Law firms looking to weather the Covid-19 economic storm are throwing some cash-strapped clients a lifeline while trying to avoid steep discounts and pushing to ensure that bills go out on time. Kent Zimmerman notes the importance of cash to clients in an uncertain economy.  As companies grow more concerned about their earnings, edicts will go out to legal departments to spend less.

Kirkland & Ellis has brought in nearly $100 million this year representing distressed retailers and other large, public companies in a rash of mostly pandemic-related bankruptcies. The firm represents the debtor in 11 of 24 large, public bankruptcies this year.  Kent Zimmerman observes that there’s a widely held perception that Kirkland has one of the best restructuring practices in the world. The high demand for the firm's bankruptcy practice is another example of how it can really pay off to be among the best in chosen areas of focus.

Mary K Young and Alex Dimitrief, via a webinar, will examine what is on the minds of General Counsels and how best to communicate with and serve them in light of the challenges they are facing with COVID-19.  Mary K  and Alex  will hold a conversation that taps into Alex’s unique understanding of what in-house counsel are facing. Alex will draw on his experience helping to guide General Electric through the 2008 global recession among other crises.

The conversation will include a discussion of:

• What General Counsels are thinking about during this crisis and what their highest priorities are
• Where relationships with law firms rank on a GC’s list of priorities during a crisis like this and what this means for law firms
• Things law firms can do to make a good and long-lasting impression on their clients and what law firm relationship partners should avoid doing
• How marketing and business development staff can help their firms navigate this pandemic
• Types of communications from law firms that in-house counsel welcome and types to be avoided

June 9, 2020 - 5:00 pm to 6:00 pm

To register for the webinar, please visit the LMA Caring for Clients webpage.

America’s blue chip companies issued record amounts of debt in March and April, powering a renaissance for the often overlooked Big Law practice that helps companies issue bonds, and helping some law firms avoid layoffs and pay cuts.  Kent Zimmerman observes that capital markets groups in many firms are now outperforming private equity, which is a reversal of what many firms saw before the crisis. and that it won't be long before private equity comes back. It’s just a question of when.

Alex Dimitrief discusses ten lessons he learned at General Electric during the financial crisis and other periods of angst about how general counsel and their teams can help their companies navigate the coronavirus pandemic.

Kirkland & Ellis’ new chairman Jon Ballis has wasted little time making his mark, poaching a rising star dealmaker away from one of Big Law’s most untouchable firms this week, despite a global pandemic slowing the economy and scaring rivals away from making big-dollar hires.  Kent Zimmerman sees the move as a demonstration of the chairman's commitment to continue the firm’s long-term investment in building out M&A.

To deal with economic uncertainty, industry adviser Kent Zimmermann said Am Law 100 firms are seriously considering numerous meaningful cost-cutting options, including cutting partner draws, and are predicting a modest decline in revenue.

Big Law has been anticipating an uptick in bankruptcy and restructuring work. Thanks to the COVID-19 pandemic, it may be coming sooner than expected.  Mary K Young comments on the challenges for lawyers working from home and those firms best positioned to handle the anticipated increase in bankruptcy cases. 

Alex Dimitrief advises that the most important guiding principles for outside counsel during a crisis are to be helpful and to steer clear of anything that might be construed as insensitivity to a client’s distress,

Peter Zeughauser provides recommendations on how law firms can prepare for a likely economic downturn due to COVID-19.