MDPs May Be Dead After Enron/Andersen, But Subsidiary Businesses Thrive

While some commentators believe that the Enron and Arthur Andersen affair that came to light in 2001 is responsible for the demise of multidisciplinary practices (MDPs), the notion of law firms engaging in MDPs lost most of its momentum during the American Bar Association (ABA) debate of 1999 and 20...

Full description

Saved in:
Bibliographic Details
Published in:Law & social inquiry 2004-07, Vol.29 (3), p.639-653
Main Authors: Zimmerman, Jay S., Kelly, Matthew J.
Format: Article
Language:English
Subjects:
"From the Trenches and Towers": MDP's After Enron/Andersen
Accounting firms
Attorneys
Attorneys fees
Business structures
History
Law firms
Legal ethics
Legal practice
Legal professions
Legal services
Limited liability companies
Professional practice
Scandals
Subsidiaries
Subsidiary companies
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:While some commentators believe that the Enron and Arthur Andersen affair that came to light in 2001 is responsible for the demise of multidisciplinary practices (MDPs), the notion of law firms engaging in MDPs lost most of its momentum during the American Bar Association (ABA) debate of 1999 and 2000. Enron and Andersen weakened whatever support remained for MDPs after the ABA defeat, during which MDP opponents raised legitimate concerns. But Enron and Andersen did not derail all models in which law firms successfully provide nonlegal services. In fact, the law-related services ancillary business model (as referred to by the ABA's Commission on Multidisciplinary Practice) is much more relevant post-Enron. Ancillary businesses, or subsidiary businesses as they are referred to at the authors law firm of Bingham McCutchen LLP, are not MDPs. When structured and managed in compliance with fundamental principles and regulations, subsidiary businesses give progressive law firms the ability to deliver a comprehensive bundle of integrated services in response to client needs.
ISSN:0897-6546
1747-4469
1545-696X
DOI:10.1111/j.1747-4469.2004.tb01004.x