Legal Business

Eversheds real estate head and tax partner to form high-end boutique

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The head of Eversheds’ international real estate group, William Naunton, is to leave the firm alongside tax partner Clive Jones to set up a high-end real estate boutique, after both have served a one-year notice period.

Jones and Naunton, who was a main board member until he stepped down in 2011, made their intentions clear when they handed in their notices in January, meaning they will be free to set up on their own in the New Year of 2015, with the unusually long notice period understood to reflect Naunton’s significant book of business.

Naunton leaves Eversheds after 24 years at the firm, having recently moved into high-value loan book acquisition work. He and Jones, who joined Eversheds six years ago from Clifford Chance, have also been assisting a growing number of private equity firms, typically on buildings worth between £100-250m.

Jones, who spent 12 years at Clifford Chance, specialises in handling indirect taxes on real estate. He led on Evans Randall Investment Management’s £452m acquisition of the Rhodium companies and the 5 Canada Square office building in Canary Wharf from The Royal Bank of Scotland in 2007.

With demand for office space in London hotting up after the subdued post-financial crisis years, Naunton and Jones are understood to be capitalising on the improved market, where a lack of available office space in prime locations has sparked competition among occupiers, as London’s corporate tax rates tempt more companies to headquarter in England’s capital.

‘It is an interesting move and William is a respected practitioner so I will be following it with interest.’

A senior real estate partner

If the pair’s ambition to service high-end real estate work is successful, it will put them in competition with Andrew Carnegie’s team at Clifford Chance, Justin Cornelius’ team at Berwin Leighton Paisner and Amanda Howard’s real estate finance group at Nabarro.

It is unusual to see breakaway boutiques in this sector of the market and one potential rival commented: ‘It is an interesting move and William is a respected practitioner so I will be following it with interest. Eversheds will be disappointed to lose him.’

David Watkins, head of real estate at Eversheds, said in an e-mailed statement: ‘It is correct that Clive and William will be leaving the firm at the end of their notice periods. Our understanding is that they intend to open a boutique real estate practice in 2015. I thank both of them for their contributions over the years.’

The move follows other recent spin-offs from top ten City firms, most recently Olivier Fréget, co-head of Allen & Overy (A&O)’s global antitrust group until the end of last year, who in May left the Magic Circle firm to launch boutique firm Cabinet Fréget – Tasso de Panafieu (CFTP).

In arbitration, Freshfields Bruckhaus Deringer’s London head Constantine Partasides QC in March launched Three Crowns alongside former colleague Jan Paulsson and Paris arbitration head Georgios Petrochilos. In April, Freshfields disputes partner Christian Borris left the Cologne office to set up a local arbitration boutique.

tom.moore@legalease.co.uk

Legal Business

Eversheds real estate head and tax partner to form high-end boutique

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William Naunton and Clive Jones to depart after year-long notice period.

The head of Eversheds’ international real estate group, William Naunton, is to leave the firm alongside tax partner Clive Jones to set up a high-end real estate boutique, after both have served a one-year notice period.

Jones and Naunton, who was a main board member until he stepped down in 2011, made their intentions clear when they handed in their notices in January, meaning they will be free to set up on their own in the New Year of 2015, with the unusually long notice period understood to reflect Naunton’s significant book of business.

Legal Business

In-house: Ben Sherman’s GC moves to Myla; DfT’s former GC Muttukumaru joins Monckton

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Lee Gage has left Ben Sherman after five years as general counsel (GC) to join luxury lingerie retailer Myla in the same role. His move comes as Monckton Chambers yesterday (3 June) announced the arrival of the Department for Transport’s (DFT’s) former GC Christopher Muttukumaru as a tenant.

While at Ben Sherman, owned by New York Stock Exchange-listed clothing group Oxford Industries, Gage handled licensing issues and was responsible for the global legal function and global rights portfolio for the Ben Sherman brand. His former deputy, Elizabeth Cook, has taken over the GC role.

Gage previously spent five years at Harbottle & Lewis, where he became senior associate, and two years at intellectual property firm Briffa in the early 2000s.

