A $25 Chevron gift card!! ‘You be the judge’ scenarioEnter to Win: bclma Provide a response to our latest – See page 19 for details! British Columbia Legal Management Association topicstopics A NEWSLETTER TO HELP OUR MEMBERS AND PARTNERS KEEP CURRENT ABOUT THE BUSINESS OF LAW SUMMER 2008 Is it ‘1984’ at the Canada/US boundary? ‘Blank’ laptops, PDAs to cross US border BY MIKE BOWERBANK BLAKES LLP A look ahead at BCLMA’s projects this year

s Big Brother waiting at the border to confiscate your laptop, Black- ‘Promising developments, exciting Iberry and their data? Well, no... and yes. plans’ underway for BCLMA Under the terms of the US Patriot BY STEPHANIE CORNELL me throughout my professional legal Act, you don’t have to be suspected of BCLMA PRESIDENT career. I feel strongly about protect- anything to have ing and nurturing the wellbeing of your laptop con- t is my pleasure to serve you as this thriving organization. It feels fiscated as you 2008/09 BCLMA President. Many right to continue to give back. cross the border Iof you will know that the As President, I am supported by into or coming BCLMA is dear to me. I have held what is, I’m sure, the largest Ex- from the States. several roles since joining the ecutive Board ever. The So lawyers and Association in 1996. amount of involvement at administrators In the last 12 years, I this level tells me that I traveling to or have led the Facilities and am surrounded by mem- Mike through the United the Marketing subsections, bers who care about the Bowerbank States may well be served as Secretary to the Ex- BCLMA as much as I do. I am subject to searches ecutive Board, and continue to re- proud to be a part of this out- of files and data stored on any and all main involved with our Topics standing team. Further, the associa- electronic devices they have with them. newsletter. tion is at its largest—with 310 mem- Agents working with US Customs The Association has always of- bers representing more than 90 firms. do not need to be suspicious of any fered me endless opportunities to As President, I have already had the wrong-doing to conduct a search; it learn and grow; to meet people and could be random, it could be targeted. network. It has certainly supported Promising Developments: Continued on page 7 Many lawyers travel with propri- Stephanie Cornell talks about the benefits of the BCLMA with two potential members. etary information or confidential files. “The Association has always offered me endless opportunities to What you need to ask your lawyers learn and grow; to meet people and network,” she says. and administrative staff is this: How sensitive is the data traveling with you? Are you comfortable with US federal agents creating a copy of every file, document, picture and e- mail you have, and running forensic searches on your data indefinitely? All things being equal, the average search so far involves seizing a laptop and informing the owner that it will be returned by mail at some later date. In many reports, laptops are never returned. Other searches are less problematic— the owner is sim-

Is it ‘1984’? — Continued on page 2 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Is it ‘1984’?—Continued from page 1 THE FIRM 2 ply asked to turn on the computer, and the agent simply does a quick search for any suspect information without actually confiscating any- thing. Either way, you should be tak- ing steps to secure your data. So how are law firms responding to this? I talked to the IT professionals at a mid-sized law firm, and they said that their lawyers are given a blank laptop, with just an operating system and some basic applications. To get their files, they connect remotely to the file server and obtain their files that way. When loaner laptops are re- yah-HOO!! turned, all files are deleted. © 2008 Another law firm’s current policy entails informing lawyers of the po- tential risks of the Patriot Act, but it leaves it up to them to take proper GRAHAM MORGAN precautions. A new pending proce- dure for that same firm, however, will going far enough to secure their data. government could take possession change that. Lawyers will be given So what should firms be doing? of all the information stored on a blank loaner laptops and they will Here are some suggestions from the US laptop computer, international trav- have to connect remotely to access Customs and Border Patrol’s website: elers should minimize the amount their sensitive files. of proprietary, privileged, or other- By and large, there is a general 1. Minimize the Risk awareness, but not many firms are In light of the possibility that the Is it ‘1984’?—Continued on page 4

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LexisNexis and the Knowledge Burst logo are registered trademarks of Reed Elsevier Properties Inc., used under licence. PCLaw is a trademark of LexisNexis Practice Management Systems Inc. Other products or services may be trademarks or registered trademarks of their respective companies. © 2008 LexisNexis Canada Inc. All rights reserved. Is it ‘1984’? — Continued from page 2 turned and against the possible 4. Cooperate, but don’t consent disclosure of confidential infor- If agents confiscate an employee’s 4 wise confidential information they mation. Is it ‘1984’?—Continued on page 5 store on the laptop during their trip.

2. Be Prepared THE REACTION TO ‘US VS ARNOLD’ These searches can happen to any- “Our amicus brief and the lower court opinion... say that the government one and when the US government must also have some cause to search laptops. The Ninth Circuit panel reject- seizes a computer, it may take time ed our argument [on April 22 in the lead case on the topic, US vs. Arnold] for the computer or other hard- that the privacy invasion resulting from searching computers is qualitatively ware to be returned. If a computer different from, and requires higher suspicion than, searching luggage or oth- contains information (documents, er physical items. presentations, contact information, “The opinion is almost certainly wrong to classify laptop searches as no etc.) that the traveler will need, the different from other property searches. Fourth Amendment law constrains po- company should maintain a back- lice from conducting arbitrary searches, implements respect for social priva- up to replace the materials in the cy norms, and seeks to maintain traditional privacy rights in the face of tech- event of a border seizure. nological changes. This Arnold opinion fails to protect travelers in these traditional Fourth Amendment ways. 3. Be Insured “The defendant has time to petition the Ninth Circuit to rehear the case en Many companies have insurance banc, and the Court might agree to do so. The panel included a District Court policies that cover the loss of com- judge sitting by designation. Additionally, the opinion sets up Arnold’s re- puters and electronically stored liance on cases protecting highly private areas like the home from suspicion- information. Border seizures of less searches as a straw man, and then knocks the argument down by point- laptop computers represent an- ing out ‘the simple fact that one cannot live in a laptop.’ other way in which a company “This strained and strange argument suggests that Arnold is not the last can suffer such losses. By negoti- word on border searches of laptops. In the meantime, travelers carrying their ating to have a policy cover these corporation’s trade secrets, personal emails, or health and financial informa- seizures, companies can protect tion are at risk of arbitrary and capricious fishing expeditions at the border.” themselves against the cost of re- —Electronic Frontier Foundation, placing computers that are not re-

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Is it ‘1984’? — Continued from page 4 wait until someone actually has this Brother is watching... are you com- problem before you prepare for it. Big fortable letting him see everything? 5 computer, the employee should be co-operative and respectful. CLICKABLE ARTICLE RESOURCES These seizures are legal, and cus- The Ninth United States Circuit Court of Appeals decision, U.S. vs. Arnold, as a PDF file: toms agents are just doing their ployee for permission to search Alternate address: the contents of the computer, the The U.S. Customs and Border Patrol: employee should respectfully de- cline to consent either verbally or The Electronic Frontier Foundation commented May 1 on a range of strategies in writing. people might take at the border dealing with computers and PDAs here: Although the agents may still take the computer and perform the search, the company will re- tain more legal rights if employees Trusted decline to consent. Cost-Savings 5. Get a receipt and as much infor- Specialists mation as possible Specialists in Excelera Consulting Group will: Customs agents usually provide Overhead Cost • Identify significant, measurable receipts for computers they confis- Reduction cost savings cate—make sure your employees • • implement best-in-class purchasing get one. Employees should also try Advisors to Western processes to get as much information as pos- Canada’s Top Legal • negotiate premium contract terms sible about who to contact if they Firms • monitor invoice pricing to ensure accuracy do not receive the computer back, & savings if the computer is damaged, etc. Taking a few extra preventative WWW.EXCELERA.CA • 604-990-7786 steps can make a big difference. Don’t

