"They just have better attorneys"

Bigger does not always mean better. More does not always mean effective.

Don't believe the hype. And, don’t be discouraged.

Recently, the CEO of a small business stated the reason they caved on a contract negotiation with a big corporation was because the big corporation had better lawyers. This CEO did not have a lawyer. And, digging deeper, the CEO made this statement because the corporation had a multi-person team of lawyers.

Multi-person team. Daunting? Sure. Better? Not quite.

How I wish this CEO could have experienced the support they deserved.

I understand this temptation to believe the bigger, the better.

When it comes to choosing the lawyer for your company, I want you to focus on that lawyer’s level of sophistication and not simply how many people they have on their team. Your business is not too small to get A-level help.

Read on and I’ll lay out some tips for you to get the support you need.

Amanda

CHOOSING YOUR LEGAL COUNSEL

When you’re negotiating a contract against a big company, you might hear their attorneys say things like:

• This is standard language.
• These are our policies and it is nearly impossible to alter them.
• We do not generally make concessions like this for any company.

These statements are vague at best.

Pro tip: When negotiating, attorneys cannot lie to the other party (at least it is malpractice to do so). However, they most certainly can engage in puffery (i.e., exaggerated language) and use language that doesn’t necessarily give away too much of their client’s position.

What does that mean? These attorneys are going to protect their clients. Just because they work with a big law firm or a big company doesn’t mean you can’t get the same or even better protection.

Things to look for in your own legal counsel:

1. Sees you and your business as important and worth their time.
2. Committed to negotiating at the best possible level for you.
3. Has the stamina, confidence and expertise to negotiate with big companies.
4. Takes the time to understand your risk tolerance, goals and limits.
5. Clearly outlines the risks, consequences and protections of your contract/business deal.
6. Responsive to your concerns and questions.
7. Will be honest about your leverage and what is worth fighting for or conceding to. Not everything is a concession. And, not everything is a fight. It takes wisdom to know the difference.

I’ve seen global corporations change their policies and contract language for smaller companies. I’ve seen large corporations provide concessions. It is not impossible. It takes having sophisticated legal counsel on your side.

They may be bigger, but that does not mean they’re better. You deserve excellent legal counsel. Take the tips I outline above and assess the next attorney you hire.

If you want to discuss how we can support you, please email us at [email protected].

THE BOI REPORT

Have you filed your company’s BOI report with the Financial Crimes Enforcement Network yet? If you currently own a company or created a company this year, please don’t forget about the federal government’s new reporting requirement: The beneficial ownership information (“BOI”) report.

Starting this year, many companies will be required to submit a BOI report, as required under the federal Corporate Transparency Act. A few exemptions apply.

Failure to report can result in civil penalties (e.g., $500 a day) and criminal penalties (e.g., up to 2 years in prison and additional monetary fines).

If you have questions, or need assistance with reporting or determining whether you must report, please contact us at [email protected].

P.S. For more information about the BOI report, see the following resources:

• FinCEN BOI Reporting
• Stoutegy Law March 2023 Newsletter on BOI Reporting
• Stoutegy Law December 2023 Newsletter
• Stoutegy Law LinkedIn Post on BOI Reporting

FIRM UPDATES

We’re Hiring!

If you know of a talented individual with outstanding skills as an Executive Assistant, please share this wonderful opportunity to join the Stoutegy Law team. More details here.

P.S. Whenever you're ready, here are a couple of ways I can help you:

1. Follow me on LinkedIn. I regularly post powerful legal tips. You will absolutely pick up on some gems to put into practice right away.

2. Schedule your Legal Meet & Greet. Book a free 30-minute chat with me to learn how my team and I can help you protect your business and your intellectual property. Book time with me here.