Expertise, Not Just Costs, Says New Study, LEGAL EXECUTIVE INSTITUTE (Jan. 31, 2017), http://www.legalexecutiveinstitute.com/alsps-new-study/; Hugh A. Simons, ALSPs Coming-of-Age Is Putting In-House Counsel in the Driver Seat of Industry Restructuring, LAW.COM (March 26, 2018), https://www.law.com/corpcounsel/2018/03/26/alsps-coming-of-age-is-putting-in-house-counsel-in-the-driver-seat-of-industry-restructuring/?slreturn=20180517123051. 119 Legal Process Outsourcing Market Size by Service, GLOBAL MARKET INSIGHTS (April 2017), https://www.gminsights.com/industry-analysis/legal-process-outsourcing-lpo-market-size.
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Chapter VII. 12 Conclusions and Predictions
1. The Big Four are a concern but do not pose a concrete threat to Biglaw. Statistically, the threat is
hard to ascertain because the information and media market is weighed toward law firms.
The legal market in the largest locations is simply too large and complex for the Big Four to have any
noticeable impact. Biglaw has significant name recognition at all levels, with the exception of social
media.
2. Audit is the core around which the Big Four were organized. Audit also provides the Big Four an
immediate in-road to sell other services, including legal services. Audit outside of the U.S. is less
significant, opening up opportunities for law and accounting firm networks.
3. The Big Four are agressively entering the legal profession. They already have 10,000 attorneys and
are located on average in 80 countries. With the exception of the United States (as a result of ethics
rules), their legal practices will be global in a few years.
4. As the Big Four enter into legal practices in their existing locations, the largest indigenous law
firms will no longer refer matters to the Big Four, since they are in direct competition.
5. Law firms will look for local accounting firms to refer their accounting matters.
6. Locating an accounting network member is difficult because they do not provide direct contacts.
Law firms network have no information on accounting networks, and accounting networks have no
information on law firm networks.
7. The largest law firms in other countries would rather not refer their matters to the Big Four, as
their stated ojective is to represent clients at all levels of transactions. They need to locate accounting
and law firms in each country. This creates opportunities for both professions.
8. If law and acounting network members can refer business, tools must be created to make locating
each other simple. Creating and marketing these tools is not realistically possible for one network.
9. Increasing law and accounting network profiles will require additional branding. Given the number
of networks, they will not be able to do this 100 percent by themselves. Organizations that represent
their common interests are required.
10. Technology is changing how information is accessed and distributed. This increases access,
reduces cost, and makes referrals possible. As in other businesses, this is inevitable and must be
addressed in some organized way to compete and open up opportunities.
11. A system to make information available for potential business clients must be created, because
they continue to select firms themselves. This system has already been created by AILFN for law firms
and will be extended globally to accounting networks.
12. Other services are in competition with the Big Four, such as consulting (McKinsey or Booz Allen),
ALSPs (Integreon, UnitedLex, and Elevate Services), and other service providers. Relationships with
these organizations can generate referrals to accounting and legal network members.
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Summary: 2018 - 2021
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Appendix 1 – Global Legal Market – 2000
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Appendix 2 – The Big 4 and Biglaw Online – Unique Users Per Month
(Similarweb.com)
Legal Sites of Firms and Businesses (February 2018)
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Appendix 3 – Bibliography 2018 – Big Four and the Legal Profession
Jim Middlemiss, Accounting for Legal Work, CANADIAN LAWYER (April 2, 2018),
http://www.canadianlawyermag.com/author/jim-middlemiss/accounting-for-legal-work-15535/
Erin Hichman, The Big Four are at the Door - and They're Better at Meeting the Future Needs of Your Clients,
LAW.COM (April 12, 2018), https://www.law.com/2018/04/12/the-big-four-are-at-the-door-and-theyre-
better-at-meeting-the-future-needs-of-your-
clients?et=editorial&bu=ALM%20Intelligence&cn=20180412&src=EMC-Email&pt=Analyst%20Brief
J. Patrice, Twilight of the Law Firms: the Big 4 Are Poised to Conquer the Legal Landscape; the Existential
Threat to Law Firms May Not be Technology After All, ABOVE THE LAW (Feb. 8, 2018),
https://abovethelaw.com/2018/02/twilight-of-the-law-firms-the-big-4-are-poised-to-conquer-the-legal-
landscape /
Nicholas Bruch, David B. Wilkins & Maria J. Esteban Ferrer, Taking on the World: The Big Four in the Global
Legal Market, LAW.COM (Oct. 18, 2017), https://www.law.com/americanlawyer/almID/1202798449576
Steve Burkholder, Law Firms, Regulators Keep Eye on Big Four Move to Legal Services, BNA.COM (Oct. 17,
2017), https://www.bna.com/law-firms-regulators-n73014471292/
Stephen Poor, Big Four vs. Big Law: The Race to Change Legal Services Delivery, BIG LAW BUSINESS (Oct. 4,
2017), https://biglawbusiness.com/big-four-vs-big-law-the-race-to-change-legal-services-delivery/
David B. Wilkins & Maria J. Esteban Ferrer, The Rise, Transformation, and Potential Future of the Big 4
Accountancy Networks in the Global Legal Services Market, CLS BLUE SKY BLOG (Sept. 26, 2017),
http://clsbluesky.law.columbia.edu/2017/09/26/the-rise-transformation-and-potential-future-of-the-big-4-
accountancy-networks-in-the-global-legal-services-market/
Debra Cassen Weiss, PwC to Open US Law Firm, a Sign of Increasing Focus on Legal Operations by Big 4
Accounting Firms, ABA JOURNAL (Sept. 21, 2017),
http://www.abajournal.com/news/article/pwc_opens_us_legal_arm_a_sign_of_increasing_focus_on_legal
_operations_by_bi
Chris Johnson, Do the Big Four Accounting Firms Pose a Big Threat to Big Law? LAW.COM (Sept. 14, 2017),
https://www.law.com/sites/almstaff/2017/09/14/do-the-big-four-accounting-firms-pose-a-big-threat-to-
big-law/
Michael Cohn, Big Four Increasingly Competing with Law Firms, ACCOUNTING TODAY (Sept. 14 2017),
https://www.accountingtoday.com/news/big-four-accounting-firms-are-increasingly-competing-with-law-
firms
Nicholas Bruch et al, The Big Four’s Expansion in the Legal Services Market, ALM.com (Sept. 2017),
https://www.alm.com/intelligence/solutions-we-provide/business-of-law-solutions/analyst-
reports/elephants-in-the-room-the-big-4s-expansion-in-the-legal-services-market/
David Wilkins & Maria Jose Esteban, The Reemergence of the Big Four in Law, HARVARD CENTER ON THE LEGAL
PROFESSION (Jan. 2016), https://thepractice.law.harvard.edu/issue/volume-2-issue-2/ (global legal market $700 billion)
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Julius Melnitzer, Accounting Firms in Law: The Long Game, LEXPERT (Sept. 11, 2017),
http://www.lexpert.ca/article/the-long-game/?p=&sitecode=
Miriam Rozen, Brand Rankings Show Law Firm Alternatives' Growing Clout, LAW.COM (Feb. 14, 2018),
https://www.law.com/americanlawyer/2018/02/14/brand-rankings-show-law-firm-alternatives-growing
John Gould & Michael Stacey, Are Accountants Disrupting the Legal Services Market? ECONOMIA (Jan. 14,
2016), http://economia.icaew.com/opinion/january-2016/are-accountants-disrupting-the-legal-services-
market
Michael West, Come Hide With Us – Bean Counters Raid Big Law Firms, THE CONVERSATION (Oct. 16, 2017),
https://theconversation.com/columns/michael-west-339731
Andrew Arruda, Can the Big Four Accounting Firms Become the Biggest Disruptors in Law, ROSS INTELLIGENCE,
https://rossintelligence.com
Deloitte Muscles in on Legal Services in UK, FINANCIAL TIMES (Jan. 9, 2018),
https://www.ft.com/content/fa38f3c8-f54a-11e7-88f7-5465a6ce1a00
Stephen McGarry, The Big Four and the Real threat to the Global Legal Market, LEGAL BUSINESS WORLD (Oct.
7, 2017), https://www.legalbusinessworld.com/single-post/2017/10/04/The-Big-Four-and-the-Real-Global-
Legal-Market
Sol Dolor, Here’s Why Law Firms Should Keep an Eye on the Big Four, THE AUSTRALIAN LAWYER (Dec. 22, 2017),
https://www.australasianlawyer.com.au/news/heres-why-law-firms-should-keep-an-eye-on-the-big-four-
245035.aspx
Big Four Audit Firms Eye the Pie in Legal Services, GEP.COM (Nov. 3, 2017),
https://www.gep.com/mind/blog/big-four-audit-firms-eye-pie-legal-services
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Appendix 4 – Multidisciplinary Practices and Partnerships – Lawyers,
Consultants and Clients, ALM (2002), Stephen McGarry
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Law Office Management Series
Multidisciplinary
Practices and Partnerships
Lawyers, Consultants and Clients
Stephen J. McGarry Member of the Texas, Louisiana and Minnesota Bars
2002
American Lawyer Media
105 Madison Avenue
New York, New York 10016
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Table of Contents
Chapter
1 Introduction: Why is this Happening Now? Stephen J. McGarry
2 The Work of the ABA Commission on Multidisciplinary Practice
Professor Laurel Terry The Dickenson School of Law
3 The International Bar Association Perspective Dr. Heinz Lober Partner, Freshfields
4 The Multidisciplinary Practice of Law in Europe Ramon Mullerat, OBE Partner, IURIS VALLS Abogados
5 The WTO General Agreement on Trade in Services (GATTs), the Liberalization of Legal Services and Multidisciplinary Partnerships
Carlo Gamberale Associate, Cleary Gottlieb Steen and Hamilton
6 A Few Lessons from the Accounting Profession Richard Miller General Counsel, AICPA
7 Big 5 Practice Geanne Rosenberg Professor, Baruch College, U of NY
8 Law Firm Diversification Robert Denney Principal, Robert Denney and Associates
9 Dancing Among Giants – Smaller Firms in the MDP Age
Norman Clark and Lisa Walker Principals, Walker Clark
10 Of Brain Surgeons and Barber Shops: The Economic Consequences of MDPs on the Legal Profession
Bryant Garth and Carole Silver Director, ABA Foundation; Professor, Northwestern University School of Law
11 What’s in MDPs for the Public? The Consumers’ Viewpoint
James Brown Director of Center for Consumer Affairs, U of Wisconsin
12 The Corporate Client’s Perspective: Legal Services for Clients who Do Business in the 21st Century
Susan Hackett General Counsel, ACC
13 The Incompatibly of Multidisciplinary Practice and Lawyers as Officers of the Court
William Ide Former President ABA, and GC, Monsanto
14 Multidisciplinary Organizations (MDOs – The Competitive Alternative to the Big 5)
Stephen J. McGarry
15 Making MDPs Happen – A Look into the Crystal Ball Anthony E. Davis Partner, Moye Giles O’Keefe Vermeire & Gorrell
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CHAPTER 14 Multidisciplinary Organizations (MDOs), the Competitive Alternative
to the Big 5
Multidisciplinary services are here to stay. The Big 5 professional service firms are able to offer legal services
in more than 150 countries directly from their offices. They have also formed networks. Combined, they now
have 8,000 attorneys practicing law.