Harbottle and Lewis continues to act as a legal adviser to Ben Sherman on brand licensing and domain name and trademark disputes.

Gage’s arrival at 12-boutique retailer Myla, in a newly created role, coincides with increasing legal risk surrounding retail regulation, branding and competition issues, as retailers also address changing consumer behaviour and a continued pressure on margins.

Eversheds head of retail James Batham said: ‘Out of the recession you’ve seen a number of companies building up their in-house legal teams to save costs but the retail environment is particularly burdensome.

‘One issue retailers face is fighting for brand protection and anything affecting their brand they will throw resources at.’

Muttukumaru, meanwhile, joins Monckton following a high profile public sector legal career that saw him appointed as GC at the DfT in 2011, leading a group of over 90 lawyers advising the DfT and its executive agencies.

Highlights of his career include acting as secretary to Lord Scott’s inquiry into the export of defence and dual-use equipment to Iraq, a role as deputy legal adviser at the Ministry of Defence, where he worked on issues including the negotiation of the statute setting up the International Criminal Court; and as legal adviser to the Department for Culture, Media and Sport.

Paul Lasok QC, head of Monckton Chambers said: ‘Professional and lay clients in a number of market sectors encounter difficult problems in relation to which Christopher, with his background and experience, is uniquely placed to give authoritative guidance and advice. His return to private practice after many years in the public sector fills a serious gap in the market.’

tom.moore@legalease.co.uk

Legal Business

Strategic hires: DWF brings in Addleshaws employment head; Addleshaws takes on Eversheds financial services partner

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DWF has hired Addleshaw Goddard’s former national head of employment Andrew Chamberlain to take on an identical role at his new firm, leading the strategic growth of its 60-strong UK-wide employment team.

Chamberlain headed Addleshaws employment team for nine years until 2012, when Michael Leftley took over, and served terms on both the firm’s executive committee and its governance board.

He has over 25 years’ experience advising corporate clients and FTSE 100 employers on all aspects of employment, from service agreements through to termination and restrictive covenants to TUPE, and has particular in-depth industry expertise in the financial services, transport and retail sectors.

Chamberlain initiated and led the development of Addleshaw Goddard’s transaction services team, an in-house centralised support team to manage the process elements of legal work, which was recognised in the Financial Times’ Innovative Lawyers Awards.

Commenting on the appointment, Andrew Leaitherland, managing partner & CEO at DWF said: ‘The UK legal market is undergoing significant change and these changes are bringing opportunities, which Andrew has said to me he feels strongly that DWF, based on its current market proposition, its senior management sponsorship and its ambition, has the right mindset to embrace and build a new employment proposition in the market which better meets the needs of clients.’

Chamberlain’s appointment is the latest in a series of strategic lateral hires for DWF which include, most recently, the recruitment of Stephen Miles as CEO for commercial services from Pinsent Masons.

Meanwhile, Addleshaw Goddard this week announced the hire of financial services partner Fiona Ghosh from Eversheds.

City based Ghosh, who currently co-heads Eversheds payment processing group, acts for financial services providers in the retail and investment banking and insurance services sector, as well as being a key advisor in the field of retail payments.

A statement from the 174-partner firm said: ‘[Fiona] has market leading expertise in joint ventures and acts for acquirers, payment facilitators and merchants on a global basis – her clients include American Express, Euronet and numerous US merchant acquirers.’

The hire marks a return to Addleshaws for Ghosh, who was a lawyer at the top 25 firm between 2001 and 2006.

Malcolm Pike, Addleshaws commercial services divisional managing partner said: ‘We are delighted to welcome Fiona back to the firm. Her skill set perfectly complements ours in that she has an existing strong track record of deals under her belt, she has financial services market credibility; and excellent client and relationship skills.’

Ghosh’s hire follows the announcement on 16 May that Addleshaws has appointed business support and restructuring head John Joyce as managing partner for a three-year term after a contested election against real estate head Adrian Collins, following outgoing chief Paul Devitt’s ahead-of-term resignation.

