Good Money After Bad

Somewhere, many moons ago, crusty lawyers got together and decided it was acceptable not to return phone calls, to talk condescendingly to clients and use big legal words with clients in an attempt to project their expertise. As a collective, we are terrible at customer service and writing TV ads, except for this guy.

But there is a paradigm shift happening. No longer is it enough to merely throw six and seven figures at TV ads, bus wraps and billboards. People want the unfiltered truth before they hire you. What are current and past clients saying (online)? Whatever is being said, it's received more warmly than any amount you can throw into marketing.

Tail Wagging the Dog

The first day of law school a woman came to talk to us about the support group for lawyers, mainly drug and alcohol addiction. What stays with me the most was a story she told about a friend who worked their way up the legal ladder, making mid six figures, but later committed suicide. The pressure of managing client expectations, always having to be on top of one's professional game mixed with depression proved to be too much.

A few years later during my last year of law school I met a woman who abandoned her law license in favor of managing a parachute diving business. Amidst my disbelief that someone could simply walk away from their law license, she explained, "I'm happy. All my lawyer friends are jealous, still stressed out dealing with clients."

On a level, I can relate. The realities of client expectations are weighty. Very rarely are there outcomes where there are clear winners and losers. Truth is, most lawsuits/claims result in a compromise. Both sides walk away unhappy, one believes he paid too much, the other that he received too little.

What I have learned in my very short time of practicing from wise attorneys: manage expectations on the front end. Yes, there will be blowback from your clients. Recently a client tried asking me the same question four different ways to get the answer they wanted. "No, we're not discussing this again". As my supervising attorney poignantly told me a few days back, "Don't let the tail wag the dog".

That's not to say clients have no input. But as an attorney, you are the expert on the law, not your clients. Otherwise, they wouldn't be paying you. Learn when to step in and say "No, we are/are not doing this". You'll gain your client's respect, even if it comes at the price of an initial negative emotional response.

In my practice, I was tossed straight into the deep end of dealing with clients. It hasn't been easy. But it is a lot easier to convince a client to take a settlement and avoid costly litigation when I have gained their trust being honest from the start.

That PDF-thing

"Don't send me that PDF thing. I don't know how it works."

"Yeah, me too, I'm terrible with computers", the other attorney chimed in.

We were concluding my client's deposition and as is customary at the end, attorneys were ordering depositions from the court reporter. The other attorneys clearly wanted nothing to do with the PDF thing.

To be fair, I was the youngest in that room by 30 years.

Attorneys are notorious for being late (if not the last) adopters. I don't get it. Somehow it has become permissible for the legal field to collectively hold up its hand, prohibiting cutting-edge technology from interfering with its dust-covered wall-to-wall legal books mentality.

There are exceptions. Attorneys are converting their firms to paperless format. But the truth is that they are still the exception.

Moments like these make attorneys look like the elderly relative bemoaning "MyFace" and "Twitterbird" at  family gatherings.

Attorneys, step it up. Jurors can relate to you when you're holding an iPad at trial, but not when you are feverishly flipping through 100 legal pad pages. Clients want to send you emails and have you respond the same day, not just when your assistant helps you check your e-mail inbox.

Playing the cards

Our senior paralegal is fond of saying, "We can only play the cards were dealt". It is such an appropriate analogy for not only legal work but every business.

There's not a lot I can do about a doctor who puts in a damning diagnosis or findings against my client. I have little wiggle room with a client who has a recent rash of criminal history that involves dishonesty when it comes to whether a jury is allowed vs not allowed to hear about it.

The dream client in any business arena is rare, so don't waste your time constantly looking for them. I've seen two or three out of several hundred.

Maybe your client filed bankruptcy or has a low credit score if you are a realtor. Perhaps your client failed to file years worth of taxes if you're a CPA.

Don't let your search for the perfect client get in the way of why you chose your career in the first place: to serve people no matter the circumstances. By no means does that mean you serve everyone who knocks. I don't take un-winnable cases as a lawyer for a Plaintiff. But for those people that you can help, go the extra mile and fully play the cards you're dealt.

Building, Not Stumbling Blocks

Today I accompanied one of our senior attorneys to watch him petition the court for something I hadn't done before. While waiting outside the courtroom, I ran into a law student whom I knew from last year. 

It was an incredible flashback experience because this student was so worried about law school, the current curriculum, and getting everything right. More pointedly, this student was worried about their moot court case. For those who have been graciously spared from moot court, you exhaust incredible amounts of time, energy, frustration and angst into a fake case. At the end of the day, you've accomplished nothing more than exhausting oxygen and a forest full of paper. 

Not to belittle her anxiety, but deep down inside I began smiling as she explained how nervous and frustrated she was. After my first year in practice of dealing with real world dollars, real world expectations and disappointments, the law school pains that were once very real to me seemed petty. Those past pupil hurdles, while important in my development in crafting legal skills, paled in comparison to advising a client to accept a real-money six figure settlement at mediation instead of going to trial. Usually in the school environment it's merely your grade (and maybe a modicum of your reputation) that is at stake.

