Legal Business

Cleary hires former Stephenson Harwood chief executive

Cleary Gottlieb Steen & Hamilton has hired former Stephenson Harwood chief executive and litigation heavyweight Sunil Gadhia in its London office, marking a growing trend of US firms bulking up City disputes practices.

Gadhia is set to join Cleary’s London outpost this year after 15 years as a partner at Stephenson Harwood, of which he spent six as chief executive.

The move is a bold one for Cleary, which has a pre-eminent corporate transaction practice, and follows the 2010 hire of leading City finance litigator Jonathan Kelly from Simmons & Simmons. Kelly joined as its first UK-qualified litigation partner, with Gadhia becoming its second.

‘Sunil is not only a fine litigator and formidable strategist but is also someone who we believe will make a valuable contribution to the collegial culture of the firm. We look forward to welcoming him to Cleary Gottlieb,’ said Kelly.

‘We believe Gadhia will make a valuable contribution to the collegial culture of the firm.’
Jonathan Kelly, Cleary

Cleary currently has 16 lawyers in its London litigation and arbitration team, including partners Jonathan Blackman, David Sabel and Romano Subiotto QC, who spends half of his time in the firm’s Brussels office.

The news is a blow for Stephenson Harwood, as Gadhia was not only a pre-eminent finance litigator but steered the firm successfully through the downturn. He also launched Stephenson Harwood’s India practice in 2004.

A spokesperson from the firm said: ‘Sunil has made a huge contribution to the firm, both as a partner and as the previous chief executive. We will be sad indeed to see Sunil leave – and of course we wish him well for the future.’

His joining date has yet to be confirmed.

Gadhia’s appointment is the latest in a string of disputes hires by US firms in London.

New York-based disputes boutique Goldberg Segalla has hired former Barlow Lyde & Gilbert reinsurance chief Clive O’Connell to launch its London office.

The firm’s City outpost is expected to be up and running in April and will target insurance- related disputes. Goldberg Segalla has 140 lawyers across ten offices in the north-eastern part of the US, with London marking its first foray overseas.

The move comes a few months after the hire of former Norton Rose global dispute resolution chief and partnership council member Antony Dutton by Dechert at the start of the year. Dutton spent 14 years as a partner at the City firm before deflecting to the US outfit, where he’ll focus on his banking litigation practice.

At the time, Dutton said: ‘The firm’s core banking and financial institutions capability and its sector focus in traded commodities and mining and metals will help me better serve my clients.’

Meanwhile, in June Bingham McCutchen hired former Simmons & Simmons managing partner Mark Dawkins into its City finance litigation practice. Dawkins returned to his banking litigation roots after spending almost seven years in management at Simmons.

Expectations among City partners are that finance litigation is likely to become an important area for firms moving forward as global governments crack down on the banking sector and further finance-related disputes arise between financial institutions. In addition, the tightening of banking regulations by governments in the US, UK, Europe, and even Asia, means that a higher volume of disputes is likely to hit the courts.

Firms like Quinn Emanuel Urquhart & Sullivan have done well out of suing the banks, with the firm’s City office posting a 75% rise in turnover to £21.8m during 2011.