Home
About Us
Selecting a lawyer
08/12/2022 10:20
Needless to say, the trade remedies process is quite complex. Most foreign companies cannot navigate these complex proceedings without the advice of a lawyer or some other specialist.
Often a foreign company already has a relationship with a lawyer specializing in international trade matters. This lawyer may have helped the company in prior trade remedy investigations, or may have been advising the company on how to avoid the risk of an anti-dumping case. If the company already has a lawyer, and is happy with the quality of the lawyer's work, the company should continue the relationship. The ability to move quickly to begin preparing the defence is a major advantage.
Other companies may have to select a lalNyer to handle the case. Since most companies use the same lawyer to handle both the Commission and Commerce Department phases of the investigation, the selection of the lay.yer will have an effect on the remainder of the case. How a company should select a lawyer for the overall defence of the anti-dumping case is discussed below. When choosing a lawyer, the company should consider the following factors:
Experience — This factor is the single most important consideration. If the company wants an effective defence, it is crucial to select a lawyer with specific experience in this specialized area of law. The company should ask specifically how much experience the law firm and its lawyers have with such investigations.
The company should also evaluate the experience carefully. Does the experience relate to anti-dumping investigations or the specific problem the company faces? For example, while a former United States Trade Representative may be the ideal lawyer for certain types of problems, USTR does not handle anti-dumping cases and USTR officials learn little about the defence of anti-dumping cases. Similarly, a person may have been a senior official in the Commerce Department, but if their job did not directly involve anti-dumping investigations they may not be very effective in defending the company.
Staffing — The company should ask about the team of people the law firm proposes to handle the case. This consideration is important for two reasons. First, the company should make sure that experienced lawyers are assigned to the case. A law firm may have some experienced lawyers, but if they are busy on other matters, the company may find inexperienced lawyers assigned to its case. Second, the company should ask for a proper balance of senior and junior lawyers. The proper balance ensures that the company receives cost-effective, high-quality legal advice.
Cost — The market for international trade lawyers has become very competitive. Companies can choose from a wide variety of law firms, and can receive a wide range of estimates for the cost of the defence. Although foreign companies want to limit their legal costs as much as possible, it is important to remember there is a trade-off between price and quality.
Virtually all of the reputable law firms practising international trade law charge for legal services based on hourly rates. The per hour charge varies depending on the seniority of the lawyer. The rates vary from firm to firm, and may seem high. Unfortunately, the market for lawyers in the United States is such that good lawyers are very expensive. It is not unusual for senior lawyers to charge $300—$500 per hour for their time.
Three variables determine the cost of the defence. First, how complex is the case? Obviously, the more complex the case, the more time the lawyers must spend. A case involving only a price response will be less expensive than a case that also involves a cost response. A case involving only a few domestic producers and a few foreign producers will be less expensive than a case involving many parties.
Second, how much experience does the company have? Companies with highly experienced staff can do much of the work themselves, especially at the Commerce Department stage. Companies involved in their first anti-dumping case require more time from the lawyers, which increases the cost.
Third, how efficient are the lawyers? Experienced lawyers work much more quickly than lawyers new to anti-dumping law. It is a mistake, however, to have too many senior lawyers involved. Much of the work is routine. One senior lawyer can easily supervise two or three more junior lawyers handling more routine tasks.
The cost of the defence can vary dramatically. Most anti-dumping cases involving a single company cost $300,000-$500,000. It would be unusual for a case to cost less than $200,000. It is also unusual for a normal case to cost more than $500,000. Complex cases for large foreign multinationals, however, can easily cost over $1,000,000. It is impossible to defend an anti-dumping case properly for less than $200,000. If a company receives an estimate of less than $200,000, they should be suspicious of the quality being offered.