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multifunction systems • colour • high volume • fax machines • printers • scanners ©2007 Ricoh Canada Inc. The year ahead: Continued from page 1 It’s a week-long program of inter- ideas for webinars to any member of national scope that supports all levels the BCLMA Executive. Our contact in- 7 good fortune of meeting several new of legal managers, and brings aware- formation is on the back page of this people, both within and outside of ness to the profession. and every issue of Topics. our immediate organization. I look The BCLMA and TLOMA have al- forward to meeting many more of ready pledged sponsorship of PLMW. Certified Legal Management you! We will be lending our support along We also looked at possibilities of The 2008/09 year kicked off in with several associations with which Canadianizing the Certified Legal high gear. I am happy to share some our subsections regularly partner Management (CLM) Course. This already promising developments and with on educational efforts: Interna- program is for legal managers who exciting plans for the upcoming year. tional Legal Technology Association do not have post-secondary degrees, (ILTA) and Legal Marketing Associa- such as MBA, B.Comm or CGA, to NEW AND RENEWED RELATIONSHIPS tion (LMA), for instance. achieve a recognized designation. In April, 2007/’08 Past President Currently, our ‘sponsorship’ level Between 10% and 20% of adminis- Ernie Gauvreau trators do not have and I traveled to other designations Chicago at the in- or degrees; these vitation of the As- Our participation are typically peo- sociation of Legal ple who have Administrators in this program will generate grown with the (ALA) to meet firm and moved with its Executive global awareness of the BCLMA. up through its Board. ranks. The President Let’s see where The CLM is Stephanie and President- gaining momen- it goes from there! Cornell Elect from the tum as more re- Toronto Legal Of- cruiters and con- fice Management sultants include Association (TLOMA) were also invit- means our logo will appear on all the CLM designation to recognize the ed and in attendance. PLMW materials and we will take ad- accomplishment for candidates in job While TLOMA has not been a mem- vantage of offered space in the PLMW postings. Currently, there are about ber of ALA for almost 20 years, the magazine with an article that will 300 CLM graduates in the US and BCLMA—as a society—has not been present legal matters or develop- three in Canada. Recertification is re- operating under the umbrella of the ments from a Canadian perspective. quired every three years. ALA since January 1, 2005. Our participation in this program will The greatest barrier to the CLM’s The agenda was to discuss three generate global awareness of the success in Canada is its requirement distinct programs that might bring us BCLMA. Let’s see where it goes from for participants to study US law. Fur- together in a new fashion. While we there! ther, the tax laws are different (how- mutually agreed that our three soci- The third annual PLMW runs the ever, this area is already customized eties are independently robust, col- first week of October, 2008. from state to state). laboration can make us stronger still. In order for the CLM to gain wide- Opportunities for increased growth Webinars spread popularity here, the program and knowledge-sharing can provide The three associations discussed must focus on Canadian law, and it our members with even greater value. combining resources to co-host webi- must be run in conjunction with one The three organizations have made nars that explore topics relevant to (or more) local academic institutions a commitment to work together to both Canadian and American audi- to provide course material. present programs and initiatives that ences. Overall, the project would be a will offer you professional develop- Again, whenever the BCLMA is in- huge undertaking, and will require ment and greater recognition for your volved, our logo will appear, so that more research. This may be deferred vocation. Some of these initiatives in- you will be able to easily identify to the 2009/10 calendar. clude: which presentations have Canadian content and/or relevance. Respect Professional Legal Management Week This project is already underway. Probably the most important result Soon, you will hear more about the Select executive members of the three of the meeting was the mutual respect Professional Legal Management societies discussed possible topics in ALA, BCLMA and TLOMA have for Week (PLMW). May. You are welcome to submit one another. We respect the value each society RESOURCES brings to its members, and to one an- There’s more info about PLMW and CRT here: The Year Ahead:Continued on page 8 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] other. We are excited to forge this accomplish that. Part 2 of the Bylaws your 2008 educational conference new relationship with our North will be revamped to encompass this package. Under Construction is al- 8 American colleagues. broader concept. ready well on its way to becoming an- When the changes are completed other truly successful event. The con- BYLAWS and reviewed by legal counsel, we’ll ference committee is working hard on Typically, membership in an Asso- provide them to you for discussion. all of the details. But it need not end ciation rests with the individual—not Members will be asked to vote on the with them. their employer—as is the case, for ex- new bylaws at a Special Resolution You, too, can make a significant ample, with CGAs, CMAs, members of Meeting shortly thereafter. As we contribution to the conference. You the BC Law Society or the international have not yet registered the changes can volunteer your time; embrace Association of Legal Administrators. presented at the AGM on April 2 with every opportunity to speak to your BCLMA is unusual in attaching the Companies Branch, the Associa- vendors for sponsorship dollars or membership to the employer, rather tion will not incur any additional reg- door prizes (even a $25 gift card than to the individual. While mem- istration costs on the occasion of the makes people happy!); but, most im- bership in BCLMA certainly benefits further alterations. portantly, you can attend. the law-firm employer, our focus is Your conference program outlines on serving individuals employed in QUARTERLY NEW-MEMBER the agenda, introduces the keynote law firms. BREAKFAST speakers and workshop leaders who The Membership Section (Part 2) of In September, we will launch the will provide you with new tools that our Bylaws has been discussed often New Members Breakfast. Those join- will enhance your skills and improve over the years, and again at the recent ing the BCLMA for the first time will the outcome of your business plans. Annual General Meeting. be invited to meet one another, mem- Let your Managing Partner have a The suggestion is that the Bylaws bers of the Executive Board and a few good look at the package when you be improved to embrace individuals, subsection leaders. outline your reasons to attend. It will including when an individual moves Questions about membership ben- detail the benefits and value the firm between law firms, or upon unfortu- efits, volunteer opportunities and will gain with what you will learn nate and/or unexpected termination. events will be answered in this casual from attending this three-day event. We know that this period of transi- setting over coffee and muffins. tion is the time that members need us Invitations will arrive by e-mail in HERE’S TO THE YEAR AHEAD the most—for support and network- mid-August. We have an ambitious year ahead ing occasions that can assist them of us! Together, we can accomplish a with regaining employment in the le- UNDER CONSTRUCTION lot of great things for one another and gal field (if, indeed, that is the goal). By now, you will have received for the association. I look forward to Our bylaws require adjustment to working with you!

went on to gain widespread recognition Oseen Retires as an award-winning publication. Donna Oseen took the stage at the In 1997, Donna co-founded DLO Sup- annual spring social to announce her port Services to become Director of retirement. Move Co-ordination & Facilities Man- Donna has been a fixture in Vancou- agement Services. ver's legal community for 30 years. She remained involved with R&D as She began her current career path at a consultant through its transition to Russell & DuMoulin (R&D) in 1970. At Fasken Martineau, and was most re- the time, she had just returned from a cently a leading force in the firm's re- year flitting around Europe and she had markable move to Bentall 5. a three-month-old baby. She began as a Donna has already had a taste of part-time secretarial floater. Once both what life has in store for her as she has of her children were in school, Donna be- just returned from a month-long vaca- came a full-time secretary. Then, under tion in Great Britain. Last year, she the tutelage of Ron McGregor, she be- spent a week on a golf cruise. came the Office and Facilities Manager. Undoubtedly, there are more recre- In 1980, Donna joined what was then ational activities such as these on Don- known as VALA. She received the Doug na's agenda. Robertson award in 1991 for Outstand- The BCLMA would like to thank Don- ing VALA Service for organizing the Of- na for all of her contributions over the fice Services subsection. She also helped last 100 years (!), and we also wish her form the Editorial Board to launch this all the best in her new and exciting successful newsletter, Topics, which endeavours.

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] It’s harder than you’d think 9 Getting people’s attention with the F-word BY WARREN HAAG ures of Enron and WorldCom approxi- compliance with their covenants, but MANNING ELLIOTT LLP mately six years ago, fraud prevention only because they cooked the books. CHARTERED ACCOUNTANTS and detection have become, more than Situations such as this one are the ever, part of an on-going conversation type of fraud that financial-statement t used to be the case that if I was at auditors have with their clients, and auditors may encounter that is less a party and someone asked me controllers and other professionals in- obvious. It involves intentionally mis- Iwhat I did for a living, I would try volved in business administration of- stating financial information in order and find as many ways as possible to ten have with their bosses. to gain an advantage, which may not say something other than “I’m an A lot of conversations about fraud always result in the fattening of an in- auditor.” usually end up with a conclusion that dividual’s wallet. In this example, the Partially that’s because, as a Char- goes something like, “Well, the most loan that perhaps should be called by tered Accountant in public practice, money we could lose is X, and we’ve the bank wouldn’t be, which would there’s a lot more to my job than audit- got insurance anyway, so what else benefit the organization and every- ing, but mainly because saying the do we need to worry about?” In many one working there. word “auditor” was usually met with cases for smaller businesses, it’s true Regardless of the type of fraud, a look that suggested I had horns that outright stealing will be an orga- every time this topic is written about growing out of my head and a polite, nization’s only ex- in the media, questions such as “How “Hmmm, that sounds.. interesting.” posure to could this have happened?” and Even if someone actually asked me fraud risk. “Could it have been prevented?” or a few more questions about exactly But con- “How do we make sure it never hap- what being an auditor entailed, usu- pens again?” seem to be raised. ally the first question was, “Does These types of stories and questions that mean you catch people who suggest an expectation that all fraud cheat on their tax returns?” At should be preventable, or, if somehow which point I’d say “Not really,” it should occur, that an administrator, and change the subject. controller or auditor should have de- It’s admittedly a bit dry to tected it. We know this expectation to think about auditing and then to be unrealistic, because fraud continues further distinguish between auditors to take place: think first about the in- who work for the government ver- stances of fraud you’ve heard about be- sus auditors who work for public- cause the fraud was eventually detect- practice accounting firms, and, ed. Next consider all of the other still further, the various types successful frauds that have oc- of audits they are hired by curred, which, by definition, no clients to perform. one knows about. Yet if you introduce the f- Practically speaking, word—“fraud”—into a conversa- there is no such thing as a tion about auditing, accounting or fi- fraud-proof system of pre- nancial management in general, ventative controls for an or- everyone’s antennae seems to perk ganization, nor is there such a up. thing as a detection system that I suppose a story about a fraud- will provide absolute assurance ster’s deceit or trickery is a little more that fraud is not taking place. entertaining than the particulars of Theoretically, such systems could ex- the auditing profession. And, regard- ist, but the cost would most likely be

