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Offshoring: Take the Fifth

2007 June 14
by John Wallbillich

The Economic Times of India provides an update on legal work being done in India. And it’s going upmarket.

New York firm Smith Dornan Dehn has established an affiliate in Mysore, India. Over 40 people are working on various projects, including litigation related to the film Borat.

The client list is impressive (including HBO, Sony Pictures Television, Universal Pictures, MTV Networks, and ABC). Here’s a sense of the economic driver from SDD president Russell Smith:

Office space in Mysore is 43 times cheaper than in Manhattan. In New York most legal fees go to real estate. We have eliminated that. We pay $2,000 rent per month for a three storey building in Mysore. For that kind of money we won’t get anything in New York.

And neither in Mumbai or Delhi. Also, Mysore is over five times cheaper if you consider legal services fees. We charge $30 to $90 per hour compared to $200 to $700 per hour in the US.

A one-off or a leading indicator? As Borat would say: “High Five!”

King of the castle...

Hat tip: slaw.com.

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