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Author Topic: Associate at Non-IP firm, but registered patent attorney. How should I be paid?  (Read 1999 times)

alittlebitofpatents

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I have two questions/comments:

1.  How are your patent clients being billed?  On a per hour basis, or one a flat fee basis?

2.  Your existing employer has gone out of its way to have you keep your patent work seperate from your other work.  From your posts, the partners in your firm are not providing any guidance or supervision over your IP work, and they are not bringing those clients in.  They are also not capable of performing at least one other function, i.e., they cannot cover for your patent matters in the event that you need to be absent due to illness, business travel, etc.  That said, it seems like you are balancing the two practices quite well (even if means that you are doing your patetn work at  night).  if that is the case, why not keep your patent practice entirely seperate from the firm?  I.e., run your own small patent prosecution practice on the side?  If you do that, you will see 100% of what is collected on your patent work, and you won't have 10 pairs of grubby hands in your till.

1.  I give my clients the option.  I tell them my hourly rate and then I give them a flat fee option.  In every case so far, I have strongly encouraged them to choose the flat fee option.  In all honesty, I don't particularly want to deal with keeping time or managing a retainer/trust fund.  Also, because I am not efficient at this point, I think that is more fair to my clients.  So far, I have not had a single person choose to pay hourly.

2.  This point is where I get a little frustrated.  I turned down a lower paying litigation position at another firm that would allow me to do just that.  I think we've past the point of no return at my current firm.  The business is going to go through the office.  Quite frankly, it's probably better that way.  Instead of trying to meet inventors at coffee shops in the evenings, I can meet them in my firm's library or one of our conference rooms during the workday.  At my age, I think this helps my credibility.  Also, I don't have to feel bad or awkward about using my office phone to conduct patent business.  It would be fairly awkward to field a new patent client phone call in my office if I intended to deal with them separately from then on.  Lastly, my legal assistants are very helpful with scheduling.  The bottom line is that I enjoy and benefit from the positive things that an established firm can offer its clients and employees.

The firm is not going to give permission for you to handle a 20k case if it conflicts the firm out of taking on work for a million dollar client that one partner or the other is wooing.

Great advice.  Not applicable to a personal injury shop, but the number one reason to not moonlight.

Conflicts are something we absolutely monitor, but I tend to agree with Isaac that the conflict issue is probably not as big in our firm as it might be in some others.
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Ghoti

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My thoughts are that while the firm is not financially supporting or mentoring you they are in fact willing to support you in every other way particularly letting you grow you patent skills (also, dont forget they take the risks and give you use of their office facilities, support staff, admin and billing). In return for that you give them a tiny additional income.

Given the above, that you are happy with the firm and the current job opportunities, I think it is premature to ask for compensation. When it grows to a more profitable amount, and subsequently takes up more of your time, then you discuss compensation. Depending on the personalities involved it could be good to let them know that this is your plan.

Just my 2 cents.
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