Agency Recruiting: And you think you missed out on a placement fee?

From time to time all 3rd party recruiters face it. Show me the money! Whether it is a late paying client or one that disputes the placement, issues over commissions is not a new topic. A quick search on the RBC will identify numerous blogs and forum discussions on this topic, but I think the story of Alan Metz takes the cake;

Davis Polk & Wardwell LLP was hit with a $1.4 million lawsuit in New York state court Wednesday by a veteran legal recruiter who says the firm owes him money for his help in recruiting a top litigator and 17 others for its Hong Kong office.

Alan Metz, who has operated a legal recruitment business placing attorneys at various law firms and corporations for approximately 30 years, raises allegations that Davis Polk refused to recognize its obligation to pay him $1.4 million in commissions.


Yes- you read that right, 1.4 million!!!!! My first question would be why continue to work with this client when the first fee was in doubt, but nonetheless a tragic tale. Have you ever found yourself in this predicament? How have you dealt with a client that did not want to pay?

More importantly - what advice would you offer Mr. Metz?

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