Views on Reputation

Declining Comment in Law Firm Malpractice Suits Not Suitable

Yet another major law firm has declined comment to a legal newspaper today, clinging to the old standby that they don't comment on pending litigation.

That's fine for a firm or attorney representing a client in a litigation matter. 

But when that litigation is a malpractice suit against the firm, it's important for the firm to say something quickly to defend itself in the court of public opinion. 

It's even better to say, "This lawsuit has no merit" or, "We will defend ourselves vigorously" than to decline comment. First, clients and prospects -- even employees -- want to know that the firm has nothing to hide. Second, the firm can't expect that same reporter or media outlet to promote the firm's "good news" if it is hiding when there's bad news. 

One example of this was my own experience in 2001, when I was asked to get media coverage for a major law firm's partner--  only to be ripped by the reporter who alerted me that the partner never returned his calls regarding a litigation issue involving a financial institution. The reporter was right. 

Tim Russert: Great Journalist and American -- and Skilled Spokesperson, Too

When fellow journalists and others pay tribute to Tim Russert, they might also remember him as a skilled spokesperson and counselor to former New York Governor Mario M. Cuomo.

You see, the Tim Russert who America came to know and love since he joined Meet the Press in 1991,  learned some of his journalistic skills and instincts as a young press secretary and adviser in the Cuomo Administration in 1983 and 1984. Back then, he was "Timothy J. Russert" and was the contact person for the media whenever Governor Cuomo issued yet another eloquent statement to the press.

Russert had to face off regularly against smart, tough reporters down the hall like Fred Dicker of The Albany Times Union and later with the New York Post; Alison Mitchell of Newsday; Michael Oreskes and E.J. Dionne of The New York Times, Marc Humbert of the Associated Press, and Marcia Kramer of The Daily News.

I remember observing these journalists -- and learning from them -- as a student reporter for The Legislative Gazette in 1983 while roaming the State Capitol and the Legislative Correspondents Association press room in Albany. But at the same time, I also learned about communicating with the media by reading press releases issued by "Timothy J. Russert" and watching him navigate the media and politics with great skill and comfort.

Tim Russert raised America's awareness of politics and government in our society at a time when we needed him most. I believe that his passion for this country's democratic principles and process lit a fire under many people who are now active in some way, particularly those who registered to vote for the first time in 2008. (That's certainly evident from the large voter turnout in the Presidential primaries.)

Surely, Tim Russert will forever be known as one of the greatest political journalists -- on air or off.

As a public relations practitioner, I'm proud that "Timothy J. Russert" was also one of "ours" for a short but critical time in the 1980s -- and equally proud that he was a fellow New Yorker.

Note: For PRWeek subscribers, an opinion piece on this subject can be found here.

Riverside Views on Reputation Blog Moves to Beckerman Public Relations

Since we started this blog in January 2005, it's been a joy to write what's on my mind and to exchange ideas on so many issues with readers from around the world.

We'll continue to do that, but starting June 2, 2008, this blog will be affiliated with Beckerman Public Relations, a dynamic public relations agency based in New Jersey, where I recently became Vice President and head of the law firm group.


--Rich Klein

Scott McClellan Can't Cry Foul Now

Those of us who have acted as spokespeople sometimes do a gut check when deciding if that person or that client reflects our views so that we can comfortably and effectively promote their agenda.

Scott McClellan, a former White House press secretary, is suddenly crying foul in his new book that he was misled by the Bush Administration, which he now says played loose with the truth. Huh?

I don't buy McClellan's statements that he was totally in the dark. If millions of Americans watching those news conferences on TV detected that the Administration was deceiving the public about WMD, about Valerie Plame, Hurricane Katrina and the Iraq War, then why couldn't the Administration's top spokesperson?

McClellan grew up in Texas politics and even worked on his mother's state campaigns there when she ran for office. He knew Karl Rove and he had to know President Bush at some level to be his chief spokesperson. It simply doesn't wash that he didn't know about the propaganda since he was a part of it for three years.

If McClellan felt uncomfortable at the podium, then he should have stepped down the moment he felt he was being used by the Administration to not be truthful. Instead, he hung around long enough to become part of the distortions and half truths that have masqueraded as facts in the minds of this Administration.

