Law And More

Gearing up for the Metaverse, Facebook Is Reported to Be Changing Its Name Next Week - Reed Smith Is Already in That Space

Facebook could be pulling the legal - and marketing - coup of all times.

With its metaverse concept, it could be escaping so many of the legal challenges associated with everything from social media to antitrust. That's primarily because the metaverse is post-internet. It could introduce the same kind of wild-west legal confusion the internet initially did. Facebook will be liberated again to move fast and break things before the legal system fully catches up to it. 

In marketing, Facebook could be establishing a whole new platform on which to sell hardware. To participate in the metaverse special virtual reality equipment could be required. Or strongly prommoted for enhancing the experience. Also, marketing in the metaverse will open whole new opportunities for Facebook's advertising units. Just think about D2A - that is, Direct-To-Avatar.

In conjunction with this shift, reports have it that Facebook will change its name next week. As yet, few, even high level executives in the corporation, know what that new name will be. Here is Verge on that.

According to Katie Canales at Insider, the "metaverse" is:

"... virtual space where humans — tethered to the physical world — can operate using virtual and augmented reality-powered avatars and exist in both places, losing touch on what's real and what's not." 

Obviously, that provides a wonderful exit from this life as we know it. That has been the meme of the sci-fi by Neal Stephenson's books. One can wonder: Could the metaverse as escape zone reduce substance abuse?

But what's important to lawyers is how lawyers define the metaverse. Reed Smith lawyers are among those doing the defining.

That law firm is an early adopter in the metaverse space. The analogue is this: Paul Weiss, chaired by Brad Karp, had been the visionary in the emerging value shift known as ESG (Environmental Social Governance). Paul Weiss formed the first ESG practice to guide its corporate clients through what was going to be a perfect storm. 

As Jenna Greene at Reuters Legal reports, the lawyers at Reed Smith collectively say:

“One way to describe it is the increasing permeability of the borders between different digital environments and the physical world ... Imagine stepping into a cyberworld: The metaverse is a space where you can interact with virtual objects in real life with real-time information.”

Last May, Reed Smith issued the 76-page white paper "Reed Smith Goes to the Metaverse." The authors for the Introduction are Gregor Pryor and Stephen Sessa. Then each section has several authors.

Here is a copy of that white paper.

It discusses issues such as:

Intellectual property

Artificial Intelligence

Data protection and privacy

Content Licensing

Ownership of the metaverse

Distributed ledger technology and non-fungible tokens

Bitcoin and other cryptocurrencies

Reputation and deepfakes

Managing antitrust and competition risk.

Yes, metaverse uses decentralized digital assets like blockchain which can be leveraged as payment for goods and services. And lots of goods and services will be sold in the metaverse. Only very differently than what's standard currently.

In the first paragraph of the white paper, Reed sets a tone of excitement and optimism:

" ... the metaverse offers human beings the opportunity to collaborate, transact, perform, argue, and create as has never been
seen before in history. It enables our alternative selves."

The paper also predicts the metaverse will change so much. That includes work, socializing, and how humans go about their daily lives.

What is of immediate interest to most professionals is how the metaverse provides unique ways to collaborate. For lawyers, who increasingly will be working at least part-time remotely, this could be a key tool. It could also persuade the law firm leadership to allow for a distributed workforce operating wherever

Already Facebook has rolled some of that out in Horizon Workrooms, explains Frame:

" ... Horizon Workrooms [is an] app that uses VR to bring colleagues together in a more immersive way than the grid of faces that Zoom has made the norm. Experienced through Facebook’s headset Oculus Quest, Workrooms uses features like spatial audio-and-hand tracking to give people a better sense of being in a real room together."

That, of course, is just the beginning.

In my field of marketing communications, this notion of collaboration can take the form of interacting in virtual reality with consumers. That can create fresh kinds of consumer experiences and touchpoints. An example of that would be introducing outdoor clothing. Consumers can float in virtual space simulated as rugged terrain and get a feel for that hunting jacket's special features. Simultaneously marketers could provide shoppers with the opportunity to play a virtual hunting game. 

As usual, Mark Zuckerberg is onto something huge and what will be, as Reed Smith confirms, a disruption. Where this will lead perhaps not even Zuckerberg knows.