What alternatives does the independent professional service firm have? Are the only alternatives to either:
(1) join an MDP, (2) become an MDP or (3) confine practice to litigation where MDPs may not practice?
This chapter discusses how service providers of all sizes will be able to offer the full range of services through
Multidisciplinary Organizations (MDOs). In an MDO, professional service providers maintain their
independence but geometrically expand their referral base and gain access to the full range of services to
offer clients. The chapter will also analyze how large independent service providers, such as law, consulting
and accounting firms, can create an organization to compete directly with the Big 5.
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Chapter 14
Multidisciplinary Organizations (MDOs) - The Competitive Alternative to
the Big 5
Stephen J. McGarry120
Chapter Contents
§ 14.01 Overview
§ 14.02 Multidisciplinary Organizations and Professional Services
[1] Globalization and Localization
[2] Core Competencies and Quality
[3] Cost Effectiveness through Technology
§ 14.03 MDOs and the Big 5 — Client Relationships and Choices
§ 14.04 Multidisciplinary Organization Models
UI Independent MDO (I-MDO)
[2] Relationship MDO (R-MDO)
§ 14.05 Rules and Enforcement — Interests of the Parties
[1] Unauthorized Practice of Law by an Association
[2] Multi-Jurisdictional Practice — Unauthorized Practice by Lawyers
[3] Referral Fees
[4] Advertising Marketing Directories — Organization and Lawyers
[5] Other Issues
§ 14.06 Competitive Implications
§ 14.07 Summary
120 Stephen J. McGarry, BA, MA, JD, LLM is a member of the Texas, Louisiana and Minnesota bars. He is currently president of HG.org, one of the
largest Internet legal sites. McGarry is the founder of Lex Mundi and its past president. Lex Mundi is the leading association of independent law firms whose 15,000 attorneys in 100 countries billed in aggregate $5 billion in 2000.
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§ 14.01 Overview
The first chapter discussed the development of multidisciplinary practices and partnerships through 2001. It
did not discuss other alternatives where traditional networking organizations expand to include multiple
professions. Through membership in the multidisciplinary organization (MDO), many different types of
professionals are able to aggregate resources and offer true multidisciplinary services to their individual
clients. The professionals are able to develop new relationships and at the same time resolve all of the ethical
and regulatory issues that have been discussed throughout this treatise.
Is this possible? Let’s jump ahead to the year 2010.
Professional Services, Inc. — John Smith is an attorney in a small office in Wichita, Kansas where his practice
focuses on agricultural law. He has developed a regional and a national reputation in agricultural financing.
His six-attorney office has no branches but does from time to time become involved in complex
transactions.121 These transactions could put a strain on the firm’s resources if not for the fact that his firm
belongs to Professional Services, Inc. (PSI), a subsidiary of Microsoft. John and his partners regularly use the
PSI team members in complex litigation and commercial matters.
PSI brings together on-line many types of professionals in areas of law, accounting, technology, management
consulting, financial planning, real estate, and similar areas. After an extensive interview, references are
checked and the firm or professional can join the group by paying an annual fee based upon the number of
professionals at the firm and a percentage of the previous year’s overhead. As a member of PSI, John gains
instant access to 100,000 screened professionals from small and medium-sized professional firms across the
United States and Canada. With a few clicks on his mouse, he can locate professionals, review their
credentials and run a preliminary check for conflicts. After his review, he can set up a videoconference, right
from his search.
PSI is managed and controlled by Microsoft but does have advisory boards for each profession to assure
compliance with ethical rules. To assure that members benefit, Microsoft spends more than 309a of the
revenue on advertising PSI. This includes advertising at its websites like CNBC and in printed publications that
go to hundreds of thousands of small businesses.
World Services Group — Judy is a lawyer with a very large law firm that has offices in a number of
jurisdictions. Her clients are principally large international companies. She, too, requires many different
professionals to complete the complex transactions on which her firm works. Even though the ABA in 2003
finally passed a recommendation to permit multidisciplinary partnerships, which was adopted by 37 states,
her firm believes it has found a better alternative in World Services Group (WSG).
WSG is an organization formed by large service firms themselves. Each member is a leader in a profession,
field or jurisdiction. They include the traditional regulated professional practices such as law, accounting, and
real estate, as well as computer and management consulting, insurance, baulking and other financial services,
121 Clark, Multidisciplinary Practices: What Will It Mean for the Smaller Law Firm, 72 Wisconsin Lawyer 19 (3) Sep 99.
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investigative services, and related services. In total there are more than 40 different services offered. The
members are the companies, firms or networks of firms. Each group has placed detailed information on the
members and on each professional into a database. With a few clicks, each professional can choose among
100,000 professionals in 140 countries. The firm, company or network pays an annual fee. The fee covers the
technology, which is also supplied by Microsoft, internal networking programs and external marketing.
As an association of independent entities, a board of directors sets general policies with which each member
must comply. In addition, WSG members regularly meet based upon their common interests. The
multimillion-dollar marketing budget is used for joint client seminars and publications.
The members’ principal competition for projects is the Big 5. As a result of the reputations of the members,
existing contacts with major clients and governments WSG has gained a reputation for having the best
independent firms. In recent years, members feel that WSG has made it possible for them to acquire a
disproportionate amount of work for its members.
While PSI and WSG are fictional, the building blocks for such organizations are already in the market place.’122
These services include matching services such as Elance.com and First Law, UK.123 There are also associated
service providers (ASPs) that permit professionals to create secure extranets with their clients.124 Combining
these functions with those of a traditional professional network would result in a multidisciplinary
organization.
PSI, a highly sophisticated directory, is an example of a possible Independent Multidisciplinary Organization
(I-MDO) where independent professionals pay a fee to a third party to match their needs with the expertise
of other professionals. To locate one or more professionals from the database to meet their needs,
consumers, both individuals and small businesses complete a form. The needs are matched with those of
professionals who would like to handle the matter. The professionals are notified by email when there is a
match.
WSG is the Relationship Multidisciplinary Organization (R-MDO)125 where the service providers themselves
created an association to systematically establish relationships among a number of networks, firms,
companies and, most importantly, the professionals themselves. Membership is limited by the type of service
and by jurisdictions depending upon the nature of the services.
The result is that all types of professional services are available through WSG. In this way each professional
can easily locate end assemble a team by choosing the exact professional to meet clients’ needs from firms
with whom they have a relationship. The MDO extends the concept of a professional networking, which is
common in the legal profession,126 to other service providers. Combining the traditional functions of
professional networking organizations (publications, meetings, committees, etc.) with databases of
122 One can find them in a number of industries such as steel, oil and gas, and automobile parts. Matching services for expert witnesses have been
around for a number of years through TASA. Each witness and each person seeking a witness pays a fee. Serengeti, Inc. (http//www serengetius com) intends to create a location to purchase 50 services. Vorhees, Am. Law., Apr. 2000 at 3028. 123 First Law, http://www.firstlawsolicitors.co.uk. 124Niku, http //www niku com. 125 Freidheim, The Trillion-Dollar Enterprise (Perseus Books 1998) uses this term to define a network of networks or alliances. 126 Martindale Hubbell publishes a list of networks, alliances and affiliations in its directories. Updated Background Information Report and Request
for Comment, May 12, 2000 (http://www.abanet.org/cpr/febmdp.html). Martindale Hubbell, Volumes I, II and III, International Law Firms. HG.org — the Comprehensive Law and Government site (http//www.hq or9) has a similar list. McGarry, Practicing Law in the 21“Century Will Require Affiliation, Legal Management, 34, May/June 1994. Semoa, Captive Law Firms vs. Global Legal Networks. The MDP Inquiry Continues, 82 Tax Notes 36-40 (Jan. 4, 1999).
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professionals allows for the instant creation of multidisciplinary teams. The MDO is more than an association;
it is an entity whose objective is to assist members in acquiring and retaining clients.
§ 14.02 MDOs and Professional Services
The first chapter discussed several trends that accelerated the creation of the Big 5: globalization, core
competency convergence and increases in efficiencies resulting from technology. The MDO must be placed
in context as to provide a contrast between it and the Big 5 consulting firms.
The reasoning might seem circular that professional services are created out of the demand for the
services.127 Demand is largely external, although new services themselves sometimes create the demand for
those services. Assuming there is a demand, the primary competitive issue for professionals is how they can
locate clients who want or need their services. When competition is high, as is the case in the service markets
today, the cost of client acquisition becomes more important. Law firms, which spent little for marketing in
the past, have extensive and growing marketing departments. That said, law firms, no matter what their size,
cannot match the Big 5’s marketing budgets that together exceed $100 million.128
Service providers are now expanding geographically as never before. Their objective is to locate geographical
and topical markets that have not been fully penetrated. one of the primary benefits to professionals in the
Big 5, as one-stop shops, is that they reduce the cost of new market penetration through the cross-selling of
new services by professionals who are already in the marketplace. This leverage is not available to
independent firms, which must undertake significant costs in order to expand into new markets. It is also not
available in most law firm networks because few law ferns have an interest in assisting a fellow law firm
member, which could become a competing law firm, enter their market. However, in the case of an MDO,
non-competing professionals can create new joint services using each other’s services.
The MDO, by combining traditional networks with new technology, creates a way to penetrate existing and
future markets.129 It does so by creating a high level of resource transparency between independent
networks, companies and businesses so each has the resources of the other available in all markets. They can
provide access to professionals everywhere for every service as well as create new services. Ultimately, the
scope of the services could extend beyond that offered by the Big 5.
Once contact is made among the professionals, a peer-to-peer relationship can be developed independent
of the central network.130 All this is done without the overhead of a large centrally located bureaucratic
organization. Resources can then be spent to cross-market services while internal control shifts to each unit
of the MDO and focuses on its own core competencies.