Supreme Court Rejects Gov. Ryan Appeal; Law Firm Out $10 million to $20 Million

You have to wonder if it was all worth it: millions of dollars of attorney time that went to defend former Illinois Governor George H. Ryan by the law firm Winston & Strawn. Today, the U.S. Supreme Court turned down Mr. Ryan's appeal of his 2006 convictions on corruption charges that stemmed from his time serving as governor from 1999 to 2003. How could this law firm have better spent this kind of money?

--By providing high school and college scholarships for minority lawyers
--By donating its pro bono time to clear the names of those wrongly convicted --who could die on death row in places like Texas
--By reading to children in after-school programs in Chicago
--By giving relief donations to victims of world disasters

The list goes on.

Instead, former Governor James R. Thompson, the "senior chairman" at the law firm, used his attorneys and their valuable time to help a personal friend and political teammate. (Ryan served as Thompson's lieutenant governor from 1983 to 1991).

Pro bono is something every law firm and lawyer should do and it is an example of what's right with the profession. But its the kind of pro bono that matters when law firms want to build their reputations, set an example for young lawyers, and leave a legacy of justice.

From our standpoint, this was not that kind of pro bono.

Paul, Hastings Tragedy Should Raise Awareness

Two news items in recent days once again point to the importance of law firm leaders taking a proactive approach to crisis communications.

First, there was the tragic murder on April 25 of a woman who worked as a secretary at the Atlanta office of Paul, Hastings, Janofsky & Walker. She was reportedly shot to death by a man who was working as a temp at the law firm. The man then killed himself. The story from the Fulton County Daily Report did a solid job reporting on the aftermath, including how managing partner Philip J. Marzetti quickly went into crisis mode. Here's an excerpt from the article:

Marzetti wasn't expecting the tragedy, but he moved quickly to deal with it. Foremost in his mind, he said, was how to help his firm, its workers and Buckley's family toward recovery.

That effort began with the idea of connecting people to one another, whether therapeutically or personally. Two full-time grief counselors were on site at the firm Monday, he said, and would stay as long as needed. One of the firm's senior human resources people flew in from Los Angeles to help out.

"We've had a lot of traffic," Marzetti said. "When I was up in the lobby at noon there were probably 10 people up there sitting and waiting to speak with the grief counselors."

Also, he said, "We've set up a number of places around the firm for employees to come and talk, have a donut, have a coffee."

From our vantage point, Mr. Marzetti did all the right things from Crisis Communications 101. First, he acted quickly and went right to the scene. He then went back upstairs and helped his colleagues deal with the grief. He communicated his personal concern as well as the firm's compassion internally, but also conveyed that emotion to the public through the media.

Workplace violence of this magnitude is rare at law firms but when you couple this with the December 2006 murders inside intellectual-property law firm of Wood, Phillips, Katz, Clark & Mortimer, it's clear that more needs to be done regarding background checks, security procedures and crisis management at all law firms.

The other news item -- a feature story written by two Nixon Peabody staffers -- warned law firms about the importance of disaster recovery systems to protect client data.

Their very first tip is right on point:

"It's important to remind your leadership that disasters need not be catastrophic to shut down a firm. Here in Rochester, N.Y., we probably won't see a terrorist attack or an earthquake -- but just last month a major windstorm knocked out power for much of our region for several hours. It doesn't take much to shut down your firm's infrastructure -- it can be as simple as a flooded sink one floor above, or an errant fire alarm that triggers sprinklers." And probably a few hundred other unexpected events, too.

Skadden Sets the Bar High With Minority Program

Many law firms talk about the importance of diversity in a profession that still is vastly underrepresented by minorities. Some reports say that over one-third of all large law firms in Manhattan don't have a single African-American partner.

But today's news from the New York Law Journal that Skadden Arps is actually putting its money where its mouth is on the diversity issue, will hopefully set an example that other firms will follow. The firm will commit $9.6 million over the next decade to encourage and support minority students at the City College of New York to become attorneys.
The program will help 100 students each year to prepare for law school.

