Alternative Fee Arrangements For In-House Counsel: Best Practices For Structuring And Implementing AFAs To Drive Meaningful Cost Savings
Alternative Fee Arrangements (AFAs) are all the rage in the corporate legal world. But why? What are AFAs and how can they lead to meaningful cost savings?
An alternative fee arrangement is loosely defined as any type of legal fee arrangement where a client pays an attorney something other than a traditional hourly rate for the legal work performed. Sometimes alternative fee arrangements are referred to in shorthand as “AFAs,” or the newer term, “value-based billing.” The point is that an attorney is paid for the value delivered for the legal service, as opposed to the amount of time it takes to deliver the requested legal service.
But how does one get started with AFAs? What are the different types of AFAs, when does it make sense to pick one over the other, and how does one go about proposing AFAs to outside counsel.
To answer these questions and more, In-House Connect is thrilled to feature David Falstein, Vice President of Client Success and Strategy at PERSUIT. PERSUIT is the leading enterprise platform for engaging outside counsel and has helped legal departments reduce outside spend by 37%, while automating AFA programs. In fact, one PERSUIT client, Corteva, saved over $2.5M within 2 hours on their first use of PERSUIT.
Join us for the next installment of our IHC Advantage Series, as David will discuss:
– How modern legal departments increasingly require cost predictability when it comes to managing legal spend
– What are AFAs and how they can help achieve cost predictability?
– Best practices for structuring and implementing value-based pricing – and getting outside counsel to join.
PLEASE NOTE: THIS RECORDING IS NOT CLE ELIGIBLE.