Access to the MDO can be extended to the public or the corporate client if the organization would like to
further broaden the referral base. The gatekeeper is no longer required. The corporate client can create peer-
127 The American Bar Association Commission on Multidisciplinary Services was unable to study the interest in MDP services but commented that it
was not the objective of the Commission to determine demand 128 In addition to large marketing budgets, a number of Big 5 firms are now in the venture capital business funding tech companies with whom they
can joint venture. MacDonald, Arthur Andersen Sets Up Fund to Take Stakes in Web Startups in Lieu of Peas, WSJ, AIO, January 24, 2000. 129 Elkin, Law and Economics in Cyberspace, Annual Conference of the European Association of Law and Economics, 19 Int’l Rev. of Law and Econ.,
553-581 (Dec. 1999). 130 The traditional concept of a network, including the Internet, is that communications is through a central hub. Peer-to-peer permits users to
bypass the hub and deal directly with others. A directory is one example of a peer-to-peer vehicle and a matrix is another. When it is done on line, the users separate themselves from the network and begins to deal with each other directly. An example can be found in Niku Legal (http://wwwniku.com/legal/index.html).
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to-peer relationships outside of the system with selected professionals. The result is that the centralized MDP
loses some of its advantages and the members of the MDO receive additional referrals.131
While the Big 5 will maintain their considerable advantages of common quality and responsiveness standards,
MDOs can create structures to challenge these advantages.
[1]—Globalization and Localization
Clients’ needs for services are unique. There are no two businesses that have the same needs at the same
time in the same locations. The Big 5 seeks to solve this problem by bringing resources in-house to offer all
services to businesses everywhere.
The MDO seeks a solution by combining existing networks and service providers into a common organization.
Each has the common objective of being global as well as local at the same time.
Legal services traditionally have been local in nature. This is changing, as services are more uniform.132 It is
not uncommon for lawyers to have a national practice in a particular area of the law. The Internet makes it
easier to locate attorneys with national expertise as John in the PSI example. It also makes it possible for John
to market his services to a large group of potential clients.
The Big 5 have used globalization as a way to offer similar services and products developed in one market or
country in other markets or countries. Beginning with accounting and auditing, which required common
standards be applied, the Big 5 have applied the same principal to other services. As transactions become
even more uniform, products developed in one jurisdiction can be applied in another. The result is a high
return on their investment. True economies of scale can be achieved because they are at the same time
global as well as local.
Using information technology, the Big 5 have the opportunity to localize and tailor services to specific clients
anywhere in the world by using vast resources developed in other parts of the world. The client can then
further refine the services with the local professional. Professionals, who can provide these tailored services,
create a loyal client who knows that in the future all of his consulting needs can be satisfied in one place. Law
and consulting firms, not part of the Big 5, cannot provide these services on a uniform and global basis.
The challenge for the professional service organization lies in being able to differentiate their services. In
theory, firms or companies that are members of an MDO have the advantage because they have access to
greater resources that they do not have to maintain themselves. Most importantly each is already a brand
associated with a type of service. On the other hand, the Big 5 have the resources to reach many more
possible clients.
To provide this transparency for the services of the members, the MDO will need to create structures in which
information can be shared local, globally and between the different members and with clients. The type of
information would provide comparisons with the competition in each of the areas. When this is done, it will
become clear that the MDO members can offer far more services then the Big 5.
131 When communications are direct among the principals in a transaction, this affects other organizations that have traditionally filled the role of
monitor or intermediary. 132 Daly, Resolving Ethical Conflicts in Multijurisdictional Practice — Is Model Rule 8.5 the Answer, An Answer, or No Answer at All, 36 S. Tex. L. Rev.
715, 723 (1995).
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Because top professional service firms must provide both local as well as global services, they have no choice
but to be part of an MDO or MDP. While the Big 5 are adapting their strategies to both localization and
globalization, the larger issue is whether their structures are suited for optimum performance when new
technology makes a decentralized operation much more efficient and cost effective.
[2]---Core Competencies and Quality
The American Bar Association’s Commission on Multidisciplinary Practice in its final report added
competency as one of the core values of the legal profession.133 While the other core values may be what
distinguish a profession from a job,134 competence of professionals is what clients seek, perhaps above all.
The Big 5’s MDP strategy developed because complex transactions require assembling and managing teams
of competent professionals to assist the client. As competencies converged or began to intersect this raised
the unspoken issue that is the heart of the multidisciplinary practice debate: Who manages the team when
many issues are involved in the transaction? It is the “managed’ who must make decisions on the importance
of each of the services being provided to achieve the desired result. This is where the power lies and what
may be really at stake in the MDP debate.
The Big 5, using their multiple services, would like to manage the entire transaction. Managing the transaction
means higher fees than simply being part of the team. Perhaps this is why the Big 5 places so much emphasis
on management and marketing 135
Law firms and other professionals may be extremely competent in their limited areas of expertise. However,
the skills that are required to reach and implement a conclusion are more managerial then professional. Since
multidisciplinary partnerships are prohibited in most of the principal jurisdictions, the very real question for
the legal profession is: How are lawyers going to develop these managerial skills that the client considers to
be the most important element of the transaction? For the time being, law firms, because of ethical restraints
or lack of skills, are unlikely to be the ones chosen to manage the transaction. This means that the Big 5 have
the capacity to control the transactions regardless of the other services that may be required to complete it.
Again, the MDO can assist all of its members in developing new management skills by sharing information.
This can be done at meetings and in publications. Members can meet individually to form sub-groups. These
new skills will make each of the members more competitive as well as more competent to provide and
manage complex services for their clients.
[3)----Cost Effectiveness through Technology
More than one third of the cost for legal services is overhead including rent, support, equipment and
marketing. Technology in recent years has reduced the staff support costs and generally improved
productivity.136 The Internet, because it is accessible from many location, will even make more change in the
133 American Bar Association, Final Report to the House of Delegates, July 2000. 134 The other core values were independence; maintain confidences and loyalty by avoiding the conflicts of interest. 135 Arthur Andersen has numerous training facilities where new recruits as well as lateral hires are trained in the business of management.
http://www.arthurandersen.com/website.nsf/content/CareersTraining?OpenDocument. 136 For overhead comparisons, see the Altman-Weil Annual Law Firm Survey results.
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cost structure possible,137 as even less space and support are required, and a different type of marketing is
deployed."138
The Big 5 are already deploying the Internet to take advantage of its efficiencies. For example, they are in the
process of physically restructuring their offices. In some cases, this means standard-size offices for everyone
while in other cases the complete elimination of offices even for the partners. Should a partner require a
space, it must be booked in advance.
With technology, virtual private networks can be created by anyone. These secure communication links
permit direct access from home or on the road to all information. When professionals work at home, they
require less staff support. New technology also means that operations can be efficiently managed by making
internal documentation easily available without the need for printing and distribution. Contacts with home
office departments are possible from anywhere so that separate regional administrative centers are no
longer necessary.
MDOs can create the same reduction of overheads even though the member organizations are independent.
The Internet can be used to bring the sum total of all the resources of the individual parts of the MDO to each
individual professional. For example, office space can be scheduled in remote locations through the
network.139 Assistance can be provided when professionals travel through a free-advice policy.
Marketing is one area where legal networks have not taken full advantage of their power. Using a database
can make marketing very low cost since it creates the opportunity to share information with clients and non-
clients based upon self-defined interests. Much of the marketing of the future will be matching interests of
clients to those areas in which the firms have expertise. Demand for new services is created by demand for
old services.
A major concern of lawyers is that they do not have the same daily contact with clients as the Big 5140
members know how to use information, cost efficient opportunities are easily created for the professionals
and entities to market directly to clients. Information can be shared to cross-sell services or create bundled
services.
The MDO reduces costs for services while it increases the return to the professional providing the service.
The costs are reduced by the elimination of distribution inefficiencies.141 Professionals deal directly with each
other in real time and with their clients. The resources available for each unit are the total resources in the
137 At present there are few articles on MDPs and the Internet. There are a number of articles that look at the impact of the Internet on the practice
of law in general. Kraft, The Increasing Use of the Internet in the Practice of Law, 69 J. Karr. B. Assoc. 15 (9) (Feb. 2000); Pruner, The Internet and the Practice of Law, 19 Pace L. Rev. 69-93 (Fall 1998); Dog The Competitive Law Firm of the 21" Century: Web Technology 62 Tex. B.J. 676 (3) (July 1999); The Internet “Full and Unfettered Access” to Law and Some Implications, Martin 26 N. Ky. L. Rev. 181-209 (Summer 1999); Hellwege, Will B-law Change the Practice of Law, 36 Trial 12 (June 2000), Munneke, When E-lawyering and Legal Ethics Collide, Nat’I L.J C25. (August 28, 2000); Schmitt, Lawyers vs. The Internet, WSJ, R34 (July 17, 2000); Davis, Meyer, Davis, Blur: The Speed of Change in the Connected Economy (Little Brown & Company 1999); Kelly, New Rules for the New Economy (Penguin Books 1999). 138 One example is LawCommerce.com (http://www.lawcommerce.com), which has created a superstore for purchasing products used by lawyers
and law firms. There are substantial discounts on these products that can be purchased at the site. 139 For example, Lex Mundi (http //www.lexmundi.org) has a free-office-space policy that permits any of the 15,000 member-lawyers the opportunity
to arrange for space in the more than 400 offices worldwide. 140 “There is perceived, for example, to be an unusually close relationship between managers and consultants and senior executives whom they
advise. Attorneys may, and I think do, fear that accounting/consulting firms can leverage, perhaps: ‘unfairly’ these relationships to sell the services of the laws firms owned by them.” Written comments, William Hannay, March 11, 1999, American Bar Commission on Multidisciplinary Practices. 141 Solomon, Matter Management Software Now Available Online, Nat’1 L.J. CS (Jan. 24, 2000), discusses combining Elite for time keeping, iManage
for documents and SQL into a single interface so that an attorney can have access to all client shatters from a browser.
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virtual network as a whole rather than the limited resources at the individual member firms. Those resources
can efficiently be deployed where and when they are needed.
§ 14.03 MDOs v. Big 5 - Client Relationships and Choices
The heart of the MDP debate is creating relationships with clients so that they are attracted to the one-stop
shop. Clients want the opportunity to choose. The Big 5 and the MDO members have similar but different
perspectives on these objectives.
The Big 5 are seeking to maintain and consolidate their global lead in the professional services market by
creating relationships with existing and potential clients.142 Increasingly technology is being used. While bar
and other professional associations have made good use of technology to channel communications to and
from the organization, few associations use it to foster relationships among members themselves. Peer-to-
peer networking is still an untapped opportunity for almost all professionals outside of the Big 5. At present
most of the networking is done at meetings rather than on-line.
In the same way the Big 5 create teams internally and develop relationships,143 independent professionals
and organizations could create competitive, if not better, alternatives for multidisciplinary services. A group
of independent firms can likewise increase the level of internal contact among professionals in different
fields. For example, environmental lawyers would have the opportunity to network with environmental
consultants, engineers and others who have common interests. When information is collected, it can also be
shared with clients of all of the members.144 In short, building these relationships makes it possible for the
MDO to take multidisciplinary practice to its logical conclusion. It permits professional service providers the
opportunity to focus on one or several core competencies but at the same time have access to all services.
