J&g
 

Can anyone tell me what's it like inside at J&G

J&G
 

Some of the local offices have very big moral problems. Dallas office is probably similar to other Bigtex firms right now -- no one loves the place, but we all enjoy the paycheck every two weeks.

Transactional work is picking up. Litigation is (and has been for some time) quite busy.

Does anyone think we are in danger of folding? Not that I've heard.

J&G
 

From my sources this is probably correct although in certain practice groups the morale issue is much worse than this might indicate. In at least one practice group among the rank and file there is supposedly no trust present in the firm managment. There is little hope that the firm will do the right thing or even to communicate with this group (in any of the offices). There is proven reasons to doubt that the firm will even listen to concerns. The new operating committe structure of J&G may improve this but communication from them to associates is terrible. Respect overall for the firm chairman is at an all time low with the a significant number of associates. I understand this to be true with many shareholders as well.
As to folding probably not, but emerging by the end of 2003 as one half the size that may be more likely.
Headhunters are swarming around the good talent.

J&G
 

Greedy - The issue of respect (or lack thereof) is that with regards to the new MP Cibrian?

Regional Anon - I know they've had a few major defections but how is the transactional side holding up? which of the offices seem to have moral issues SA or NYC?

Associate morale is low, low, low, Shareholders only paint rosey pictures while laying off attorneys and watching defections.

Is it like that in all offices, or are some better than others?

Also, are some practice areas doing better than others? I posted a while ago that I noticed their health law practice dwindle considerably in Houston over the last three years. They used to be one of the major players, and now there are only two health care people there.

Yes and also certain offices. IP in Dallas took a hit recently with PGL and another equity jumping with some associates and paralegals. IP in Chicago is rumored to be looking at leaving en mass. Some corporate out of Dallas are looking as well according to rumors. Main complaint is lack of responsiveness from firm mangment to concerns of rank and file. Chairman of firm is not a good internal communicator according to some and is not trusted by many including the equities, however no one has stepped up as of yet as viable candidate to replace him. Some discussion in back rooms of recall of him and some other board members though.

<<insider scoop>>

J&G
 

who is Cibrian? Chairman is B. Durbin

Rumor is that a significant number of support staff layoffs at J&G are to be done this week or next. Is J&G imploding?

I think Cibrian is an international/corporate lawyer who works out of their S.A. office.

The SA office from what I understand is one of the smaller offices and the Office Managing Shareholder from the various office have little to say in the firm business suprisingly.

What's the scoop on J&G
 

The old board has info related to several corp associates and groups of ip associates leaving the firm from Dallas, Houston, and Chicago. Combined with earlier moves from Dallas and Austin, wide-spread complaints about the chairman, and the ongoing tax litigation, this seems significant.

Does anyone have an insight into what is going on at the firm and whether or not it will be fatal?

What's the scoop on J&G
 

Billy, what's the news from the old board?

The thread on the other board is basically saying that 3 more Dallas IP associates left this week and rumors are swirling that some Dallas corporate attorneys and a group of Houston IP attorneys are next in line. Additionally, the thread implies that leadership issues and partner salary issues are an important factor in alll of this. Earlier threads focused upon the importance of tax litigation.

j&g
 

rumor is that firm may dissolve by the end of the year.

j&g
 

Nice avatar. Are you an incognito regular or a newbie? If a newbie - welcome!

And btw, where is your rumor from - if you don't mind?

-TL

j&g
 

doubtful that it would dissolve, but my guess is well under 350 lawyers total. big push that managment makes is per partner profit but with so few partners left that becomes a lot easier. won't matter due to size contraction J&G probably will fall out of Amlaw 100 anyway so per partner profit will be a worthless stat, especially as distributions are ver y much uneven across the shareholder ranks. their may be a deal with some people in managment as to comp being based upon the per partner figure, but my guess is revolt may occur sooner than end of year if tide of people leaving does not end soon.:mad:

j&g dissolves
 

If j&g falls out of amlaw 100, there will be a major revolt.

it would become a 2nd or 3rd tier firm.

i would expect major defections by the end of the year.

feel sorry for any summer associates working there.

j&g dissolves
 

using amlaw 2002 numbers J&G had 589 lawyers and 312Mill. count is now about 400 and dropping rapidly. at 400 and same per lawyer numbers would be at about 220 M which would drop them from 50th place to 74 th or 75 th on list. At 350 using same per lawyer number it would be 185 M or 85th place on 2002 list. probably will hold on list through 2003 and possibly be close to fall of in 2004 absent some way to stop hemorage of lawyers. BTW another IP person is out door to Paton Boggs this week.

There have been several cryptic messages on the other board referring to an "incident" at a recruiting function in which the J&G board chair made a jackass of himself. Details are woefully lacking. Can anyone confirm, fill in the blanks and, if true, the fallout?

Another message referred to a "soon to be published" story about J&G in the Texas Lawyer. Any advance on this?

Story in this Texas Lawyer is about several of the Dallas IP people who left (small story). There may be another story coming as that story just made press date and there was allegedly a long interview with some of the departing lawyers.

J&G board chair supposedly showed at summer associate recruiting function "three sheets to wind" and made inappropriate comment/suggestion to wife/fiance/girlfriend (unclear rumor mill here) of summer associate before several GA's tried to get him to leave(confirmed this portion). Alleged that he got belligerent to GA's at that point, but finally left.

