practicing law in the 21st century: ethically and practically virtual

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Practicing Law in the 21st Century: Ethically and Practically Virtual

Presented by Co-Panelist: Stephen T. Furnari, Esq.

Founder of Law Firm Suites

VIRTUAL PRACTICE: AFTER SCHOENEFELD | NYSBA CLE WEBCAST


Presentation Overview Determining an ethically compliant New York virtual office for non-residents.

02 01 03

Getting clear about “virtual lawyering” and its definitions

Using a virtual law office (ethically) in

the absence of explicit guidance

Profiling the ethically compliant virtual

office & comparing available vendors

Words Matter

Required Features

Service Analysis

The Compliant Virtual Office


About Stephen T. Furnari

Corporate attorney, partner & founder of the New York law firm Furnari Scher LLP. Founder of Law Firm Suites, an operator of coworking spaces for attorneys.

Featured in ABA Journal, Inc., Entrepreneur, NY Daily News, Money, Fox Business and Crain’s.

Contact Stephen on social media:

Small firm practice can be one of the most challenging ways to earn a living. But it can also be incredibly rewarding. There’s nothing like closing a huge deal, winning a big settlement or landing a whale of a client, and knowing that you did it on your own.

When I first started my firm I got an opportunity to join a shared law office suite. Almost immediately, I found that by sharing office space with other solos, some of the most frustrating challenges of solo practice (no time & inconsistent revenues) got resolved.

I received a steady stream of referrals and I was able to co-counsel on projects, allowing me to keep more business. That experience forever changed the way I thought about office space.

In 2007, I opened my own shared law office suite, called Law Firm Suites, and created a system that gives any lawyer the tools be successful at solo law practice. This system, which builds a supportive community, generates referrals and creates practice efficiencies, took off all on its own.

Since Law Firm Suites started, we have helped launch dozens of law firms with a 92% success rate. We have seen clients get opportunities they would have never imagined possible when they first hung their shingle.

It’s rewarding to know that this system I stumbled into because I was trying to solve some of my own problems as a solo lawyer, has played a key role in our clients’ success. It drives everything I do as a professional.

Passion

Admissions

Expertise

Self-employed since 2002

Start-ups & Financial Services

New York, Florida, Massachusetts

Helping entrepreneurial attorneys

Employment History


Shared office space exclusively for attorneys Office Rentals | Virtual Office Litigation War Room Rentals NYC Midtown | NYC Financial District

Call: (212) 269-3600 Connect:

Millions in Referrals Each Year Show up to work. Be nice. Get referrals. Subsidize your rent.

Space Designed for Lawyers by Lawyer Your adversaries are difficult, office space shouldn’t be.

A Collaborative Community Like-minded professionals leveraging our legal experience into business opportunities.


My dirty little secret…

Larchmont, NY; January 27, 2011


Furnari Scher LLP Has two bricks and mortar offices in Florida, and a virtual office in Law Firm Suites’ Financial District office.

Florida Resident

New York Virtual Law Office

I am also a non-resident virtual lawyer.


Endless summer…

Florida, Winter 2012


01

Getting clear about “virtual lawyering” and its definitions

Words Matter


Words Matter Understanding the nuances of “virtual lawyering”

Virtual Law Firm

Virtual Law Office

Virtual Legal Services



Virtual Law Firm •  No central office. The firm’s

attorneys work from wherever they choose (most often their home).

•  Use of SaaS apps to facilitate nearly every aspect of practice, including marketing, billing, client communications and document storage.

•  Also called a “virtual law practice.”

Virtual Law Office




Virtual Law Office •  An “unbundled” office rental

arrangement. •  Firms get the business presence

and resources of a traditional office (an address to receive mail, a physical location to meet clients, conference rooms, receptionist and admin services, and temporary office space).

•  Low monthly fee (<$100/month), extra services paid for only when needed.

•  Attorneys work primarily from another location (home office or office in another city).

Virtual Law Firm




Virtual Law Firm Virtual Legal Services • Legal services executed and

delivered exclusively online using SaaS applications. • Services performed by

attorneys and non-lawyer online legal form companies. • “Unbundled services”, client

performs some or all of the services themselves with the guidance of an app and the lawyer intervenes on a minimal basis, if at all.

Virtual Law Office


Schoenefeld Law Firm LLC Ms. Schoenefeld, a New Jersey resident, is seeking to practice in New York as a Virtual Law Firm (no connection to a bricks and mortar office).

New Jersey Resident

Pure New York Virtual Law Office (not currently permitted)

What is Ekaterina Schoenefeld seeking to do in New York?


02

Using a virtual law office (ethically) in the absence of explicit guidance

Required Features


Virtual Office

Picture of businessman in tie can be downloaded here: http://photodune.net/item/cool-businessman-portrait-on-grey-background/3628885 Sorry! I can’t include it in the template; there are copyright restrictions. But it’s super cheap, and a very nice photograph.

All lawyers practicing in New York must have an ‘office for the transaction of law business.’

