Leslie Hillendahl vividly recalls the first time she thought about being a lawyer. Her fifth-grade teacher asked her what she wanted to be when she grew up.
“My answer: A lawyer,” Hillendahl answered. “And that never changed. I loved to argue and debate and advocate. As a lawyer, I would get to prove that I am right.”
A big obstacle in her path to becoming an attorney was her father, a police officer.
“My Dad had significant exposure to lawyers through his work as a police officer and managing the pension system, [and he] wasn’t particularly fond of them,” Hillendahl told The Texas Lawbook. “In fact, he was quite adamant about steering me away from a legal career. He insisted that if I were to pursue law, I needed to first obtain what he called a ‘solid’ degree in accounting or finance, ensuring I had a fallback profession in case law didn’t pan out.”
“His experiences shaped his perspective, leading him to prioritize stability and practicality in my career choices,” she said. “While I initially resisted, I now appreciate his guidance, as it ultimately led me to a fulfilling career path that I love.”
Hillendahl earned undergraduate and postgraduate degrees in accounting and taxation before tackling law school.
The educational path perfectly equipped Hillendahl for her current position as assistant general counsel at Virage Capital Management, a Houston-based litigation funding operation with an estimated $1 billion in assets.
Hillendahl currently manages more than $350 million invested in disputes spanning several states. Her recent victories in Houston courts alone include:
- Summary judgment on unique usury counterclaim in a $9 million suit in Harris County’s 133rd District Court, which was an important win for vindicating contingency-fee litigation-funding loans in general;
- A $3.2 million summary judgment on secured-credit claims in the 215th District Court;
- Declaratory judgment and attorney’s fees on secured-credit claims from a bench trial in the 127th District Court;
- A $3 million judgment in damages and fees on secured-credit claims following a bench trial in 295th District Court;
- A $2.5 million summary judgment on secured-credit claims in the 157th District Court; and
- A $2.4 million summary judgment on secured-credit claims in 234th District Court.
“In 2022 alone, Ms. Hillendahl helped recover over $70 million through effective pre-litigation negotiations,” said Todd Mensing, a partner at Ahmad, Zavitsanos & Mensing. “In 2023, she obtained a temporary injunction against a borrower’s attempt to fraudulently transfer collateral and personal assets, defeated multiple interlocutory appeals and prevailed on multiple evidentiary hearings and dispositive motions in state, federal and bankruptcy court.”
“Once litigation begins, Ms. Hillendahl maximizes value and fast results by foreclosing on and protecting collateral through nonjudicial foreclosure rights, obtains preliminary injunctive relief to prevent waste or fraudulent transfers of collateral and efficiently prepares each case for trial, post-judgment collection and related bankruptcy proceedings in state, federal and bankruptcy court,” Mensing said.
The Association of Corporate Counsel’s Houston Chapter and The Lawbook have named Hillendahl the winner of the 2024 Houston Corporate Counsel Award for Senior Counsel of the Year for a Small Legal Department.
Hillendahl and other award finalists will be honored on Wednesday evening at a ceremony at the Four Seasons in downtown Houston.
Premium Subscriber Q&A: Leslie Hillendahl shares what outside counsel needs to know about her and more.
AZA partner Cameron Byrd, who co-nominated Hillendahl for the award with Mensing, said the $350 million in litigation that she manages “is highly sophisticated.” Byrd said Hillendahl has “detailed knowledge” of Article 9 of the Uniform Commercial Code, the Bankruptcy Code, collection remedies for real, personal and intangible assets, as well as procedures in multiple jurisdictions and accounting, finance, and tax rules and regulations.
“Few lawyers manage these tools as effectively and efficiently as Ms. Hillendahl, and few have a similar record of delivering results for stakeholders,” Byrd said.
Marc Tabolsky, a partner at Schiffer Hicks Johnson, said Hillendahl “combines a wealth of legal knowledge and litigation experience with the savvy that comes from having such knowledge and experience.”
“That, combined with her tenacity in pursuing her client’s goals, make her an exceptional lawyer,” Tabolsky said.
Hillendahl thrives in litigation finance because she is “extreme thorough and excellent at issue-spotting,” according to Michael Kelley, a partner at Parker Poe.
“Virage is in a challenging industry — the provision of loans to mass tort law firms,” Kelly said. “The industry is constantly in flux, is highly competitive and is subject to factors outside the control of Virage and the law firms, given that loan repayment is substantially premised on payment from law firm receivables.”
“Leslie endeavors to find creative solutions to preserve the value of each loan for Virage investors while working with funded law firms to create efficiencies in their firm operations for the continued zealous representation of law firm clients,” Kelly said. “Leslie enjoys drilling down into the details while keeping her eyes open to the business drivers.”
