When will the US become a land of opportunity for Freshfields?

Tom Moore looks at Freshfields’ recent expansion in Manhattan

Freshfields Bruckhaus Deringer has made growing its US practice its number one priority and the firm has even stepped on a few Wall Street toes in 2014 with its aggressive hiring strategy. In the space of a month, six new partners have been drafted in, including Shearman & Sterling M&A veteran Peter Lyons and former Wachtell, Lipton, Rosen & Katz dealmaker Mitchell Presser to boost an underweight transactional group. Despite success in US disputes and investigations work, Freshfields has lacked a real M&A engine in New York but has pinned its hopes on the duo putting a change to that.

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‘There will be uncertainty’: partners discuss consequences of Scotland voting ‘no’

Scotland’s ‘no’ to independence last month returned confidence to the markets with a spike in sterling and share prices of FTSE 100-listed Scottish companies.

The legal profession breathed easy too as while independence would have signalled a surge of work over the first few years, long term the outlook was tied to uncertain economic fortunes.

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The $50m question – will Akin Gump’s record-breaking City acquisition pay off?

There was a rushed engagement before the union and there is unlikely to be a long honeymoon for the 26 Bingham McCutchen partners, including ten financial restructuring partners, switching to Akin Gump Strauss Hauer & Feld later this month. Such is the size of the investment the Dallas-bred giant has made, with the total number of lawyers set to transfer across London, Hong Kong and Frankfurt expected to reach around 60, the team led by financial restructuring guru James Roome will have to hit the ground running when they transfer in late October. This is, after all, a team with around $50m in annual revenue, by some yardsticks the largest team hire ever executed in the Square Mile.

The move, which Legal Business first revealed online in early September, shifts virtually all of Bingham’s London arm, minus two partners whose futures are undecided.

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A&O, Clifford Chance, Links and CMS lead on Phones4u administration

Allen & Overy (A&O), Clifford Chance (CC), Linklaters and CMS Cameron McKenna landed the key roles when high street retailer Phones4u entered administration last month.

With PwC acting as administrator, the company went into administration on 15 September after the withdrawal of EE, O2 and Vodafone products from its stores, placing nearly 5,596 jobs and more than 700 outlets at risk. However, some stores and staff were relocated with mobile carriers EE and Vodafone, as well as Dixons Carphone purchasing assets.

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US law firms cash in on Alibaba and Citizens flotations

King & Wood Mallesons and US firms were the main beneficiaries of the largest initial public offering (IPO) in history, Alibaba’s $25bn listing, which generated $15.8m in legal fees while The Royal Bank of Scotland (RBS)’s Citizens flotation also saw US firms take leading roles.

Simpson Thacher & Bartlett advised Alibaba on US federal securities and New York state law with China head Leiming Chen and partners Daniel Fertig and William Hinman advising, while Sullivan & Cromwell partners William Chua, Jay Clayton and Sarah Payne advised the underwriters, including Credit Suisse, Deutsche Bank, Goldman Sachs, JPMorgan, Morgan Stanley and Citigroup. Maples and Calder advised on Cayman Islands law, while Chinese law was covered by Fangda Partners for Alibaba and King & Wood Mallesons for the underwriters.

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Edwards Wildman and Locke Lord set to combine

Fellow US firm Cooley plans London office takeover

Dallas-bred Locke Lord and Boston’s Edwards Wildman Palmer became the latest US duo to announce plans to merge last month, as consolidation continues in the US national market. The news emerges as California firm Cooley prepares to launch in London, potentially taking on a major proportion of Edwards Wildman’s City team in the process.

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BLP scales back Paris office just eight years after opening as local head departs

Clifford Chance boosts French corporate offering with HSF and Willkie Farr hires

Last month saw much strategic decision-making by Legal Business 100 firms located in Paris, with Berwin Leighton Paisner (BLP) scaling back its offering in the French capital and leaving only a liaison outpost following the departure of French head Antoine-Audoin Maggiar, just eight years after opening. Meanwhile, Magic Circle firm Clifford Chance (CC) has made efforts to boost its Paris offering, having hired longstanding Herbert Smith Freehills’ (HSF) securities partner Alex Bafi and Willkie Farr & Gallagher private equity partner Fabrice Cohen.