Meanwhile, law firms' ESG practices such as that launched by Paul Weiss are addressing the shifts in social values set in play by ESG. Likely they will have to expand that focus to include the implications of the metaverse. Corporation might not know what hit them.

Feedspot selected Law and More as one of The Top 100 Legal Blogs.

Place your sponsored content on Law and More which is syndicated and has links from brandname media centers ranging from Bloomberg Law to Slate. Please contact janegenova374@gmail.com.

 

Mayer Brown: The Business of Politics

"Mayer Brown’s decision to step aside from a controversial representation in Hong Kong has led to a call for a 'China-wide boycott' after the law firm announced that it would no longer assist an effort to remove a monument commemorating the Tiananmen Square massacre." - Chris Opfer, Bloomberg Law, October 18, 2021.

The political situation, which involved pressure from those in Europe and the United States, has turned into a potential business crisis for that law firm.

This development should send a chill throughout the global law-firm sector. It should especially send a warning to progressive United States law firms committed to what they define as "social justice." In addition, corporations, which are increasingly taking social-justices stances, could also find themselves in a Mayer Brown like pickle.

Essentially what has gone down is that Mayer Brown caved to the international court of public opinion. That advocated that the law firm should not represent Hong Kong University's initiative to remove the "Pillar of Shame" monument. And that's what Mayer Brown did.

Now, former Hong Kong chief executive Chun-ying Leung responded. He went on social network Facebook and rallied both enterprises and non-commercial organizations to not conduct business with Mayer Brown. He summed up the situation as the law firm's being unreliable in its professional duties. That had been through abandoning its client Hong Kong University.

Obviously, this boycott tool could be used by other entities around the world to influence the behavior of law firms. Just like the businesses they represent during this time of questioning the purpose of a corporation law firms could also be targeted for retaliation for political stances. Currently law firms have aligned with causes ranging from voting rights to pro-choice in abortion. Can they stand up to extreme push-back against that politics?

Feedspot selected Law and More as one of The Top 100 Legal Blogs.

Place your sponsored content on Law and More which is syndicated and has links from brandname media centers ranging from Bloomberg Law to Slate. Please contact janegenova374@gmail.com.

Big Law - Some Rashomon Moments

From the time of Jeremy Blackman's satiric blog "Anonymous Lawyer" to current best-seller "The Caesars Palace Coup" Big Law has been vilified. That's the way it has been.

The partners are depicted as feudal lords.

Law firms defending the likes of Harvey Weinstein become fodder in media such as The New Yorker. 

The up and out system which results in only about one out of 10 associates making it to partner is interpreted as a destroyer of souls. There is no type of Greek Chorus chanting: Hey, you knew the deal when you looped in. 

Netflix is having a 10-part series derived from the novel "Partner Track." Negative, of course. 

And media sites such as RollonFriday and Abovethelaw which accept insider leaking from law firms are on side of the angels.

But that dark lens for viewing large law firms is only one. And Big Law isn't doing such as hot job pushing back on it through pro bono assignments, social justice outreach, and public-interest op-eds in The New York Times and The National Law Journal.

What those firms haven't unleashed is The Rashomon Factor.

As the Japanese film "Rashomon" showcased, there are myriad perspectives for interpreting just about everything. In that movie about a murder and a rape, the takeaway is how differently a number of people experienced it.

More recently, the film about flawed justice  in the 14th century "The Last Duel" also uses the Rashomon style. What is claimed to have happened - a rape - and the background events are configured into a variety of scenes of the same events. The story, incidentally, is true. 

Big Law has the resources to conjure up its own engaging Rashomon moments.

Do a 24/7 TikTok video of what goes on in law firms. Sure, block the confidential. And let the world decide if that's so bad. Viewers could be enchanted by the analogue of Tom Brady-type strategic planning and actual plays.

Follow a summer from the law office, back to law school, and back to the law office. Pan in on the struggles. Public opinion can assess the values of that world. The interesting part could be the shaping of a legal mind and resistance. Are humans wired not to think like lawyers? Add on a public interest tutorial on how do just that: Think like a lawyer.

Humor also is back in marketing communications. It's always been a power tool in messaging. Some will recall how presidential candidate Ronald Reagan blew up the age issue with a quip about Walter Mondale's "youth and inexperience." Here is a clip of that game-changer in the campaign.