Devitt stood down more than a year before his term was due to end on 30 April 2015. The 174-partner firm carried out a soundings process followed by a formal period for nominations, which closed around Easter time and moved to a formal vote this month.

caroline.hill@legalease.co.uk

Legal Business

Eversheds in talks to extend voting rights as 164 junior partners inject cash

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Fixed-share partners to make capital contributions of 25% of profit share

Eversheds started talks in April over the voting rights of its fixed-share partners (FSPs) after they were asked to contribute 25% of their annual earnings in response to HM Revenue & Customs (HMRC) tax changes for limited liability partnerships (LLPs).

The firm called on its 164 junior partners to make the contributions to avoid being deemed employees, which would require Eversheds to pay national insurance contributions for them.

Legal Business

Eversheds UK associates largest beneficiary of partner promotions in 21-strong round

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Eversheds’ UK associates are the beneficiary of over half of the top 15 firm’s latest partner promotions as 21 lawyers join its partnership ranks.

The promotions, down from 28 last year but back to a similar level to 2012, when the firm made up 22 lawyers, see the firm’s commercial practice group gain seven new partners while litigation gains six, human resources (HR) six, and real estate two new partners.

Eversheds has also appointed seven associates as legal directors, four as counsel and one as operations director.

Of the total promotions this year, 52% took place in the firm’s UK practice groups, with 12 lawyers made up, while 48% of partners were made up across Belgium, China, Germany, Hong Kong, Poland and Sweden.

Eversheds chief executive Bryan Hughes (pictured) said: ‘Over the last year, we have seen significant growth across our international operations, driven by the dedication and hard work of our people, including the talented individuals who have been promoted this year. The range of skill sets and experience of our new partners, directors and associates is wide ranging and is a great foundation to build upon for the future.’

jaishree.kalia@legalease.co.uk

Eversheds promotions in full (including to director or counsel where indicated):

Belgium

Lieven Devos (litigation)

China

Jack Cai (commerical)

Germany

Wolfgang Hierl (Counsel) (real estate)

Christian Hilpert (Counsel) (commercial)

Tobias Maier (Counsel) (commercial)

Dirk Monheim (HR)

Stefan Osterkorn (Counsel) (HR)

Bernd Pirpamer (HR)

Alexandra Watzlawek (HR)

Hong Kong

Vishal Melwani (litigation)

Netherlands

Marie-Louise Lugard (Legal Director) (HR)

Poland

Gerard Karp (commercial)

Paweł Lipski (commerical)

Spain

Luis Aguilar(Legal Director) (HR)

Jose Pedro Alberca (Legal Director) (litigation)

Sweden

Per Westman (HR)

UK

Tom Bray (HR)

Peter Bowen (Operations Director) (real estate)

Michael Buchanan (real estate)

Alistair Cree (commercial)

Hugh Gittins (Legal Director) (HR)

Steven Hacking (commercial)

James Hyde (litigation)

Ben Jones (commercial)

David McGuirk (litigation)

Neil Newing (Legal Director) (litigation)

Chris Pickens (litigation)

Sophie Robinson (commerical)

Clare Rudd (Legal Director) (real estate)

Susan Samuel (real estate)

James Shackleton (Legal Director) (litigation)

Matthew Taylor (litigation)

Jon Walters (HR)

Legal Business

Thompson to lead City charge as Eversheds unveils new office leadership

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Eversheds has today (10 April) announced its new senior office partners across its London, Newcastle, Nottingham and Cardiff bases, with its highly-regarded joint head of UK financial services, Pamela Thompson, taking the helm in London.

Thompson will take over from incumbent City senior office partner (SOP) Anthony Arter, who has held the role for the last five years, when the appointments go live on 1 May.

Meanwhile in Newcastle, shipping head Stephen Mackin will take over from incumbent restructuring partner, Paul Dutton, who has held the role for two years and will now be undertaking a broader role within the northern corporate restructuring teams.

Elsewhere, Mark Fletcher will be assuming the role in Nottingham senior office partner from commercial partner James Fry, who has held the role for almost six years, while in Cardiff, real estate partner Kathryn Roberts will become head, taking the reins from Alan Meredith who has been office head for the last 14 years.

