Ever since the concept that paralegals are in the firm to be a profit center, the pressure for higher billable hours has increased. Working a 9 - 5 day and without working weekends is foreign to a good portion of the paralegal community.

Many law firm professionals believe that the billable hour (that has only been in existence since about 1960) is the bane of existence for all income producing law firm professionals. In August 2002, the ABA released the results of a study conducted by its Commission on Billable Hours which pronounces the derogatory effects of hourly billing and urges alternatives. (See: http://www.abanet.org/careercounsel/billable.html)

Before 1960, lawyers and clients used many factors to set fees, including the result obtained, value of the services to the client, customary fees in similar cases in the locale, experience of the lawyer, and length and difficulty of the matter.

In the 1980's, billable hours for paralegals were set at around 1200. Today, it is not unheard of for paralegals to have a minimum billable yearly requirement of 1800 hours. Yale University estimates that in order to bill 2 hours, you must work 3 hours as running to the bathroom, eating, talking to colleagues, calling home and more are all not billable. That means billing 2,000 hours a year - not uncommon at many large firms - requires about 3,000 hours a year in the office, or the equivalent of 60 hours every week.

An interesting article in allafrica.com noted Partner productivity is now a main item on the agenda. In line with the need to drive the PPEP (Profit Per Equity Partner) ratio many Partners are becoming less tolerant of underperforming partners. Consequently, stripping Partners of their equity is now a growing trend. Chicago's Mayer, Brown, Rowe & Maw earlier this year announced a major restructuring calling for the termination -- or "de-equitization" -- of 45 of its partners, around 10 percent of its total. This 1,500- lawyer firm said it was restructuring its partnership despite strong financial results in 2006, with revenue up 11 percent to $1.1 billion and profits per partner over $1 million for the first time. It said the move was "designed to enhance the firm's position among the world's leading law firms," noting that other firms that had taken similar steps in the past "have achieved significantly improved health and competitive position."

First -year associates in top firms are now earning $160k. Guesstimates are that by 2012, the starting salary will be $250k placing immense pressure for more fees and better profit margins. Recently productivity for all income generating producers have been under careful scrutiny and paralegals are no exception.

The Boston Globe reported recently that a small Boston law firm (Sherperds) has banned the billable hour, refusing to take clients who insist on paying on an hourly basis. And both the firm and its clients say the alternative works in their favour.

Some firms dabble in alternative systems, including contingency fees, volume discounts, "value billing" that takes into account the complexity of a task, "blended" fees that average partner and associate and paralegal rates, and "success fees" .....

According to The Boston Globe, a paralegal who said he should have received an A minus instead of a C in a University of Massachusetts class may appeal to a higher court.

Last week, a U.S. federal judge in Springfield, Mass., dismissed Brian Marquis's suit. But Marquis told The Boston Globe this week that he may appeal.

This is not an issue of me walking into court and saying, 'I don't like the way this professor grades this paper,' which is purely their academic prerogative," he told the Globe. "This is an issue where the empirical data was quite clear and convincing to any reasonable mind that my performance was well within a higher range."

Marquis said that Jeremy Cushing, the graduate student teaching "Problems in Social Thought," said the course grade would be based on performance in four tests, four papers and class participation. Marquis calculated he got an A minus but Cushing told him he had decided to grade on a curve, the Globe said. In addition to Cushing, defendants included a number of university officials. Either this future paralegal learned too much in paralegal school or found a technique to make us all be A students.

Paralegal Gets 4 Months House Arrest According to an article in Law Times, a North Bay paralegal is the first person in Ontario to be sentenced to house arrest for the unauthorized practice of law, following years of clashing with the Law Society of Upper Canada.

Unauthorized practice of law is a very serious risk, not only in Canada but in the U.S. as well. California, along with several other states, has initiated mandatory continuing legal education that includes four hours of ethics every two years.

Under terms of the sentence, Margaret Boldt will only be allowed to leave her house for three hours on Saturday, as well as for medical appointments and religious services. She has also been prohibited from carrying on her paralegal business during that time, and was ordered to pay $35,000 in costs to the law society.