This model contrasts significantly with the existing Big 5 strategy to bring all services in-house. Even while
some of the Big 5 are reorganizing to create separate entities for accounting/auditing and their consulting
practices, their model remains the management of large numbers of professionals operating under a single
brand name. The strategy is the same for large multinational law firms that have become MDPs that generally
elect to retain their other professional services in-house.145 The MDO also permits establishing a secondary
name brand that can be used by the member firms but without the ethical constraints discussed throughout
this treatise.
One-stop shopping is about choice. Ironically, at the same time the Big 5 are explaining the benefits of the
one-stop shopping, the in-house MDP model may actually be undermining the very purpose of expanding
choices to clients. The reason is that the only services that are available are from the professionals in the
MDP itself. If a grocery store only offered its own brand names, it would not be a one-stop shop since its
capacity to offer products is limited. The same limitation applies to the Big 5.
The MDO, where each member individually focuses their practices and services on a few competencies, can
offer the public and businesses even greater choices at a reduced cost. The MDO model is likely to be very
142 The Big 5 have unlimited access to technical resources as a result of their consulting practices and also their venture capital investments. When
Dupont wanted a system designed to manage outside counsel, they turned to Arthur Andersen. AA now can use a similar system to manage its relationships with clients. like Law and Disorder, Redherring (Apr. 1999) at http://www.redhearring.com/may/issue65/news- law.html. 143 Arthur Andersen permits its clients to access its database of papers and monographs. See http:/fwww.globalbestpractices.com/. 144 For example, law firms and other service providers are purchasing product that facilitate interaction between professionals and clients through
the sharing of real time information. One product can be found at http://www.niku.corn/legal/index.html. 145 There are a number of firms that have MDPs, including Womble, Carlyle, Sandridge and Rice (Technology), Littler and Mendelson (Employment),
Hale Dorr (Technology), Howey Simons (Employment), Arnold and Porter (Lobbying), to name a few.
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competitive since it would permit a greater amount of tailoring of the services to meet the exact needs of
the client by offering an expanded palette of choices. Growth of the available services would be unlimited
since each professional entity manages itself. New services can be readily added to further increase choice.
The MDO can go beyond the Big 5 model by creating opportunities for clients to become a de facto part of
the system.146 While the existing MDPs’ one-stop shopping is based upon the professional gatekeeper at the
MDP who selects other professionals, why is this necessary? The MDO retains the gatekeeper professional
but it could empower the corporate client to shop directly for services that are contained in the MDO. The
client becomes almost an associate member. This latter opportunity is likely to have great appeal to the in-
house corporate counsel who wants to select the best professionals from among a range of professionals
who have already been screened by a reputable organization.
While the Big 5 may have ethical and regulatory issues, they are well organized. On the other hand, the MDO
will face organization and structural issues when they are created. To achieve their objectives, standards and
rules must be adopted by the MDO to apply to all the members when working with clients. Since the MDO
professional team will be judged on the same performance standards as an in-house MDP, these standards
are going to require significant amounts of work. New skills will need to be developed as the professional
roles converge with that of managerial roles.
§ 14.04 MDO Models
In the beginning of this chapter, the two hypothetical examples were introduced and have been referred to
in a number of places. Before evaluating the ethical issues, additional detail on the models would be useful.
They are the I-MDO and the R-MDO.
[1]—An Independent MDO (I-MDO)
There are already a number of virtual MDO’s that are interested in providing consumer’s access to
professionals.147 “The user simply enters some basic information about the issue, which is then matched with
a lawyer, architect, accountant or other professional. In addition, there are a number of services that provide
real time answers to questions from experts, including lawyers.148 At present, on-line services do not attempt
to match professionals to professionals, though the professionals themselves can do this through the
services. The services charge the lawyers a monthly fee. The payment of a fee for possible referrals raises a
number of issues, though if done correctly, they can be resolved.149"
The I-MDO is essentially the same as a directory with the added feature that the members must have a certain
reputation for quality. The members must also trust that the criteria for selection have been objective.
Without these common standards, developing relationships among members will not occur.
Several ethical issues are discussed in the next section.
146 The best- known example of this is the Dupont model. In 1996, Dupont had employed over 300 law firms. They decided that this fragmentation
was not cost effective and derided to reduce the number to 30 firms. Among the criteria was the technology. As part of the process, in-house counsel took on the role of selection of attorneys for each part of the litigation or transactions. Competitors were sometimes hired to provide specific parts of the services. The corporation likewise would select the specific lawyers. Law and Disorder, Redherring (Apr. 1999) at http://www.redhearring.com/may/issue65/news-law.html. 147 Carte, High Tech Matchmaking, 86 ABA Journal 47 (June 2000). 148 Keem.com (http://www.keem.com) permits users to locate people who hold themselves out as experts in an area. 149 According to Arthur Miller, a Harvard Law professor who has an interest in amerilaw.com another similar referral group, the rules on non-lawyer
investment do not apply because the site itself does not provide legal services.
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[2]—Relationship MDP (R-MDO)
A more sophisticated concept is the relationship model where a group of independent professional service
providers themselves create a permanent entity to act as the intermediary between them, i.e. a relationship
multidisciplinary organization. Even though the MDO is easy to conceive, the American Bar Association
Commission on Multidisciplinary Practices did not mention or discuss it.150
Today there are many networks of professional firms in a single profession that provide access to resources
at the other member firms. While the firms are independent, they cooperate to provide services to clients.
In some cases, these networks function semi-autonomously. In others, they provide back-office services to
the members.151 The R-MDO, because it contains more members, could provide, as necessary, a similar range
of services that the home offices of the Big 5 provide their other offices.
The real benefit is economic since professional service firms require managing large numbers of people.
There is a disproportionate increase in the bureaucracy as the number of locations increase. The fundamental
benefit of membership in the MDO is that the client receives the services, but the member firms are not
confronted with the daunting task of managing large numbers of professionals in remote jurisdictions. They
do not have to harmonize salaries and benefits among the professionals since each member does this
independently?
The R-MDO model takes the American Bar Association’s ad hoc model, which is based upon individual
networking, four steps further:
First, systematic relationships are formed in the context of multi-professional and multi-service organization
rather than being created on an ad hoc basis. Since the object is true one-stop shopping, the number of
professional groups could be substantially more than those that would be brought in-house by the Big S. This
is because the profitability of each member unit is independent. In addition, professional services could be
extended vertically so that the R-MDO could service different markets, such as consumers and businesses.
Second, the referral base of the professionals is extended geometrically. Because lawyers are competitors,
networking, despite collegiality, may be somewhat restricted. Building coalitions is difficult because others
at the firm may practice in the same area or have different relationships with lawyers at other firms. In an
MDO the vast majority of the professional are not lawyers and therefore not competitors. They are not
reluctant to make referrals of their clients.
Third, unlike existing networks that are common in the legal profession, the foundation for the R-MDO would
be to extend scope and depth of the traditional organization using new technologies. The objective is to
create the maximum number of relationships between the professionals in each of the disciplines.
150 An MDO is similar to Model 1, as described by the American Bar Association’s Commission on Multidisciplinary Practices, except it is organizations
that work together, rather than individual professionals. “Model 1: The Cooperative Model": This model retains the status quo. There would be no changes to Model Rule 5.4. The prohibitions against fee sharing and partnerships with non-lawyers would continue. Lawyers would be free to employ non-lawyer professionals on their staffs to assist them in advising clients. Lawyers could work with non-lawyer professionals whom they directly retain or who are retained by the client. To the extent that the non-lawyer professionals are employed, retained, or associated with a lawyer, the partners in a law firm and any lawyer having direct supervisory authority over a non-lawyer professional would have to take steps "to ensure that the person’s conduct is compatible with the professional obligations of the lawyer,” especially with respect to the obligation not to disclose information relating to the representation and the protection of work product.” American Bar Association Commission on Multidisciplinary Practices - Final Report, Appendix C, Reporter’s Notes (July 2000). The major difference, however, is that it presumes that the lawyer is responsible for the entire transaction when in fact the legal aspects may be relatively minor. Stratton, ABA Voted No MDP: But What About “Virtual” MDPs, 85 Tax Notes 1122-1124 (Nov. 29, 1999). 151 The Commercial Law Affiliates (CLA) provides marketing support for its members.
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Information on professionals, as well as non-proprietary content, would facilitate creating relationships. An
extensive non-confidential knowledge base would be created and shared within the MDO.152
Fourth, access to information on MDOs would not be confined to the participating entities but provided to
clients. Clients could use the information to construct virtual relationships of their own using, as the initial
building blocks, the professionals and services in the R-MDO. This would be of great appeal to sophisticated
clients and of interest to the MDO members.
Once the R-MDO is created, the fundamental question is whether it can meet client needs. This very issue
was discussed in Cyrus Freidheim, The Trillion Dollar Enterprise (Perseus Books, 1998). Freidheim, vice
chairman of Booz-Allen Hamilton, sets out the same elements discussed in this chapter — globalization,
standards and localization — as characteristics that will determine the success of any business the new
economy.
He defines “global” to mean that businesses must serve and have access to clients around the world,
understand customers, meet and anticipate their needs, obtain resources as well as develop market
information. In the professional services market, only the Big 5 have already accomplished this as a result of
their accounting and auditing practices. Law firms, notwithstanding the number of offices, are a long way
from this global coverage.
To be successful, an organization must be able to set world standards. They must show leadership and
innovation, provide value and performance, and have processes, people and capacities that define these
world standards. Many of the large law firms such as Baker & McKenzie and Clifford Chance, are far along on
meeting these definitions. An MDO consisting of the leading firms would have the advantage, since the
highest standards are part of the selection criteria.
Lastly to be global the organization must be local everywhere. Freidheim defines “local” as understanding
local customer markets, having a national image, local workforce and local operations. While the largest firms
may have 50 or more branches, many are not local in that they have few local professionals.153 Some may
argue that localization is not required when advice is being provided for global companies. However, because
lawyers deal with governments, understanding local conditions may be difficult unless the firms are clearly
lock.
Even though the Big 5 may be well on the road to achieving each of these standards by themselves, according
to Freidheim a single entity achieving the highest level of each of these standards is not possible. The only
way to achieve the highest level is through cooperation with similar entities that share a common vision that
he describes as the relationship enterprise. The R-MDO may in fact be the ultimate MDP because it is able to
grow globally to be truly local in every jurisdiction. Beginning with the best firms and companies, it can rapidly
set world standards for services.