Perfect would be an action-figure comic book. Let the world become engaged in how a chairperson like Larry Sonsini at Wilson Sonsini protects startups or Brad Karp at Paul Weiss mobilizes thousands of lawyers from law firms throughout America to work free on behalf of the victims of COVID. It's not only a prosecutor such as Jack McCoy from "Law & Order" who fights the good fight. 

And, yes, contract with designers (hopefully on a pro bono basis) to create video games about the weapons defense lawyers carry into combat. Empower players to make genius moves. Selling those games can provide funding for scholarships to law school for diverse students. 

Marketing communications. It’s about results. Not quantity. Not clickbait. Not even influence. Together we will get those results. Clients range from American Express to industrial accounts. Fees customized for your unique budget. Complimentary consultation - janegenova374@gmail.com.

 

Corporations Woke to the Profits in Social Justice, Hammers Vivek Ramaswamy: But That Is Money Hard-Earned

Vivek Ramaswamy's manifesto against business' supposed embrace of social justice, published in August, is a best-seller. The book is "Woke, Inc.: Inside Corporate America's Social Justice Scam." On Amazon, it ranks 705. 

Right from the get-go Ramaswamy, a successful entrrepreneur and first-generation American, is persuasive. He provides an example that resonates. It's Coca-Cola.

Lawyers will vividly recall how the chief legal officer there created a radical initiative for increasing diversity. That imposed quotas on outside law firms for having minorities on the account and docked those which didn't conform. Coca-Cola also took a stand against voter suppression in Georgia. In addition, it implemented anti-racisim training for employees.

Ramaswamy assesses all that as a kind of protective coloring that allows it to actually do "bad things" and make big profits. In the chapter "The Goldman Rule," he writes:

"Coca-Cola fuels an epidemic of diabetes and obesity among black Americans through the products it sells. The hard business decision for the company to debate is whether to change the ingredients in a bottle of Coke."

This approach to doing business is called "Stakeholder Capitalism." Another term for that is ESG (Environmental Social Governance). But the real game, he contends is: "pretend like you care about something other than profit and power, precisely to get more of each."

Those buying his book give it an almost "5" rating out of a possible "5." And the author is receiving glowing reviews from thought leaders such as Glenn Greenwald, journalist and constitutional lawyer, Ambassador Nikki Haley, Bill Ackman who founded hedge fund Pershing Square, and N. Gregory Mankiw of the Harvard Economics Department. 

So, "Woke, Inc." has touched a nerve. But what Ramaswamy doesn't get is that already there have been severe questionings of the tenets of Stakeholder Capitalism or ESG and various forms of push-back. Trying to make a buck off it doesn't go all that smoothly.  

The now-classic example has been the unraveling of Allbirds. Incidentally, it's yet to make a profit and is racking up large losses.

Among Allbirds' Woke efforts had been in governance. It gave permission to its board of directors to factor in other stakeholders, not just shareholders. Its marketing platform was sustainability-centric. For its IPO it established a sustainability framework which could be a model for others to leverage in their IPOs.

Then came the lawsuit seeking class action certification "Patrica Dwyer, et al.  v Allbirds" challening the claims. Here is a copy of the complaint. Allbirds has modified much of the sustainability material for its IPO filing. Media outlets have turned on it.

The raw reality is that many corporations are struggling to navigate the legal, public relations, stock price, employee activism, political, and community challenges associated with stakeholder capitalism. If they are making money from ESG, it's well-earned.

In response to the pickles corporations can get into during this era of stakeholder capitalism, most large law firms have established special ESG practices to guide them. The first of the law firms to anticipate the chaos had been Paul Weiss. Way back in April 2020 it had custom-made an ESG practice. 

Last August, a sign of these confusing times, Reuters Legal presented a case study of a corporation mired in ESG troubles and had law firms size up the situation and respond.

And Coca-Cola actually lost money on how it positioned and packaged its social activism outreach. Forbes reports that both those supporting and those opposing its middle-of-the-road stance on Georgia's voting law, threatened to boycott the corporation. The latter actually went through with that. Also, there was plenty of bad media.

