Aug 25, 2011
There are a number of critical or “Core Elements” involved in a well managed and well orchestrated law firm. This Chart represents those Core Elements. In a law firm Risk Review, an assessment is made of these elements and a measuring stick is applied against reasonable standards of the practice. Firms which handle these responsibilities very well are a good risk, firms that handle them only adequately are a poorer risk. Unfortunately, too, even one of these subjects, managed badly or not at all can lead to professional liability claims. Our Reviews are designed to highlight areas of needed improvement and work with the firm in correcting the deficiencies in their practice management.
| Category | Description | Total Points Possible |
| Partnership Agreement | This document represents the “constitution” of the firm. It should assign duties and responsibilities to each Principal and Shareholder of the firm; set out the basic compensation scheme and discuss the basic philosophy of the firm as to its level of professionalism, the quality of its lawyering and principals’ expectations. |
10 |
| Overall Management Structure | How well has the firm addressed the need for all levels of management: developing policy, translating that policy into a theory of action and then carrying it out? |
15 |
| Long-Term Planning | How well does the firm anticipate its growth and take into consideration the elements which may affect its overall health and welfare? |
10 |
| Financial Management | How accurate and complete is the necessary financial data? How well has the firm developed a strategic approach to the firm monetary requirements? What is their ability to take the strategic approach and carry it out on a day to day basis? |
15 |
| Case Acceptance Principles | Does the firm have the systems in place to determine that the appropriate kind of case work is accepted into the firm? Does more than one lawyer make those choices for the firm? |
20 |
| Conflicts and Ethics Considerations | Does the firm have a firmly held and articulated set of conflict rules? How well does it execute and monitor these rules on a day to day basis? The same for a set of ethical considerations. |
10 |
| Financial Reporting | How well does the firm make the financial data available to all concerned individuals so that consensus can be reached on the important issues of the firm based upon the correct, relevant data? |
5 |
| Development of the Associate Population | Does the firm take its training responsibility seriously? What means has it developed toward that end? | 5 |
| Mechanics of the Practice | Are the systems and people on place to reasonably expect to be able to see to it that the above stated goals and principles are accomplished? |
5 |
| Communication in the Firm | Are the systems in place for reasonable and reasonably effective communication among all strata of the firm? | 5 |
| 100 |