less of the day and age, the formula prohibitive. MICHAEL BROWN for fraud, like a murder mystery, Of course, this doesn’t mean that doesn’t change much. an organization shouldn’t bother try- After all, it’s not like fraud is a new ing to prevent fraud. To the contrary, idea. In fact—and I’m not a cynic—I sider an organization that has a loan there are a number of time-honoured, think it’s a timeless condition that with a bank, with related covenants simple controls that go a long way to will always rear its head in some fash- based on financial-statement meas- reducing fraud risk. For example: ion or another: people have been rip- urements. Depending on the ac- Worried that someone is creating ping off each other for a long time, counting policies chosen and how ag- fictitious vendor invoices, and sliding and will continue to try to do so. gressively they are applied, an Yet, starting with the corporate fail- organization may appear to be in The F-word —Continued on page 10 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] The F-word: Continued from page 9 If you trust them, sure to fraud risk. you don’t need to Detective controls provide red-flag 10 them through accounts payable be- go down this information which may prompt a low the radar screen? path. business owner to do a little “fish- Consider setting up a secure mas- Most airlines, ing.” For example: ter list of approved vendors. If you hotels and car- It’s still possible to create a fake control the list and link your cheque- rental agencies cheque, but the counterfeiter should- writing process to it, you’ve added an will deal with an n’t know the numerical sequencing of additional control over where your organization on your bona fide cheques. Reviewing money goes. It’s also likely that you account, or the Warren Haag the numerical continuity of the have dual-signing requirements for same arrange- cheques clearing your bank account cheque disbursements. Payment to an ments can be made via a travel agent, should allow you to spot an out-of- unusual or off-the-list vendor should and controlled by the organization sequence cheque, which would be be picked up upon the signer’s re- through the agent. cause for concern. view. For out-of-pocket incidental ex- Organizations which require em- Concerned that an employee is penses, consider daily limits, also ployees to fill out hourly timesheets having too much personal enjoyment known as per diems, to cover items all run the risk of their employees on a company credit card, or pushing such as meals. If you implement op- massaging their numbers for a variety through personal expenses on an ex- tions like these, you eliminate many of reasons. Budgeting, or even hav- pense report? of the circumstances which give rise ing a ballpark expectation of what the First—and it should go without to expense re-imbursements in the actual result for a given project saying—carefully consider which em- first place. should be, and performing an actual- ployees will receive this responsibili- For small and mid-sized business, to-budget comparison, is a common ty. Next, consider placing limits on getting beyond the basics of design- method for monitoring accurate time company credit cards. ing and implementing preventative allocations. For the expense-report situation, controls can be a lot of work and to be For those organizations that han- prevention starts with limiting how thorough and complete, requires a lot dle trust funds, the mandate is to en- much disbursement-independence of imagination. So most organiza- sure funds are only disbursed in ac- you really need to give an employee. tions end up with some sort of expo- cordance with the terms of the trust agreement. The significance of a breach of trust typically correlates with the amount A BCLMA MEMBER IN CONVERSATION: of money involved. Accordingly, a SHEILA THAM’S IDEAS ON OFFICE SECURITY prudent response, depending on the volume of transactions, may be to use heila Tham is a Financial Con- be posting cash receipts... on-line banking to monitor disburse- Stroller for the Vancouver firm of “Do background checks on peo- ments on a daily or weekly basis, and Oyen Wiggs Green & Mutala LLP, ple before hiring them. A dishonest spot-check trust disbursements that which focuses on intellectual property employee would have a problem are greater than a certain amount or issues. She offers her ideas on how to passing a background check, but that otherwise appear unusual or un- run a tight ship. an honest employee should not... I expected. “Having a positive work envi- know that some companies now From an auditor’s perspective, ronment will increase staff moral require this before they decide to these examples also provide a good and there will be less chance a bring the candidate in for opportunity to demonstrate the dif- good employee turning into a bad interviewing... ference between what business own- employee... “Keep your employees well ed- ers who hire an auditor might expect, “Make sure the employee un- ucated... give your employees and what the auditor is actually en- derstands the company’s policies more training, which would in- gaged to do. and procedures clearly and keep crease your operation efficiency, In the timesheet example, a finan- an open line of communication which would increase revenue... cial-statement auditor would likely test between management and the “Perform regular internal audits. the total wage expense of the organiza- employee—this is very impor- It may help the company stream- tion for the year, which would proba- tant—because once management line the operations duties and you bly include examining a sample of em- stops listening to the employees may discover a fraud that has taken ployee timesheets. However, unless needs, the employee starts to feel place. If fraud was discovered dur- specifically asked to, such an auditor unworthy... ing the internal audit, you can then may not consider if the allocation on a Tighten your company’s inter- decide to take action... and tighten given timesheet to various internal cost nal control... for example, the per- your internal controls, policies and centers was determined correctly, so son going to the bank should not procedures.” The F-word:Continued on page 11 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] ªThe F-word: Continued from page 10 Warren Haag, CA is a Senior Manager and not-for-profit organizations. at a Manning Elliott LLP who works pri- [email protected] 11 long as the total amount charged to marily with privately owned businesses www.manningelliott.com wage expense was still accurate. In the range of auditors of govern- ment, to financial statements, to trust THE TRICKY STUFF: POINTS TO PONDER accounts, it’s important to under- stand the scope of a given auditor’s ll firms, big, medium or small, avoid duplicate payment? engagement, and the extent to which Ahave some sort of transaction pro- $$ Can funds be withdrawn from ac- they have a responsibility to consider cessing system to deal with the com- counts electronically? specific items of interest to you, such mon, day-to-day financial aspects. But $$ When information is reviewed, is as fraud risks in your organization. Warren Haag suggests you ask ques- this fact documented? While I still don’t generate much tions, even if it’s of yourself, to ensure $$ Do we document—and follow interest at a party with the announce- you’re protected: up—unusual items and the rela- ment that, “I’m an auditor”, it seems tionships noted? that there is a little more general $$ Who can place an order or enter $$ Who can accept an order? awareness and interest in day-to-day into a purchase agreement? $$ Who do we extend credit to and life about fraud and the auditing pro- $$ Do we track all purchase commit- how much? fession’s relationship to it. ments, and link them to invoices? $$ Are we linking orders to invoices? Or maybe I’m just going to differ- $$ Do we accrue obligations upon re- All of them? ent types of parties these days. ceipt of goods/services? $$ Are we recognizing revenue appro- The stories that people hear about $$ Do we compare actual spending to priately? usually involve how a fraud was budgeted amounts? $$ Are we independently listing cash eventually uncovered, but the best $$ Do we keep authorized signatories receipts and comparing them to and worst outcomes, of course, are lists up to date? actual amounts? the stories that are never told: ones $$ Do we ensure cheque continuity $$ Are we doing sequential depositing about frauds that were prevented, and control blank cheques? on a daily, or at least regular, and the ones about frauds that have $$ Do we cancel paid invoices to basis? never been detected.

