AI-Native Firm Vetta Bids For Weil IP + Lawyers

Vetta, a new AI-native law firm started by Nic Vetta, a former Latham & Watkins lawyer, is bidding to bring aboard talent and IP from Weil Gotshal, as the top New York firm heads to dissolution. Scissero – as shared by AL today – is also bidding. Fellow new model firm, Crosby, has already announced its interest in doing the same.  

The Vetta move makes a lot of sense for several reasons. First, this new model firm is focused on private equity – a key strength of Weil. Second, it’s just launched and Vetta has said previously he wants to attract leading lawyers to become part of the firm’s new AI-driven approach to legal work.

It is understood that Vetta – as with other bidders – is looking to acquire IP and know-how assets, particularly Weil’s precedents, playbooks, knowledge-management infrastructure and associated technology. And, as mentioned, they would really like to become the home to those lawyers looking not just for a fresh start, but a new way of working – and with AI at the centre of their practice.

As to whether bidders can use that data, the view from some AL has spoken to is that as long as confidentiality is not impacted then the answer is yes. I.e. a precedent for how to form a certain aspect of a PE deal may have been created for a client in the past, but if that precedent doesn’t contain any information about that client, or details of that past deal, then it may be OK to use. Naturally, anyone taking this IP will have to make sure it is in fact OK to use. But, those bidding seem confident on this point.

The hunt for IP also comes as many law firms are seeking to leverage their own data with AI, with Kirkland famously bringing in Palantir to help them to do so for private equity work.

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AL asked founder, Nic Vetta, some additional questions about Weil’s demise and the bid:

Will lawyers from Weil adapt to a new AI-native model?

Not all of them, and that’s fine. In our model a lawyer’s value lies in judgement and client relationships, while AI does much of the volume work. There are no billable hour targets and no leverage pyramid to feed.

For partners whose careers are built on relationships and judgement, that’s a natural fit. They can focus on their clients and the quality of their work, without the same overhead. Those whose roles revolve around managing large associate teams may find the transition harder. Weil’s lawyers are some of the best trained in the market, and I expect a number of them will want to practise differently after this.

Do you think Weil’s collapse points to a deeper problem with Big Law?

Weil was not failing financially. It came apart following the departure of leading partners, and once enough had left, the rest had little reason to stay. That exposes a structural weakness in the current model. Historically, partners needed the firm for leverage, brand, balance sheet and coverage.

Software is increasingly taking over work that once justified the traditional leverage model, while the growth of transactional boutiques demonstrates that much of the rest can be assembled differently. The risk for Big Law is fragmentation. Today, a partner who brings in work asks which firm will pay them most. Before long, more will ask whether they need a large firm at all.

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More about Vetta here.

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Legal Innovators UK is this week on Nov 4 and 5

Legal Innovators UK is this week on Nov 4 and 5 at the Minster Building near the Tower of London, and then Legal Innovators New York is on Nov 17 and 18 in Midtown at a great new venue – Quorum by Convene. Looking forward to chairing both. Going to be lots to explore together, that’s for sure!

Here are the express ticket registrations so you can get your complimentary passes super-fast.

To pick up your UK tickets, please follow the link below. Complimentary passes are for those working inside law firms and within corporate legal teams.

And for your New York tickets, please see here:

Legal Innovators New York Conference – Nov 17 + 18