How to Understand MSO Structures: The Dudley DeBosier Deal

This video blog examines how to understand MSO structures through the lens of the Dudley DeBosier deal. Chad Dudley, founder of Dudley DeBosier Injury Lawyers, and Tim McKey, CEO of Vista Consulting share why governance, operational separation, and client service remained central considerations throughout the process.

Their discussion is not presented as a recommendation for or against any particular path. Instead, it offers plaintiffs law firm leaders a firsthand look at how one firm approached the Management Services Organization (MSO) structure, the safeguards involved, and the operational thinking behind it.

Discussions surrounding private equity and alternative operational structures in the legal industry continue to evolve. While opinions across the plaintiffs bar vary, many firm owners are focused on understanding how these structures actually work, how governance is maintained, and what operational implications they may create.

Watch the video to learn how the Dudley DeBosier team approached the MSO structure.

What You Will Learn

• How the Dudley DeBosier MSO structure was organized
• Why governance and operational separation matter
• What the MSO structure means for client service and operational scale

Why Control and Governance Remain Central Concerns

For many firms evaluating private equity, the central question is ownership and control. Ari Kornhaber, founder, EVP and head of corporate development at Esquire Bank, addressed that concern directly when he asked Chad Dudley whether he had similar thoughts about losing “equity and control” of the firm.

Chad’s response immediately centers on governance, ethics, and operational integrity: “At the core of this, we need to do it right. [There are] parameters, state bars, how it’s constructed, the relationship between the two entities, and how those are constructed. It’s absolutely critical to get it right.”

For Dudley DeBosier, maintaining the integrity of the law firm structure was foundational to the transaction itself.

“What we did, which is the pattern for the MSO, is we’re 100% owners of our law firm, and we run our law firm as we see fit. We make decisions about representation and so forth: all the attorneys.”

That distinction is central to understanding MSO structures. The discussion is not simply about investment or growth. It is equally about governance, ethical compliance, operational separation, and preserving the professional responsibilities that remain with the law firm and its attorneys.

How the MSO Structure Was Designed

For Dudley DeBosier, the MSO structure was grounded in operational thinking. Chad Dudley explains it in practical terms. “We essentially said, what if we take everyone that’s not an attorney at Dudley DeBosier, put them into a services organization, and that services organization then delivers that work product to the attorneys, and that’s what the MSO is.”

The MSO structure, as Chad describes it, separates legal work from operational and administrative functions while maintaining law firm oversight and direction. “[They] still serve at the desire, wishes, and control of the law firm, just like firms that use third-party services today dictate how those services are deployed.”

Chad emphasizes that preserving the integrity of that relationship is critical to making the structure work appropriately. “That’s at the heart of it, and so it’s crucial to maintain the integrity of it to make sure that this all works right.”

Governance and Ethics Extend Beyond the Structure Itself

Tim McKey, CEO of Vista Consulting, emphasizes that operational behavior, governance, and ethical discipline matter just as much as the formal structure. “Because you have separate entities now with the MSO and the law firm, that’s not enough.”

Tim continues: “How they operate, the ethics of that, and the corporate governance being very separate, as Chad alluded to this, is doing it right. Making sure that those things are in place, the systems and the processes, [ensure] that we don’t even get close to any of the lines from a reality standpoint or an even optics standpoint.”

As noted in Chad and Tim’s discussion, the MSO structure itself is only one component. The systems, processes, and safeguards surrounding it ultimately determine how it functions in practice.

That point extends beyond the MSO structure itself. Regardless of where law firm owners stand on private equity or alternative structures, conversations around governance, scalability, and operational oversight are becoming increasingly relevant.

Efficiency, Scalability, and Client Service

While recent legal industry discussions have focused on ownership structures, Chad Dudley steers the conversation to client outcomes and operational performance.

“What’s in the best interest of the client,” he asks. “How do we get better results for the client? How do we keep them more informed about the status of their case? How do they walk away from the experience [saying] that was better than what I expected it was going to be.”

For Chad, the systems and processes connected to the structure were directly tied to scalability and operational efficiency. “All the things that we employ and the systems and processes that we use also play into what you can do at scale through private equity.”

Tim McKey reinforces a similar operational point. “We want to see this as being an increase in the effectiveness and efficiency in the delivery of services by using this structure. It’s not any different than what people do in their law firms now to be efficient and effective. It’s just another methodology of doing it.”

The discussion ultimately frames the MSO structure not as an end goal itself, but as an operational approach firms may evaluate as they consider efficiency, scale, and client service.

What Plaintiffs Firm Leaders Should Take Away

MSO structures involve more than transaction mechanics. Chad and Tim emphasize governance, operational separation, ethics, and client service as central considerations in how these arrangements are designed and executed.

The takeaway for plaintiffs law firm owners is not that every firm should pursue a similar path. Rather, it is that the legal industry continues to evolve, and firm leaders benefit from understanding the operational models, governance frameworks, and strategic considerations increasingly shaping industry conversations.

The firms best positioned to navigate these developments are the ones approaching them with objective information, operational discipline, and a clear understanding of both the opportunities and responsibilities involved.

Watch the full video to hear Chad Dudley and Tim McKey explain the Dudley DeBosier structure and the operational principles behind it.