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TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Spring showers? Coldest June in decades? Must be time for a BCLMA social event 12 Spring Social’s warm and toasty camaraderie centred on propane ‘campfires’, a tasty barbeque and a batch of interesting door prizes

BY TIM WURTZ BAKER NEWBY LLP

he sun shone brightly, while people mingled casually on the ‘Topen-air patio, with beautiful red-and-white checkered picnic blan- kets spotting the grass...” That’s how I would have liked to have begun this. Nonetheless, the BCLMA spirit of networking to rekindle our profes- sional relationships was not damp- ened by the rainy June evening that dominated some of the conversation during this year’s Spring Social. With a beautiful, large tent-and Maureen O’Leary of Jeffery & Calder with Allison Milroy, BCLMA Conference propane heaters Chair, and Marian Verdicchio of Roper Greyell LLP acting as hubs for group conversa- tions-the Brock House Restaurant was an excellent host, and clearly prepared for mild weather events. Tim Wurtz takes The perseverance his own photo and dedication of (sigh) of win- our membership ning a prize was evidenced by the near record 88 RSVPs for this event. Executive members, ‘Old Salts’, alumni as member-guests and social- function regulars (like me) were Kathy Hogarth, Shirlee Law and John Baxter all of Lawson Lundell LLP, joined by a growing number of mem- with Marie Finstad of McQuarrie Hunter. bers who have not traditionally at- tended these types of event. While I milled about with my camera, a fre- quent theme of discussions involved people noting that it was nice to see a lot of new faces. Upon seating, we were treated to a truly first-class selection of traditional barbeque cuisine, including hamburg- ers, plus a variety of salad, salmon and chicken side dishes. The prize presenta- tions were performed shortly after. Two powder-blue Tiffany’s gift bags gener- ated much interest because they were clearly displayed as guests passed the gift table on the way to get their dinner. Sh’eli Mullin of Lang Michener LLP Tom Doyle of Klein Lyons, Susan Spalding of Owen Bird Law Corporation, Sonia Kenward of Fasken Martineau and Carol Hastie of McCarthy Tetrault LLP Spring Social:Continued on page 13 ª TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Spring Social: Continued from page 12 and a scarf, really the only one who certificate to both Jacquie Wintrup of dressed appropriately for the event, Lawson Lundell LLP-and, ahem, yours 13 was the lucky recipient of a gift basket presented the Tiffany’s bling. Elsa Chan truly Tim Wurtz of Baker Newby LLP. presented by Donna Oseen, courtesy of Davis & Company LLP won a Stephanie Cornell of Fasken Mar- of her company DLO. Donna stole the bracelet, and a money clip went to Au- tineau, speaking at her first social as show, however, by publicly announc- gustino doSouto of Harper Grey LLP. President, thanked ZSA Legal Re- ing her retirement from the legal-ad- Rounding out the prizes, courtesy of cruitment for their generous sponsor- ministration field. Her brief musings BCLMA: a $50 certificate to Chevron ship of the event, expressed apprecia- were just sentimental enough to bring for Catherine Jacobs of Watson Goepel tion for everyone’s attendance, and a tearful glaze to many an eye. Maledy LLP, a $50 certificate for a strongly encouraged everyone to reg- Gift certificates worth $25, courtesy liquor store to both Ruth-Ann Spencer ister for our educational conference, Ratcliff & Company, were taken home of Bull Housser & Tupper LLP Under Construction, in Whistler by George Lo of Harper Grey LLP, Tom and Andrea Dawson of Gowling in October. Doyle of Klein Lyons, Roy Boal of Blake Lafleur Henderson LLP, a $60 Dolly Parton says, “The way Cassels & Graydon LLP and Jane Brack- gift certificate to Pacific Centre I see it, if you want the rainbow, en of Hastings Labour Law Office. won by Annie Ronen of Lawson you gotta put up with the rain.” Sarah Anderson, on behalf of ZSA Lundell LLP, and a do-it- I will certainly only remember Legal Recruitment, with pink gumboots yourself-BBQ Basket & Safeway the rainbow of this social.

Sarah Anderson, ZSA Legal Recruit- ment, Elsa Chan of Davis & Co LLP

Roy Boal of Blake Cassels & Graydon LLP with Stephanie Cornell of Fasken Martineau

Donna Oseen of DLO and Sh’eli Mullin of Lang Michener LLP

Jane Kennedy, David Bilinsky, Practice Management Advisor, The Law Society of BC BCLMA Administrator with Colleen Chapman of Brawn Karras & Sanderson

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] How to solve the four major issues most firms have They also agreed on a number of other related benefits: Associates 14 Overcoming the top challenges would take ownership of their career path, and become its driver. The of associate engagement and retention process would help them identify their strengths and weaknesses so they BY GARY MITCHELL ➋ Measure every- could capitalize on their strengths and GEM COMMUNICATIONS thing. work on improving their weaknesses. ➌ Share the re- It would get more of their lawyers had the pleasure of facilitating a sults internally. thinking of their practice as a ‘fran- discussion about engaging and re- ➍ ‘Show them the chise’ of the firm, and taking a busi- Itaining associates on April 30 with money’. With ness approach to everything they do. 25 administrators. your pilot suc- It would help integrate them into They were from firms ranging in cesses, seek ap- teams, and administrators could align size from 10 to well over 100 lawyers. proval from the goals of the individual with those Despite their size differences, each senior partners Gary Mitchell of the firm. administrator made it clear that their to widen the The solution: Integrate a business challenges were the same. scope of your initiatives. planning process into the Associate After a healthy discussion on en- ➎ Roll out your initiatives on a Development Program. gaging and retaining associates, broader scale. Here’s how: Start with early members of the audience ranked their ➏ Support with policies. adopters. Find one or two Associates major challenges in this area. Their Continue to measure and commu- who seem keen on taking charge of top four were: nicate results. their careers. Give them one—to— The need for associate business [Editor’s note: A full description of this one attention. Hire outside expertise plans; if you don’t have Lack of leader- the capacity. Get ship at the to know what mo- practice group tivates each indi- level; vidual associate. Lack of an in- Provide one-to- ternal commu- one career coach- nications strat- ing, and lead them egy; and, through the busi- The need to ness-planning change the process. compensation Practice group model. leaders and others This article of- around them will fers hope. Change start to see their is possible. A focus and identify firm’s Administra- them as future

tor can initiate it leaders of the MARINA BORODJIEVA and can produce firm. results in these ar- Go back to the eas for their firms. senior partner How? One lawyer BLOCK OUT THE KINDS OF CHANGES YOU NEED TO MAKE group and help at a time. Real, lasting change—the kind you want to see in your firm—starts with them do the math. Real, lasting behavioural changes, not with policies or structure. Let’s face it: lawyers Give them projec- change—the kind who like change can be hard to find. tions on how these you want to see in results would af- your firm—starts with behavioural part of the process is provided on page 12 fect the firm’s bottom line if they changes, not with policies or structure. in this year’s Spring issue of Topics). broadened the scope of the initiative. Let’s face it: lawyers who like change Now let’s take a specific look at Remind them what it costs them to can be hard to find. So here’s a summa- how to initiate change in the top four lose an Associate after just three years ry of how to initiate behavioural areas of concern. with your firm. changes—even if you’re initiating change from a position of non—author- ASSOCIATE BUSINESS PLANS PRACTICE LEADERSHIP itative leadership within your firm. The dilemma: This group agreed The dilemma: It’s widely known ➊ Pilot your initiatives with early that planning would go a long way to adopters. engaging their Associates. Four Challenges:Continued on page 15 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Four Challenges: Continued from page 14 compensation plans accordingly. play: Leader, business developer, team player, etc. 15 that the majority of firms do not pro- INTERNAL COMMUNICATIONS Here’s how: You have results. You vide leadership training for practice The dilemma: This roundtable audi- have lawyers and staff behaving in group or team leaders, or even for ence unanimously agreed that com- highly effective ways. managing partners. Yet these munications within their firms need More and more people within the lawyers are expected to lead teams attention. Missing in most cases are firm will find it hard to argue the effectively. communications about the firm’s facts. When you have a growing Associates need role models. They strategic plan and direction, learn- group of lawyers taking new ap- have to be able to see themselves in ing–and–development programs and proaches and getting results, the the future of your firm. Yet, this their successes, client–and–team suc- firm’s management won’t have group of administrators finds it chal- cesses, and updates on how the firm much choice but to consider ways to lenging to get practice reward this new behav- group leaders and senior iour. partners to see that lead- Sit down with your ership training is needed management and help and would improve the them do the math. Point firm’s efficiency and As- to the successes and sociate engagement. changes in behaviour. LEMENTIEV

K The solution: Two initia- Point to the increase in tives. First, your firm’s associate retention; point LEXEY