Other big law firms that are known as leaders in hiring/retaining minorities include Hughes, Hubbard & Reed, Morrison & Foerster,and Dickstein Shapiro, which offers three minority scholarships each year.

It will be interesting to see if other firms try to match this bold move by Skadden --like the associate salary races we see each year. We hope that many do and that the profession ultimately becomes more representative of our increasingly diverse society.

A law firm's reputation is measured by many factors. Thankfully, the issue of diversity is climbing up the list of importance as in-house counsel are evaluating firms on this subject more than ever. Those firms that take real action to achieve diversity (beyond just having a diversity committee) will succeed in many ways. Firms that continue their tradition of exclusion, whether deliberate or not, will harm their own reputations -- and do a disservice to the profession -- for years to come.

American Airlines and Its `Inconvenience'

American Airlines officials continue to characterize the grounding of hundreds of flights as an "inconvenience" or "grave inconvenience". They are clearly out of touch with their raging customers when you consider that parents need to get home to children, infants and toddlers are stranded in airports, people have to get to weddings, funerals and critical business meetings --and many others have no place to stay due to booked hotels.

You would think that the airline so connected with 9-11 would have its crisis communications act together nearly seven years later. What's worse, is that the company's leader isn't even back at Dallas headquarters during this crisis.

"We have obviously failed to complete the airworthiness directive to the precise standards that the FAA requires, and I take full responsibility for that," Gerard Arpey, American's chairman and chief executive, said at an industry event in California. One report had him speaking from a Marina Del Rey hotel.

In a crisis of this magnitude, you don't do industry events. You stay back or get back to headquarters ASAP, open and manage the war room, fix the problem, and be out front with the media regularly to show your concern for customers.

Maybe it was just too "inconvenient" for Mr. Arpey to be in Dallas.

Congestion Pricing, Bloomberg Hit Roadblock in Albany

New York City Mayor Michael Bloomberg should have learned from former New York State Governor Eliot Spitzer that you can't legislate if you can't cooperate.

The Mayor's "my way or the highway" attitude and his child-like name calling after he lost the votes in Albany for his controversial congestion pricing plan was shameful and turned out to be a public relations disaster.

The New York State Legislature, which I had the honor of covering as a cub reporter in the early 1980's, is certainly dysfunctional and has been for decades. But I can't blame legislators outside the borough of Manhattan for just saying no to Mayor Mike's big idea to tax the hard working commuters and small businesses who can least afford it.

Over the past 25 years, I've lived and worked at various times in Manhattan and know there are better ways to alleviate the congestion. Here's a few suggestions:

1) Tow all the double and triple parked cars and double the fines during rush hour
2) Stop road construction during rush hour, period, except for emergencies.
3) Do not allow building contractors to block off entire lanes of traffic during rush hour.
4) Eliminate "official" vehicles for the majority of New York City employees except for those who absolutely need them for their jobs --and offer incentives for NYC employees to use mass transit, such as riding for free on certain days.
5) Stop closing off major streets for corporate events during rush hour (Example: The City stupidly closed off more than 10 blocks on Fifth Avenue in late 2007 without adequate warning to accommodate a handful of NASCAR enthusiasts).
6) Give incentives to legitimate parking garage owners who want to open or expand into larger garages in the sections of Manhattan that need them the most. (So much congestion, pollution and wasted gasoline stems from thousands of cars circling city blocks and avenues often for more than an hour searching for parking).
7) Overhaul the parking rules on the street and take away some of the ridiculous parking privileges given only to diplomats and others supposedly acting on "official" business.
8) Devote more state/city funding to high speed waterway transportation and add more pickup and drop-off points along the Hudson River (Jersey shoreline/Westchester/Rockland counties) and the East River (Brooklyn and Queens).
9) Give incentives like free or reduced tolls for those trucks entering Manhattan for deliveries from 9 p.m. through 6 a.m.
10) Set new rules and work schedules for the Taxi and Limousine Commission drivers that limits the number of cabs that can enter Manhattan during peak times. (How many people really need to take a cab into Manhattan for work unless they are handicapped or are running late?)