Many ethical issues discussed in this treatise can be resolved without changing the existing rules. For
example, the R-MDO could grow to represent all possible clients without conflicts of interest since those
152 Stratton, ABA Voted No MDP: But What About “Virtual” MDPs, 85 Tax Notes 1122-1124 (Nov. 29, 1999). 153 Of the 50 largest law firms worldwide with sizes from 603 to 2732, the percentage of attorneys outside the country ranges from 9% to 60%. There
are only three firms with over 50% and 12 with between 20% and 50% with most in the 20% to 30% range. Law firms are far from global or local in other countries.
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conflicts are confined to the participating entities.154 On the other hand, there are some issues that are similar
to those found in in-house controlled MDPs. For example, location is largely irrelevant; professionals will be
even more tempted to advise in jurisdictions where they are not licensed.
§ 14.05 Rules and Enforcement — Interests of the Parties
In the introductory part of this chapter, two hypothetical WSG, were described. How do they measure
ethically?
The traditional rules that govern lawyers, accountants and other professionals are based upon concepts
grounded in relationships between clients and professionals. They are not generally based upon the
relationship between the client and a law155 relationship with a directory. Using communications tools like
the Internet, without separate organizations like WSG and PSI, does not create issues that have not been
dealt with in other chapters.156
The standard issues raised in Chapter One and throughout this treatise can easily be dealt with because of
the independent nature of the participating professionals, firms and companies in the MDO. MDOs, absent
fee splitting, are consistent with the both the ABA and AICPA rules that regulate the individual professional
since there are p changes in the professional relationships with clients. Confidentiality is maintained when
there is an attorney/accountant/client relationship established because actual cases are handled separate
and apart from the MDO. The MDO is consistent with the conflicts of interest rules since the entities retain
their independence from each other. Fee sharing, prohibited by the ABA rules, is not an issue even if there is
a central billing system because the function would be bookkeeping rather than fee sharing.
However, WSG and PSI may create other ethical concerns, such as the unlicensed practice of a profession,
multi-jurisdictional practice, professional referral fees, advertising and others.
[1]—Unauthorized Practice of Law by an Association
As was set out in the opening example, John pays a fee to PSI each year in order to have access not only to
the resources but also to receive referrals from other members with whom he works on cases. He also knows
that 30% of the fee goes to marketing the organization to consumers and small businesses. WSG’s principal
purpose is to allow Judy and leading professional firms to gain access to resources and network with other
professionals, but also to market WSG as an alternative to the Big 5 MDPs. Over 50% of WSG’s budget is
dedicated to internal and external marketing. Is PSI or WSG practicing law?
The purpose of the attorney prohibition on assisting others in the unauthorized practice of law is to protect
the public from the consequences of incompetent legal services. Because the definition of the practice of law
is unclear and varies from state to state and country-to-country, one must look to specifics to determine
whether promotional activities by an entity come within the scope of law practice.
154 Provided that the members are independent organizations with no obligation to refer business to each other, there is no confidential information
shared among all of the members. Though transactions are individual in nature, there is no reason why members could not represent all clients and even clients with interests in the same matter. 155 Under ABA Model Rule 1.7, the confidences of each attorney in a law firm are imputed to the other attorneys. This does not mean that the firm
is regulated; it is simply the conduit for the imputation of conflicts. 156 For a general discussion of the traditional rules as applied to the Internet, see Fishkin and Thomason, The Wild West Frontier (No Ethics Immunity
for Use of the Internet), 26 San Fran. Att. 14 (4) (April/May 2000).
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Matching services create a database where clients can post needs and be matched with lawyers who perform
legal services. This could not reasonably be said to be the unauthorized practice of law."157 Under EC 3-5, the
practice of law relates to the “rendition of services for others that call for the professional judgment of a
lawyer.” Professional judgment is further defined as the “educated ability to relate the general body and
philosophy of law to a specific legal problem of a client.158 The underlying rational for the rules is the
assumption that there is a client. Marketing assumes that there is no client and therefore it cannot be the
unauthorized practice of law.
In the case of an online listing service, there are no practice of law issues since the service is not providing
legal services but information, which is protected speech. Attorneys need to be sure that the information in
the directory or online is in compliance with state bar regulations relating to their listings.
Online directories that are searchable by practice area means that lawyers, particularly if they specialize, may
be tempted to practice outside of the jurisdictions in which they are admitted. In addition, from time to time
a lawyer with a particular expertise is featured in WSG publications. If these lawyers are hired, does PSI or
WSG incur liability for promoting unlicensed practice by attorneys not admitted to the bar?
While the technology aspects of these issues have not been addressed,"159 there is no reason to think that
the general rule should not apply. For example, while the behavior might be frowned upon, courts have held
that in disaster or mass torts that marketing by law firms from other jurisdictions is not practicing law. Even
if the rule should be changed, given that the solicitation rules are enforced by the jurisdiction that admitted
the attorneys, these jurisdictions may have little interest in enforcing prohibitions in another jurisdiction
against an entity that merely supplies information but is not involved in the selection.160
Absent circumstances where the WSG or PSI becomes involved with clients directly, they would not violate
the unauthorized practice of law statutes and regulations.
[2] Multi-Jurisdictional Practice161— Unauthorized Practice by Lawyers162
John is admitted only in Kansas but spends at least 30% of his billable hours traveling to other
jurisdictions or advising on the law of other jurisdiction. Particularly the case in several states that have
patterned their agriculture laws after Kansas. He also represents a number of clients before various boards,
in particular, the Agricultural Department. Approximately 30% of his work comes from PSI, in which he is
listed as an expert in these areas.
John is regulated by the Kansas Bar Association because: (I) the state or local association has a vested interest
in protecting the public; (2) local rules or conditions may be unique; (3) the local professional association may
want to protect itself from outside professionals to assure a level or quality or professionalism; and (4) some
local professionals would like to limit competition in the jurisdiction.
157 Schmidt, Lawyers vs. The Internet WSJ, R36 (July 17, 2000). 158 Annotated Model Rules 444, 1995. 159 William E. Homsby, Jr., Marketing and Legal Ethics, ABA 2000 at 125 160 Lawyer’s Disciplinary Board v Allen, Coale & Van Susteren, No. 22700 (W.Va. Sup. Ct. 11/15/96). 161 Wolfram, Sneaking Around in the Legal Profession: Inter-jurisdictional Unauthorized Practice by Transactional Lawyers, 36 Tex. L.R. 715 (1995),
Sutton, Unauthorized Practice of Law by Lawyers: A Post-Seminar Reflection on 'Ethics and the Multijurisdictional Practice of Law” 36 Tex. L. Rev. 1027 162 The medical profession has the same unlicensed-practice issues as a result of the Internet. This is usually classified as a felony. The certification
process is required where the patient is physically located. The exception is consultation but is based upon infrequency. Given the Internet, there are discussions mall states on perhaps redefining the licensing requirements to carve out a few additional exceptions.
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Kansas’s rule 5.5(a) states that a lawyer must not practice law in a jurisdiction where doing so would violate
regulations of the profession in that jurisdiction. When John does practice in other jurisdictions, Kansas could
penalize John for his practice. These rules would seem to be in opposition to both clients’ interests (to have
the best possible legal representation) and the objective of multidisciplinary practices (ton use the best
professional for the job). John is open to sanctions both in the state in which he is practicing without a license
and in Kansas. However, the bar has tended to ignore unauthorized practice of law by attorneys from other
jurisdictions, particularly corporate counse1,163 absent some egregious circumstances.164
[3] Referral Fees165
Referral fees for work are suspect and viewed as unprofessional. In the case of the medical field, they can be
illegal.166 While the rules are very strict in the medical field, attorney rules have substantially changed to
permit advertising. The restrictions seem to be aimed at referral fees that are outright solicitation or are fee
splitting. States have their own statutes.
Referral fees are permitted when they are reasonable and not related to a particular transaction or matter.167
For example, firms lending funds to other firms and accepting referrals as payment and payment of a bonus
for each referral by an employee are prohibited. The service provider, such as PSI, cannot charge a
transactional fee for each referral but it can charge a percentage of the overall transaction. If the amount is
excessive, the fee may be suspect.
PSI offers the possibility of referrals both from the public and from other professionals. WSG offers
professionals the opportunities to get to know others, share information and, in particular, place information
about them in the database. Each receives a fee. Are these referral fees prohibited by bar regulations?
In Alabama State Bar Association v. R.W. Lynch,168 the court dealt with facts similar to PSI. In that case a
number of independent attorneys created a commercial for legal services. When clients called a telephone
number, they were referred to the attorneys who had paid for the ad. This was held not to be a referral
service, but permissible advertising. Since payments are not based upon the number or size of the referrals,
John’s participation in PSI should pose no referral ethical issues.
WSG is different in that it is more of a networking organization. Attorneys can participate in a networking
group provided that the membership fee is fixed and not based upon work generated, the referral function
is not the sole purpose, the lawyer does not accept clients based upon referrals from other members, lawyers
do not solicit members and the lawyer does not set up a booth at the networking convention.169 In short, as
163 The best example is that of in-house counsel who do practice in almost every jurisdiction without any sanctions. The same result is generally true
for lawyers practicing in a different state. Vigil, Regulating In-house Counsel: A Catholicon or a Nosy 78 Marg. L. Rev., 307 (1994); Pull admission Reciprocity Is In-house Lawyers’ Goal, 9 Laws. Man. on Prof. Conduct (ABA/BNA) Current Reports at 352 (1993). 164 “Standing alone, unauthorized practice out-of-state by an attorney in-state may not be considered sufficiently noteworthy to excite prosecution
efforts from disciplinary authorities in the lawyer’s home state.” Wolfram infra n 14 at 686. 165 7 Martin, Not So Fast, It’s Regulated — Some Warnings for the B-health Business, Bus. Law Today
(Sept./Oct. 2000); Braender and McCarthy-Perry, Making a Virtual House Call, Nat. L.J. Cl (Aug. 21, 2000); Meek, "Telemedicine: How an Apple (or Another Computer) May Bring Your Doctors Goser," 29 Cumb. L. Rev, 173 (1999). 166 There is an anti-referral statute, 42 U.S.C. § 1320a-7(b), which pertains to Medicare and Medicaid 167 ABA Model Rule 7.2(c). 168 655 So. 2d 982 (Ala. 1995). 169 Md. State Bar Ass’n. On Ethics, Op. 88-78 (1988).
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an organization whose objective is promoting professional activities, WSG should not violate the ban on
payments for referrals and would not be involved in fee splitting.
[4]—Advertising Marketing Directories — Organization and Lawyers
John joined PSI not only because of the resources that PSI makes available, but he knows that PSI/Microsoft,
in order to retain members, must spend considerable amounts on advertising to “guarantee referrals.” Judy’s
firm pays indirectly a portion of the advertising for WSG whose budget is $5 million. What rules, if any, apply
to PSI, WSG and their members related to advertising?
