Law firms divided over nonlawyer investors issue

MK-BT301_PARTNE_D_20120401180142By Jennifer Smith | The Wall Street Journal

The legal profession’s notion that law isn’t a commercial enterprise may come as a surprise, since some lawyers now charge more than $1,000 an hour.

But some legal purists are aghast at a proposal that would reverse long-standing tradition by letting nonlawyers own limited stakes in U.S. law firms, something allowed on a broader scale in the U.K. and Australia.

Opponents worry that non-lawyer partners could push law firms to maximize profits at the expense of their obligations to clients.

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