Follow us!

    Post: Nonequity partner salary as draws

    Posted by Bill on 12/29/07

    This one nonequity partner (NEP) has been getting a
    bimonthly salary. The first six months he had been
    working on contingency cases. The second part of the year
    he brought in a substantial amount of revenue. Now he
    thinks the managing partner (MP) is stealing money from
    him because the MP is offsetting a lot of his revenue from
    the first half of the year where the NEP didn't produce
    much. The NEP keeps using the phrase "I eat what I kill"
    but seems to be really in denial that he got a guaranteed
    salary all these months. Doesn't eat what you kill entail
    not getting anything until you actually kill something?
    So I asked the NEP what is your salary then? Aren't you
    an employee? He said "no, I am a partner (he's actually a
    non-equity member of the firm since it's a LLC - but let's
    just stick to the partner terminology) and the salary were
    just advances against my draw at the end of the year."
    The guy sounds confused as he wants to benefits of the NEP
    arrangement since he gets guaranteed salary, but wants to
    keep his profits under the EWYK system. I don't think you
    can pick and choose like that. Plus under the EWYK
    system, you don't get credit for contingency cases until
    you actually hit, right? I would appreciate some feedback
    on this as I am not completely versed in the various law
    firm partnership/compensation/profit models.

    Posts on this thread, including this one
  • Nonequity partner salary as draws, 12/29/07, by Bill.
  • Re: Nonequity partner salary as draws, 12/29/07, by Curmudgeon.
  • Re: Nonequity partner salary as draws, 12/30/07, by Bill.

  Site Map:  Home Chatboards Legal Jobs Classified Ads Search Contacts Advertise
  © 1996 - 2013. All Rights Reserved. Please review our Terms of Use, Mission Statement, and Privacy Policy.