Each profession has their rules of permitted advertising.170 To be viable, PSI, the service provider, must attract
a large number of consumers of services. This requires a concerted marketing effort. While in the United
States attorneys now have fairly liberal advertising privileges, lawyers in many other jurisdictions are
prohibited from marketing.”171 The professionals could be responsible for the advertising of the service
provider.
The first issue is whether John and Judy are advertising or whether the activities of PSI and WSG are
independent of the members. In the United States advertising is permitted if it not false and misleading.172
Thus, the issue is whether the advertising violates the rules of the lawyers in the association. In the United
States, lawyers are subject to ABA Model Rule 7.2.
Rule 7.2 Advertising
(a) A lawyer may advertise services through public media, such as a telephone directory, legal directory, and
newspaper or other periodical, outdoor advertising, radio or television or through written recorded
communications.
(b) A copy or recording of an advertisement or communication shall be kept for two years after its last
dissemination along with a record of when and where it was used.
(c) A lawyer shall not give anything of value to a person for recommending the lawyer’s services except a
lawyer may
(1) pay the reasonable cost for advertisement or communications permitted by this Rule;
(2) pay the usual charges of a not-for-profit lawyer referral service or legal service organizations; and
(3) pay for a law practice in accordance with Rules 1.17.
(d) Any communication made pursuant to this Rule shall include the name of at least one lawyer responsible
for its content.
While lawyers have had very specific rules on directories, WSG is not a directory but an association. Its
directory is incidental. However, if the materials from the WSG contained language to the effect that the
170 Multidisciplinary Practice of law - hazards of dual practice with respect to advertising, solicitation and reasonableness of fees. 13 CBA Record 47(2)
(Nov. 1999). 171 Altof, Lawyer Advertising on the Internet (Practical and Ethical Considerations of Internet Advertising) 453 Wash St. Bar News, 32 (11 Dec 1999) 172 Bates v. State Bar of Arizona, 433 U.S. 350, 97 S.G. 2691, 53 L.Ed. 2d 810 (1977).
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materials were meant to comply with all applicable rules and that they were “void where prohibited,” it
would have additional protections.”173
PSI is a directory, albeit more sophisticated than most. PSI does not have activities other than the
information that is made available to each member. In the case of directories, the directory publisher
has no liability only the lawyer.174 These types of issues have been dealt with by the PSI Legal Advisory Board
by setting out some specific rules for listings.
While bars have rules, many of the rules are under attack. All can be complied with provided PSI and WSG
recognize what must be done for compliance.
[5]—Other Issues
While there is no case law on the issue, would Judy’s and John’s firm be able to list their firms as members
of WSG or PSI on the firm’s letterhead?
ABA Model Rule 7.5 requires a lawyer to avoid the implication that they practice in a partnership when this
is not the case. Listing membership in an organization is not covered directly. It would appear that this would
be permitted since WSG does not practice law — provided this is clearly defined. They would want to provide
a description of their respective organization — to the effect “Member World Services Group — An
Association of Independent Professional Firms and Businesses.175
§ 14.06 Competitive Implications
The professional objectives of any for-profit organization are: maintain standards of conduct; offer high-
quality, cost-effective services; and compete against the other professionals, who have precisely the same
interests, to make the most money. The MDO can make four profound changes on how professional service
providers compete.
First, information about clients and professionals can be automatically matched through databases and
further refined by the clients and professionals themselves. Professionals to find other professionals can also
use the matching function. When done systematically, a multidisciplinary team for any issue, anywhere, can
rapidly be formed. Second, the professionals geometrically expand their referral base because the non-
lawyer members are greater in size and are not reluctant to make referrals for fear of losing a client. In
addition, the number of clients represented by the MDO is vastly larger than those represented by even the
largest law firm network.
Third, professionals and clients can be matched according to their interest profiles within an organization.
This expands vertically the number of participants if each group is in a different market or provides a different
service. For example, large law firms are not interested in consumer type transactions that would interest
small- firms. This can be programmed into the matching function within the same MDO. Adding services is
inexpensive so that firms interested in consumer practice can be added to the group without competing with
173 In the event this material is not deemed to fully comply with the provision of the rules of professional conduct of any particular state, this firm will
not accept clients or representation that derived from the distribution of this material." American Bar Association Commission on Advertising (1995). 174 Bates v. Arizona, 433 U.S. 350 (1977). 175 Lex Mundi, an association of 160 law firms permit the members to place Lex Mundi on letter heads and other materials. However, they require
that precise words be used. Members must state: ”Member Lex Mundi, an Association of Independent Law Firms.”
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large firms interested in corporate transactions. The Big 5 cannot do this because it is difficult to differentiate
practice areas within the same organization.
Fourth, MDOs can provide clients access to the same database and tools that members of the relationship
enterprise have at their fingertips. Since professional services, rather than the management of these set vices,
is the profit center for professionals, delegating a portion of “management” to the client would therefore
contribute to the bottom line. It would also make the client the marketing vehicle for services, which
effectively increases the referrals base for each professional.
The MDO radically changes the competitive equation making it possible for firms of all sizes to offer services
to their individual clients. It does so at a fraction of the cost of bringing all services in-house and in a way that
sets the highest standards both globally and locally.
§ 14.07 Summary
While large providers of professional services must compete with the Big 5, they now have the opportunity
to come together to create MDOs to jointly offer services. These relationship organizations can be rapidly
created because they take advantage of existing resources that are in place. They avoid the serious
bureaucratic, regulatory and ethical constraints faced by the Big 5 in particular conflicts, confidentiality and
fee splitting issues that may never be resolved. These organizations have the potential of setting standards
that, in many cases, may exceed those of the Big 5 if they can be done correctly. The most revolutionary
aspect is that the MDO can allow corporate clients to create their own teams among service providers by
permitting access to the professionals. The result is a referral potential which far exceeds that of existing
networks, which are limited to one profession.
Using the PSI, firms like John’s can offer multidisciplinary services to small business and individuals. Through
WSG, Judy can offer more services to compete with the largest MDP provide.
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Appendix 5 Directory of Law and Accounting Network Executives
Law and accounting networks/associations of independent firms account annually for $180 billion of
professional services. The 70 executives listed in the directory represent over 500,000 licensed
professionals. They have over 15% of the global market for legal and accounting/advisory services.
On average each of the executives represents members who provide of $2.6 billion of services each year.
The $1.1 Trillion Market for Legal and Accounting Services
($ billion)
Law and Accounting Networks/Associations – Branded and Non-Branded
The quality and stature of the firms’ associations and networks are the most important aspect. They are all
members of what is generally defined as professional services networks. Each organization has standards
and a review policy for admission and continuation of membership.
There are two basic types of professional services networks: branded and non-branded. They are the
primary model for global services.
Branded network member firms all use the same name in each state or country. In accounting the
most well-known are: PWC, EY, Deloitte and KPMG. In law examples are: Dentons, Baker McKenzie
and DLA.
Non-branded networks/associations examples in accounting are: GGI, MSI and DFK. Examples
in law are: Lex Mundi, TerraLex, and Meritas.
Statistics: Accounting/Advisory Networks and Associations176
176 AccountancyAge, November 2017 https://www.accountancyage.com/rankings/top-20-international-networks-2017/
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Founded: 2001 Firms: 51 Professionals: 908 Type: Global Ann. Prof. Services:
Emmanuel Moulin President [email protected]
ABL / Alliance of Business Lawyers c/o DGM Avocats, 2 Rue Charles-Bonnet, CH 1206 Geneva, Switzerland Telephone: +32 (0)478 96 50 83 Website: www.ablglobal.net
Founded: 1990 Firms: 95 Lawyers: 5,500 Type: Global Ann. Prof. Services:
Garry Mackay CEO and partner [email protected]
ADVOC 1 New Fetter Lane London, EC4A 1AN, England U.K. Telephone: +44 797 747 1330 Website: www.advoc.com
