Frederic S. Ury
Ury & Moskow, LLC
Fairfield, Connecticut

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Change in every industry is occurring faster than ever before.
Not just change but disruptive change.
Lawyers are not exempt.

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Legal and ADR services are not going to disappear. They will be delivered differently.
Mail: Pony Express-email- text-
Music, news, books, consumer products, and consumer services.
Border’s Books and Blockbuster.
Television, Cable and Net-flicks.

 1,123,000 law office jobs 2004.
 100,000 prospective students.
 54,000 fewer jobs since 2004.
 Law school applications are down 50%

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Over one million lawyers in India are willing to work for $25.00-50.00 per hour.
Outsourcing overseas and insourcing in the
US.
Ethics 20/20 changes concerning supervision.
We are a net exporter of legal services by billions.

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Bought by Thomson Reuters.
In 2011 opened a 400 seat office in
Texas.
Outsourcing is returning to the US because of a glut of newly minted attorneys who would rather work for
$50,000 than not work at all.

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Australia --publicly traded law firms.
The UK --Legal Services Act, ABS, Multi-
Disciplinary Practices & passive non-lawyer investment.
Legal disciplinary practices may have up to
25% non-lawyer owners or managers.
Borderless practice in Europe, Australia &
Canada.
Ontario licenses and regulates paralegals.

 Same model for over 200 years.
 Jacoby Meyers law suit.
 MDP in District of Columbia.
 Licensing Paralegals in the State of
Washington .
 Change is slowly happening.
 Ethics 20/20—the art of the possible.

 Nothing has impacted the law like
 technology. 24/7 accessibility.
Small firms can compete with large firms for large transactions or complex litigation.
 Law firms have the same law library
 Clients have the same access.

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E-law firms, + outsourcing + cosourcing =network of law firms.
UPL and regulatory considerations.
Cloud computing and confidentiality.
Grads who cannot find work are opening virtual law firms without mentoring.
Ethics 20/20 technology rules.

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The internet is the primary source for information. Webmd and legal sites.
This generation has grown up using the internet to research, study, shop, socialize, and play.
Music, newspapers, and books.
Knowledge is available for free.
These sites are owned by non-lawyers.

 Technology that is a disruptive
 change.
True access to justice will occur when the ability of computers to search combined with artificial intelligence allows anyone to answer complex legal problems quickly and easily.

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Combination of arbitration and mediation
Pre-select arbitrator and mediator
Start with mediation and if cannot agree go into arbitration.
Some issues can be resolved and others sent to arbitration.
Can be same for mediation and arbitration or two different people/panel.

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Start arbitration process.
After a portion of the hearing…could be a summary of positions or more testimony
The parties meet with a mediator to attempt to negotiate a resolution after hearing part or all of each others case.

 Comprehensive arbitration
 Expedited process with limited discovery.
 Fixed fee arbitration.
 Bracketed Arbitration: High/low

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What are you going to be able to charge for?
What is going to be available for free?
This new generation is used to getting their intellectual property (books and music) for free.
Why not dispute resolution systems?

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1960’s 45% corporate, 55% individuals
1975 53% corporate, 40% individuals
1995 64% corporate, 29% individuals
 Originally, this change meant higher income for lawyers because corporations paid more.
 But, corporations are increasingly inclined to drive down the cost of legal services and lawyers have priced themselves out of the market for middle income clients.
 Source, Prof. Thomas Morgan, GWU School of Law

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74% Private practice
8% Corporations
8% Private Industry
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3%
1%
Judiciary
Legal Aid/Public defender
1% Education
1% Private association
 5% Retired/Inactive
Information provided by Hinshaw & Clubertson LLP

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48% Solo
15% 2-5 Lawyers
7% 6-10 Lawyers
6% 11-20 Lawyers
6% 21-50 Lawyers
4% 51-100 Lawyers
14% 101 plus Lawyers

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Clients expect law firms to reduce legal expenses.
Is the billable hour going to replaced by fixed fees, blended rates, or result oriented billing?
Corporations and individual clients are not paying for first year associate.
Looking for less expensive: ADR
But ADR is becoming as expensive as court.

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More strapped litigants skip lawyers in court. Wall Street Journal, July 22, 2010.
In CT 85% of divorces have one selfrepresented party.
10% of criminal cases in CT have private counsel.
We need a new business model.
Opportunity for ADR providers.

 Overseas regulation changes.
 Non lawyer ownership in US
 Ethics 20/20 white papers on
Alternative Business structures.
 Pro bono models.
 Low bono model.

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55 percent of lawyers are baby-boomers.
They are approaching retirement age.
Can they afford to retire?
Fewer lawyers are entering the profession.
How will fewer attorneys impact CLE providers and bar associations?
Ethics and regulations for an aging bar.

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35
30
25
20
15
10
5
0
25-34 35-44 45-54 55-64 65+
1980
1991
2000

Rank by Surplus Ann. Jobs Bar Passers Grads Surplus Wages
1. New York 2100 9728 4771 7687 $56.57
5. Massachusetts 715
11. Connecticut 316
2165
880
2520
510
1450 $43.89
564 $43.89
32. Rhode Island
38. Maine
102
75
41. New Hampshire 92
48. Vermont 51
National 26,239
209
153
154
55
53,508
184
91
146
191
107
78
52
44,159 27,269
$39.65
$29.70
$30.84
4 30.48
$44.22

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0
25-35 36-45 46-55 56-65 66-75 76+

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24-30 31-40 41-50 51-60 61-70 70+
2006
2011

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25-34 35-44 45-54 55-64 65+
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20-29 30-39 40-49 50-59 60-69 70-79 80+
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2001-10 1991-00 1981-90 1971-80 pre-1971

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25-34 35-44 45-54 55-64 65+
2007
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Under 30 41-50 Over 60

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Age
25-29
30-39
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50-59
60-69
70+

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Members

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The End of Lawyers? by Richard Suskind
The Vanishing American Lawyer by
Professor Thomas Morgan
Tomorrow’s Lawyers, by Richard
Suskind
Essential Qualities of the Professional
Lawyer, Written by 19 authors. To be published by the ABA in August 2013

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Frederic S. Ury
Ury & Moskow, LLC
883 Black Rock Turnpike
Fairfield, Connecticut 06825
Telephone: 1-203-610-6393
Fax: 1-203-610-6399
Email: fred@urymoskow.com
Website: www.urymoskow.com