Most entrepreneurs mistakenly refer to the creation of an attorney-client relationship as “hiring” a lawyer. In most instances, the relationship is actually one of independent contractor rather than employer-employee. However, there may come a point in your Internet business that you find you’re spending so much on legal fees that it may make sense to really hire an Internet attorney as your in-house legal counsel. As the employer, you exert more control over the work done. Because these are typically salary arrangements, you can reduce legal costs or at a minimum budget for them like any other employee in your online company.

When should you hire an Internet lawyer as an employee? There’s no hard rule for that. However, if you’re spending more than $200,000 a year in legal fees paid to an Internet law firm, you should consider the in-house counsel alternative.

Will all Internet lawyers agree to become employees? Of course not. Many prefer to be their own bosses rather than answer to one…just like you as a business owner. However, there are some who will if the salary and hours are right.

Is there a hybrid arrangement for Internet companies that need steady legal representation but not full-time legal counsel? Yes, some firms (including this law firm) offer Internet legal services as part-time cyber general counsel for online companies. Although the terms vary by client and law firm, these types of arrangements typically involve an attorney-client contractual relationship based on the client retaining the Internet lawyer for X number of hours per month essentially acting as the Internet business’ general counsel but without an employer-employee relationship. The  business has the advantages of budgeting for legal services to be rendered without incurring the obligations of hiring an Internet attorney as a full-time employee.