By Jodi Sokolowski
Buffalo Law Journal

Two area insurance-defense firms have taken steps toward building a presence in Albany.

Wilder & Linneball LLP has secured space at 90 State St., used by its Buffalo lawyers when they go to Albany to meet with clients or appear in courts there.

Kenney Shelton Liptak Nowak LLP has hired Theresa Puelo as an Albany-based partner. She's working out of her home until the firm finds suitable space.

The law firms' managing partners said they're responding to requests from clients to expand to the capital region.

"They said, ‘We want to give you more work. It would make it easier if you opened an office in the eastern part of the state,' " said Laura Linneball, managing partner of Wilder & Linneball LLP.

Linneball said an Albany presence is the next step in the 8-year-old firm's "natural progression" toward a statewide legal practice. The firm's six lawyers regularly handle litigation before federal and state agencies and courts.

Kenney Shelton's Patrick Kenney said it "just makes complete business sense" to be in a city where many insurance-coverage matters are handled.

"We're opening an Albany office because we have insurance carriers telling us, ‘We have a void in this area,' " he said.

Continuing a trend

Several other area firms, including Hiscock & Barclay LLP, Goldberg Segalla LLP, Harris Beach PLLC and Harter Secrest & Emery LLP, have offices in the Albany area or lawyers based there.

When Hodgson Russ LLP opened an Albany office 16 years ago, consolidating with an existing firm there, it did so to diversify both in locations and practice groups, Schober said. Phillips Lytle LLP did the same when it welcomed an Albany firm into its fold two years ago.

"It's worked out very well, and we're positioned for further growth," said Phillips Lytle managing partner David McNamara.

Both law firms - Buffalo's largest - said they first focused on existing concentrations before adding new areas: Hodgson Russ added real estate and finance practices, and Phillips Lytle expanded its offerings in the areas of energy law and real estate project development.

Gary Schober, president and CEO of Hodgson Russ, warned that firms have to seize opportunities for further growth once they expand to a new location.

"If I'm going to a new city where an existing client is expanding, I'll expand my practice as well. But I'm not going to another market just to continue servicing the same client at the same level," he said.

Face-to-face interaction continues to be a crucial factor in the attorney-client relationship, sources said.

"You still have to interact with witnesses on the ground, clients on the ground and courts on the ground," said McNamara. "None of that can be accomplished electronically or remotely."

He said clients would rather work with one firm with multiple locations rather than several firms in different locations. That's due to trust considerations as well as cost control.

"There's an enormous amount of institutional knowledge when (a firm represents) a client for years. They don't have to pay an Albany firm to get them up to speed," Linneball said.