You got two problems here:
1) They got jobs in Southern California not because of a SMU degree, but because they are "bratty rich kids from the OC."
2) Many, if not most or virtually all people tend to stay and practice in one state, at least for the first 10 years of their career. After 10 years, where your degree came from is becoming less and less important.
Wrong. I am not referring to SMU Law students as being the bratty rich kids from the OC. In fact, most SMU Law students are as poor as any other...yet they still get jobs around the country. With respect to your second point, SMU Law students are getting jobs in other parts of the nation immediately following law school. Where they are in 10 years has no relevance IMO to what I was talking about.