Does anyone know anything about rumors that a v10 firm is preparing for a capital call? Have cb there next week. Don't want to mention firm name, but I think it may be obvious...

You are anonymous so unless you are someone who somehow has secret inside information, just say the firm name and it will never be able to be traced back to you.

Yeah, really, it is impossible to advise you without knowing what you are talking about. You are not the only person going on a CB there next week.

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bumper

Firms routinely have capital calls. That's not really news. Some do it annually, in fact.

ITE more and more are doing it routinely, esp. to attract laterals.

Which firm is it?

Firms do NOT routinely have capital calls. Your statement of Esp to attract laterals makes no sense. How is asking other partners for money back going to attract laterals? Laterals would be concerned if they needed a capital call to pay laterals. Your statement is so wrong I can't even fathom how you think it's correct.

Read the last sentence in the quoted part in this post: viewtopic.php?f=23&t=193957#p5881614

Read the post at above the law. http://abovethelaw.com/2012/08/some-com ... -traurigs/

General warning: posts like the above have no reason for anonymity. Please review the rules for Anonymous Posting, at the top of the page.

If this person is the OP wouldn't that just out him?

Latham? Can speak to ny office

If it is Latham, anecdotally from lawyers in the Houston area, I've heard that they threw so much money to attract partners from V&E, Bracewell, BB, etc that--even though Latham Houston is 1 or 2 in terms of dealflow--Latham is losing money on the office. Of course, take this with a grain of salt. But I've heard that from multiple lawyers and multiple offices. Their opinion might be tainted with loss of business, though?

If you can get a job at Latham, you can get a job at somewhere better.

Clearly people do not know what firm you are talking about, even if you think it's obvious. You might as well give the firm name if you want some answers.

You need to consider the source as well. Who did you hear this "rumor" from? Someone who works for the firm? A partner at a different firm? Rumors float around all the time that have absolutely no validity.

I can't speak for the cost of the partners. However their Houston physical offices is enough to cause a need. Good god. The best floors in the new Hess building on Main and it is decorated to the T. I'm willing to say it is the best Houston big law offices.

I have been to nearly every biglaw office in Houston and can without a doubt agree. No way the money they spent on that and the lawyers is sustainable long term

Why would they do it annually? That would amount to the same thing as just having a smaller distribution, so why call it a distribution and then claw it back?

Can you elaborate on what you know please? I heard they were actually fairly busy this summer.

It's just a different business model. It's like the firm giving you a tax-free loan. And sometimes it's just difficult to budget for cash flow over a 12-month period. That's why firms have revolving lines of credit. I don't run firms, but those are some of the reasons that I've been told by numerous sources.

I have no horse in this race. It's just from what I understand, capital calls are not the tell-tale sign of a firm going supernova as some here would have you believe.

I have a mule in this race.

That still seems pretty bizarre to me, unless it is not really a capital call and is really an adjustment to the draw down. (That is to say, not taking back money that was part of a distribution, but taking back money which was lent in the draw down).

Also, ATL seemed to think it was a pretty big deal a few weeks ago when whatever that firm was did a capital call.

A v10 isn't the NSA. You can post the fucking rumor here.