Formation Of A Legal Firm
In the current century, it is evident that numerous changes have been observed in the law firm business. The traditional law firm practice model has as a result been passed by time and firms or any person attempting this model have always found themselves struggling in this dynamic market. The traditional law practice has also been marked by constant consternation as the law firm does not produce good results. The incorporation of the new law firm practice model is evidenced by the rising number of law firms over the years. This means that to start a firm in the 21st century, then you definitely have to use ...view middle of the document...
The American Bar Association in 2002 estimated that the U.S had 1.2 million incensed lawyers and 74% of them were in private practice (Munneke, 2012, p. 16). This means that for one to have a successful law firm, then they should ensure that their strategy is good enough to beat the over 74% lawyers who are fighting for the same clients. My friends and I are of the decision that we focus on patent law, offering unbundled legal services and finally divorce and custody laws. The three areas of specialization were chosen since each of us has experience in each of the named areas. The reason for specializing in patent law is because of the current economic globalization, where a number of U.S Companies are investing in different countries. As a patent law firm, our main responsibility will be to provide legal expertise to these firms as they need a legal representative to give them advice on the legal requirements of the countries that they are investing in. As a specialist in patent law, then our firm will be able to win all cases in this area of specialization. Munneke supports this argument by noting that specialists have more legal knowledge and skills that help them to be competent in their practice (Munneke, 2012, p. 52). Provision of unbundling legal services, on the other hand, was decided upon because a number of low and middle income families are unable to meet the cost of lawsuits. This field will see us charge a standard low fee that people of low income can afford. Owing to the high numbers of people who fall in the middle income bracket, then the firm will make profit by focusing on this section of the population and providing this access of legal services to them. This service will provide additional revenue to our law firm. However, our service in this area will be in accordance to the ABA Model Rule of Professional Conduct 1.2 (c). We can project that this particular field will increase popularity of our firm and thus ensuring that it has a continued life should one area of specialization fail. Failure of a booming area of specialization can result to the collapse of such a firm (Munneke, 2012, p. 56). In this case our firm is cushioned from collapse because we have more than one niche which makes us have a large client base. Finally, divorce and custody law areas were chosen due to the usual high numbers of cases in this area. Specializing in this area and provision of quality services will, thus, make our firm win over more clients and in the end be successful.
Since we are three people who want to form an independent law firm, the best business entity to form will be a partnership. The general partnership will give each partner an equal authority in the business just as stated by Munneke (Munneke, 2012, p. 69). In this form of partnership, the partners have equal ownership rights to the business assets. This means that any loss incurred by one of the partners will be shared amongst other partners. We would not go for a limited...