A leaders are provided with to the growing client de- leadership training and support so velopment; point to the fact that they become effective with the fun- is doing overall. Bottom line: Engage- teams are operating effectively; damentals of team leadership: hiring ment is missing. point to the increased level of client members, building the team, men- The solution: Introduce an internal loyalty, and then show them the mon- toring, providing feedback, offering communications strategy. ey. Give them projections for what encouragement, running effective Here’s how: First, determine who is this means on a larger scale. Bring it meetings, getting buy-in from team going to own this. Who on your back to what this will mean for each members and holding them to ac- management team is going to lead partner in profits. You’re far more count. the internal-communications strate- likely to get their agreement to Secondly, leadership responsibili- gy for your firm? Who is going to be change compensation structures ties are recognized in role account- accountable? when you’ve done this. abilities and compensation plans. It’s usually a debate between Hu- Important to remember: While these Here’s how: Not all practice group man Resources and Marketing. If issues are not new to law firms, what or team leaders will like the idea or your firm is large enough, internal is different is their increased conver- understand the value of leadership communications should be handled gence. training, but some will. So start with by Human Resources. Add globalization to that, as well those who do. If you’re a lean shop, then your as fewer students graduating from Make no mistake, when I refer to current communications team needs law school, an aging partner popula- leadership training, I am not talking to add this important internal audi- tion, more lawyers exiting the pro- about sending them to a three-day ence to their list of critical stakehold- fession overall, a down—turn in the intensive workshop. Most of those ers, and develop a communications US economy etc. It makes for a per- simply offer the ‘what’ and don’t strategy that addresses their distinct fect storm. provide the ‘how’. Give your leaders needs and your firm’s objectives. With most, if not all, firms facing ongoing one-to-one coaching and these same issues, albeit to varying training, allowing them to learn ‘in COMPENSATION degrees, it is my belief that those the moment’, in ‘real time’, with real The dilemma: This group of admin- who are first to lead changes in these team issues that are theirs. Track the istrators agreed that law-firm com- areas will be in a place to make their productivity results of these leaders, pensation models today reward only competition irrelevant. Is your firm but also of their teams. one thing: Me, my and mine. With- going to be one of them? Go back to senior partners with out the ability to have the models So, how do you lead change? these results. Project the results when align to the behaviour they wish to One lawyer at a time. all leaders are provided with this change, even the greatest of results training. Expand the training pro- from your pilots will eventually fall Gary Mitchell is Managing Director of gram. Track the expanded results. flat. Senior partners aren’t exactly GEM Communications, a firm specializ- Go back to the senior partner open to making changes in this area. ing in business training for lawyers and group with your plan to institute The solution: Introduce a compen- law firms. leadership accountabilities into lead- sation plan that recognizes and re- He can be reached at 604.669.5235 or: ers’ roles within the firm, and align wards the various roles a lawyer can E-mail: [email protected] TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Don’t let tradition monkey around with morale tinue to be ig- nored, and so I’m 16 How to get around company policies that making it a partic- ular mission of interfere with a good work-life balance COS to address this problem. BY ANTONIO ZIVANOVIC world’s largest work-life balance ini- While formu- CORPORATE OCCUPATIONAL tiatives have found that the average lating a game plan SOLUTIONS INC. return for many top programs is ap- to address the proximately five dollars for every work-life balance Antonio orporate Occupational Solutions dollar invested in staff. issues in the Van- Zivanovic Chas discovered that company poli- But law firms have been slow to couver legal in- cy can be a roadblock that keeps firms adopt progressive programs, and re- dustry, I’m reminded of a story that from taking a progressive approach main sceptical of the benefits, all the came across my desk about five years to obvious needs ago. It’s in the ad- in the matter of HOW COMPANY POLICY BEGINS jacent box. work-life balance. Why was I re- As the sponsor Start with a cage containing five monkeys. Inside the cage, hang a banana on a minded of that of the Canadian string and place a set of stairs under it. Before long, one of the monkeys will go to story? Many con- Bar Association’s the stairs to climb toward the banana. As soon as he touches the stairs, all the mon- temporary work- first Work-Life keys will be sprayed with cold water. After a while, another monkey makes an at- places do not Balance Award, tempt with the same results. All the monkeys are sprayed with cold water. Pretty have the facilita- COS “seeks to ad- soon, none of the monkeys will try to climb the stairs. tors, the plans, or vance people and Now, put away the cold water. Remove one monkey from the cage and replace it the expertise to ef- cultures, by fos- with a new monkey. The new one sees the banana and wants to climb the stairs. To fectively address tering the devel- his surprise and horror, all the other monkeys attack him. After another attempt their employees’ opment of opti- and attack, he knows that if he tries to climb the stairs, he will be assaulted. cries for work-life mal workplaces.” Next, remove another of the original five monkeys and replace it with a new one. balance. There is I discovered the The newcomer goes to the stairs and is attacked. The previous newcomer takes part buzz among Van- issue while work- in the punishment with enthusiasm. Likewise, replace a third original monkey with couver law firms ing on this. a new one, then a fourth, then the fifth. Every time the newest monkey takes to the about the alarm- After exhaus- stairs, he is attacked. ing costs of in- tive discussions Most of the monkeys beating him have no idea why they were not permitted to creasing attrition with colleagues, climb the stairs or why they are participating in the beating of the newest monkey. rates and the lack various law-firm After replacing all the original monkeys, none of the remaining monkeys have ever of work-life bal- partners and as- been sprayed with cold water. Nevertheless, no monkey ever again approached the ance. sociates, human- stairs to try to get the banana. Why not? Because as far as they know, that’s the Ironically, the resources con- way it’s always been done. And that my friend, is how company policy begins. following themes sultants and are pervasive knowledgeable mantras in many business men- local firms: the tors, I’ve come to importance of understand that building relation- DMITRY GOLOBOKOV AND IRINA TISCHENKO company policy ships, listening to , can be a primary clients, demon- barrier to a firm’s strating commit- employees ment to clients, achieving work- appreciating di- life balance. versity and pro- DENNIS TOKARZEWSKI Why are law moting inclusion, firms reluctant to supporting em- pursue ployee health and work- individuali- life bal- ance initiatives that pro- ty, understanding vide measurable re- while suffering from soaring attrition client needs, rewarding new initia- turns on investment? rates. tives, and educating employees. Peer-reviewed Calls by associates and partners for studies of some of the help in achieving balance cannot con- Monkey business:Continued on page 17 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Monkey business: Continued from page 16 to a law firm, not only from a morale HR and Admin in many firms is that and team-building perspective, but if they make a novel proposal, if they 17 With such strong and progressive also in terms of return on investment? reach for the banana, everyone will words, one would assume that work- The answer: “Well, the industry reject their idea—it’s simply the way life balance is part of each firm’s cor- never had such programs before; things are done. porate culture. A quick survey of the we’ve done without them in the past, There’s a possible reason work-life baby-boomers and traditionalists at so why do we need them now?” You balance programs don’t reach imple- law firms reveals that work-life bal- get the idea. mentation or achieve adequate buy- ance has not been on the industry’s I strongly encourage em- in at firms. A small, token program radar for many years, and instead, ployers to take the necessary may be proposed, or half-heartedly marketing the firm and its services progressive steps to seek out implemented, and were of prime importance. experts to assist in addressing not achieve much. It Technological change, the added the issues at each firm. is then easy to revert to stresses of the hand-held electronic Why do some firms continue to the path of least resist- leash and many other factors have perform at mediocre levels, while ance: what has always been made work-life balance crucial. And others keep on growing and ex- done in the past. These are the un- it’s not just a matter of satisfying the celling in the same marketplace? Per- written protocols new associates pick employees. It’s also a wise financial haps the mediocre performers focus up from many seasoned partners let- move for a firm to invest in fostering only on getting the banana, using ting them in on what works and this balance. The return on invest- whatever methods work. Usually what doesn’t. ment is measurable, significant, and these are the habitual methods that It is not only the workforce that greater than that of many other em- exact a cost in terms of employee must seek to understand the barriers ployee programs. health and well-being. to achieving a well balanced lifestyle, Why then is the problem not being The lesson to take from the story, but also the professionals attempting addressed? And why does company though, doesn’t concern how the to address the possible issues pre- policy block the introduction of suit- monkeys behaved, but why. All the sented by each individual case. Any able programs in law firms? Why is it monkeys did things “the way we al- implemented program must be well- so radical an idea that implementing ways have” because that’s how they workplace health and wellness pro- were taught by the other monkeys. Monkey business:Continued on page 18 grams could be extremely beneficial The impression I have so far from

