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How general counsel choose outside counsel, and where reputation fits

In-house teams now run formal panels and reviews. Reputation gets you considered. Other things get you chosen.

In-houseTopic
7 minRead

Written for law firms

In-house legal teams in India have grown larger, more senior and more sophisticated. Many large companies now manage external counsel through formal panels, budgets, billing guidelines and periodic performance reviews. For law firms and independent counsel, that changes what it takes to win work and to keep it.

How the decision usually works

Although every company is different, most selection decisions pass through three stages.

Consideration. A name comes up: through a colleague's recommendation, a directory ranking, an article, a previous matter or an existing panel. Reputation does most of its work here. A firm that is not considered cannot be chosen.

Shortlisting. The team checks relevant experience, the specific people who would work on the matter, availability and conflicts. This is where a firm's website, people pages and credentials documents are read closely.

Selection. The final choice is often decided by the quality of the first conversation, clarity on fees and staffing, and the general counsel's confidence in the day-to-day team, not only the senior partner.

What general counsel say they value

  • Commercial understanding. Advice that reflects the company's business, risk appetite and priorities, not only the law.
  • Practical advice. Recommendations they can take to a board or a business head without translating them.
  • Responsiveness. Knowing that calls and emails will be answered, and deadlines met.
  • No surprises on cost. Clear estimates, early warnings when scope changes, and bills that match expectations.
  • Continuity of team. The people who pitched are the people who do the work.

Legal excellence is assumed. It gets a firm onto the list. These other qualities separate firms once they are on it.

Panels and reviews

Where companies run formal panels, firms are increasingly evaluated on measurable factors: responsiveness, adherence to budget, quality of reporting and outcomes relative to expectations. Firms that ask for feedback regularly, and act on it visibly, tend to perform better in these reviews than those that wait for the annual assessment.

What this means for firms

Firms need to invest in two quite different things. The first is being considered, through visible and relevant thinking, directory recognition and strong relationships across the in-house community. The second is the moments of selection: well-prepared credentials, sharp and specific pitch documents, carefully planned first meetings and clear, honest proposals.

Many firms work hard on one and neglect the other. A firm with an excellent reputation that pitches poorly loses to a less famous firm that pitches well. A firm that pitches brilliantly but is never considered never gets the chance.

Listening to clients

The most reliable way to understand how general counsel see a firm is to ask them, ideally through someone independent. Clients are often more candid with a third party than with the partner they work with, and what they say is usually the most useful strategic information a firm can have.

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