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Uría Menéndez takes stake in first major Latin America tie-up

As Dentons hires IDB’s general counsel in hunt for regional mergers

Last month saw leading Iberian law firm Uría Menéndez acquire a 30% stake in the merger of its best friend firms and national heavyweights, Chile’s Philippi and Colombia’s Prietocarrizosa, as part of its strategy to consolidate its commitment in the region.

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The Last Word – The client’s view

Interviewed for our annual in-house report, general counsel (GCs) at leading companies give us their views on panels, pricing, regulation and diversity

Law across borders

‘We are going to see a lot more cross-border, multinational transactions that involve an in-depth legal scope well beyond the UK Companies Act. In-house lawyers, especially at the GC level, even if they just manage a local UK business, are going to see a lot more cross-border transactions and complexity. In my experience, law firms in the UK, especially in the South East and London, are much more flexible and open about the discussion on alternative billing than firms in New York.’

Bill Mordan, senior vice president and group GC, Reckitt Benckiser

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The new boy – can Ryde & co keep Slaughters’ deal team on top?

The City’s top deal shop has a new corporate head. Legal Business meets Andy Ryde and asks if Slaughters can keep the M&A magic going.

For a state school lad from Nottinghamshire who self-mockingly confesses to still having the tiniest chip on his shoulder, it has been quite a journey. Slaughter and May partner Andy Ryde in March was named as the firm’s new head of corporate, leading what most neutral observers would see as, by some margin, the City’s top deal practice.

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Offshore: Putting funds back on the map

With transactional work picking up globally, offshore funds are back in vogue. We assess the most active offshore firms and the key recent developments

The renewed sense of optimism emanating from the world’s major financial centres has clearly made its way offshore. While the global financial crisis put successful launches of offshore private equity, real estate and listed funds on hold, the mood has clearly changed. New funds and start-ups are upbeat again and the fund practices of offshore law firms are enjoying healthy flows of work.

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The In-House Survey: managing counsel – Getting with the programme

For years clients have decried advisers’ poor attitude to flexibility and value. Our third in-house lawyer survey shows the message is getting through at last.

Deborah Prince, head of legal and company secretary at the British Heart Foundation, who is forthright in her views on questionable behaviour by external advisers, recalls a recent incident with a law firm that she swears she will never use again. Responding to a request to work on a high-value contract, the firm sent back an excessively long document, containing endless provisions on issues that were never going to be a concern.

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Centre of the universe – the offshore counsel role in big ticket deals

With corporate lawyers finding their feet once more, Legal Business examines the often overlooked role of offshore firms in major global corporate and capital markets transactions

2014 has been the year where the corporate lawyer has begun to feel valued again. Take Dublin-based drug manufacturer Shire’s proposed £32bn takeover by US giant AbbVie, which is scheduled to close this year and pitches US/UK corporate heavyweights Sullivan & Cromwell and Herbert Smith Freehills opposite Davis Polk & Wardwell and Slaughter and May for Shire. But while those elite international firms make the headlines, the deal is to be implemented via a scheme of arrangement in Jersey, based on advice to Shire from a Mourant Ozannes team led by partner Robert Hickling, with Ogier’s Simon Dinning heading a team for AbbVie.

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The In-House Survey: adviser feedback – The usual suspects

As clients give advisers credit for improving value and service, our third annual in-house lawyer survey shows some of the City’s top firms making the most ground

‘When Magic Circle firms are appointed on appropriate matters, they offer real quality and value. The problem is, there is an ever-increasing type of work that is not appropriate to instruct them on as other firms offer significantly better quality and value. When the Magic Circle is retained on work that is not appropriate, my experiences are broadly negative.’