Stonyfield Farm and `Tiny Beads' of Truth

There's a major disconnect between Stonyfield Farm's recall announcement of its blueberry yogurt and early news reports about the recall. Stonyfield's press statement never mentions glass or plastic fragments that have reportedly been found. Instead, the company refers to "tiny beads the size of mustard seeds in these particular batches of fat free blueberry yogurt."

In a crisis that involves public safety, it's critical for a company to not tell half truths. In this case, if these tiny beads have been identified as glass and plastic, then the company MUST quickly reveal that information instead of downplaying it by calling them "tiny beads." If consumers are telling the media that they found glass or plastic in their yogurt, then it's up to the company to either dispel the inaccuracy or confirm that the consumers are correct and that the company is taking prompt action.

There's a big emotional difference between eating yogurt with "tiny beads the size of mustard seeds" vs swallowing glass or plastic fragments.

The other lesson here is that companies need to stop burying the bad news. The company did the right thing by at least putting the recall information on its homepage, but the recall information is mixed in with hundreds of other marketing messages and could easily be overlooked if people don't read carefully.

UPDATE: We heard today (April 1) via email from a company spokesperson who tells us that the news release the company issued late last week always had the words "glass or plastic" in it. While we appreciate that, an earlier online version that we saw on their website clearly did not mention glass or plastic. I have a feeling that it was an honest omission, not a malicious one. But we're glad that they corrected it quickly and that they reached out to us to set the record straight. We've also been informed by the company that it was (and continues to be) proactive in getting the word out to the media as soon as the crisis hit. As of yet, the company has yet to take our advice that it should make the "Voluntary Recall" note on its corporate homepage more prominent. Stay tuned.

Obama Lost My Vote Today and It Hurts

This hurts. Alot.

Barack Obama could have been the next JFK. I agreed with his message of hope, his position on Iraq, and was moved by his eloquence. And it would have been the first Presidential election in my life that I cast a vote for someone younger than me.

But as a patriotic American and a Jew, I can't in my heart continue to support his candidacy.

Yes, he gave yet another great speech that inspired millions. I, too, was inspired right up until the middle of today's Philadelphia speech, that part where Mr. Obama decided that you can throw out the hate-filled messages but keep the messenger in the family.

You simply can't. And it's naive to think that you can. What's more, Barack Obama simply can't convince me that he didn't know this side of Rev. Wright and at the same time say he has been like family.

By separating the message from the messenger, we excuse the Hitlers of the world, the Bin Laden's of the world, along with the Pat Buchanans and Louis Farrakhans. I've lost a few friends in my life who I discovered were anti-Semitic. (It was painful but easy to cut those people out of my life and to let them know where I stood on that subject).

If we as a society rationalize the bigotry of people like Wright and Farrakhan, then we cannot possibly fulfill the dreams of unity that Mr. Obama has so eloquently discussed during the campaign.

Yes we can be one America -- but it must be an America where there's absolutely no tolerance for bigots. If we excuse the behavior of home-grown bigots, then what is our position on the hate-filled murderers who killed thousands on 9-11?

Barack Obama, like all of us, had choices about who to choose as a mentor. He sadly chose the Louis Farrakhan model when he could have chosen the Martin Luther King model.

Business Executives Can Learn from Spitzer's Mishandling of Crisis

Business executives can learn from the crisis communications mistakes made by former New York State Governor Eliot Spitzer and his handlers. Listen to our short analysis below.

Download CrisisCommunicationsTips.m4a

Governor Eliot Spitzer Should Have Resigned Today

Gov. Eliot Spitzer misses the point if he believes he can still govern effectively with his alleged connection to a major prostitution ring. He's plain wrong to say politics is not about "individuals" but ideas. We elect governors and presidents because of the people behind those ideas and their abilities to get those ideas turned into reality, largely through their "political capital."

The governor is supposed to be a role model for our kids, a leader who my second grader should be able to look up to. If Governor Spitzer truly wants to do what's best for the State of New York, as he says he does, then he should resign. There's simply no way he can govern effectively and continue to fight what will surely be a vicious public relations battle and what very well could be a high profile legal battle.