Founded: Firms: 200 Professionals: 6,700 Type: Global
Ann. Prof. Services: $1.2 billion
Malcolm Ward CEO [email protected]
AGN International 24 Greville Street London EC1N 8SS United Kingdom Telephone: +44 (0)20 7971 7373 Website: https://www.agn.org/
Founded: 1980 Firms: 140 Lawyers : 9,000 Type: Global Ann. Prof. Services:
Peter Rogers CEO [email protected]
ALFA International 980 Michigan Ave. Ste. 1180 Chicago, Illinois 60611 U.S. Telephone: 312 642 2532 Fax: 312 642 5346 Website: www.alfainternational.com
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Founded: 1980 Firms: 140 Lawyers : 9,000 Type: Global Ann. Prof. Services:
Emmanuel Moulin Chair [email protected]
Alliance of Business Lawyers 45 avenue Montaigne, 75 008 Paris, France Telephone: +33 1 72 00 23 72 Fax. +33 1 72 00 23 73 Website: www.ablglobal.net
Founded: Firms: 137 Professionals: 14,500 Type: Global
Ann. Prof. Services $2.5 billion
Terry Synder Chair and CEO [email protected]
Allinial Global PO BOX 49247 Atlanta, Georgia 30345 USA Telephone: (770) 279-4560 Website: www.allinialglobal.com
Founded: 1979 Firms: 169 Professionals: 5,000 Type: Global Ann. Prof. Services: $.8 billion
James Hickey Chief Executive [email protected]
Alliott Group Lydum House 12 The High Street Petersfield Hampshire. GU32 3JG, England U.K. Telephone: +44 203 3300 111 Website: www.alliottgroup.net
Founded: 2,000 Firms: 61 Professionals: 2,250 Type: Global
Ann. Prof. Services:
Wendy Horn Executive Director [email protected]
Ally Law 527 Marquette Ave. South, Ste. 1925 Minneapolis, MN 55402 U.S. Telephone: +1.612.770.6046 Fax: 612 435 2054 Website: www.ally-law.com
Founded: Firms: 10 Lawyers: 60 Type: Regional Ann. Prof. Services:
Dr. Cheick Modibo Diarra Chairman [email protected]
ALN African Legal Network Anjarwalla, Collins & Haidermota, Dubai, UAE Saaha Offices, Block C, Office 501 A, The Palace, Downtown Dubai Tel: (+971) 4 452 9091 Fax: (+971) 4 452 9078 Website: www.africalegalnetwork.com
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Founded: Firms: 52 Professionals: 500 Type: Global Ann. Prof. Services:
Pierre-Roger Preussler Partner [email protected]
Ars Legis Studio Legale Dr. Preussler & Dr. Gruber Via Palade n. 97 Telephone: +39 0473 490 900 Fax: +39 0473 490 901 Website: www.arslegis.eu
Founded: 1989 Firms: 40 Lawyers: 4,200 Type: Regional Ann. Prof. Services:
Ben Smith EC Member [email protected]
Association of European Lawyers Charles Russell 8-10 New Fetter Lane London EC4A 1RS U.K. Telephone: +44 207 203 5000 Fax: +44 207 203 0200 Website: www.europeanlawyers.org
Founded: 1988 Firms: 126 Professionals: 22,600 Type: Global
Ann. Prof. Services: $3.3 billion
Ted Verkade CEO [email protected]
Baker Tilly New Bridge Street House, 30-34 New Bridge Street, London, EC4V 6BJ, United Kingdom
Telephone: 44-7249-4100 Website bakertillyinternational.com
Founded: Firms: 164 Professionals: 10,700 Type: Global
Ann. Prof. Services: $1.4 billion
Maureen Schwartz CEO
BKR International 19 Fulton Street Suite 401 New York, NY 10038, U.S.A. Telephone: 1-212-964-2115 Fax: 1-212-964-2133 Telephone: Website: www.bkr.com
Founded: 1963 Firms: 114 Professionals: 53,000 Type: Global
Ann. Prof. Services: : $7.6 billion
Keith Farlinger CEO Global [email protected]
BDO Global Blue Tower Avenue Louise 326 bus 30 1050 Brussel Telephone: +32 (0)2 640 07 96 Website: www.bdo.com
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Founded: 1995 Firms: 40 Professionals: 1,000 Type: Global Ann. Prof. Services:
Peter Munday President [email protected]
Cicero League of International Lawyers Pinewood Lodge Warren Lane Oxshott Surrey KT22 0ST United Kingdom Telephone: (00 44) (0) 1372 843078 Facsimile: 07710 900359 Website: www.ciceroleague.com
Founded: Firms: 60 Lawyers: Type: International Ann. Prof. Services:
Caroline Chetrit Managing Director [email protected]
Consulegis EWIV Elisabethstrasse 9 D-80796 Munich / Germany Phone: +49 89 30 70 50 20 Fax: +49 89 30 70 67 29 Website: www.consulegis.com
Founded: 1942 Firms: 189 Professionals: 3,900 Type: Global
Ann. Prof. Services: $3.8 billion
David Mellor CEO [email protected]
Crowe One Carey Lane, Third Floor ondon , None EC2V 8AE United Kingdom Telephone: +44 (0)203 457 6700 Website: www.crowe.com/global
Founded: 1962
Firms: 214
Professionals: 8,700
Type: Global
Ann. Prof. Services: $1.2 billion
Martin Sharp Executive Director [email protected]
DFK International Room 120, Temple Chambers 3-7 Temple Avenue London EC4Y 0HP Telephone: +44 (0) 20 7436 6722 Website: https://www.dfk.com/
Founded: 2000 Firms: Professionals: 3,000 Type: Global Ann. Prof. Services:
Stephen Hirschfeld CEO [email protected]
Employment Law Alliance 727 Sansome St. San Francisco, CA 94111 U.S. Telephone: 415 835 9011 Fax: 414 834 0443 Website: employmentlawalliance.com
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Founded: Firms: 27 Lawyers: 700 Type: Regional
Dr. Thomas Voller President [email protected]
Euro CollectNet Voller Rechtsanwaelte Main Airport Center (MAC) Unterschweinstiege 2-14 60549 Frankfurt am Main Germany Telephone: +0049 69 63 15 070 Fax: +0049 69 63 15 066 Website: www.eurocollectnet.com
Founded: 1989 Firms: 28 Professionals: 950+ Type: Regional Ann. Prof. Services:
Christian Steden President [email protected]
European Law Firm EEIG European Law Firm Registered Office Beukentaan 46, Postbus 63 EINDHOVEN, 5600 AB Netherlands Telephone: + 44 (0) 333 006 0330 Website: www.european-law-firm.com
Founded: 1995 Firms: 566 Professionals: 27,000
Type: Global
Ann. Prof. Services: $5.6 Billion
Michael Reiss von Filski Global CEO [email protected]
Geneva Group International (GGI) Schaffhauserstrasse 550 P.O. Box 286 8052 Zurich Switzerland Telephone: +41 (0)44 256 18 18 Fax: +41 (0)44 256 18 11 Website: www.ggi.com
Founded: Firms: 23 Professionals: 800 Type: Regional Ann. Prof. Services:
Christoph Roos Chairman [email protected]
Globaladvocaten
Theaterarkaden – Oper Kapuzinerstraße 11 D-53111 Bonn Telephone: +49 (0) 228 908 728 0 Website: globaladvocaten.com
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Founded: 1994 Firms: 94 Professionals: 5,000 Type: Global Ann. Prof. Services:
Marco Bolognini President [email protected]
Globalaw MAIO Legal, Calle Acala 75,2d Fl, Madrid , Spain Telephone: +34 91 577 50 20 Website: www.globalaw.net
Founded: 1924 Firms: 137 Professionals: 37,000 Type: Global
Ann. Prof. Services: $5.1 billion
Peter Bodin CEO [email protected]
Grant Thornton 110 Bishopsgate, London EC2N 4AY, UK Telephone: +44 20 7383 5100 Website:www.grantthornton.com
Founded: 1972 Firms: 99 Lawyers: 5,000 Type: International Ann. Prof. Services:
Timothy Violet, Esq. Executive Director [email protected]
Harmonie Group
4248 Park Glen Road Minneapolis, MN 55416 Telephone: 612-875-7744 Website: www.harmonie.org
Founded: 1969
Firms: 270 Professionals: 16,000 Type: International
Ann. Prof. Services: $ 2.37 billion
Marco Donzelli Chief Operating Officer [email protected]
HLB International 21 Ebury Street London SW1W 0LD, UK Telephone: + 44 (0)20 7881 1100 Fax: + 44 (0)20 7881 1109 Website: https://www.hlbi.com/
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Founded: Firms: 174 Professionals: 5,900 Type: Global
Ann. Prof. Services: $.6billion
Martin Clapson Vice Chair [email protected]
IAPA First Floor, Sequel House, The Hart, Farnham, Surrey, GU9 7HW, United Kingdom
Telephone: + 44 (0)1252 267880 Website: www.iapa.net
Founded: Firms: 24 Professionals: 24 Type: Regional Ann. Prof. Services:
Jay Solomon Partner [email protected]
IMMLAW 900 Circle 75 Parkway, Ste. 1350, Atlanta, GA 30339-3095 U.S. Telephone: 770 955 1055, Website: www.immlaw.com
Founded: Firms: 33 Professionals: 33 Type: Global Ann. Prof. Services:
Jean Lawler Partner [email protected]
Insuralex 801 South Grand Avenue, 9th Floor Los Angeles, California 90017 U.S . Telephone: 213-630-1019 Fax: 213-623-6336 Website: www.insuralex.com
Founded: 1982 Firms: 66 Lawyers: 5,000+ Type: Global Ann. Prof. Services:
Michael Siebold Chairman [email protected]
Interlaw 1900 Avenue of the Stars Seventh Floor Los Angeles, CA 90067 U.S. Telephone: 310 459 2905 Website: www.interlaw.org
Founded: 1973 Firms: 45 Lawyers: 10,500 Type: Global Ann. Prof. Services:
Lawrence Swibel President [email protected]
Interlex Group 200 West Madison Street, Ste. 3000 Chicago, IL 60606 U.S. Telephone: 312 224 1214 Fax: 312 224 1201 Website: www.interlexgroup.com
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Founded: Firms: 95 Lawyers: 2400 Type: International Ann. Prof. Services:
Christian Campbell Secretariat Member [email protected]
International Business Law Consortium Matzenkopfgasse 19 520 Salzburg Austria Phone: +43 662 835399 Fax: +43 662 835399 09 Email: www.iblc.com
Founded: Firms: 70 Professionals: Type: Global Ann. Prof. Services:
Lutz Kaiser Chairman [email protected]
International Law Firms 3, rue Montée Clausen ILF – International Law Firms (a.s.b.l.) 1343 Luxembourg Luxembourg Telephone: + 49 7221 992390 Fax: + 49 7221 992391 Website: www.ilflaw.com
Founded: 1988 Firms: 91 Lawyers: 5,000 Type: Global
Ann. Prof. Services: $2.5 Billion
Lindsay Griffiths Director of Global Relationship Management [email protected]
International Lawyers Network 11B Opal Court Barnegat, NJ 08005 Telephone: 201 594 9430 Fax: 201 740 9765 Website: www.iln.com
Founded: Firms: 43 Professionals: 2,500 Type: Global Ann. Prof. Services:
Sam Everatt Executive Director [email protected]
IUS Laboris 280 Boulevard du Souverain 1160 Brussels Belgium Telephone: +32 2 761 46 10 Fax: +32 2 761 46 15 Website: www.iuslaboris.com
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Founded: Firms: 218 Professionals: 18,200 Type: Global
Ann. Prof. Services: $2.2 billion
Liza Robbins CEO [email protected]
Kreston International Springfield Lyons Business Centre Springfield Lyons Approach Chelmsford, Essex England, CM2 5LB Telephone: +44 .(0)1245 462882
Website: www.kreston.com
Founded: Firms: 23 Lawyers: 1,500 Type: Global Ann. Prof. Services:
Jeroen Douwes, MBA Executive Director [email protected]
