How to Avert or Survive a Software Audit
<i>Ed. Note: One would expect law firms to consider it beneath them to deliberately have staff members ' or those of an ancillary business ' use illegal software copies. But the potentially high cost and embarrassment that can result from even tacitly permitting violations of software licenses should merit proactive attention by firm management.</i>
Exceptions to Dischargeability
August 15, 2003
For many years, financial or securities executives knew that if they had not committed a fraud or had not been fined by the Securities and Exchange Commission (SEC), they could get a discharge in bankruptcy by filing for Chapter 7 or 11. Negligently committing a securities violation would not preclude a bankruptcy discharge for the civil liability flowing therefrom.
Insurance Assurance
The insurance market is undergoing turmoil as a result of recent trends, including terrorism, corporate scandals and skyrocketing healthcare costs. Premiums are soaring, causing firms to cut back on coverage or to cut into their profits ' choices that could have a profoundly adverse impact on the firm's future success.
Measurable Results Through Profit Centers
Profitability pressures are leading firms of all sizes to create and implement strategic plans. These strategic plans often call for expansion and growth of practice areas, growth through lateral hires, or creation of entirely new practice groups. Concurrently, partner compensation methodologies are being revised to hold individual attorneys accountable for their own results.
At Work and Play, CFOs Aim for Green
August 14, 2003
The 7th Law Firm CFO Institute, held annually in the late winter, visited Miami for its most recent conference. The event, co-sponsored by <i>Accounting and Financial Planning for Law Firms</i> and organized by Northstar Conferences, attracts some 75 Chief Financial Officers, Executive Directors and others with an interest in law firm financial matters. The topics were timely and focused, and the speakers knew their subject matter well and kept the discussions moving.
Supreme Court Preserves IOLTA Legal Aid Funding
August 13, 2003
The Supreme Court of the United States has rescued Interest on Lawyers' Trust Accounts (IOLTA) programs from a vigorous constitutional attack, ruling 5'4 that states may pool clients' escrow funds in bank accounts and give the interest to legal aid programs.
Enron Probe Examines Firms' Roles
August 13, 2003
The Enron examiner is back. And a few law firms can't be too happy about it. R. Neal Batson, the court-appointed examiner investigating the exotic financing schemes that contributed to the Enron Corp.'s bankruptcy, publicly released his much-anticipated second report on March 5.
Webworthy News & Advice
August 13, 2003
For a closer look at these recent accounting-financial items, take a quick trip to the Web.
Managing Fiscal Fundamentals
August 13, 2003
In Part One, the author introduced the overall challenge of fiscal management in a law firm, and explained key metrics for understanding cash flow, cash gaps and revenue (collected fee receipts). This article's explanation of key performance metrics for law firms continues with measures for productivity, pricing and profit margin. We'll conclude with a brief discussion on where to focus in addressing profitability concerns, plus a few general comments on the effective use of numerical results in the larger context of organizational management.