As a young intern journalist during the early 1980's I had the honor of working in Albany to cover New York State government. The women on the newspaper staff were warned to be careful around certain state legislators because they were "skirt chasers." But today's shocking news that Governor Eliot Spitzer was tied to a prostitution ring is the kind of story that reportedly took many veteran Albany-watchers and reporters by complete surprise.

Here's a man who has a beautiful, smart wife. Here's a man who was wealthy in every way, who went to Harvard Law School, and who was considered to be one of the greatest Attorney Generals in New York State history, particularly because of his success in cleaning up Wall Street. Here's a man who was starting to put the demons of his first disastrous year in office behind him and who might have soon witnessed the first time in decades that the State Senate and the State Assembly were controlled by his own party. His main nemesis, at least before today, was Senate Majority Leader Joseph Bruno, who was fast losing public support because of allegations surrounding his business relationships.

Today's developments remind us all about the demise of Sol Wachtler, the former Chief Judge of the New York Court of Appeals and another brilliant legal mind who might have been a New York State governor. And it reminds us of Jim McGreevey, who had to leave office as New Jersey's governor when it became public that he hired his secret lover to a very high government position that he was not qualified for.

But back to today's news. It's one thing to be Joe Q. Citizen and to be accused of supporting prostitution.
However, if you're Governor and former AG, and your entire reputation is created because you fight a never ending battle for truth and justice like Superman, then it's time to hang up the cape.

Clinton, McCain and Obama Should Acknowledge Mistakes

The three remaining candidates for President of the United States could help their campaigns if they apologized for past mistakes, missed opportunities and poor statements -- and then moved on. Here are a few samples:

Hillary Clinton: "I should have read the National Intelligence Estimate on Iraq. I'm sure if I read it more carefully, I would not have voted for the war in Iraq. Heck, I'm up every night at 3 a.m. waiting for phone calls anyway so I did have time to read it. And, from now on, I am going to stop saying I have 35 years of experience because it's misleading."

John McCain: "I realize that those mean-spirited jokes about lawyers are a form of stereotyping and send the wrong message to our children. And I never should proclaim that I speak for all soldiers in Iraq when I keep saying on the stump that they tell me, "let us win." When I poked fun of the Woodstock festival, I now realize that many young men who were there later fought bravely in Vietnam just like me. Some were killed and others came back injured. So who am I to question the patriotism of those at Woodstock when Jimi Hendrix played the most amazing version of "The Star Spangled Banner"? I've also now realized that Richie Havens' moving version of "Freedom" could have been a tribute to my P.O.W. brothers. "

Barack Obama: "I should have denounced and repudiated and rejected my pastor's support for Nation of Islam leader Louis Farrakhan much earlier. Farrakhan is a vicious anti-Semite and racist who plays on people's fears. We know from the current Administration that fear-mongering is just plain wrong. Some people think that Farrakhan has done some good things. Well, you cannot separate the message from the messenger. Anyway, Michelle and I expect to find a new church when we get to the White House."

McCain Not Out of Woods Yet on Lobbyist Story

The New York Times should have waited until it could find documentation and more on-the-record sources before publishing its investigative piece on Senator John McCain and his alleged ties to a female lobbyist from the telecommunications industry.

McCain initially did what you are supposed to do in a crisis: be present and answer the questions. He did just that in a press conference in Ohio. In fact, many observers say he turned the story into an indictment of the "liberal" New York Times. But even if he can declare victory in the short term, he is not out of the woods because this story clearly has legs as long as he is a candidate for President.

The McCain camp has take the position that it has answered all the questions about this issue and has said it won't answer any more. Do they really mean that?

In a crisis, it's up to an organization's critical audiences, including the media, to decide when a crisis is over. But that's not going to happen in this world of 24/7 news operations, blogs and social networking sites.

We all wish the media would ask tougher questions of McCain on the critical issues that concern Americans. But it's more likely that between now and November, he will field more questions about his character and relationships with lobbyists than on healthcare, the economy, Iraq and the war on terror.

McCain has campaigned heavily on his character and integrity with his so-called "Straight Talk Express" and military service.

That's why stories about his character will likely continue and why his handlers are mistaken if they think they can control it by not answering more questions and still win the White House.

The "Straight Talk Express" might soon be renamed "Straight Talk Express (Except for That Lobbyist Story)."