L & E Global Avenue Louise 221 B 1050 Brussels Belgium Telephone: +32 2 64 32 633 Website: leglobal.org
Founded: Firms: Professionals: Type: Global Ann. Prof. Services:
Anthony Kirwan Executive Director [email protected]
Law Firm Network Prados Sur 555 Lomas de Chapultepec, Del. Miguel Hidalgo México D.F. C.P. 11000 Telephone: +52 (55) 91773320 Website: www.networkedlaw.com
Founded: 1995 Firms: 105 Lawyers: 3,500 Type: Global Ann. Prof. Services:
Lorri Salyards Executive Director [email protected]
Lawyers Associated Worldwide 2823 McKenzie Point Rd. Minneapolis, MN 55391 U.S. Telephone: 952 404 1546 Fax: 952 404 1796 Website: www.lawyersworldwide.com
Professional Services Disruption
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Founded: Firms: 220 Professionals: 17,800 Type: Global
Ann. Prof. Services: $3.2 billion
Karen Kehl-Rose President [email protected]
LEA leaglobal.com Telephone: Fax: 621 Cedar Street St. Charles, IL 60174 Phone: +1 630.513.9814 Fax: +1 630.524.9014 Website: www. leaglobal.com/
Founded: 2012 Firms: 65 Lawyers: 5,000 Type: Global Ann. Prof. Services:
Thomas Mudd Partner [email protected]
Legal Network International Argentinska 286/38 CZ-17000 Prague 7 CZECH REPUBLIC Telephone: +420 224 812 301 Website: www.lninternational.com
Founded: Firms: 60 Lawyers: 3000 Type: Regional Ann. Prof. Services:
Maria de Sa Nogueira Legalink CAO [email protected]
Legalink Rua da Mesquita, Casa dos Areasis 2705-352 Colares Portugal Telephone: +351 91 234 9755 Website: www.legalink.ch
Founded:
Firms: 75 Professionals: ~2,500 Type: Global Ann. Prof. Services:
Sandra Boyer President [email protected]
Legus 3135 S. State St., Ste. 103 Ann Arbor, MI 48108 U.S. Telephone: 734 929 6948 Fax: 734 929 6952 Website: www.leguslaw.com
Founded: Firms: 30 Lawyers: 900 Type: Regional Ann. Prof. Services:
Daniël Van der Mosen Chairman [email protected]
LEI-nternational 9 Mill Lane, Shoreham by Sea West Sussex BN43 5AG, England, U.K. Telephone: +44 1273 455753 Website: www.law-europe.com
Professional Services Disruption
74
Founded: 1993 Firms: 22 Lawyers: 400 Type: Regional Ann. Prof. Services:
Pieter Steyn Chairman [email protected]
Lex Africa Werksmans Lawyers P.O. Box 927 Johannesburg 2000 Republic of South Africa Telephone: +27 11 488 0000 Fax: +27 11 484 3100/3200 Website: www.lexafrica.com
Founded: 1989 Firms: 160 Lawyers: 21,000 Type: Global Ann. Prof. Services:
Carl Anduri President [email protected]
Lex Mundi 2100 West Loop South, Ste. 1000 Houston, Texas 77027 U.S. Telephone: 713 626 9393 Fax: 713 626 9933 Website: www.lexmundi.com
Founded: Firms: 48 Professionals: 2,100 Type: Global Ann. Prof. Services:
Forbes Sargent Chairman [email protected]
Lexwork International 111 East Wacker Dr., Ste. 2800, Chicago, IL 60601 U.S. Telephone: 617 646 2189 Website: www.lexwork.net
Founded: 1995 Firms: 94 Lawyers: 4,500 Type: Global
Ann. Prof. Services: $2 billion
Clive Mieville Executive Director [email protected]
Mackrell International
21-25 Church Street West Woking Surrey, GU21 6D, England U.K. Telephone: +44 1483 755609 Fax: +44 1483 755818 Website: www.mackrell.net
Founded: 1990 Firms: 177 Lawyers: 7,006 Type: Global Ann. Prof. Services:
Tanna Moore President [email protected]
Meritas
800 Washington Ave. North, Ste. 600 Minneapolis, MN 55401 U.S. Telephone: 612 604 0080 Fax: 612 337 5783 Website: www.meritas.org
Professional Services Disruption
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Founded: 1907 Firms: 276 Professionals: 21,400 Type: Global
Ann. Prof. Services: $2.8 billion
Richard Moore Chair Moore Stephens [email protected]
Moore Stephens 150 Aldersgate Street London EC1A 4AB England Telephone (0) 20 7334 9191 Website: www.moorestephens.com
Founded: Firms: 157 Professionals: 9,200 Type: Global
Ann. Prof. Services: $1.1 billion
CEO
Morison KSi
6th Floor, 2 Kingdom Street Paddington London W2 6BD United Kingdom Telephone: +44 (0)20 7638 4005 Website: www.morisonksi.com/
Founded: 1990 Firms: 240 Professionals: 10,552
Type: Global
Ann. Prof. Services: $ 1.4 billion
Tim Wilson Chief Executive [email protected]
MSI Global Alliance 147-149 Temple Chambers 3-7 Temple Avenue London, EC4Y 0DA, England U.K. Telephone: +44 20 7583 7000 Fax: +44 20 7583 7577 Website: www.msiglobal.org
Founded: 1990 Firms: 80 Lawyers: 8,500 Type: Global
Ann. Prof. Services: $4.2 billion
Adam Cooke Executive Director [email protected]
Multilaw 125 Wood St, London EC2V 7AW, United Kingdom Telephone: +44 20 7410 9269 Fax: +44 20 7410 9270 Website: www.multilaw.com
Founded: 1995 Firms: 24 Lawyers: 6,500 Type: Regional Ann. Prof. Services:
Felice Wagner Executive Director [email protected]
Network of Trial Law Firms 303 South Broadway, Ste. 222 Tarrytown, NY 10591 U.S. Telephone: 914 332 4400 Fax: 914 332 1671 Website: www.trial.com
Professional Services Disruption
76
Founded: Firms: 246 Professionals: 20,400 Type: Global
Ann. Prof. Services: $3.2 billion
Kevin Arnold CEO [email protected]
Nexia Nexia International - Secretariat 71 Kingsway, London, WC2B 6ST, UK Telephone: +44 (0)20 7436 1114 Fax: +44 (0)20 7436 1536 Website: www.nexia.com
Founded: 1969 Firms: 218 Professionals: 15,610 Type: Global
Ann. Prof. Services: $1.3 billion
John Sim CEO [email protected]
PKF 12 Groveland Court, London, EC4M 9EH UK Telephone: +44 203 691 2500 Fax: Website: www.pkf.com
Founded: Firms: 24 Professionals: 1,300 Type: Regional Ann. Prof. Services:
Luís Moreira Cortez President [email protected]
PLG International Lawyers E.E.I.G.
41, Avenue de Sumatra 1180 Brussels Belgium Telephone: +32 2 374 88 46 Fax: +32 2 374 90 61 Website: www.plg.eu.com
Founded: Firms: 53 Professionals: Type: Global Ann. Prof. Services:
Michel Lacroix Chairman [email protected]
Pragma 25, Rue Faidherbe, BP 249 59002 LILLE Cedex France Telephone: +33 03 20 12 05 84 Fax: +33 03 20 55 62 60 Website: www.pragma-eu.com
Founded: Firms: 66 Professionals: 31,800 Type: Global
Ann. Prof. Services: $5.2 billion
Graeme Gordon CEO/Executive Director [email protected]
Praxity Suite 2, Beechwood 57 Church Street Epsom, Surrey KT17 4PX United Kingdom Telephone: +44 (0) 1372 738 190 Website: www.praxity.com
Professional Services Disruption
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Founded: Firms: 300 Professionals: 14,200
Type: Global Ann. Prof. Services: $1.2 billion
Tim Davidson Chair [email protected]
Prime Global 3235 Satellite Boulevard Bldg 400 Suite 300 Duluth, GA 30096 Telephone: 1 678-417-7730 Website: www.primeglobal.net
Founded: 1992 Firms: 200 Professionals:
Type: Global Ann. Prof. Services:
John C. “Jack” Buchanan President [email protected]
Primerus Law Firms 171 Monroe Avenue NW, Suite 750 Grand Rapids, Michigan 49503
Telephone: 616-454-9939
Website: www.primerus.com
Founded: 1964 Firms: 120 Professionals: 31,500 Type: Global
Ann. Prof. Services: $4.9 billion
Jean Stephens Executive Director [email protected]
RSM 50 Cannon Street, London, EC4N 6JJ, UK Telephone: +44 207 601 1080 Website: www.rsm.global
Founded: 1990 Firms: 145 Professionals: 11,400 Type: Global Ann. Prof. Services:
David Poisson CEO [email protected]
SCG Legal 1717 Pennsylvania Ave. NW, Ste. 1200 Washington, DC 20006 U.S. Telephone: 202 659 6601 Fax: 202 659 6641 Website: www.scglegal.com
Founded: 1994 Firms: 48 Professionals: 4,900 Type: Regional Ann. Prof. Services:
Erin Murphy Executive Director [email protected]
State Law Resources 1155 15th St. NW, Ste. 500 Washington DC 2005 U.S. Telephone: 202 495 3120 Fax: 202 530 0659 Website: www.statelaw.org
Professional Services Disruption
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Founded: 1999 Firms: 160 Professionals: 9,700 Type: Global
Ann. Prof. Services: $4.503 billion
Richard Attisha President a [email protected]
TAGAlliances The Attisha Group Enterprises, Inc. (TAG Alliances) 2590 West King Edward Avenue Vancouver, BC Canada V6L1T6 Telephone: +1 727 895 3720 Fax: +1 727 895 3722 Website: www.tagalliances.com
Founded: Firms: 50 Tax Advisors: 2,000 Type: Global Ann. Prof. Services:
Frederic Donnedieu de Vabres Partner [email protected]
Taxand 1B Heinenhaff L-1736 Senningerberg Luxembourg 32 Telephone: +33 01 70 38 88 01 Fax: +33 01 70 38 88 10 Website: www.taxand.com
Founded: Firms: 122 Professionals: 700 Type: Regional Ann. Prof. Services:
Giancario Agace Chairman [email protected]
TELFA - Trans European Law Firms Alliance Avenue Louise 208 B-1050, Brussels Belgium Telephone: +32 2 642 27 59 Fax: +32 2 642 27 93 Website: www.telfa.org
Founded: 1991 Firms: 155 Lawyers: 19,000 Type: Global Ann. Prof. Services:
Terri Pepper Gavulic Executive Director [email protected]
TerraLex 8350 NW 52nd Terrace, Suite 410, Miami, FL
Telephone: 305 858 8825 Fax: 305 858 8986 Website: www.terralex.org
Founded: 2001 Firms: 110 Lawyers: 7,000 Type: Global Ann. Prof. Services:
Roger Yaffe Executive Director [email protected]
USLaw Network 5905 NW 54th Circle Coral Springs, FL 33067 U.S. Telephone: 800 231 9110 Fax: 800 231 9110 Website: www.uslaw.org
Professional Services Disruption
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Founded: 1995 Firms: 26 Professionals: 500 Type: Regional
Ann. Prof. Services:
Stuart Miller Chairman [email protected]
Warwick Legal Network VDB Advocaten Notarissen Eindhovenseweg 126 NL-5582 HW Waalre Netherlands Telephone: +44 20 7553 9936 Website: www.warwicklegal.com
Founded: 1988 Firms: 51 Professionals: 19,000 Type: Global Ann. Prof. Services:
Stuart Young Secretary [email protected]
World Law Group 4 More London Riverside London SE1 2AU Telephone: +44 (0)20 3636 7968 Website: www.theworldlawgroup.com
Founded: 1989 Firms: 31 Lawyers: 350 Type: Global Ann. Prof. Services:
Millicent Sanchez President [email protected]
Worklaw Network 9401 Wilshire Boulevard, Suite 828 Beverly Hills, California 90212 Telephone. (310) 288-3980 x8203 Fax: (310) 733-1727 Website: www.worklaw.com
Founded: 2002 Firms: 141 Lawyers: 19,000 Type: Global Ann. Prof. Services:
Maricarmen Trujillo Chief Operating Officer [email protected]
World Services Group 2777 Allen Pkwy., Ste. 622 Houston, TX 77019 U.S. Telephone: 713 650 0333 Fax: 713 650 5566 Website: www.worldservicesgroup.com