Legal Definitions - portable business

A portable business, often referred to as a portable practice, describes the collection of clients and ongoing legal work that an attorney can successfully transfer from one law firm to another, or even to a different geographic location, with minimal disruption or loss of client relationships. This term emphasizes that the clients' loyalty and business are primarily directed towards the individual attorney, rather than solely to the law firm where the attorney previously practiced.

Here are some examples to illustrate this concept:

• Example 1: Moving to a New Firm
  Imagine a corporate attorney, Sarah, who specializes in advising small tech startups. She has built strong personal relationships with many founders over the years, helping them with everything from incorporation to venture capital funding. When Sarah decides to leave her large, established law firm to join a smaller, more specialized boutique firm, many of her tech startup clients choose to follow her. They value her specific expertise and personal attention, and are willing to continue their legal work with her at the new firm.

  This illustrates a portable business because Sarah's clients are loyal to her individually, not just to her previous firm. Her ability to retain these clients and their ongoing legal matters at her new firm demonstrates that her client base is "portable."

• Example 2: Relocating to a Different State
  Consider David, an intellectual property lawyer renowned for his niche expertise in patenting complex biotechnology inventions. He has clients across the country who seek his specialized knowledge. When David decides to move from California to Colorado for personal reasons, several of his long-standing biotech clients, who have ongoing patent applications and strategic IP needs, choose to continue working with him. They are comfortable managing the relationship remotely, perhaps with occasional travel, because David's unique skills are indispensable to them.

  This demonstrates a portable business because David's clients prioritize his specific legal skills and established trust over his physical location. Even a significant geographic change does not sever these relationships, allowing him to maintain his practice.

• Example 3: Starting an Independent Practice
  Maria, a highly respected family law attorney, has spent years building a reputation for compassionate and effective representation in divorce and child custody cases at a mid-sized firm. When she decides to leave and open her own solo practice, a significant portion of her existing clients, who have come to rely on her personal guidance and advocacy, choose to transition their cases with her to her new independent office. They trust Maria's judgment and appreciate her direct communication.

  This exemplifies a portable business because Maria's clients are committed to her as their chosen legal counsel. Their willingness to follow her to her new, independent venture shows that her client relationships are strong enough to form the foundation of her new practice, regardless of the firm's branding or infrastructure.