Sitting at the bow of a sailboat anchored off the island of Maupiti in French Polynesia, I thought about how excited I was when I was first able to say, “I am an attorney.” It was a prideful feeling of achieving a life goal. Whether it was the exhilaration of having your name on the letterhead, or on the door, I am sure we have all had similar memories from that first year of practicing law. I pondered those emotions in that idyllic setting because earlier in the year I had made the decision to retire. I wanted to be reminded of those initial feelings and to be just as excited about this next phase of life. Achieving that positive feeling, that sense of pride and excitement is my new challenge.

I don’t have it all figured out yet, but I am embracing it with a positive, can-do attitude. It is certainly better than the alternative of feeling only doom and gloom about what time remains in this life.

Choosing a Time

So, how does a lawyer decide to hang it up? When is it the right time to retire? I think there is often a tipping point, different for each of us, and you need to be open to it and willing to embrace the opportunity when it is presented.

For me, that tipping point was when my extremely capable assistant of over a dozen years told me she wanted to retire at the same time that our office lease was up for renewal. I knew I didn’t want to commit to five more years and I recognized I didn’t have it in me to train anyone new. I decided to listen to what the universe was telling me and put into motion what it takes to close down a solo law practice of over 30 years.

Handing Off Your Practice

There are several preliminary questions one must ask in deciding to retire, especially for a solo practitioner. I hope to highlight a few and identify reference materials you can review when you are ready. This article can’t cover it all, but don’t worry, there will be an MCLE program later this year taking a deeper dive into the subject.

One of those questions is whether to sell your practice, but first you need to know how to value what you have built. Once you decide that, it may take time to find the right person to take over your practice. Some solos bring in a younger attorney with the hope to be bought out by that attorney. That plan can work, but there are no guarantees the younger attorney won’t pursue another opportunity before the senior attorney is ready to move on.

When you find the right lawyer, you will need to decide how best to transition your clients to him or her. You could stay on for a period of time after the new lawyer takes over, or transition your clients while you are dealing with the other issues that must be handled before you walk out the door for the last time.

When it comes to disclosing your existing client matters with a prospective lawyer or law firm, and in dealing with your clients’ files, you must always be mindful of our Duty of Confidentiality under Business & Professions Code section 6068(e)(1) and Evidence Code section 952, preserving inviolate confidential communications between a lawyer and the client. You can’t even start talking with a prospective buyer of your practice about specific client issues until the client authorizes that disclosure.

Preparing for What’s Next

Perhaps the toughest part is the psychological work that must be done before you walk out that door. If being a lawyer is ‘it’ and you can’t see a life after practicing law, then you need to start thinking about it well before it is time to retire. Some don’t want to do this ‘work’ and decide it is easier to just keep doing what they are doing, without realizing they are beyond their prime. I wanted to exit when I still felt I was at the top of my game, respected by my peers and when I could do it on my own terms. That takes work!

Practicalities

A 2002 State Bar publication, “Guidelines for Selling or Closing a Law Practice,” is helpful, but mostly deals with what happens if a lawyer dies or becomes incapacitated. It is worth reviewing and can be obtained on the State Bar’s website. It covers the basic information about notifying clients and what to do with your old files. The publication is a ‘guideline’, so you still need to make sure you follow Rule of Professional Conduct 1.17 concerning Sale or Purchase of a Law Practice.

Dealing with old client files may only be an issue for Baby Boomers. We tended to store files off site, where they were out of sight and out of mind, which is not good when you decide to retire. The Rutter Group has several chapters on retention and disposition of client files. CEB’s Business Succession Planning (2016) is also helpful in organizing a checklist of things to do.

It takes planning and thought to be able to retire on your own terms. Don’t wait to do the hard work. If you don’t do it, your family will have to hire someone to do it for you. Besides, you need to do it for yourself so that you can really enjoy what should be some of the best years of your life. You earned it! After all, wasn’t that the plan?

If this article piques your interest, please let me know specific questions you may have about developing a succession plan. I will cover it all in an upcoming MCLE program. Watch for it!