The Abstract Ep 108: Reimagining Law Firm Pricing: Ken Callander on Value, AI & In-House Strategy
17 snips
Jul 17, 2025 
In this engaging discussion, Ken Callander, Managing Principal at Value Strategies, draws from his unique experience as a former law firm CMO and legal ops head at Uber. He dives into the outdated law firm pricing models and how shifting to value-based fees can save in-house teams millions. Ken highlights the disruptive role of AI in legal billing and the need for firms to adapt to new realities. He shares insights on improving law firm relationships and suggests ways to enhance collaboration and performance through strategic feedback.
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Partnership Structure Breeds Inertia
- Law firm partnership and comp models create high resistance to change because senior partners benefit from the status quo.
- That structure makes firms fragile: if big partners leave, the whole firm can destabilize.
Hourly Billing Misaligns Incentives
- Hourly billing misaligns incentives by paying for time rather than client outcomes.
- Changing to value-based pricing clashes with partner compensation and risks redistributing profits.
Uber Shifted To Value Pricing
- At Uber Ken pushed the legal team off hourly rates and toward value-based fees across M&A and other matters.
- That shift saved Uber millions by forcing firms to become more efficient.