Hillendahl was born and grew up in Houston — specifically in Jersey Village.
Both of her parents were officers with the Houston Police Department. Her mom was a sergeant in internal affairs, which she said “always made for interesting discussions.” Her dad spent 20 years with HPD, all the while continuing his education, and then became a stockbroker with Merrill Lynch. When Hillendahl was in high school, her father became an executive managing the HPD pension system, which he did until he retired in 2022.
Hillendahl earned bachelor’s and master’s degrees in accounting from Texas A&M in 1997, and she joined PricewaterhouseCoopers as a senior tax consultant for three years.
“I assumed that most professionals, including lawyers, possessed a fundamental understanding of business operations and financial management,” she said. “However, upon joining Virage, I quickly realized that this wasn’t always the case. Many talented lawyers lacked a solid grasp of business fundamentals, which presented challenges when talking to potential customers or understanding the broader context of legal matters.”
“Drawing from my accounting background, I’ve been able to bridge this gap by offering insights that go beyond legal considerations,” she said. “My time at PwC instilled in me a comprehensive understanding of how businesses operate, and I’m grateful for the opportunity to leverage that knowledge in my current role.”
In 1999, Hillendahl returned to school, and she earned her law degree from South Texas College of Law in 2002.
Hillendahl practiced commercial litigation four years at Mel Smith & Associates and then 10 years at Zimmerman Axelrad Stern & Wise — which merged with Spencer Fane — where she was promoted to member or partner.
In 2016 and 2017, Hillendahl decided it was time for a significant career shift, and her son Graham was the catalyst.
“I thrived in the world of litigation, relishing the thrill, stress and high stakes. As I neared 40, I began to sense a void,” Hillendahl said. “Graham’s arrival enriched our lives beyond measure, prompting a profound pull to recalibrate my professional life to be more present for him.”
“For several years after his birth, I juggled litigation with motherhood, but I yearned for a balance that would allow me to be more present for my son while still leveraging my legal skills and financial background,” she said. “This led me to explore new opportunities, eventually finding a perfect fit at Virage, where I’ve been for nearly seven years now. Graham’s presence in my life not only reshaped my priorities but also opened doors to a career that aligns with my passions and allows me to nurture both my family and professional aspirations.”
Since joining Virage, Hillendahl has encountered myriad challenges.
“One of the most significant hurdles, which has evolved into a valuable skill, is mastering the art of agility and adaptability in a fast-paced environment,” she said. “Every day brings new demands, from handling Virage’s litigation matters to spearheading litigation funding, documenting transactions and nurturing relationships with borrowers. It’s a dynamic landscape where change is constant, requiring me to pivot at a moment’s notice. This ability to quickly shift gears has evolved from a challenge into a valuable asset.”
Another huge challenge for those in litigation finance, according to Hillendahl, is the duration of litigation matters.
“Legal proceedings can often extend far longer than initially anticipated, tying up resources and delaying potential returns on investments,” she said. “This prolonged duration introduces additional complexities, such as evolving legal strategies, changing market conditions and unforeseen obstacles that may arise over time. Navigating these extended timelines requires strategic planning and ongoing monitoring to ensure that Virage remains well-positioned to weather any challenges that may arise.”
Bob Cox, a partner at Briglia Hundley, said Hillendahl approaches her interactions with outside counsel as “collaborative and part of an overall team strategy for Virage.”
“Leslie’s dogged approach to being firm in her goals and commitment to litigate with the defaulting party brought a very difficult opposing party to the bargaining table and resulted in Virage obtaining virtually all of their Texas judgment from an individual who claimed to be nearly insolvent and on the verge of bankruptcy,” Cox said. “She saw through his delay strategy and realized that he would only place Virage at the top of his priorities when we were aggressively pursuing him in our collection attempts.”
Hillendahl said her biggest successes at Virage are closing deals with plaintiff’s firms, which “solidify partnerships [and] contribute to safeguarding the investments of Virage’s investors” and “obtaining favorable judgments in our legal endeavors.”
“My best day at Virage was the culmination of months of collaboration with a female-owned plaintiff’s firm, resulting in the successful closing of a transaction,” Hillendahl said. “In an industry still predominantly dominated by men, witnessing the success of women who have carved their own path is always exhilarating for me. It’s a reminder of the progress we’re making towards a more inclusive and equitable landscape.”
“Knowing that Virage played a role, albeit small, in supporting and empowering women in the legal profession brings a profound sense of fulfillment,” she said. “It’s moments like these that reaffirm our commitment to leveling the playing field for plaintiffs and championing diversity and inclusion within our industry.”