They’ve Got Next: The 40 Under 40 - Mark Schenkel of Sullivan & Cromwell

Please describe two of your most substantial, recent wins in practice.

Few deals possess the capacity to influence the future on a grand scale, but it is no exaggeration to put the partnership between OpenAI and Microsoft in 2023 into that category. As counsel to OpenAI, I played a pivotal role in aligning the interests of both parties.

OpenAI required Microsoft’s computing power and financial resources to advance the development and adoption of AI and needed a partnership that adhered to its mission of safe and ethical AI. On Microsoft’s end, this collaboration has enabled the integration of OpenAI’s models into Microsoft’s products, revolutionizing the tech industry. I am fortunate enough to continue to represent OpenAI in transformational transactions.

I also played a key role in the combination of WarnerMedia with Discovery, a $43 billion transaction completed in 2022. This deal created a premier global entertainment company, involving the transfer of one of the largest collections of intellectual property assets in the entertainment industry.

My work focused on the complex IP aspects, ensuring seamless integration and robust IP protection and rights for the new entity. This transaction not only redefined the entertainment landscape but also demonstrated the critical role of strategic IP management in high-stakes M&A.

What is the most important lesson you learned as a first-year attorney and how does it inform your practice today?

As a first-year attorney, the lesson that resonated most with me was the profound impact of authentic mentorship. Early in my career, I realized how crucial it was to engage with mentors who were knowledgeable and genuinely invested in my growth.

True mentorship is more than sharing expertise; it’s about fostering trust, encouragement, and mutual respect. Finding authentic mentors, who have become like family, was pivotal for my career advancement and in nurturing my love for my work.

Today, this insight shapes my practice. I strive to be the mentor I needed at the outset, offering not just legal wisdom but also guidance through the intricacies of the legal profession with integrity and empathy.

I focus on forming relationships with those who naturally seek me as a mentor, recognizing that meaningful connections stem from genuine rapport and shared values. I also proactively mentor other S&C lawyers in the LGBTQ+ community.

This approach has shown me that mentorship is a two-way street. While I provide support and guidance, my mentees enrich my work with their fresh perspectives, particularly in technology and intellectual property law. This dynamic elevates my career beyond the practice of law, making my job a continuously fulfilling journey.

How do you define success in your practice?

Success in my practice is fundamentally defined by client satisfaction ― when they’re happy, I’m happy. Achieving this requires an ongoing dialogue with clients to thoroughly understand their goals for each transaction.

This means delving deep into both the short-term objectives, like securing robust protections and clearly defining the scope of their obligations and rights, and the long-term aspirations, such as ensuring seamless integration in M&A scenarios or fostering growth and prosperity in commercial partnerships.

This client-centric approach mandates a comprehensive understanding of each deal’s nuances and an ability to adapt strategies accordingly. It’s about more than just reaching a successful conclusion; it’s about aligning that conclusion with the client’s broader business vision and objectives.

A crucial aspect of this approach involves guiding clients on when to proceed with a transaction and, just as importantly, when to walk away. This decision-making process isn’t just about the immediate deal at hand; it’s about considering its potential impact on the client’s future business landscape.

In essence, success in my practice isn’t measured solely by the deals that are closed or the transactions that are completed. Rather, it’s gauged by the extent to which my clients feel their interests have been effectively represented and their business objectives met. It’s about building relationships based on trust, understanding, and a shared vision for success.

What are you most proud of as a lawyer?

First, I am very proud to be a creative problem solver. My work in deal structuring is a testament to this. By crafting innovative solutions for complex transactions, such as the multibillion-dollar partnership between OpenAI and Microsoft, I’ve been able to break new ground in how legal frameworks can support groundbreaking technology. My approach always involves thinking beyond conventional legal strategies to develop structures that align closely with client objectives.

I am also very proud of my continuous evolution as a lawyer. Every day in my practice brings new challenges and opportunities. Whether it’s engaging with emerging technologies, adapting to novel transaction types, or navigating uncharted legal territories, I thrive on the dynamic nature of my work. This constant evolution not only keeps me intellectually stimulated but also ensures that I can provide my clients with the most current and relevant legal advice.

Also, I pride myself on being more than just a lawyer; I am a business advisor. My aim is to understand the broader business context in which legal decisions are made. This perspective allows me to not only address the immediate legal needs of my clients but also to offer insights that contribute to their long-term strategic success. In essence, my role is to bridge the gap between law and business, ensuring that legal solutions are also practical, business-savvy decisions.

Who is your greatest mentor in the law and what have they taught you?

My greatest mentor is Nader Mousavi, the co-chair of Sullivan & Cromwell’s Intellectual Property & Technology Transactions Group. From my first day as an S&C attorney, Nader has been instrumental in shaping my approach to legal practice, embodying the principles of genuine mentorship I value so deeply (discussed in detail above).

Nader’s mentorship has extended beyond imparting legal knowledge. He played a pivotal role in building my confidence as a lawyer. He taught me the art of ‘playing chess’ in the legal arena, encouraging me to think strategically and understand the motivations of all parties involved. This approach not only deepens my understanding of each deal but also enhances my ability to craft nuanced legal strategies.

In a profession often marked by aggression, Nader emphasized the importance of cordiality and collaboration, demonstrating how ‘playing nice’ with counterparties can lead to beneficial outcomes for our clients. His guidance in maintaining professional relationships has been invaluable, helping me overcome the initial awkwardness and build lasting connections.

Beyond professional advice, Nader has also been a father figure, offering support and wisdom in navigating life’s challenges. He has shown me that a mentor can also be a profound friend, someone who genuinely cares about your personal and professional growth.

Tell us your two favorite songs on your summer music playlist.

Honestly, it would be “Forever” by Loreen because, if I could, I would vote for her to win Eurovision a third time.

Also, pretty much anything by Khruangbin because it’s widely appreciated music that is genuinely good, and I’ll be seeing them again in August.

Mark Schenkel of Sullivan & Cromwell with his fiancé, Alex Whitaker, on the day of their engagement.

Credit: Mark Schenkel and Jonathan Hurtarte