The new SOPs were appointed by chief executive Bruan Hughes after he and the outgoing SOPs consulted with the partners in each local office.

Hughes said: ‘The role of senior office partner is vitally important and while Alan, Anthony, James and Paul have performed the role in their own individual ways, they have all delivered on behalf of the business and created and maintained a necessary team ethos in their localities. I would like to record my thanks for everything that the SOP team have done over the years, it is very much appreciated. And of course, the very best of luck to their successors!’

Thompson has been widely acknowledged as a star performer at Eversheds – which last financial year saw group turnover increase nearly 3% from £366m to £376m, according to its LLP accounts in January. During the research for a profile on the firm published late last year –The ideal law firm for 2013? Eversheds hunts for its breakthrough – one ex-partner said: ‘Financial services has always done really well, predominantly down to Pamela Thompson who is utterly brilliant.’

During his time as London senior office partner Arter, who is also head of pensions, was intrinsic in spearheading and promoting a number of initiatives in the firm’s City base, including CSR projects with local communities and driving collaborations with key City institutions.

News of the appointments comes after the firm confirmed yesterday (9 April) that it would be joining the series of law firms asking partners to contribute capital in response to HM Revenue & Customs tax changes for limited liability partnerships, requesting that fixed-share partners make a contribution of 25% of their annual earnings, as well extending the voting rights for those partners.

francesca.fanshawe@legalease.co.uk

Legal Business

Eversheds in talks to extend voting rights as 164 junior partners inject cash

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Eversheds has started talks over the voting rights of its fixed share partners (FSPs) after they were asked to contribute 25% of their annual earnings in response to HM Revenue & Customs (HMRC) tax changes for limited liability partnerships (LLPs).

The top 15 UK law firm called on its 164 junior partners to make the contributions to avoid being deemed as employees, which would require Eversheds to pay national insurance contributions for them.

Under the new HMRC rules, partners are deemed employees if they have less than 25% of their salary attached to profits. Firms were requested to put in place plans for contributions by 6 April 2014, with capital expected within three months.

Chief executive Bryan Hughes said in a statement: ‘Following a series of discussions, our FSPs will be making capital contributions equivalent to 25% of their profit share. During the course of these discussions, associated issues such as voting rights, were raised. We obviously had to act quickly to ensure that the capital payments were in place in line with the timescales set down by HMRC. We have, however, agreed with our FSP group that we will engage with them in an extended consultation to discuss these associated concerns in more detail.’

Under the guidance notes published by the HMRC in response to claims that LLPs can be used as tax avoidance vehicles, an LLP member faces three tests to define if they are an employee for tax purposes. These relate to influence over partnership affairs, the level of capital injected and if their equity share can be classed as a ‘disguised salary’.

In response, a series of law firms have asked their junior partners to contribute capital in recent weeks with Hogan Lovells last week calling on its 65 non-equity partners to make capital contributions of around £60,000 to £100,000.

Francesca.fanshawe@legalease.co.uk

Legal Business

High-value commercial litigation rises 16% as recession-related disputes filter through to courts

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2013 saw a sharp rise in high-value commercial litigation as major disputes arising from the recession filter down to the courts in greater numbers, according to research released today (7 April) by RPC.

Statistics compiled by the firm shows that 1,353 cases were launched in the Commercial Court in 2013, up 16% on the 1,167 cases started in 2012.

RPC said the increase is likely due to the length of time it can take for a claimant to pull together a major case or because of situations where parties have failed to reach a deal, leaving the claimant deciding litigation is the only option to resolve the dispute.

RPC’s head of commercial litigation, Geraldine Elliott, said: ‘This kind of “big-ticket” litigation tends to be quite complex as well as very contentious – it’s not something that can be rushed to court. So there’s bound to be a time-lag between disputes arising during the downturn and when they start to come through the system.

‘Sometimes high-value or large-scale claims can take several years to actually get as far as filing a claim, let alone a court hearing, which is why we are seeing such an upswing in cases coming to court now, even as we start to leave the recession behind us.’

