Economics

U.S. Firm Sees China as an Escape from Economic Slowdown

As the effects of the economic downtown ripple throughout the rest of the world, global law firm Nixon Peabody is hopeful that the continued investment of U.S. private equity in China, as well as Chinese companies investing in the U.S., will pay off for the firm and its clients. The…

Jan 20, 2009 9:34 PM CST

Homeowner ‘Cramdown’ Legislation Opposed By Obama

If they go bankrupt, real estate investors who don’t live in the homes they purchase can ask a judge to reduce the principal balances on their mortgage loans. But homeowners don’t have the same “cramdown” right concerning their primary residence, under recent bankruptcy reform legislation. Unless the lender voluntarily agrees…

Jan 20, 2009 8:46 PM CST

Jenner’s Chair, Anton Valukas, to Probe Lehman Bros. as New Examiner

The chairman of the Chicago-based Jenner & Block law firm has been nominated to serve as the court-appointed examiner in the record-breaking Lehman Brothers bankruptcy in progress in federal court in Manhattan. As examiner, Anton Valukas will have “the power to investigate a wide range of issues, including asset transfers…

Jan 20, 2009 8:24 PM CST

‘Bitterness and Anger’ Aimed at Thacher Managers Over Partner Losses

A former partner at the dissolved law firm Thacher Proffitt & Wood says there is “a lot of bitterness and anger” directed at former managers of the law firm. The former partner told The Lawyer that partners are facing losses in the millions of dollars as a result of the…

Jan 20, 2009 2:47 PM CST

Constitutionality of Bailout Law is Questioned

Some conservative and libertarian groups maintain the $700 billion bailout law is an unconstitutional delegation of authority to the executive branch. The theory could soon be tested, the New York Times reports. A group known as the FreedomWorks Foundation said it plans to file a lawsuit challenging the law. It…

Jan 16, 2009 2:10 PM CST

O’Connor Says her ‘Heart Sank’ with Supreme Court Nomination

Sandra Day O’Connor was a reluctant U.S. Supreme Court justice. After a speech in Scottsdale, Ariz., O’Connor was asked about her initial reaction when President Ronald Reagan nominated her to the U.S. Supreme Court in 1981. The Arizona Republic reports on her answer. “My heart sank,” O’Connor said. “I had…

Jan 16, 2009 1:19 PM CST

Lots of Layoffs Translates to Lots of Work for Employment Lawyers

As employers in a broad array of industries lay off workers, business is up significantly among many of the lawyers and firms that advise these companies. At the 24-attorney San Jose, Calif., office of employment firm Littler Mendelson, for instance, billings rose 20 percent in November and 23 percent in…

Jan 15, 2009 10:37 PM CST

Holder Takes Conciliatory Tone in Opening Statement

Eric Holder acknowledges past mistakes in a prepared opening statement for hearings beginning today on his nomination for attorney general. The statement doesn’t delve into specific issues, such as his endorsement of controversial pardons while serving in the Justice Department under Attorney General Janet Reno. But it does take “a…

Jan 15, 2009 12:06 PM CST

Madoff Debacle Makes Rain for Lucky Law Firms

As law firms, like other businesses, struggle to stay on track in a disastrous economy, a stunning financial storm for many wealthy investors has shown a platinum lining to legal practitioners. The $50 billion fraud allegedly perpetrated by Bernard Madoff under the guise of a hedge fund has provided unprecedented…

Jan 14, 2009 6:48 PM CST

Is It Do or Die Time for Top Law Firms?

The 15 minutes of fame many corporate lawyers enjoyed during last fall’s economic implosion may be coming to an end, reports the Financial Times (reg. req.). When the financial crisis heated up, deal-makers shifted their focus to the intricate language of merger and credit agreements, parties sued each other over…

Jan 13, 2009 10:52 PM CST

Special Recession Issue

Some very hard times are on the horizon.

Stock markets have cratered, credit markets have seized up, and nothing the regulators have done seems to have had much impact on an economy that looks as bad as it has looked since the Great Depression.

How did we come to this, and what role did the work of lawyers play? What effect will the downturn likely have on the business of law on both Wall Street and Main Street? And how can you survive the slump?

This special issue begins to answer those questions.

We look back to the last great legal recession for clues about how this bust is likely to play out.

Jan 1, 2009 9:05 PM CST

What a Legal Recession Looks Like

Today’s big-firm associates and junior partners weren’t even in law school during the last deep, sustained legal recession.

Jan 1, 2009 11:59 AM CST

Rollin’ the Dice on Parkdale Road

Though the credit meltdown may have seemed a sudden development to some, critics had been warning that massive mortgage-backed securities were doomed to fail, perhaps from their inception.

Financial institutions gambled billions on millions of mortgages like this one, profiled from federal court records.

View a larger size of the game board by clicking here. (PDF)

Jan 1, 2009 11:50 AM CST

Recession-Proof Your Practice

10 tips to protect your firm in the toughest times

Jan 1, 2009 11:40 AM CST

Situations Wanted

The legal recession has already claimed hundreds of victims. Through no fault of their own, some very good lawyers find themselves suddenly looking for a job. Below are seven who are pounding the pavement in search of their next opportunity. If you’re hiring, we think they’re all worthy of your consideration.

Jan 1, 2009 11:30 AM CST