CASE STUDIES

U.S. NATIONAL HOUSING LENDERS

SAMPLE OF MATTER TYPES: Indemnification of current and former Officers and Directors; SEC and Department of Justice Investigations and Prosecutions against Indemnitees;

LENGTH OF TIME IN PROGRAM: 8 years to date

NATURE OF ASSIGNMENT: Analyzed emerging legal invoices (fee and expense entries) to determine if they were billed in accordance with accepted industry practices or benchmarks; were being performed at the appropriate staff level; and were reasonable in relation to the type of work being performed. In addition, LCC attorneys determined, analyzed and reported any anomalies, irregularities, and other observations as appropriate. LCC prepared and submitted Invoice Reports in support of its findings and recommendations, and participated in discussions with the client regarding those findings and recommendations. As a result, the law firms agreed to substantial reductions from its billings.

OUTCOMES: 8.7% reductions since program inception. LCC data and process used to successfully defend client CEO against challenges from opposing interests in U. S. Congressional Hearings. Congress applauded the client guidelines implemented (LCC Authored), and recommended other Government agencies adopt the guidelines. Total Legal and Profession Fees = $236 Million

CHALLENGES: At program inception attorney hourly rates charged by the firms were significantly higher than market rates. Bringing rates into conformity with national rates charged in similar matters required significant data analysis and intense negotiations between LCC, client and firms with. Rates normalized over 3 years.

Client’s vendor legacy system for invoice payment was unable to develop a timely interface with other systems. LCC built custom system interface despite vendor dilatory response.