Wednesday, December 17, 2008

Is GM's Law Firm Constructing a "Futuristic" Bankruptcy Solution?

According to the ABA Journal, that informational repository for big-building lawyers, one of the lawyers that GM recently contracted, Martin Bienenstock of Dewey & LeBoeuf, is constructing a bankruptcy plan to "remake the automaker into a 21st century success".

The plan would whack down legacy costs and prune redundant brands and dealers. The goal would be for the plan to be completed in 30-90 days. In other words, this plan is exactly what lower-paid and unpaid pundits have been recommending for months.

How much doe such planning artistry cost? In another case, Dewey bankruptcy counsel asked for fees in the range of $100,000 per day, or $950/hr. for partners, $605/hr. for associates and $285/hr. for summer associates. That's right friends and neighbors, they bill $285 for law students. I guess some law students have an easier time paying their student loans than others.

Now to a marginally relevant joke culled from this site.

Comforting Call

One day the phone rang in the law office of Dewey, Cheatham and Howe.

"Dewey, Cheatham & Howe, may I help you?" The caller asked, "I want to speak with Mr. Dewey." "We regret to inform you sir that Mr. Dewey died just yesterday." "Oh, is that right? Good-bye."

Every day for the next two weeks the same man called back, and the same exchange occurred. Finally, the receptionist said, "Sir, I told you that Mr. Dewey died. Why do you keep calling?" The man replied, "I just like to hear it."

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