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February 13, 2009

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The period between January and April is typically a fallow one for law firms. The year-end collection season has come and gone and firms have to ready themselves for a big tax bill come April 15. So it’s a reasonable time to cut overhead. But the jury still seems to be out on why there was so much cutting done yesterday. One hypothesis, from Jerry Kowalski, a legal consultant: Jump in when everyone else is doing it. “In past years, law firms lost a lot of their reputation when they announced layoffs. Now, because all of the expectations for 2009 are so bad, it’s no big deal,” he said. “You want to get buried in the tsunami of layoffs.”

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