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Leadership and innovation – Visionaries, politicians and survivors

In today’s ultra-competitive legal market, the thin line between success and failure hinges on the quality of a firm’s leadership. LB teamed up with Berwin Leighton Paisner to investigate what separates the truly visionary from the merely ordinary.

There was a time, not that long ago, when running a law firm didn’t require a huge amount of thought. The money came through the front door and the increasing profits went out the back. Clients rarely moved. Partners stayed in one place and, barring a few dishonourable exceptions, law firms rarely failed. Compared to the pressures that their counterparts in other industries faced, law firm leaders had it easy.

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Leadership and innovation – Profession, disrupt thyself?

The Innovator’s Dilemma has become arguably the most influential business book of the last 20 years and is often cited as a key text for a profession facing unprecedented challenges. Legal Business assesses its relevance to global law.

‘The picture… is truly that of an innovator’s dilemma: the logical competent decisions of management that are critical to the success of their companies are also the reasons why they lose their positions of leadership.’
Clayton Christensen, The Innovator’s Dilemma Continue reading “Leadership and innovation – Profession, disrupt thyself?”

Leadership and innovation – The partnership dilemma

Demanding clients, advancing tech and a tough economy have ushered in intense pressure for law firms to change. Can law firm leaders press their institutions to adapt or does the partnership model fundamentally block innovation?

Steve Jobs, the late co-founder, chairman and chief executive of Apple, once remarked that ‘innovation distinguishes between a leader and a follower’. This is a sentiment that could easily be applied to the modern legal market, where clients have been increasingly vocal in demanding a more imaginative approach to legal services and the most progressive law firms are trying to find new ways to stay ahead of the competition. Although we are unlikely ever to see the equivalent of the iPhone, there is plenty of room for a visionary law firm leader.

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Disputes overview: Martial Law

The post-banking crisis boom in litigation has put disputes work back at the centre of global law. As the economy recovers, can it last?

Six years on from the financial crash and at least four years since many of the City’s leading litigation departments began giving their transactional counterparts a run for their money, one could be forgiven for wondering if doubts are creeping in over the sustainability of that progress.

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Perspectives: Simon Davis, Clifford Chance

When I was at school trying to figure out what to study at university, the school organised a series of individuals to give us a talk. They were all fine – from major multinationals and different industries – but none of them made me think: ‘Wow, this is what I want to do with my life.’ It wasn’t until a solicitor from Woking turned up – a specialist in criminal law – and he was hilarious. He was the only one who was enormously enjoying what he was doing. That was the first inkling that work could be enjoyable.

You wonder about becoming a solicitor or a barrister. I knew if I went the barrister route – which would have worked quite well since I like the sound of my own voice – if I failed as a barrister, I would be stony broke. If I failed as a solicitor, at least I could pay my expenses along the way. Also, the barrister profession can be quite a solitary existence compared to solicitors meeting clients. My personality led me to being a solicitor. I made the right choice. Continue reading “Perspectives: Simon Davis, Clifford Chance”

Perspectives: Jan Paulsson, Three Crowns

I didn’t start school until I was 13. I grew up in Liberia and it was wonderful growing up in the jungle because there were no schools! But my parents were increasingly nervous about how they were ‘mistreating’ their only son and told me I had to go to school. They had previously taken me to Sweden but having grown up in West Africa I didn’t care for Sweden’s winters very much. So they found some people in Los Angeles who would take me in, and I started in a public high school. Later, I would go to Harvard and Yale.

I started practising law in 1975 not having any idea of what I was doing. I began my career at Coudert Frères in Paris and like most people starting off, I didn’t know long I would do it, or whether I liked it, and whether Paris was the right city for me. I had no idea what practising law, or arbitration, was all about. My arrival coincided with a crisis for one of the clients in the firm – there was a dispute between the Libyan American Oil Company and the Libyan government. The concession agreement called for international arbitration under principles common to Libyan law and international law. I had studied international law at Yale and right off the bat the senior partner walks up the hall and asks if there was anybody who had studied it. That was the start – I never did anything else.

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