Firm Snapshots
Irell & Manella LLP
FIRM OVERVIEW
Irell & Manella is an "elite" California law firm with top-tier litigation and transactional practices. Irell has around 200 attorneys in its two offices, which are located in Los Angeles and Newport Beach. The firm steers clear of the traditional leverage model and assures young attorneys plenty of partner interaction and responsibility. "Interesting work," "top-of-the-market compensation," “smart coworkers,” and "little bureaucracy" are some of the firm's high points according to Lateral Link Members. On the downside, Lateral Link Members warn that the hours can be “brutal” and the “[e]arly responsibility is no joke.” Last year was a very profitable one for the firm, with profits per partner up 27% to $2.49 million and overall revenue increasing 10% to $253 million.
Chambers Top Departments: Intellectual Property (1)
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COMPENSATION (SALARY AND BONUS)
Lateral Link Members agree that compensation at Irell is always "highest in the market." To date, there has been no pay freeze, and Lateral Link Members do not anticipate one. Bonuses at the firm are lockstep and are awarded based on billable hours. Currently, a minimum of 1,900 billable hours is required to qualify for a bonus, but Members report that associates will be required to bill a minimum of 2,000 billable hours to receive a 2010 bonus. In 2009, the firm led the bonus market and awarded bonuses of between $15,000 and $70,000, twice the level of the market scale established by Sullivan and Cromwell. Most Lateral Link Members praise the lockstep bonus structure as “very transparent” and say it “reduces competition among associates.” However, a few Members would prefer merit-based bonuses to reward high billable hours and noted that even “in its best year ever [2009], bonuses were still down.”
ASSOCIATE EXPERIENCE

The firm is known for its exceedingly selective academic criteria, which may explain what some Lateral Link Members call a "nerdy" environment. While there are formal processes in place for handling work assignments, associates often find their own work through the firm's free-market system. While Members note that it is helpful for associates to be “proactive” and have “good relationship[s] with several partners” to stay busy, the majority believe that the benefits of the free-market system “outweigh” any disadvantages. As indicated by the firm’s 2009 revenue numbers, it has remained busy despite the economic downturn and almost all Lateral Link Members report that they are “just as busy” or “busier” than ever. The firm provides internal training programs, as well as compensation for associates to attend external seminars; however, one Member notes that “professional development practices at the firm are fairly nascent, and devoted to practical issues of the practice, rather than, for example, client development.” Irell also has a formal mentor program and practice group training; while some Lateral Link Members report the mentoring program is “very helpful,” many Members say that they do not take advantage of mentoring opportunities. Lateral Link Members suggest that they would like more formal training opportunities and professional development, noting that opportunities can depend on whether “you are liked by partners.” Associates receive semiannual reviews, which Lateral Link Members say can be useful, depending on the partners delivering the review. The firm has received numerous awards for its diversity efforts and has one of the highest percentages of diverse partners in the nation, and one Member praises the firm for being “gay-friendly” and “family-friendly.” To date, the firm has had no layoffs, though some Lateral Link Members report that the firm is “disguising layoffs as performance-based terminations.” Lateral Link Members are split about the state of firm morale, but say that “people are doubling their effort, just to be sure.”
FACE TIME AND VACATION POLICY
There is no real face time requirement at Irell, according to Lateral Link Members, who say that they "can do [their] work from anywhere." Lateral Link Members report that the firm does not provide them with BlackBerrys, though they do receive a technology budget which can be used for a BlackBerry. Associates typically work on weekends, but often from home or only for a portion of the weekend. The firm does not have a set vacation allowance, and attorneys are allowed to take vacation at their discretion, subject only to client needs and the billable hours requirement. Lateral Link Members say that they “feel comfortable about taking a vacation, but it is difficult to schedule the time.” The firm provides 18 weeks of maternity leave and four weeks paternity leave, and flexible working arrangements are available.
BILLABLE HOURS
The minimum billable hours requirement at Irell was, until recently 1,900 hours, but, as of 2010, it has been raised to 2,000 hours. Lateral Link Members report that billing the minimum is not always sufficient for assured career advancement, and one Member feels that the firm is “obsessed with billable hour.”
PRO BONO POLICY
Irell fully credits all pro bono hours towards the billable hours requirement and bonus determinations. The firm has a pro bono coordinator who manages pro bono work. The firm’s lawyers average over 80 pro bono hours annually each. Although Lateral Link Members confirm that "there is no limit" on pro bono hours, they warn that there may be "some 'pushback' for young attorneys with too many pro bono hours versus billable hours."
PARTNERSHIP PROSPECTS
Irell has one partnership track, and it generally takes a minimum of seven years to be considered. Unlike many of its competitors, Irell does not have non-equity partners. Many Lateral Link Members view partnership prospects as a long shot, particularly outside of key practice areas. While Members report that “hours,” “work ethic,” and “client retention” are important factors in making partner, one Member says it all comes down to being a “hellaciously good lawyer.” Members report that senior associates passed over for partnership are generally allowed to remain at the firm. The firm’s partnership headcount fell by over 12% in 2009, to 65 partners, though the firm says this was not a strategic move and attributes the partner departures to a wide variety of reasons. In 2010, the firm elected two new partners, up from one in 2009.
BENEFITS (INCLUDING NEW ASSOCIATE BENEFITS)
Incoming first-year associates receive a $15,000 stipend and relocation benefits, including $3,500 in moving expenses and direct billing with selected movers. The firm also pays for a bar exam course and exam expenses. In addition to a comprehensive benefits package, the firm also provides regular happy hours, a $500 technology budget, a $500 decorating budget, annual retreats, on-site gym, and free parking. Associates receive their own office in their first year. The firm pays a $50,000 bonus to judicial clerks.
SUMMER ASSOCIATE PROGRAM

Summer associate survey respondents give Irell & Manella's summer program high marks for providing summer associates with "substantive assignments [that] actually affect the clients" and for offering "the best feedback imaginable." But one drawback is that “[t]he firm expects perfection – there is little room for error, even as a Summer Associate because they are giving you real work.” The firm offers a 10-week summer associate program in its Los Angeles office. Summer associates are each assigned work coordinators that provide them with 6 to 10 assignments during the summer in a variety of practice areas. But entrepreneurial summer associates may also seek assignments through a "free-market" system. In addition, summer associates are also assigned an "anchor" case or transaction that they work on throughout the summer. Although Irell holds weekly training programs for summer associates as well as a mock trial, respondents say there is not a lot of "formal training" and advise summer associates to be "proactive" in seeking out advice and guidance, noting that attorneys will "give it to you happily, but only if you ask." Survey respondents are split on the question of face time, with some saying there is no face time requirement as long as summer associates get their work done, and others pointing out that summer associates are expected to be in the office during normal working hours. The majority of respondents report that they generally bill an average of six hours a day on work assignments, but a few say they average as much as eight hours a day. Respondents agree, however, that they typically leave the office between 5:30 and 6:00 p.m., and that working on the weekend is not common. The firm does not provide summer associates with BlackBerrys, and respondents concur that they are "glad" about this. The firm provides a $25 lunch budget and an $85 dinner budget, and summer associates can attend an unlimited number of meals with attorneys. Other social events are held weekly and include a Disneyland trip and a party in Newport Beach. The firm also continues to hold a weekend retreat for all summer associates on Catalina Island. Despite the down economy, the firm made offers of permanent employment to 93% of its 2009 summer associate class, and the newest class of associates started as scheduled in fall 2009. This year appears to be no different, with one respondent noting that “[t]hroughout the summer, I felt comfortable that I could receive an offer for after graduation, and that offer would not be deferred.”
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