Morning Briefing: Counting the cost when replacing a partner
Replacing a partner can be a million-dollar exercise
Replacing a partner can cost almost $1 million, according to a new report – which should perhaps be taken with a pinch of salt. The report Assessing Lawyer Traits & Finding a Fit for Success, finds that costs – including headhunting, interviewing, vetting and other disruption caused when a high-earning partner leaves – could reach seven figures, although the average cost is closer to $400,000. The report also highlighted personality traits that reflect the likelihood that those with higher levels of resilience, empathy, initiative and sociability are more likely to leave the profession. In breaking down practice areas, the report found that M&A specialists are more comfortable with risk while those involved in trusts and estates may not enjoy teamwork. Interestingly given the frequent occurrence of lateral hiring, the report concludes that the book of business that a hire brings with them is rarely as good as either the hiring firm or the lawyer being hired believes it to be.
US-UK firms commit to pro-bono
Some of the world’s most recognisable law brands have committed to a new collective pro-bono agreement in the UK. Firms including Allen & Overy, Ashurst, Clifford Chance, DLA Piper and Herbert Smith Freehills are among the twenty from the US and UK that have agreed to 25 hours of pro-bono per fee-earner per year; collectively the firms have around 10,000 fee earners.
Latham & Watkins hires O’Melveny & Myers team
A team of six partners is joining Latham & Watkins in the UK and US having been hired from O’Melveny & Myers. The hires from the entertainment, sports and media practice include Libby Savill who launched Latham’s UK media practice when she joined two years ago.
Lawyers prepare to launch litigation against fined banks
US and UK regulators have fined five large banks a combined total of US$6.4 billion for rigging key foreign exchanges, which is now set to trigger multiple lawsuits. Foreign investors, pension funds and foreign exchange houses are among those who have been planning their litigation for the last two years.
Indian and Japanese lawyers share knowledge
Lawyers from India and Japan are undertaking regular exchanges in order to better understand each other’s jurisdictions. The legal profession in both countries shares some similarities; most notably that both have fewer in-house lawyers than some other countries, meaning a greater need for external law firms. Foreign lawyers are not able to practice domestic law in India but these exchanges are educational rather than operational.