If anything it was a reminder that there are always bigger problems to face and your current problems are not stumbling blocks but rather building blocks for you to accomplish the next obstacle. 

Pro Bono: Liability Car Insurance Coverage

Buying car insurance can be frustrating. How much coverage? What type of coverage? Why can’t I just call Geico since they promise to save me money?

I’ll address the basics you need to know about buying car insurance. Since there are different types of car insurance coverage, different posts will address different types of coverage within a policy that you buy.

I will even discuss in a later post which insurance companies to buy and which ones to avoid. How can I be qualified to give such advice? I deal with them on a daily basis. I negotiate settlements with them. I know which ones suck to deal with. If you’re like me, you’d rather not deal with an insurance company that sucks.

The first area of car insurance is your liability coverage. This is your “holy crap I just caused an accident” coverage. But what does it mean? In short, it’s the most your insurance company will pay to someone who is injured or God-forbid killed because of an accident you caused.

In Tennessee, the minimum coverage required is $25,000 per person or $50,000 per accident. What’s the difference? If there are two or more people injured in an accident that you cause, they will have to fight over how that $50,000 is split up. If only one person is injured, they can only recover up to $25,000.

Keep in mind 25/50 is the minimum. In Tennessee, there are three higher levels of insurance coverage (the “/” indicates the “per person” and “per accident” difference:

            $50,000/100,000

            $100,000/300,000

            $250,000/500,000

Why should you buy higher levels of coverage? At my firm we once had an accident where there were seven people in a vehicle. The driver was an idiot and caused the vehicle to roll over several times. Everybody lived but everybody except the driver was badly injured. The driver only had 25,000/50,000 coverage. Guess what? The six people who were hurt had $50,000 to share. The total of all their medical bills was over $130,000. See where I’m going?

What happens if there are more bills than coverage? If the person you hurt has hired a lawyer, the lawyer will conduct an asset search to see if you own anything free and clear (aka “a paid for house, car, boat, giraffe, etc). In short, you’ll get sued and the injured person’s lawyer will have to get a judgment against you that exceeds your insurance coverage. If they do, you become personally liable for that exceeding amount. The local sheriff will come by your house to pick up your valuables. He’s immune to tears, so crying won’t help. Your stuff will be sold at an auction and it may be enough to satisfy the judgment or it may not be.

What if your sold stuff still is not enough to satisfy the judgment? You can get your wages garnished and be in debt to someone for years because you didn’t buy enough insurance coverage. Are you worried/concerned yet? Good.

How much coverage should I buy? I recommend at least 100k/300k coverage. Usually this is enough to cover most accidents. However, if you own considerable assets (especially if you own your home free and clear of a mortgage), you need to buy 250/500 coverage. And if you buy 250/500 coverage, most insurance companies offer umbrella policies (starting at $500k up to $5 million) at a discounted rate to provide even more protection.

That’s the liability coverage discussion. Next I’ll address perhaps the most important safety net you could ever provide for yourself and your family: uninsured motorist coverage.  

Pro Bono

Ever wanted free legal advice? With no strings attached? I promise there’s no fine print.

I’m starting a new blog series called “Pro Bono”. It’s an utterly original name, I know.

Why give something away for free? Because I wouldn’t make any money charging you to sit down with me and offer it anyway.

I want you to be well-informed. I don’t want you calling a lawyer when you’re on the bad end of a misinformed decision you previously made. And that’s not a slight against you. We all make misinformed decisions.  I own penny stock that’s currently valued at a hundredth of what I originally paid for.

A lot of legal problems come from cutting corners, trying to save money. Whether it’s buying “cheaper” car insurance or buying legal form letters/contracts online, you’re saving money because corners are being cut somewhere. And I’m sick of consoling people who had wool pulled over their eyes (or pulled it over on themselves) only to have the cut corners exposed at the worst possible moment.

This is a forum environment. Feel free to comment. Don’t agree with me? Good. Make your case and persuade me otherwise. I only have one rule: be respectful. Trolls aren’t allowed. Be prepared to back your position with well-reasoned (posting links to cement your position is NOT well-reasoned) points.

I’m offering advice based on real-world experiences. There are times when hypothetical questions are appropriate. But I will tend to avoid that. You need practical advice, not an exhausting list of all possible circumstances.

Lastly, I need to cover my own tail. Take (and apply) my advice. But merely heeding it doesn’t form an attorney-client relationship. I’m not your lawyer until you sign a retainer agreement (and usually you show me cash or a check to motivate me). I’m not your lawyer simply because you read my blog. But you’re smart enough to know that.

Enough chit-chat. Let’s get down to it…