Place your sponsored content here on this syndicated site. Affordable rates. Please contact janegenova374@gmail.com.

 

$6 Million PPP - The Public Relations Touchpoints of Success

Many know this:. In a Bloomberg Law interview, that elite law firm Paul Weiss announced that it was heading toward or even exceeding $6 million PPP.

That was a welcome confirmation of possible future earnings for the partners. Also that enhances the brand of both the law firm and its partners. Status counts plenty to partners. 

It might have irritated associates. Entry-levels are only pulling down about $200,000 - something. Peanuts, of course, compared to PPP. And all associates are putting in too-long hours. 

But, what about clients and those requesting proposals for help with their legal challenges? Does the $6 million PPP provide some kind of tipping point? Could be.

They could be mobilized to negotiate alternates to the billable hour. One, of course, is contingency. Both Dentons USA and Quinn Emanuel had recently operated that way with major assignments. Another is performance based. And, there is the project approach.

Also, there could be nudges for the technology which makes the processes more efficient, thus less expensive. The model there is Wilson Sonsini's Neuron. It has automated for startups many of the basic legal tasks for their needs. Those range all the way from formation to exit. 

Of course, the usual client for Paul Weiss's kinds of services has to go with it or another similar Big Law firm. They have to stay in that box because the stakes are high and Big Law has the resources to win. That's what Big Law does: Win. Here on its website, Paul Weiss posts examples of those wins. They are impressive. Yes, it is among the go-to law firms.

However, it's tricky public relations to balance promoting the law firm's financial performance (a marker of its success) with how that information will influence clients and prospects. This $6 million PPP could provide the nudge from clients and prospects for Paul Weiss to review its systems, from billing to how work gets done.

Could the announcement have been framed differently, that is, itemizing the touchpoints for success, without putting out there a concrete statistic about making the big money? Increasingly, matters of business are being decided in the court of public opinion. 

Money talks. Often it is the loudest voice in the room. Therefore, there is frequently the decision if it should be allowed in that space. 

Place your sponsored content here on this syndicated site. Affordable rates. Please contact janegenova374@gmail.com.

Sustainability - Now, It's Certification for Grapes and Wine

Bloldly, NY is a non-profit organization dedicated to promoting New York grapes and wines.

Odwyperpr.com reports that it is seeking an agency that can develop and execute a marketing plan for a certification program for sustainably-grown grapes and wine.

Sustainability has become the platform for everything from branding to structuring an IPO.  

But the pursuit is filled with landmines. That's exactly why large law firms have custom-made ESG (Environmental Social and Governance) practices to guide business through this new and volatile set of values, procedures, and processes.

The high-profile example of what can go very wrong is Allbirds. Once it had been saluted in the media and among green activists for its seeming total commitment to sustainability.

Now, it has been sued ("Patricia O'Dwyer v Allbirds") for allegedly misrepresenting its sustainability-centric promotions. Here is a copy of that complaint. And here is Law and More's early coverage of trouble in that branding paradise. More recently, Allbirds walked backed some of its sustainability claims in its filing for an IPO. 

Here is my article on sustainability published this month in ST Magazine. The focus is on how retailers can leverage this mandate for increased revenues and profits. The attention it is getting confirms that, despite the risks associated with ESG, it's considered a must-embrace in business. 

Marketing communications. It’s about results. Not quantity. Not clickbait. Not even influence. Together we will get those results. Clients range from American Express to industrial accounts. Fees customized for your unique budget. Complimentary consultation - janegenova374@gmail.com.

U.S. Crude Crosses $80-a-Barrel Mark - Get a Horse or a Smart Car (and back off law firms representing fossil-fuel corporations)

"U.S. crude rose more than 2% early Monday to a seven-year high of $81.50 a barrel, bringing its climb since the end of last October to more than 120%. If sustained, it will be the first time the U.S. oil benchmark closes above $80 a barrel since October 2014, when the shale revolution set off a multiyear slump in fossil-fuel prices." - The Wall Street Journal, October 11, 2021.

A major reason is: problems in supply. And one reason for that is inadequate investment by BigOil in the fossil fuel side of its business.

In this era of ESG (Environmental Social Governance) principles being applied to all businesses, old-line energy companies have been hit hard by myriad constituencies for remaining in fossil fuels.