--NY Judiciary Law s. 470


Interpreting “an office for the transaction of law business” Does a virtual office meet the definition? Resources to review

NYS Policy Statements

Existing Case Law The ethically compliant

virtual office

Ethics Opinions


What is an office for the transaction of law business? Applicable to non-residents

A family member’s home

Desk space (including shared)

Case References

Existing Case Law

Austria v. Shaw 143 Misc. 2d 970 (1989) Rosenshein v. Ernstoff 176 AD 2d 686 (App. Div. 1991) Matter of Scarsella 195 AD 2d 513 (App. Div 1993)

Phone & mail forwarding

(even by non-employee)

Shared office space Hotel Room


01 Attorney can receive in-state service of process

02 Attorney is available for contact

by interested parties

03 Attorney is available for court proceedings

What is an office for the transaction of law business? Applicable to non-residents NYS Policy

Statements

Source: NYS’s brief, Fed. Court of Appeals


Specially Trained Staff Staff trained in confidentiality and

privilege requirements of attorneys

Privacy A private place to hold confidential meetings

Receptionist A person to coordinate the handling of “pop-ins” (people or packages) when the attorney is not on site

What is an office for the transaction of law business? Applicable to non-residents Ethics

Opinions

“[L]lawyers do not require a traditional office in order to maintain appropriate levels of ‘accessibility.’”

“[E]conomic conditions in the legal world and technological developments persuade us that we should not create obstacles to the use of VLOs.”

“Use of a VLO address is consistent with the evolution of modern law practice”

NYCBA Formal Ethics Opinion 2014-2


Is there an appetite for

enforcement? Limited interest in enforcement

based on:

•  Conversations with legal ethics experts & malpractice lawyers

•  Court opinions in Schoenefeld •  NYSBA Ethics Opinion 2014-2 •  Current trends in other

jurisdictions •  Needs of bar members

struggling to remain relevant

Judiciary Law s. 470


Matching limited

guidance with available virtual

office services

Connecting the Dots


Features of the Ethically Compliant Virtual Office

For non-resident attorneys with some risk tolerance Ethics Opinions


Existing Case Law

Desk Space Available for rent when needed

Receptionist To field pop-ins & forward mail

Processes To recognize priority items & notify you

Staff Training On confidentiality & privilege issues

Confidentiality Place to hold private meetings

Service On-site agent for service of process

The Ethically Compliant Virtual Office


Features of the Ethically Compliant Virtual Office

For the truly risk averse non-resident attorney Ethics Opinions


Existing Case Law

Service On-site agent for service of process

Receptionist To field pop-ins & forward mail

Processes To recognize priority items & notify you

Staff Training On confidentiality & privilege issues

Confidentiality Place to hold private meetings

Permanent Desk Space

Secure Storage Dedicated place to leave office items

Signage Door signage identifying firm

The Ethically Compliant Virtual Office


03

Profiling the ethically compliant virtual office & comparing available vendors

Service Analysis


The polar extremes of virtual office compliance

UPS Store | East 51st Street | NYC •  Mail & package receipt only •  No receptionists to greet pop-ins •  No conference rooms to meet clients •  No agent for service of process

Law Firm Suites | Financial District | NYC •  Staff fully trained in attorney privilege & confidentiality •  Multiple private conference rooms •  Procedures for handling priority deliveries & pop-ins •  Short-term & long-term deskspace •  Agent for service of process program •  Signage & secure storage •  BONUS: Exclusive to lawyers (same set of professional ethics rules)

Not Ethically Compliant Full Ethical Compliance


Available vendors rated by ethical compliance for non-residents

Sage Workspaces Midtown East | NYC

Limited conference rooms and no dedicated “day office” spaces, only unrented permanent offices. Signage available.

Servcorp World Trade | NYC

No service of process or legal ethics training program but OK with lawyer directed requests on both items. No signage.

Jay Suites Financial District | NYC

No service of process or legal ethics training program but OK with lawyer directed requests on both items. No signage.

B B+ B+ Receptionist

Processes for priority items

Staff training on legal ethics

Places for private meetings

Agent for service of process

“Day office” space

Permanent office rentals

Secure storage

Signage

Available Partially available

Not available

Features Key

Top performers


Available vendors rated by ethical compliance for non-residents

NYC Bar Midtown West | NYC

Not an office. No true guest reception, inadequate meeting room facilities, no permanent workspace rentals, storage or signage.

Corporate Suites Midtown East | NYC

No service of process or legal ethics training program and NOT OK with lawyer directed requests on both items. Automatic failure.

C- F Receptionist

Processes for priority items

Staff training on legal ethics

Places for private meetings

Agent for service of process

“Day office” space

Permanent office rentals

Secure storage

Signage

Available Partially available

Not available

Features Key

Bottom of the class


Virtual Office Rentals Exclusively for Attorneys

An affordable virtual office office rental with the potential for referrals and co-counsel opportunities.

Referrals to pay your rent

Collaborate with other lawyers just like you

Easy networking opportunities

Highly trained staff that makes you look great to your clients

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