"I've been the poster child for the province's paralegals for 13 years now," Boldt said in an interview. The law society took on the role of regulating the paralegal profession last year. Under the new laws, licenced independent paralegals are still restricted to practice in permitted areas.....

A significant challenge facing the legal profession is the need for thorough training to understand the many deep complexities surrounding EDD. For attorneys and paralegals who learn only "on-the-job", it's possible one undertrained professional is training another. Paralegals, no matter what specialty, need to learn both the technology and language of electronic discovery. With comprehensive seminars, EDD vendors, legal technology publications, and the Internet, the risk can be mitigated.

Legal Technology News (LTN) recently wrote about the risks for law firms in dealing with e-discovery. The article points out that no law school teaches project management and few, if any paralegal schools do either.

The lack of project management skills among lawyers underscores the significant importance of paralegal support in this arena. E-Discovery, and its explosive growth is the greatest shift in the profession in 40 years. No crystal ball will provide clear answers, but the staggering costs associated with e-discovery are bound to have a profound effect on litigation and the increased utilization of litigation paralegals. For those of you who are technically savvy, now may be the time to pick an area with the probability of long-term job security.

Sign up for the all new, free Estrin LegalEd E- Discovery Newsletter for Paralegals. Send an e-mail to: info@estrinlegaled.com. Just put "E-Discovery" in the re line. That's it!

Special sign-up incentive from October 18-October 22nd: $299.00 for two for the San Francisco Paralegal SuperConference! Call for more information. Seating is limited.

This is the book everyone is talking about!

The war in Iraq has affected millions of lives since March 2003, including about 100 military paralegals who are either currently stationed in Iraq or have returned home. As each day passes, the demand for these paralegals continues to grow. "The reason for the increased demand [is the] expanding legal roles in the country, and massive amounts of detainees require additional support," said Stephen S. DiStefano, command master chief legalman and senior enlisted adviser to the Navy's Judge Advocate General. "In 2004, I had approximately five [Navy] paralegals in [Iraq]. Today, we have as many as 30. Additionally, there are new support commands popping up in the country that require legal support. The role of the paralegal has become critical to mission success."

Each military paralegal has a family, a story and a dedication to the paralegal profession. Often they are seen as yet another unknown soldier in Iraq, another statistic or casualty of war. Legal Assistant Today carries an interesting news brief......

Nice happenings in Birmingham, Alabama. In the last year, eight out of Birmingham's 10 largest firms increased the number of paralegals and management staff, according to research by the Birmingham Business Journal.

Stephanie A. Hunter, a paralegal with Frank F. Buck PC, said using paralegals makes good financial sense for law firms. "When you're billing for an associate, you wouldn't bill them at the same rate you would bill a paralegal," Hunter said. "It's more economical for the firm to bill at a paralegal rate for things paralegals could do at a more economical rate."

Ann Riley, president of the Alabama Association of Paralegals, said paralegals also can reduce a firm's personnel costs through the hiring of fewer associates and by having them train and educate new associates at their firms

It used to be that firms would hire more associates," Riley said. "Now they have found that most of the associates coming out of law school are being trained by paralegals that are already there because (the new associates) don't have the experience." Riley said paralegals are also benefiting from receiving more respect and responsibility than they once did.

Spence Taylor, a partner with Balch and Bingham since 1996, said the importance of paralegals cannot be overstated. His firm has added seven paralegals in the last five years. "We would not be able to do all that we do without our paralegals," Taylor said. "They are vital to the work we do and make it so much easier for us to practice law. "We depend on paralegals in helping us get our arms around our cases, helping us with development of a case, developments of facts in a case and any number of things," he said

That dependence has evolved as attorneys have developed a comfort level with turning over duties they often performed in years past, said Rick DiGiorgio, an attorney with Cory, Watson, Crowder and DeGaris. That has led to more positions for paralegals in the 26 years he has practiced. "Lawyers have recognized that paralegals can do the type of work that in the past it was a question as to whether they could trust a person who had not gone to law school," DiGiorgio said.