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Giving major clients some help is good marketing Monkey business: Continued from page 17 18 benchmarked beforehand, and regu- The case that’s being made for volunteering larly evaluated to ensure it is on track. It will take a lot of understanding and and secondments involves goodwill planning, possibly a little preaching, and a leap of faith to start delivering BY PETER MORGAN drafted Workopolis’s business case health-and-wellness services to firms, MORGAN:NEWSLETTERS about volunteering. but I believe this task will be accom- VANOC itself is looking for volun- plished. Firms and employees alike orkopolis says there’s a good teers from the legal industry, particu- will benefit greatly from their new business case to be made for larly in dealing with commercial- programs designed to cater to their Wfirms to encourage staff to rights management. “You’ll protect needs. volunteer for a wide range of socially VANOC, Canadian Olympic Commit- Competition is omnipresent in the important work. tee, International Olympic Committee legal industry and at a level that some It should know. It’s the company and Olympic Games marketing part- might suggest is not natural and even chosen by the Vancouver Organizing ners against misuse and infringement unhealthy. Maintaining this competi- Committee for the 2010 Olympic and of Olympic Games’s marks, distribu- tive status quo usually appears easier Paralympic Winter Games (VANOC) tion and sale of counterfeit products, in the short term than being the pio- as a corporate sponsor—read ‘corpo- ambush-marketing activities, propa- neer and blazing a new path. rate volunteer’—to help recruit and ganda and commercial advertising,” The first large firm in Vancouver process the applications for quite a a VANOC spokes man says, adding, to genuinely embed work-life bal- few of the 50,000 volunteer applica- “We’re looking for diplomacy and ance in its corporate culture, not sim- tions VANOC has so far acquired. firmness in dealing with situations.” ply paying lip service to it or imple- VANOC will need that many peo- There’s a lot of peer support in the menting partial services, but really ple—and more—to select and main- Canadian legal industry for the con- seeking to understand and address tain the team of 25,000 volunteers it cept of helping others, which ranges these issues in their workplace, will expects to need before and during the reap the rewards. Games. Volunteering for profit:Continued on page 20 Articled students, associates and The value of Workopolis’s spon- partners seeking to find a new home sorship, which is the amount of time, BCLMA’s 2008 for their portfolio will be drawn to people, work and resources it’s liter- work in a forward-thinking work- ally giving to VANOC, is worth at place, people will see that the firm least $3 million to VANOC, and might Managing Partners cares, attrition rates will likely plum- go up to $15 million. Sure, Workopo- met within the firm adopting the pro- lis gets branding rights to VANOC lo- Dinner! grams, and the benefits will be evi- gos, some free tickets to the Games, dent from all angles. and some other perks, but that’s still We are all creatures of habit: a whole lot of volunteering. SAVE THE DATE! “Monkey see, monkey do!” Break the And the same business case it mold, and address the work-life bal- made for itself is not just for the Thursday ance issues at your firm. Make a break Games, says the web-based firm; it for the stairs! Grab the banana! applies to volunteers and second- November 6 Your firm could be the first to start ments supporting any type of struc- new and healthy initiatives, set the tured social activity. at the example, and attract top talent and re- Number one in the business case: tain top performers. Rather than reaf- retention and morale boosting within firming why something can’t happen, the sponsor itself. take the initiative; make it a goal for “Many employers believe that your firm to be nominated for the adding more to a paycheque is the next Work-Life Balance Award surest way to secure top talent in the awarded by the CBA. current competitive labour market. While there is no doubt that money Antonio Zivanovic is President of Cor- talks, some organizations are finding porate Occupational Solutions Inc., a that focusing on being better corpo- Keynote Speaker: workplace health & wellness services rate citizens and encouraging a cul- Ken Bagshaw, Q.C. provider. Prior to launching his own firm, ture of volunteerism are making Antonio was a consultant for leading pub- them more appealing to workers,” Chief Legal Officer, lic and private sector firms across Canada according to Laura Williams, a senior VANOC E-mail him at [email protected] or visit benefits consultant in the Vancouver his website at . office of Hewitt Associates, which TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] YOU BE THE JUDGE 19 BY PAULA BUTLER, LAWYER Our new scenario—tell us what you’d do in: ere’s the case we posed to you last issue, followed by a selection of responses from the members of the THE CASE OF BETTY & THE ACCIDENT HBCLMA. On the right is a new scenario for you to judge, and, below it, are instructions on how to let us etty Johnson has been an accounting clerk at Lonkar and know what you would do in that situation. BWeston for many years, and for most of that time you Bonus! A respondent will be randomly chosen to re- have been her supervisor. Betty is an avid skier, and one win- ceive a $25 gift certificate to Chevron. Note that your re- ter ski day, she is in- sponse remains 100% anonymous unless you attach your volved in a tragic ac- E-Business Signature with your text. Even if you identify cident. She becomes yourself to us to be entered into the draw, your participa- reliant on a wheel- tion will remain anonymous to our readers. We won’t chair for mobility. publish your name, neither as a respondent nor as a win- After many ner. And, yes, we gave out Starbucks cards in connection months, Betty re- with the comments for this month’s scenario. turns to work. Paula Butler is a sole practioner who specializes in She approaches labour and employment law from her office in West you to say that her Vancouver. current work station is no longer function- THE CASE OF JOHN AND THE BOTTLE al for her, and she will need a new work sta- ohn Jones has been the tion to accommodate JDirector of Finance and her wheelchair. Administration for 17 years. She also tells you As the Human Resources that the only wheel- Manager, you have worked chair-accessible wash- with John for 12 years, and room in your building LISA YOUNG have had an excellent work- is on the main floor of Betty’s finally returned to work ing relationship with him. the building; your after her accident and months of Lately, John is often late firm occupies the 17th rehabilitation, but she says some for work, and you have no- floor. changes will have to be made. ticed that many of the things She tells you that bladder problems she sustained from the that he usually does are ei- accident means she must be nearer to appropriate facilities. ther not getting done or are done late. This week alone, he What do you tell her? missed the Monday morning administration meeting

CRAIG WACTOR without any explanation, John’s clothes looked like and forgot to tell the Finance they’d been slept in and he HOW TO BE OUR JUDGE group that the auditors were smelled of alcohol. coming in on Wednesday. TO RESPOND: WWW.BCLMA.ORG Over the last few weeks, you have noticed that he has been go- his feature of Topics, compiled by Vancouver lawyer Paula ing for long lunches and coming back to the office smelling like al- TButler, is designed to get you thinking about workplace sce- cohol. This morning, when you rode up on the elevator with John, narios that might happen—or have happened—to you. you noticed that he was wearing the same clothes that he had on Read the case above, aimed at challenging your manage- yesterday, and that he smelled like alcohol. ment ability. Then, click here to go directly to the BCLMA website. On the home page, click on the What do you do in this situation—and what does the firm Respond to Topics Scenario button to arrive at the You Be do? The Judge response form. Describe how you would answer the question at the end of the scenario. Submissions are RESPONSE: TWO POSSIBILITIES 100% anonymous. Neither sender’s name nor the firm’s In reading the scenario, two choices of action come to name will be revealed to the editors—only your re- mind. sponse. Next edition, we’ll print a selection of your anony- mous responses—and provide a new scenario. The case of Betty & the Accident : Continued on page 22 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Volunteering for profit: Continued from page 18 commodate employee volunteer ac- Research from a study of Maclean’s tivity as a way of improving the 2007 Best Employers in Canada 20 all the way, of course, to pro-bono work environment and increasing looked at the engagement level of work. their profile in the community and various generations of employees. In fact, Canada’s first National Pro among clients. Williams notes that, “One of the Bono Week, hosted by Pro Bono Law “Large companies in particular factors that is important in boosting BC, is to be held in Vancouver this tend to be strategic,” one of the au- employee engagement is organiza- September 15 to 19. thors of the study says. Debra Basil, a tional reputation. While slightly Part of that project is to promote professor of marketing at the Univer- more important to older employees, pro-bono legal-service partnerships sity of Lethbridge in Alberta, adds, organizational reputation ranks between lawyers, law firms and not- “It’s an expense for them because amongst the top five drivers of em- for-profit organizations, according to employees are taking time to volun- ployee engagement for every genera- organizers. teer, but they can justify it if they can tion. People want to work for an em- The week is to focus on a confer- argue the benefits for the company.” ployer they respect and believe in. ence at the Wosk Centre for Dialogue, One of those benefits, says Organizational reputation alone is with the plenary opening speech by Williams, is that it encourages em- not enough to ensure an engaged the Chief Justice of Canada, Beverley ployee engagement within the firm if workforce, but it can clearly help to McLachlin on September 18. Louise the firm supports their work. En- increase employee satisfaction and Arbour, the United Nations High gagement is an indicator not only of loyalty.” Commissioner for Human Rights and how likely employees are to stay Another of those benefits is build- a former justice of the Supreme Court with a firm, but how positive they ing career experience, which benefits of Canada, is scheduled to give the are when they speak about it, and those working for the law firm; the keynote address. how motivated they are to work hard law firm itself, since it has gained According to the results of a na- to achieve corporate goals. more experience in fields that inter- tionwide survey released just over a In short, a focus on increasing em- est its associates and partners; and year ago, 71% of businesses operat- ployee engagement can help with at- the organization that benefits from ing in Canada either encourage or ac- traction, retention and productivity. the secondment. Where a group works closely with a client team, for SOME TAX IMPLICATIONS OF SECONDMENTS instance, a joint volunteer initiative can help them to get to know each n article written by Craig Burley, now of Borden Ladner Gervais LLP, is one other better and find new ways to Aof the best outlines of some of the major business issues a Canadian employer work together professionally. needs to know when arranging a potential secondment for any of its people. A handful of examples we’ve “The design of employee- or executive-secondment agreements raises taxation come across, picked at random: issues that may not be immediately apparent,” Burley writes. “Where employees Borden Ladner Gervais lawyer are being seconded within a corporate group or between arm’s-length parties, care Jennifer Lepp has volunteered to should be taken to ensure that the desired business results are achieved.” the board of the Children’s Legal He notes that there are at least two tax issues that should be considered: and Educational Resource Centre whether the secondment arrangement will be subject to GST, and whether the sec- (CLERC), and BLG intends to do- onding employer or the employer temporarily receiving the employee’s services, nate the proceeds from its annual the receiving employer, as he terms it, is responsible for withholding and remit- Labour and Employment Law ting source deductions to the Canada Revenue Agency. Symposium to CLERC, which In a typical secondment agreement, Burley notes, the parties tend to character- provides free legal advice, educa- ize the employer-employee relationship differently for different purposes. For ex- tion and representation to chil- ample: dren and youth. The ability to direct and control the employee; Vancouver’s Pivot Legal Society, The responsibility for compensating the employee; an organization that relies on vol- The ability to terminate the employee; and, unteers to help it with its social Dividing up legal liability, including liability for severance if the seconded causes that are focused on Van- employee is fired. couver’s gritty downtown east “In some cases, such as those in which there is a fixed term for the second- side, notes that one of them is Si- ment,” writes Burley, “the seconding employer may wish to continue to be char- mon Owen, who spent his first acterized as the employer at common law, and the receiving employer not to be few months as a lawyer in Hamil- considered the employer for the purpose of the secondment agreement. Typically ton, Ontario, before coming to in such an agreement, the seconding employer continues to compensate the em- Vancouver for the summer to ployees, and the receiving employer reimburses the seconding employer for em- help with Pivot projects. “He’s ployment-related expenses. This type of arrangement has the effect of separating also excited to work at a law firm the party that controls and directs the employee from the party that actually com- that includes a lunch hour,” ac- pensates the employee.” Volunteering for profit: Continued on page 21 TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Volunteering for profit: Continued from page 20 ganizations are expected to demon- unpaid sabbaticals (44%, increasing to strate their community involvement 58% by 2009). 21 cording to Pivot. with tangible examples,” notes Some employees want to take ex- The Sierra Legal Defense Fund Williams. tended periods of time off to pursue seconded articling student Ryan In a 2006 Hewitt survey, Attracting some volunteer activity, often abroad. Fritsch to Pivot as well. and Retaining the New Workforce, em- If the employee is someone the organ- Maria Boltman, an articling stu- ployers were asked about communi- ization wants to retain, it may well of- dent with Aird & Berlis LLP, ty-oriented work arrangements: fer the employee a chance to take the spent half of a summer on second- 55% of respondents indicated that time off, with the promise of a job ment at Corus Entertainment. they provide matching-gift chari- when he or she returns. Another part of the business case table contributions. “The most proactive employers es- has to do with business opportunities The same amount — 55% — pro- tablish formal volunteer programs that arise as a result of encouraging a vided paid time off for communi- that align with the company’s mis- firm’s personnel to volunteer or help ty or charitable activities. sion,” concludes Williams. “The exact them with secondment. Just over 3% of employers provid- initiatives that the employer chooses “Clients and customers are in- ed unpaid time off for volunteer to support are often determined by creasingly on the lookout for ven- activities—but many more had surveying employees about their vol- dors and service providers that are plans to do so. unteer interests, so that the company as involved in the community as In fact, 69% of organizations ex- facilitates efforts that are truly impor- they are. They want to partner with pected to provide unpaid time off tant to its workforce.” organizations that share similar val- for community or charitable activ- ues. Questions about community or ities by 2009. Peter Morgan is president of Morgan: charitable participation are now ap- Another means by which organiza- Newsletters of Vancouver, which has two pearing more frequently in Requests tions are supporting staff volunteer sides to its business. One side helps or- for Proposals, for example, and or- activities, reports Williams, is through ganizations publish business-to-business newsletters for their customers or clients. CLICKABLE ARTICLE RESOURCES The other side: since 2003 it has published For the full article by Craig Burley (it may cost $4.95), click here: a daily news service for executive sub- of the 2010 Winter Olympics. He can be reached at PMorgan@ For details about the Pro Bono conference this fall in Vancouver, click: Morgan-News.com or 604.683.3241. There’s more info at the website: .