Iconic had been the high-profile board-room coup orchestrated by small hedge fund Engine Number-One (aka The Little Engine That Could) at Exxon. More recently that investor activism has moved on to Chevron. Yet, alternates such as the electric vehicles are not ready for prime time and the consumer cost of EVs could be an obstacle to their going mainstream.

If the supply situation continues crude prices could continue going up. Of course, that could hobble the global economic recovery as COVID eases. Therefore, it would be bad taste to make a joke, given that grim scenario, that it's time to get a horse. Or a smart car - mine gets 40 miles to a gallon. 

Let's get to the chase: It now seems naive for groups such as Law Students for Climate Accountability to vilify law firms which represent corporations whose business is fossil fuels. Among them are Paul Weiss, Latham & Watkins, and Gibson Dunn. How is the world going to function until there is a full transition to new sources of energy? 

Unfortunately, given that ESG beliefs have hardened into orthodoxy, some media outlets seem to be reinforcing the perception of those law firms as the bad guys. Or, at least, those who should be questioned carefully.

In a wide-ranging Bloomberg Law interview with Paul Weiss Chairperson Brad Karp Roy Strom did introduce its controversial representation of Exxon. That part of the interview had been handled professionally on both sides, but it was still there. That showcases the looping in between ESG ideology and the media. Here is an excerpt:

"Paul Weiss itself has seen the fallout from activists who pressured the firm to drop ExxonMobil. The firm represented the oil giant and beat back a New York State claim that the company misled investors about the risks of climate change. Karp said there are certain types of matters and clients the firm wouldn’t represent, but he defended its work on behalf of its long-term client, Exxon. He said the firm’s victory at trial showed the case 'was, and without any basis.'"

BTW, there was another aspect of that interview which might have been labeled: A Funny Thing Happened on the Way to the Present: Media Stayed Stuck in the Past. 

Strom circled back to the 2018 dustup in The New York Times about Paul Weiss' all-white partner class. In ESG time that essentially had been light years away. Diversity hadn't been embedded in society's expectations about the right way for business to function. Also, the law firm did rapid course correction. 

The irony, of course, is that ESG itself has become controversial. In some circles, it is the bad guy.

That is playing out in lawsuits, regulatory agencies, planning for IPOs, and public opinion. The classic example is Allbirds. In response to its sustainability-centric promotions it is being sued in "Patricia Dwyer v Allbirds." Here is a copy of that complaint. On October 4th, it amended its IPO filing. 

In addition the wild west world of ESG investing is beginning to be tamed.

In both the U.S. and in Germany, government is investigating Deutsche Bank's DWS. One issue is how it reports on ESG investments.

Nevertheless, though, optimism prevails about ESG investing. Giant Apollo Global Management recently hired its first Chief Sustainability Officer. The function will review all businesses for sustainability issues. Of course, that all could sour. Currently, though, the move is assessed as smart. 

A sign of ESG times, my recent article in ST Magazine on sustainability is receiving lots of attention. Here you can read it.  

Obviously, the world is in flux. But meanwhile it still needs fossil fuels for industry, transportation, and even heating.  Green could be mutating into the enemy. 

UPDATE:

Stocks down 250.1 points, rising crude prices factor into the plunge.

The Wall Street Journal reports:

U.S. stocks fell on Monday on worries about slowing growth and mounting inflation, punctuated by a rally in oil prices. Front-month U.S. oil futures climbed 1.5% to settle at $80.52 per barrel, their highest level since 2014. Futures on Brent crude, the global oil benchmark, rose 1.5% to $83.65 a barrel, their highest settle value in three years.

Marketing communications. It’s about results. Not quantity. Not clickbait. Not even influence. Together we will get those results. Clients range from American Express to industrial accounts. Fees customized for your unique budget. Complimentary consultation - janegenova374@gmail.com.

It's Been a Very Good Year - M&A Could Hit Record, Paul Weiss Heads to $6 million PPP, Williams & Connolly Stars in "US v Holmes"

"Wachtell Lipton Rosen & Katz, a consistent leader among law firms handling M&A deals, has been dethroned by Simpson Thacher & Bartlett for the top spot in global transactions work for the first time this year." - Ruiqi Chen, Bloomberg Law, October 8, 2021.

