Lower-end work means lower rates, another reason not to be drawn to Brazil''s provinces, says Alexandre Ribeiro Chequer of Tauil & Chequer - affiliated with Thompson & Knight: "It''s hard to find the same standards of business that have developed in big cities such as São Paulo and Rio de Janeiro in the countryside. We chose not to focus on regional offices because it is very difficult to provide the same quality service that we provide in Rio or São Paulo due to the rates constraints we would have in such smaller cities."

 

Certainly, the value of much of the work available regionally lies in its volume. Law firms don''t expect to charge the same rates for work done there. "You''re not going to have the same revenues in Fortaleza as you do in São Paulo," says one lawyer. "You can charge lower rates and have more deals, but they are smaller ones."

 

But even those firms that remain centralised have clients requiring services in far-flung corners of Brazil at one time or another. The difference in strategy used by Brazilian firms to assist clients across the country can be loosely compared to those of international law firms.

 

Clifford Chance LLP and Allen & Overy LLP, for example, have strong global footprints and Baker & McKenzie is known for rolling out offices around the world. Cravath, Swaine & Moore LLP meanwhile serves clients around the world out of its offices in New York and London, while Slaughter and May keeps its talent under one roof and works with a friendly firm network.

 

A similar distinction on a smaller scale can be made between leading Brazilian law firms. Veirano inherited Baker & McKenzie''s taste for regionalisation - where its founder Ronaldo Veirano worked until he started his own firm in 1972. And if Siqueira Castro, Demarest and TozziniFreire have developed Clifford Chance''s taste for a presence on the ground, then firms such as Pinheiro Neto and Mattos Filho are the Cravaths and Slaughter and Mays of Brazil.

 

"We rely on a large network of local correspondents, who are not associated administratively with the firm but with whom we have long-term relationships based on helping each other serve our clients better," says Pinheiro Neto''s managing partner Alexandre Bertoldi.

 

There are a plenty of firms that share this view. Barbosa Müssnich uses "good friends". Gouvêa Vieira Advogados is "happy with local firms'' legal skills and like the fact that they know the courts and officials", according to Jorge Hilário Gouvêa Vieira, while Mattos Muriel Kestener uses long-established friendly firms because "we prefer local lawyers as they know the courts and local environment," says Ubiratan Mattos. Mattos became acquainted with some of these firms while he was at Pinheiro Neto.

 

For individual reasons these firms do occasionally have regional outlets. Barbosa Müssnich has one in Belo Horizonte, but doesn''t advertise it. Mattos Filho has one in Campinas because its lawyers go there so frequently it made more sense to have an office space and lawyers permanently based there. That isn''t advertised either.

 

There are strong arguments for the use of associations over regional offices. Demarest, which enjoys the benefits of regional offices, recognises they do not work everywhere, hence the firm''s integrated units. Associations, in their various forms, are cheaper than setting up an office, and can deal with day-to-day work. "Clients don''t want to pay for one of our lawyers to fly across Brazil just to get a petition signed," says Demarest''s Paulo Frank Coelho da Rocha.

"Clients prefer to deal with a limited number of law firms. If we need services in smaller cities we can work with good local firms and this has proved to be a good formula." says Chequer.

"We go to Curitiba with alliances," says Leite Tosto''s Tavares. "We don''t have a commitment to develop an office, we hire local lawyers for a service and pay them for it and that''s it."

 

Alliances can also generate new work. "We exchange clients with our association firms all the time," says Levy & Salomão''s Eduardo Almeida.

 

Advances in technology have dramatically cut the need for a physical presence across the country. "Thanks to fast-paced technological enhancements, the practice of law has changed tremendously in the last decade from the standpoint of the requirement for physical presence where your client is," says Pinheiro Neto''s Bertoldi.

 

Demarest''s Rocha illustrates this point: "So many court procedures are done digitally. If the case is in Amazonia, then we can have a local lawyer e-mail the file over, we prepare it and send it back for him to present to the court. Some states are even beginning to accept files by e-mail. It will all go digital soon."

 

The issue of how best to foster the best client-firm relationship when legal assistance is required where the firm does not have a presence is debated. Even firms determinedly staying in Brazil''s centres of power admit this is the key problem. "Of course, nothing replaces personal contact, which is vital for a good client-firm relationship - and that will always be our priority," says Bertoldi.

 

It''s one reason some firms value regional offices so highly. "Large companies want large law firms," says Siqueira Castro. "We maintain control of decisions to make sure quality is the same level throughout. If one of your clients has a major problem with its operations in the north and you are not on hand to fix it, then that could damage your relationship with the client back in São Paulo."

 

"We have our own offices in what we consider to be the most important cities because we want to offer clients the same level of service," agrees Demarest''s Rocha. Employee ties are stronger than those held with a correspondence firm, meaning more can be done to streamline services. TozziniFreire has a similar "one firm in all locations" policy.

 

Of course, all firms strive to offer their clients the best service - great consideration goes into associations. Barbosa Müssnich sends its own lawyers to its alliance firms to understand each other''s cultures. Demarest has a thorough process for its integrated units.

 

Some firms would argue that a less successful regional office could actually jeopardise the client relationship. "It''s hard to have the same standards - values and cultures are too different," says Leite Tosto''s Tavares. "Which is why we keep everything corporate in São Paulo and Rio now."

 

"You need to be able to provide clients with the best people from the firm and they will always be in São Paulo or Rio," says Pinheiro Guimarães''s Guimarães. "You are never going to send your best partners to a smaller office."

 

There is also the matter of what the client prefers. Brazil''s biggest brewer, AmBev, has a continuous stream of litigation in labour, civil and tax matters all over the country. Its general counsel, Pedro Mariani, will always consider local law firms.

"Even if a firm has offices all over Brazil, that doesn''t mean the quality of work is consistent between those offices," he explains. "We tend to choose law firms which will be most effective in any given jurisdiction. We would never have one law firm dealing with labour cases throughout Brazil unless we feel comfortable that it has the best lawyers everywhere."

His opinion is not universal. Gabriela Falcão Vieira, a partner at Leite Tosto, says her uncle has the largest law firm in Salvador. "It''s a good firm, but big companies won''t hire him because they prefer familiar names," she says. "Even local businessmen with sophisticated demands don''t look for local lawyers."

 

Associations with big city firms and company preferences like AmBev''s can give local law firms a big boost.

Rogerio Goes of Sette Camara, Correa e Bastos Advogados Associados, based in Belo Horizonte, certainly agrees and thinks provincial firms can market themselves well on the back of such connections. "São Paulo''s top law firms use big regional law firms in key states. They are well established and have competitive costs. Feeding such firms year after year leads to inevitable growth."

 

The strongest example of a law firm that has risen from provincial roots is Azevedo Sette Advogados, which originates from Belo Horizonte but now competes with São Paulo''s and Rio''s top-flight firms, although this is largely down to its own foresight than support from other firms.