MAKING THE MOVES… gation Chambers… Corinne Paulin (formerly of Oyen Wiggs), Finance, Slater Vecchio LLP… Laura Rodgers, NEW FULL BCLMA MEMBERS Human Resources, Slater Vecchio LLP… Deborah Clys- dale, Human Resources, Bull, Housser & Tupper LLP… We welcome the following professionals to the BCLMA: Annie Ronen (formerly of McCarthy Tetrault), Human Resources, Lawson Lundell LLP… Sheena Schoepp, Fi- ngela Cusano: Anfield, Sujir, Kennedy and Durno nance, Borden Ladner Gervais… Catharine Rae (former- A(Vancouver)… Jordan Dixon: Boughton Law Cor- ly of Burns Fitzpatrick Rogers Schwartz), Human Re- poration… Greg Baranieski: McCarthy Tetrault… sources, Borden Ladner Gervais… Julie Wong, Human Megan Hamiliton: Stevens Virgin (Vancouver)… Car- Resources, Bull, Housser & Tupper LLP… Oleg Bystrov, ol Lam: Hunter Litigation Chambers (Vancouver)… Technology, Richards, Buell, Sutton… Tish Van Horn, Rose Prasad: Hungerford Tomyn Lawrenson & Human Resources, Harris Brun… Katheleen Wolfe, Mar- Nichols (Vancouver)… Kathy Rafter: Harris & Brun keting, Boughton Law Corporation… Tanya Doell (for- (Vancouver)… Leanne Garrett: Grenier, Bethell & merly of Oyen Wiggs), Human Resources, Watson Goe- Company (Burnaby), Ivana Kelava: Brown Benson pel Maledy… Anil Lodhia, Finance, Watson Goepel (Vancouver). Maledy… Julie Wilburn, Marketing, Clark Wilson… Sheh Shojaee, Human Resources, Fraser Milner Casgrain. NEW SUBSECTION MEMBERS The list of the Subsection Chairs and Co-Chairs as of the lizabeth Whiting, Marketing, Davis LLP… Michael date of publication is always on the last page of each Topics. EWild, Facilities, Owen Bird… Linda Lucas, Finance, You can also go to our website’s home page, and click on the Davis LLP… Sue Jance, Human Resources, Hunter Liti- Board of Directors link for the latest list.

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] Betty & the Accident: Continued from page 19 Rights Code. Ignoring John’s possible alco- If John admits that he has a drinking holism is probably not a good option in this problem, and this is substantiated by a 22 My first inclination was to take a case. medical professional, the firm has a duty nurturing approach, meet with John If you discipline him and ultimately to accommodate his disability. privately to discuss his ‘drinking terminate his employment for just cause Giving John time off work to address problem’, and try to help him resolve because of the performance issues related his addiction issue and providing EAP the issue. I would feel that having to the alcohol addiction, he will have the support are both ways of accommodating worked with John for so many years, option of filing a human-rights complaint, him. Human-rights jurisprudence also I owed him this consideration. Doing or perhaps raising the human-rights issue suggests that paying for the employee to so would make me feel good as a per- in a wrongful-dismissal claim. attend rehab is another way to accommo- son. [I assumed] that if the roles were Speaking to John, and sensitively rais- date addicted employees. reversed, he would do the same for ing the issue of his possible alcohol addic- When John is ready to come back to me. tion in the context of his performance is- work, the firm may want to consider put- My business mind tells me to still sues, would be a better approach than ting rules in place to help him manage his meet with John to discuss perform- ignoring the potential alcoholism disability—one example is continued at- ance issues, but not mention alcohol. completely. tendance at a 12-step program—to en- Alcoholism is a disease, and by ac- sure that he resumes being a productive knowledging that I think he has a RESPONSE: CALL FOR HELP staff member. drinking problem, I would be con- I think it is time to bring in the pro- firming that he has an illness. This fessionals and use the EAP program, LOOK AT OUR NEW SCENARIO could prohibit me from relieving him if the firm has one, or arrange for sick Your comments and responses of his duties with just cause if matters leave, during which John must seek help all of us better understand our got worse. For this reason, I would fo- treatment for his alcoholism. As this workplace. cus solely on his performance and the employee has been with the firm for Don’t forget to read the Case of Bet- deterioration thereof, and tell him 17 years, something must have ty & The Accident, our scenario for this that things must improve or I would changed for him in the past year. The issue, on page 19. Let us know your be forced to take further action. firm should be supportive of John un- suggestions about how you would til he gets back on track. If this is im- solve that workplace problem, and Hi, this is Paula. Alcoholism is consid- possible for him, it should be ad- we’ll provide your comments in the ered a disability under B.C.’s Human dressed at a later date. next issue of Topics.

The 2008 BCLMA Educational Conference October 23 – 25

The Westin Resort & Spa in Whistler

Register today to enjoy earlybird savings!

