Another day, another article about a major international law firm getting involved in India’s legal market. Pretty soon, the question’s going to change from “Why is your firm in India?” to “Why isn’t your firm in India?” But today’s entry is notable for other reasons.
Howrey LLP, reports The American Lawyer, is opening a new office in Pune, India. Note, however, that Howrey is not contracting with an offshoring company like Pangea3 or SDD Global to have that company’s lawyers do work for them. Instead, Howrey is opening its own branded office, not to practise law (still illegal for foreign firms in India) but to handle document management, a labour-intensive task for this litigation/IP-heavy firm.
Howrey becomes the first US-based firm to go this route; previously, Clifford Chance set up a back-office operation in a New Delhi suburb. And as Ron Friedmann has noted, Seyfarth Shaw and Lovells have done more than just dip their toes in Indian waters too.
But here’s what’s really interesting. In the article, Howrey’s managing partner and CEO, Robert Ruyak, leads off by making very clear, “It’s not offshoring.” And the article goes on to include this quote:
Ruyak concedes that clients “don’t want to use outsourcing.” But this, he repeats, will be different. “We will have our own people working on this. It’s training, it’s control, maintaining the security, the quality of the results.” He adds that clients will have the choice of whether to use the Indian office to cut costs or to have their work done in the U.S.
Howrey evidently perceives that there is a reputational risk associated with offshoring — that some clients (and no doubt, more than a few partners) have reservations relating to quality, process or security. I haven’t heard of any Indian offshoring firm accused of any of these defects, but perception usually trumps reality, so Howrey seems to want a different approach. Continue Reading