More than ever, businesses are looking for ways to conserve limited resources. Yet litigation proceeds unabated, it seems. Below are 5 tips we use to control litigation costs, which in-house counsel may wish to discuss with their outside counsel in order to weed out unnecessary charges:
1. Reduce Timekeepers on Calls and Internal Meetings
Having more than one or two lawyers on a phone call or in an internal meeting is often unnecessary. The general rule should be that only value-add lawyers may be billed, absent a clear explanation of why more were necessary for the call or meeting. For example, a telephonic hearing on a dispositive motion may require more than one timekeeper to assure good notes are taken, while most discovery meet and confers should not require multiple lawyers.
2. Avoid Duplicative Review
Attorney collaboration and review of major filings is important, so some billing by multiple timekeepers is usually warranted on important filings. Multiple layers of deep rewrites, however, usually are not necessary, and should be accompanied by either an explanation or a write-off if they occur.
3. Avoid Subsidizing Firm Overhead
Research platforms like Westlaw and other generalized costs that apply to all clients are properly defined as firm overhead. Clients should only be responsible for third-party costs that are incurred for the client’s specific case – for example, paying an arbitrator’s fees or the cost of service of process.
4. Create Written Guidelines for Outside Counsel
Although many of our sophisticated clients have written outside counsel policies, some do not. Codifying your expectations of your outside counsel with written policies that are shared at the beginning of an engagement is an effective way to make sure your values and expectations are aligned and to avoid future misunderstanding.
5. Collaborate with Preferred Counsel on Discounted Fee Structures
One great way to save on your legal spend is to identify the firms that deliver you the best work product and the best value, and to increase your book of business with those firms in exchange for discounted rates.
For more information regarding litigation strategy, please contact one of Alto Litigation’s partners: Bahram Seyedin-Noor, Bryan Ketroser, Ellen London.
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