TRANSACTIONAL

practice today

 

  a NEWSLETTER on TRANSACTIONAL LAW

PRACTICE AND TRAINING

 

 

      Issue no. 1                                                                            june 2010

 

In the newsletter


Welcome
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Six tips for more effective proofreading
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Transactional education:  what's next?
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Contract drafting:  the perils of imperfect plagiarism

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What the Deepwater Horizon disaster tells us about bond pricing

 

In upcoming issues


The six basic differences between bank loans and debt securities

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Avoiding ambiguity in contract drafting
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The rhyme and reason of antidilution provisions
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The Carlyle/Extell case:  bigname lawyers fight over a typo
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Unlocking the potential of litigation/transactional crossover training

 

About Charles Fox

Charles Fox is one of the country's foremost experts in training for transactional lawyers.  Prior to founding Fox Professional Development LLC, he was a partner at Skadden, Arps in New York for 14 years, specializing in debt financings and restructurings.  An active trainer at dozens of law firms and well-known companies, he is the author of Working with  Contracts - What Law School Doesn't Teach You, the leading book on practical contract drafting skills for junior lawyers.  Read more at www.foxprof.com.

 

What the Deepwater Horizon disaster tells us about bond pricing

It should come as no surprise that the recent events in the Gulf of Mexico have caused the market value of BP's shares to plummet:  on April 19, 2010, the day before the accident, BP's share price was $59.48, and on June 16 it had fallen to $29.92.   What happened over the same period to the market value of BP's debt?  A look at this is instructive on the relationship between the market price of fixed-rate debt and its yield.

 

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WELCOME

 

 

Welcome to the inaugural issue of Transactional Practice Today, a newsletter focusing on transactional law practice.  I am hoping that it will be of interest to practicing lawyers (particularly junior lawyers), professional development

and training professionals, and academics involved with the teaching of transactional skills and subjects.   The newsletter will come out every two months.  (An aside:  as an example of the kind of linguistic pitfall that transactional lawyers face, I was going to use the word "bimonthly" in the preceding sentence until a dictionary review told me that it can mean either every two months or twice a month!)

 

To get a sense of the kinds of topics that will be covered, please see the sidebars to the left detailing today's articles and some of the topics that will be covered in upcoming issues.  If you have any ideas about possible topics, or would like to submit something for inclusion, please let me know at cfox@foxprof.com. Thank you.

 

Charles Fox

 

Six tips for more effective proofreading

 

For newer lawyers who are still struggling with the rigor with which senior lawyers require documents to be perfect, six tips for reviewing documents:

 

Microscope


1.    Eliminate pride of authorship.  Most of us fall in love with what we write, whether it's poetry or an officer's certificate.  Don't fall into this trap:  turn your heart to stone.  Imagine that the work product that you are reviewing was drafted by your worst enemy, and each error that you find sends him or her to a deeper circle of hell.

 

  1. Let as much time pass as possible between drafting something and reviewing it.  This will make it easier to follow tip no. 1.  So, if you are asked on Tuesday to prepare a first draft of an agreement for review by a senior lawyer on Thursday, don't wait until Wednesday night to draft it:  if possible, draft it on Tuesday and review it at the end of the day on Wednesday.


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Transactional education:  what's next?

 

 

I recently attended and spoke at "Transactional Education: What's Next?" a conference hosted by Emory University Law School and its Center for Transactional Law and Practice on June 4th and 5th.  The answer to the question posed by the conference's title is mixed:  according to the Center's Executive Director Tina Stark in hClassroomer opening remarks, practical transactional learning at American law schools is advancing at a rapid pace but is still at a stage that compares with where practical litigation learning was 20 years ago.  As an example of the uphill climb faced by academics in this area, Tina reported that the AALS (Association of American Law Schools) has just recently agreed to consider an application to make transactional practice a provisional section of the organization (there are currently more than 90 sections).  It was clear to me from the panels I observed, however, that there is a strong base of dedicated and talented teachers who are driving significant progress in this area.  The fact that law firms are increasingly pressuring law schools to prepare law students better for the real practice of law can only act as an accelerant to this process.

 

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Contract drafting:  the perils of imperfect plagiarism

 

People like me who teach contract drafting all advocate the same basic principles:  clarity, simplicity and precision.  Everyone who drafts contracts for a living grasps these precepts, consciously or implicitly.  Why, then, are so many contracts excessively long, confusing, and bloated with redundancy, anachronisms and bloviation?  Is it because (as some cynical clients suggest) lawyers are paid by the word?  Is it because lawyers are so averse to risk that they are unwilling to make any changes to forms that have been handed down through the ages?  Or are we just lazy?

 

For a thought-provoking examination of this phenomenon, please click here to read Why Contracts are Written in "Legalese," 77 Chicago-Kent Law Review 59 (2002) by Claire Hill, click here