Conference Fee before August 22: $540 + GST Conference Fee after August 22: $590 + GST

Special hotel rates for BCLMA conference delegates are available until September 23, 2008

Studio Junior Suite: $135.00 + room taxes (5% GST & 10% PST) One Bedroom Suite: $165.00 + room taxes (5% GST & 10% PST)

Go to www.BCLMA.org for all of the conference details!

TOPICS • SUMMER 2008 • BC LEGAL MANAGEMENT ASSOCIATION • WWW.BCLMA.ORG • MEMBER SERVICES: [email protected] BCLMA EXECUTIVE & SECTION LEADERS 23

EXECUTIVE FinanceFacilities & Technology Stephanie Cornell, President-ElectPresident BonnieService Kirk,Management Co-Chair Aaron Fahlman, Co-Chair Fasken Martineau DuMoulin LLP LawsonKevin Peers, Lundell Co-Chair LLP Fasken Martineau DuMoulin LLP 2900, 550 Burrard Street 1600,Bull Housser 925 West Tupper Georgia St. 2900, 550 Burrard Street Vancouver, Canada V6C 0A3 Vancouver,3000, 1055 West BC V6C Georgia 3L2 Street Vancouver, Canada V6C 0A3 SUMMER 2008 D: 604.631.4767 P:PO 604.685.3456 Box 11130 Stn Royal Centre D: 604.631.4960 F: 604-631-3232 F:Vancouver, 604-669-1620 BC, V6E 3R3 F: 604-631-3232 Editor: Stephanie Cornell [email protected] [email protected]: 604.687.6575 [email protected] F: 604-641-4949 Managing Editor, Designer: Peter Morgan [email protected] Aaron Zuccolin, Co-Chair Doug Ausman, PastPresidentPast President Watson Goepel Maledy LLP This issue is also available in PDF format at: Ratcliff & Company Aaron Zuccolin, Co-Chair Sharon Keller, Co-Chair 1700—1075 West Georgia Street 500, 221 West Esplenade, Finance Watson Goepel Maledy LLP Boughton Law Corporation Vancouver, BC, V6E 3C9 North Vancouver, V2M 3J3 Bonnie Kirk, Chair 1700—1075 West Georgia Street Topics Archive & Index 1000, 595 Burrard Street D: 604.642.5661 D: 604.983.7605 Lawson Lundell LLP Vancouver, BC, V6E 3C9 Vancouver, BC V7X 1S8 F: 604-688-8193 [email protected] F:Vancouver, 604-683-5317 BC V6C 3L2 F: 604-688-8193 [email protected]: 604.685.3456 [email protected] Gary Carter, Director F: 604-669-1620 Editorial © 2008 BCLMA, CANADA Jan Whyte, Director [email protected] Paine Edmonds LLP Published by: MORGAN:Newsletters Ltd. Murphy,1100, 510 BattistaBurrard Street Linda Lucas, Co-chair Human Resources #2020,Vancouver, 650 West BC V6C Georgia 3A8 Street Davis LLP BRITISH COLUMBIA 2800Tina Giallonardo,Park Place, 666 Chair Burrard St. Vancouver,P: 604.683.1211 BC, V6B 4N7 LEGAL MANAGEMENT ASSOCIATION F: 604-681-5084 Vancouver,Miller Thomson BC V6C LLP 2Z7 D: 604.633.3811 President: Stephanie Cornell [email protected] D:1800, 604.643.6305 840 Howe St. F: 604-683-5084 F:Vancouver, 604-687-1612 BC V6Z 2M1 P: 604.687.2242 WHO WE ARE: E: [email protected] E: [email protected] Ann Johnston, Director F: 604-643-1200 Bull Housser & Tupper LLP [email protected] The BCLMA, founded in 1972, is a non-profit organiza- 3000—1055 West Georgia Street Human Resources PO Box 11130 Stn Royal Centre Tina Giallonardo, Chair tion with 95 Full Members and more than 220 Sub- Angela Zarowny, Treasurer Vancouver, BC, V6E 3R3 Miller Thomson LLP Section Members across B.C. It is the BCLMA ‘s goal to Direct:D: 604.641.4800 604.351.0124 1800, 840 Howe St. Knowledge Management provide educational opportunities for our members, [email protected]: 604-641-4949 GregVancouver, Christensen, BC V6Z Chair 2M1 [email protected] FaskenP: 604.687.2242 Martineau Dumoulin LLP to enhance skills as legal administrators and to pro- Allison Milroy, Director, 2900–550F: 604-643-1200 Burrard Street vide professional and personal benefits to the mem- Vancouver,[email protected] Canada V6C 0A3 2008Evenna Conference Liu, Director Chair bers and their law firms. WatsonOyen Wiggs Goepel Green Maledy & Mutala LLP LLP D: 604.631.4993 EDITORIAL COMMITTEE Barristers & Solicitors F: 604-631-3232 480—601 Cordova Street W Knowledge Management MEMBER SERVICES: Suite 1700, 1075 West Georgia Street [email protected] Bob Waterman, Chair Vancouver, BC, V6B 1G1 Greg Christensen, Chair EDITORIAL COMMITTEE Vancouver,D: 604-676-9074 BC V6E 3C9 Fasken Martineau Dumoulin LLP Richards Buell Sutton Stephanie Cornell, Chair Opportunities for members to network with P:F: 604-681-4081604.688.1301 D: 604.661.9241 2900–550 Burrard Street Fasken Martineau DuMoulin LLP F:[email protected] 604-688-8193 F: 604-688-3830 other law firm administrators are provided by events MarketingVancouver, Canada V6C 0A3 2900, 550 Burrard Street [email protected] [email protected] RecruitingD: 604.631.4993 Vancouver, Canada V6C 0A3 such as our annual Spring and Winter social, or Barb Marshall, Director F: 604-631-3232 D: 604.631.4767 [email protected] Stephanie Cornell, Editor monthly sub-section meetings. We host an annual GaryFasken Carter, Martineau Director Dumoulin LLP F: 604-631-3232 Fasken Martineau DuMoulin LLP Paine2900—550 Edmonds Burrard LLP Street [email protected] managing partners luncheon. Small Firms 2900, 550 Burrard Street 1100,Vancouver, 510 Burrard BC V6C Street 0A3 Marketing Colleen Chapman, Co-Chair Vancouver, Canada V6C 0A3 Vancouver,D: 604.631.4991 BC V6C 3A8 Recruiting Our job bank offers Members information on Brawn Karras & Sanderson D: 604.631.4767 P:F: 604-631-3232604.683.1211 301, 15117–101 Avenue F:Tim 604-631-3232 Wurtz potential employment opportunities. F:[email protected] 604-681-5084 Surrey,Small Firms BC, V3R 8P7 [email protected] Newby LLP [email protected] D:Colleen 604.587.3600 Chapman, Co-Chair 9259 Main St. The discussion section on our website allows our Jan Whyte, Director F:Brawn 604.588.2331 Karras & Sanderson TimChilliwack Wurtz BC, V2P 6K2 members to quickly get questions answered with JaneMurphy, Kennedy, Battista CChapman@BKS309-1688-152nd Street Law.com BakerP: (1) 604.792.1376 Newby LLP Administrator#2020, 650 West and Georgia Street Surrey, B.C. V4A 4N2 9259F: (1) Main604-792-8711 St. advice from others who may have faced similar situa- MembershipVancouver, ServicesBC, V6B 4N7 D: 604.542.7730 [email protected] BC, V2P 6K2 tions. The best way to get involved is to become a BCLMAD: 604.633.3811 F: 604-542-5341 P: (1) 604.792.1376 part of the BCLMA. 964F: 604-683-5084 Beaconsfield Road CChapman@BKSJeff Mousseau, Co-Chair Law.com F: (1) 604-792-8711 [email protected] Mandell Pinder North Vancouver, BC V7R 1T2 [email protected] Butler 422, 1080 Mainland Street NEWSLETTER SERVICES: P: 604.988.1221 Jeff Mousseau, Co-Chair Barrister & Solicitor Vancouver, BC V6B 2T4 F:Angela 604-988-1221 Zarowny, Treasurer Mandell Pinder 200,Paula 100 Butler Park Royal P: 604.681.4146 (ext. 215) Topics is available to Members and prospective mem- Membership@Direct: 604.351.0124BCLMA.org 422, 1080 Mainland Street WestBarrister Vancouver & Solicitor BC V7T 1A2 F: 604-681-0959 [email protected] Vancouver, BC V6B 2T4 P:200, 604.782.0373 100 Park Royal bers. We will be pleased to add you to our mailing list [email protected] West Vancouver BC V7T 1A2 SUB-SECTION LEADERS P: 604.681.4146 (ext. 215) F: 604-983-0372 for this newsletter. 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