Weinberg: Law firms perform work at a loss for PE clients
Winston Weinberg · No Priors Ep. 101 | With Harvey CEO and Co-Founder Winston Weinberg · Feb 14, 2025 · at 24:18
Harvey CEO Winston Weinberg explains why law firms use certain legal tasks as loss leaders to secure major transaction fees.
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“There is so much legal work that law firms actually do at a loss and they do it at a loss... There's a lot of legal work that they do at a loss in order to get the big deal. So, you know, a lot of law firms will do work for private equity and they will do that work at a massive discount or even again, even at a loss in order to get the LBO or the MNA.”
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