That's news because M&A is the big news.

By the end of September 2021, around the world M&A activity totaled $3.8 trillion. If this keeps up, this year will be a record-setter in that niche.

About 20 law firms have been handling that business driven by investor confidence and private equity. Underlying the push have been low interest rates, cash accumulated during the worst of COVID, and angst about coming global antitrust action. Here in the U.S. new FTC chairperson Lina Khan has been quite the busy bee on that antitrust front. That includes refiling a lawsuit against Facebook that a judge had dismissed earlier. 

Overall, the transactional assignments are what are bulking up the business of law firms. Litigation hasn't yet recovered from the shut-down courts dating back to March 2020. For law students and new JDs focused on making money the career path is transactional. 

Yesterday in a Bloomberg Law interview, the Chairman of Paul Weiss Brad Karp crowed about PPP likely reaching and exceeding $6 million this year. That law firm specializes in transactional, especially related to Wall Street. 

However, white collar criminal law still brings prestige. And lawyers still are preoccupied with status. For 12 years, Vault has recognized Williams & Connolly as the number-one in white collar defense. Its strategies and courtroom skills are being showcased in "US v Elizabeth Holmes." 

The question, of course, is: How much longer will the good times roll? Many recall 2008 - 2009 when there had been massive reductions in force in the law-firm niche. Recovery had been slow. Could there be another round of that? Some global economy watchers have developed the jitters about what could go down. For instance, there are serious problems in supply chains. The U.S. jobs report wasn't so hot. And labor unrest has evolved from internal activism to actual strikes. 

Meanwhile, though, 55% of law schools are overenrolled. Youth is willing to take on six-figure debt to become lawyers. So, you bet, lawyering remains glam. No surprise, producer Dick Wolf is bringing back "Law & Order" after an 11-year hiatus. Law students had learned plenty about the procedures, politics, and passions of lawyering from watching that series. They will again, soon.

Place your sponsored content here on this syndicated site. Affordable rates. Please contact janegenova374@gmail.com.

Big Law: Paul Weiss Chairperson Brad Karp Predicts Possible Bifurcation

"In a wide-ranging interview with Bloomberg Law, [Paul Weiss Chairperson Brad] Karp said the wealthiest Big Law firms will continue to pull ahead of the rest as recent surges in profitability make it easier for them to pluck rivals’ stars." - Roy Strom, Bloomberg Law, October 7, 2021.

This projection of a possible bifurcation in Big Law could play out as the game-changer in the business of law. And it's happening on the platform of law-firm resources. Yes, emerging is a whole new context of haves and have-nots, even in the elite circles of large law firms. For those without the needed resources, the day could come when the music died.

The first sign of this disruption, as Karp points out, is the ability to attract and retain talent for the law firm. Paul Weiss has quite the track record for poaching proven brandname lawyers from its competitors. Iconic has been the lateral hire of Karen Dunn from Boies Schiller. Recently, she won the Uber appeal of the Boston Taxi Conglomerate antitrust litigation. That had been Uber's biggest legal victory.

The reality has always been: Professional services, including Big Law, is all about the human capital. Paul Weiss has the resources to keep that growing.

Part of those resources are the "soft skills" of Karp. He is known throughout both the legal sector and progressive politics for this: his almost surreal know-how for sizing up social situations and figuring out the most effective approach. As thought leader Dan Goleman hammered in his breakthrough "Emotional Intelligence," that is usually the most significant factor in professional success. 

Karp's added edge in the EI box is that so many other chairpersons in Big Law around the world are stuck in their decision-making and rhetoric in a 1970s business ethos. The mindset is autocratic and the tone is arrogant.

That comes through downright cartoonishly in leaks from those firms. For instance, UK legal site RollonFriday had been tipped off by an insider at Moss Fallon of partner Justin Moss' war on the typo. The penalty could be termination. The big naughty. Yet, in Moss' own memo about that there had been a typo.

Through his networking, Karp has been able to expand the parameters of the traditional business of a law firm. He took a page out of the Ted Levitt (late Harvard Business School marketing professor) playbook for asking: What business are your really in.

