The use of management service organizations (MSOs) in the law firm space is a new and expanding trend. While uncertainties whether MSOs comply with legal ethical rules remain, with only one decision from the Texas Commission on Professional Ethics touching on the issue so far, continued use of MSOs in law firm transactions is expected.

The litigation funder, Burford Capital, expressed its intention to purchase minority stakes in U.S. law firms. And, more recently, AmLaw 50 firm McDermott Will & Schulte has announced that it is in preliminary discussions regarding a potential restructuring in which it would sell a portion of its operations to a third-party investor.

Crowell’s Paul Haskel and Paul Pollock recently published an article in Bloomberg Law exploring these topics and the legal and regulatory hurdles faced by non-professionals seeking ownership and operation of MSOs.

Click here to read the article.

Photo of Paul B. Haskel Paul B. Haskel

Paul B. Haskel is a partner in the New York office of Crowell & Moring and co-chair of the firm’s Financial Services Group. His practice focuses on the fields of alternative investment and opportunistic credit, including the secondary market for distressed and other…

Paul B. Haskel is a partner in the New York office of Crowell & Moring and co-chair of the firm’s Financial Services Group. His practice focuses on the fields of alternative investment and opportunistic credit, including the secondary market for distressed and other high-yield debt and claims. He represents investment funds, investment banks, and other financial institutions in connection with the purchase and sale of various U.S. and international assets, including domestic and foreign bank loans, high-yield securities, insurance subrogation claims, tax claims, and claims against bankruptcy estates, litigation trusts, and similar liquidating vehicles. He also advises clients on regulatory compliance issues relevant to financial institutions investing in bank loans and claims, including issues arising under U.S. securities law and state common law. Paul is an active member of The Loan Syndications and Trading Association Inc. (LSTA) and sits on various LSTA committees. He is a frequent speaker on topics relating to secondary loan market transactions.

Read more about Paul B. HaskelEmail
Show more Show less
Photo of Paul J. Pollock Paul J. Pollock

Paul J. Pollock is a partner in the New York office of Crowell & Moring and concentrates his practice on mergers and acquisitions and corporate finance. He provides ongoing representation to middle market private equity sponsors, family offices and their portfolio companies, as…

Paul J. Pollock is a partner in the New York office of Crowell & Moring and concentrates his practice on mergers and acquisitions and corporate finance. He provides ongoing representation to middle market private equity sponsors, family offices and their portfolio companies, as well as public and private companies that are not sponsor backed. Paul’s industry experience includes representing clients in financial services, manufacturing, telecommunications, fintech, software products, publishing and entertainment, with recent emphasis on the healthcare and biotech industries.

Read more about Paul J. PollockEmail
Show more Show less