Hey he supposedly apologized, so I guess if you run the place that is enough. Or maybe it is enough if you pack the board, the electoral committee and operating committee with your friends, who won't say no to you, especially if he has set up a bogus Tier system so he can reward friends and punish any rivals.

Regional Anon wrote: "Or maybe it is enough if you pack the board, the electoral committee and operating committee with your friends, who won't say no to you, especially if he has set up a bogus Tier system so he can reward friends and punish any rivals."


How could the new chairman pull off something like what is described in the above post while Laney, who I thought was very well liked, was running the ship. The firm must have a flimsy power structure that is subject to quick changes.

Never underestimate the power of the purse strings for gaining support especially if you are willing to shaft those not your friends and reward those that are.

another IP associate announced today
 

along with a support staff member. Will the last one out of Dallas IP please turn off the lights!

another IP associate announced today
 

Are they all reconsituting somewhere else in the metroplex?

An IP associate leaving a big law firm is not ground-breaking news. IP associates, like all associates, are a fungible commodity. My understanding is that the guys with the big books of business in the IP section are still there.

By the way, will someone please change the topic of this thread to correct the spelling of "Jenkens" (not "Jenkins").

I guess you have been drinking what Bill was. The big books are gone. The Practice group leader left for F&R with another equity. A big time of counsel left for McKool, another former PGL left for Patton Boggs. Before the end of last year another equity left for F&R as well. 4 equities and a heavyweight of counsel leaving is ground-breaking news. Several associates went with both groups, Dallas IP is now about 1/3 of what it was at height of section.

Guess my understanding is somewhat misguided. I'm not a J&Ger but some who are (not particularly cheerleader types) thought the equities who left the IP section did not have lots of business. According to them, the real strength of the section, business-wise, remains and isn't going anywhere. I could be wrong but the IP folks in Dallas, especially IP litigation, are busy.

IRS Orders Jenkens to Release Client Names
 

I.R.S. Seeks Names of Wealthy Clients Who Used Tax Shelters
By DAVID CAY JOHNSTON

The Internal Revenue Service ordered one of the nation's biggest law firms, Jenkens & Gilchrist, yesterday to disclose the names of 600 wealthy clients who bought tax shelters that it considers abusive. The law firm said it would not comply.

The shelters allowed taxpayers to fabricate a minimum of $2.4 billion of deductions to reduce their taxable profits, said Cynthia J. Mattson, a senior lawyer at the I.R.S., adding that the figure is likely to be many times that. The tax agency is sending a strong signal to professionals and the wealthy that it will track down tax abusers. In other cases, it is seeking the names of people who bought tax shelters sold by the accounting firms of KPMG and BDO Seidman. Like the law firm, they are fighting disclosure. Two other big accounting firms, PricewaterhouseCoopers and Ernst & Young, reached agreements with the I.R.S. last year when it sought lists of tax shelter clients.

The I.R.S. won approval yesterday from a federal judge in Chicago to issue its summons to Jenkens & Gilchrist, which is based in Dallas. The law firm took in at least $72 million in fees for its tax shelters and probably much more, according to documents filed by the Justice Department.

Full text: http://www.nytimes.com/2003/06/20/bu.../20IRS.html?th

j&g will dissolve ????
 

j & g could be the new brobeck.

may be dissolved by the 1st quarter of 2004.

j&g will dissolve ????
 

I can see why people are leaving with the big pending lawsuits and penalities associated with their transactions.

Has that been the impetus so far?

Latest is that a big book corporate is about to leave Dallas office with some associates. Liability issue not major concern, but lack of action on new compensation scheme with only very vague promises being a bigger issue. People don't trust chair (although he may be gone soon) , board members or OC members to represent interests of the shareholders or others in each practice department.

Any large book leaving or any other scandal and I would change vote to this firm will dissolve within a short period of time. One or two people leaving won't kill them, but any group or of say three or more and serious trouble will be present. Any other shoes about to drop? The other board talks about a sex harrasment suit, aimed at something other than chairs conduct. Any ethics charge other than the tax could sink this place real fast.

I haven't followed the investigations closely, but aren't there some serious ethics violations involved in the tax cases? Selling illegal transactions (as their independent lawyer discovered in over 600 of 700 cases) that the IRS had already ruled against suggests some ethics probelms, in addition to civil and criminal penalties.

When will j and g dissolve ???
 

My bet is by the end of the year.

When will j and g dissolve ???
 

why the axe grinding, i812? ex-JGer? do you think it makes your supposition more likely if you repeat the same or a similar post multiple times?

Yep. I too am wagering that i812 is one of the following: (1) current J&G associate who gets no love; (2) ex-J&G associate who got no love; (3) ex-J&G summer clerk who got no love/offer; (4) just a guy/gal who gets no love and is bitter; (5) some combination of the above.

Let the anger go, man, and let the love in.

When will j and g dissolve ???
 

without knowing who i812 is or not or having a care either way, does it make his or hers information less valuable? IF J&G keeps denying problem and people walk out door in droves does it mean no less of a problem exists when people get up in meetings and say there is no problem here and no one is leaving?