The research also indicated that banking litigation will continue to be a key area for high-value claims, as PPI mis-selling, Libor and interest rate swap scandals faced by financial institutions have resulted in a steady pipeline of cases in recent years.

Banks preparing themselves for further potential claims include the Royal Bank of Scotland, which earlier this year announced it would set aside an additional £3bn for legal claims, including £1.9bn for mortgage-backed securities claims.

The amount of money set aside for FX manipulation claims is also likely to be higher according to the research, as banks not only have to face fines and penalties but have to undertake costly investigations.

RPC financial disputes partner Andy McGregor, said: ‘Claims based on alleged FX manipulation are likely to be particularly complex, and the scale of resources required to deal with the regulatory probes could dwarf even what we saw with Libor. Increasingly, the Financial Conduct Authority is looking to the banks themselves to organise and fund the bulk of data mining and other investigative work, which is going to take huge amounts of specialist manpower.’

Examples of high-profile commercial cases involving banks last year included a dispute between UK trading and investments firm CF Partners and Barclays. The former filed a claim against Barclays last year alleging that the bank breached a confidentiality agreement. CF Partners, whose claim is being bankrolled by Harbour Litigation Funding, alleged that Barclays used confidential information it supplied to the bank when requesting funding for its own bid for Swedish carbon trader Tricorona.

This research coincides with a study published today by Eversheds, which has released similar findings on the rise of large commercial disputes, despite the fact that corporates do not want to resort to litigation. In a study entitled Companies in Conflict: How Commercial Disputes are Won, whether a company wins or loses in court is determined by the calibre of the professionals involved in the case, while corporates that generate revenue of more than £1bn were typically engaged in two to five large disputes over the last three years, but 16% of companies were involved in more than ten. One fifth of businesses involved in the study considered managing reputation to be the most important factor in pursuing a dispute.

sarah.downey@legalease.co.uk

Legal Business

Eversheds in merger talks with German partner as it opens a new Berlin office

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Eversheds has confirmed it is in talks over a full merger with its German partner Heisse Kursawe Eversheds as the firm opens a third German office in Berlin.

Chief executive Bryan Hughes said in a statement today (2 April): ‘Our strategy for growth is focused on increasing the depth and reach of our international operations. We are regularly in dialogue with firms around the world and this includes our German partner firm. As those discussions are ongoing, there is nothing further to say at this stage.’

The new Berlin office of Heisse Kursawe Eversheds will be headed by senior office partner and employment partner Stefan Kursawe and will cover all areas of commercial law, with a particular emphasis on public law, procurement law and real estate law.

The firm, whose clients include base security provider Securitas and project management company DEGES, which is responsible for the development and construction of infrastructure within reunified Germany, says it opened the office in response to client demand for a presence in Berlin.

Kursawe said: ‘Berlin has become an obligatory location for commercial law firms and we have opened the office due to real client demand. As an economic area, Berlin has clearly gained enormous momentum and is the headquarter of several important authorities and associations. Berlin is also a vibrant city and we hope our presence in the region will also help attract potential new recruits as we continue to pick up new mandates.

‘The opening of our Berlin office is another exciting development for Eversheds international presence, as we continue to grow our operations in new markets in order to offer our clients the seamless and collaborative service they have come to expect from us.’

Earlier this week, Eversheds took the next step in its African expansion strategy by signing a partnership agreement with existing relationship firm CWA Morocco, establishing new offices in Casablanca and Tangier.

Led by local managing partner Mohamed Oulkhouir, Eversheds CWA Morocco will advise domestic and international clients across a broad spectrum of industries, including maritime, automotive, financial services and industrial engineering.

As part of Eversheds’ ‘Pan-African strategy’ to establish offices in key markets announced in October 2013, the 1760-lawyer firm opened four other offices on the continent in December through tie-ups with South African firm Mahons and Tunisia’s El Heni, with the firm continuing to explore opportunities in Ghana and Kenya.

francesca.fanshawe@legalease.co.uk

For more on Eversheds’ international strategy and ambitions, see The ideal law firm for 2013? Eversheds hunts for its breakthrough