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WHAT WE'RE WATCHING

DE FACTO THE MATTER -  The U.S. Supreme Court this morning is set to hear from four lawyers—for 80 minutes—to resolve a complex dispute over the status of the Financial Oversight and Management Board for Puerto Rico, established by Congress in 2016 to help Puerto Rico recover from a devastating financial crisis. Among the lawyers scheduled to argue: former Obama-era U.S. solicitor general Donald Verrilli Jr., partner at Munger Tolles, who represents the board; and former George W. Bush-era solicitor general Ted Olson, partner at Gibson Dunn, who is counsel to Aurelius Investment, a creditor of the commonwealth of Puerto Rico. The case, which has generated substantial Big Law work, raises appointments clause and "de facto officer" doctrine issues surrounding the board's membership.

BAD DEALS - Lawyers are known for their negotiating savvy, but those skills apparently aren't trickling down to IT purchases. Victoria Hudgins reports that the legal sector's pay margin for IT is the highest compared with other industries, according to a survey by U.K.-based technology service provider Probrand, which combed businesses' technology purchases in 20 industries. The legal industry paid an average margin of 24% for its IT products, compared with 14% paid by all industries.

OUT – Add Davis Wright Tremaine to the list of law firms in hot water over sexual misconduct allegations. As Samantha Stokes reports, Robert Newell, a litigation partner in the Seattle-based firm's Portland office, has resigned after reports that the humanitarian organization on whose board he served, Mercy Corps, failed to adequately address serious sexual abuse allegations against its founder. The Oregonian reported earlier this month that the charity for decades covered up allegations that founder Ellsworth Culver, who died in 2005, sexually abused his daughter.

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EDITOR'S PICKS

Federal Judge and His Clerk Are Redefining Work for Lawyer Moms

What (and Who) to Watch at SCOTUS: Unpacking the New Term With Mayer Brown's Nicole Saharsky

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WHILE YOU WERE SLEEPING

WORKAROUND – U.K.-based insurance law firm DAC Beachcroft has registered its Paris office as an independent organization rather than a branch office, as part of its Brexit contingency planning. Simon Lock reports that the firm's office, which opened in January, was registered as an Association d'Avocats à Responsabilité Professionnelle Individuelle, the French equivalent to an LLP. The structure means the French office is not a subsidiary of the U.K. firm and avoids any formal ties, instead relying on a trade understanding between the two offices.

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WHAT YOU SAID

"The fact that I am Chinese American and have deep ties to Harvard made the case special and more challenging in many ways. The key was to set aside those ties and relationships and try the case as best we could."

—  Bill Lee, partner at WilmerHale and senior fellow of the Harvard Corp., who successfully defended Harvard University in a case alleging its undergraduate admissions policy, which considers race as a factor, does not discriminate against Asian Americans.

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