Karp continues to ask that question. And among what he had come up with have been initiatives in social justice. The insight about those issues could have helped Paul Weiss configure, way back in April 2020, its unique ESG (Environmental Social and Governance) practice. In that current exploding category it had been The First There. 

Paul Weiss' most recent development in ESG has been partnering with a law school. Reuters Legal reports:

"Paul, Weiss, Rifkind, Wharton & Garrison has teamed up with the University of California, Berkeley School of Law to launch a first-of-its kind research initiative centered on ESG — the rapidly growing legal field of environmental, social and governance issues."

Big Law firms left behind might not be able to regain the previous traction. The world is changing too fast. That force field includes everything from technology to M&A as the preferred method for expansion (versus organic growth). 

As a public service to all of U.S. business, a business school might do a case study: How Paul Weiss got there and how it's staying there and more.

Less is more. PAN Communications found consumers are only paying attention to about 1/16^th of your content. So, together let's create the marketing communications that engage them. Fees customized for your unique budget. Complimentary consultation - janegenova374@gmail.com.

 

Now Allbirds Follows Deutsche Banks' DWS in Scrutiny of Its ESG Dance - Apollo Global Management Entered Game in Big Way

Sustainability is a wobbly platform for an IPO. That's what once-darling of the ESG (Environmental Social Governance) niche - Allbirds - has found out.

In heading for the IPO (despite a loss of $21.1 million for the first half of 2021), Allbirds touted its unique sustainability public offering framework. Meanwhile, a proposed class action lawsuit "Dwyer v Allbirds" was filed. It challenged Allbirds' sustainability-centric advertising. Also, there is a new scrutiny of ESG investing since the investigations in the U.S. and Germany of Deutsche Bank's DWS. The issue there is how that investment arm reports ESG data.

No surprise then, before the IPO Allbirds is repositioning itself in the sustainability dance. Yes, the music died. 

PYMNTS reports:

"Allbirds, which calls itself an ethical shoemaker, had pledged to launch a “sustainable initial public offering.” Now, the company has gone back on some of its commitments ... Allbirds said late Monday (Oct. 5) that it had done away with several key parts of that idea, scrubbing the claim that the company is 'conducting this offering while following the SPO framework' and eliminating a warning that this could inflate the cost of the initial public offering (IPO) ..."

Actually, of the 65 references to the special sustainability framework those have been reduced to 33.

Now, the investment world as well as those of us with concerns about ESG investing awaits how the Allbirds IPO will play out. If it bombs, there could be plenty of rethinking about ESG investing. 

Meanwhile, the turbulence Allbirds has hit and the high-profile problems of DWS already should be sending a chill through the global embrace of ESG investing.

On the one hand, Bloomberg predicts:

"Global ESG assets are on track to exceed $53 trillion by 2025, representing more than a third of the $140.5 trillion in projected total assets under management."

Also, yesterday gigantic Apollo Global Management announced the hiring of Dave Stanges as its first Chief Sustainability Officer. He will integrate ESG principles across all of Apollo's businesses. Here is Law and More's analysis of that move and its implications. 

Essentially, that puts Apollo in the ESG investing game in a big way. Also that stance supposedly on the side of the public interest can continue to help restore the Apollo brand after a series of scandals.

The most recent - and it's still hovering over this financial firm - is the expose of how it conducted itself during the bankruptcy of Vegas' entertainment icon Caesars. That's in the book "The Caesars Palace Coup" by Sujeet Indap and Max Frumes.

However, the delicious irony in all that for Apollo is this: Investors want to make make money. After reading about Apollo's aggressive behavior during the bankruptcy they could decide that's the horse to bet on. Maybe also, they could conclude that ESG investing is also the horse to bet on. After all, Apollo has committed to it. 

On the other hand, the issue in Apollo's enhanced embrace of sustainability and embedded in that total asset class is, bluntly put, this question: How sustainable it is?

Will there be too many regulatory, litigation, and return on investment matters raised during the next few years to make the category burdened with too many risk factors and with too small the ROI? 

Meanwhile, a growing source of business for large law firms is establishing specialized ESG practices, reports Law.com. Those guide corporations through the maze of legal, political, regulatory, social, stock-price, employee activism, and community matters generated by ESG principles. 

Place your sponsored content here on this syndicated site. Affordable rates. Please contact janegenova374@gmail.com.