Poison Pill 2.0: Can Law Firms Monetize Innovation?
When the poison pill was invented in 1982 by Marty Lipton, it was in a sense the AI, machine learning and #legaltech of its day. Although now a ubiquitous tool in the back pocket of every corporate lawyer advising public companies, the poison pill — like AI — was ridiculed and then challenged in the courts before becoming globally adopted. Now, as I noted this week on LinkedIn, innovation is not synonymous with technology and, to the best of my knowledge, the poison pill was a purely legal innovation — no tech involved. And, while measures like the poison pill helped Wachtell Lipton become the most prestigious law firm in the world, Marty Lipton receives no royalties for his innovation — again to the best of my knowledge.
But as software continues to eat the world, will law firms begin creating innovation that can be monetized outside of prestige? Could the next industry defining innovation — let’s call it Poison Pill 2.0 — be a technology powered solution invented by a law firm and licensed by every other law firm?