JD Journal » Cadwalader Wickersham & Taft

Justice Schweitzer Refuses To Accept Cadwalader’s Request To End Law Suit Regarding Decade Old Loan Advice

chelsei — Thu, 19 Jan 2012 18:50:25 +0000

Cadwalader Wickersham & Taft gave advice to a securities company in Japan in the 1990s regarding the safety of commercial loan investments. According to a state judge, this legal malpractice claim may end up moving forward. Despite the fact that a decade and a half has passed since the incident, justice may still be seen for those victim to this malpractice.

Cadwalader motioned to dismiss the claim, but it was rejected by Melvin L. Schweitzer, the acting Supreme Court Justice. Cadwalader stated that factual, triable issues still remain regarding the handling by the firm of several commercial loans, totaling nearly $1.8 billion, in 1997.

Justice Schweitzer said, “From a REMIC standpoint, Cadwalader had in its files a document that contained certain information about the DHT, [the hospital], particularly the $40.6 million cost based value which brought the loan periously close to the 80 percent test, and which indeed could be viewed as a red flag that this loan needed to be further securitized for REMIC-eligibility.”

The judge added that a jury may come to the conclusion that, under the circumstances, the loan was prudent. Regardless of the outcome, the questions is an issue that a jury needs to decide. Ignoring this fact would not allow for justice to be served. Therefore, regardless of all the time that has passed, a jury will come together and hear the evidence brought forth in this case.

Cadwalader contended that in 1997 is was universal practice for the firm to solely rely on its attorneys to scrutinize and set appraisals for properties. The lender, according to Cadwalader’s contention, did this instead of directly hiring a law for to counsel its clients about the investment.

This contention was rejected by Justice Schweitser. He found that the testimony contradicted itself regarding the obligations a firm has on the advisement of clients, and about the REMIC’s guideline adherence to securitizing. The Justice said, “When all of this evidence is viewed in the light most favorable to Nomura, there is no doubt that triable issues of fact have been raised requiring that a jury view all of this and come to its own conclusion.

David R. Mariott, a Cadwalader represenative from Cravath, Swaine & Moore, shared his disappointment of the ruling. However, he refused to comment any further, including any statement about the firm’s possibility of appeal.

Nomura’s attorney, Amianna Stovall of Constantine Cannon, declined to comment.

A status hearing has been scheduled by Justic Schweitzer for February 7.

Pillsbury Winthrop Shaw Pittman Hire Three Bankruptcy Partners from Cadwalader

jim — Wed, 18 Jan 2012 19:31:03 +0000

The law firm of Pillsbury Winthrop Shaw Pittman announced that it has grabbed three bankruptcy partners from the firm of Cadwalader Wickersham & Taft. The group of three includes former financial restructuring co-chair Deryck Palmer of Cadwalader. The other two partners joining Palmer include Andrew Troop and Christopher Mirick. All three of the partners will be based in New York.

Palmer joined Cadwalader in March of 2007 from Weil Gotshal & Manges, a move that Palmer made along with Troop and Weil partners George Davis and John Rapisardi. Palmer became the co-chair of the law firm’s bankruptcy group alongside Bruce Zirinsky, who left the firm in June of 2009 for Greenburg Traurig.

Palmer served as one of the lead counsels for the U.S. Treasury in the restructuring of General Motors. He also represented the Detroit school system in its restructuring and was in charge of the team from Cadwalader that worked on the LyondellBasell Chemical bankruptcy case. During the Lyondell case, Cadwalader pulled in $90 million in legal fees and expenses. Palmer billed at $1,050 per hour, Troop billed at $850 an hour, and Mirick billed at $700 an hour.

James Rishwain, the chairman for Pillsbury, said that the firm has wanted to bolster its insolvency practice in New York for quite some time now. He said the group of partners “are an elite, dynamic group, and position us to compete to secure the most significant bankruptcy and insolvency matters that arise in the country.”

“It was a competitive landscape to get them,” he says. “They were highly pursued by many firms.”

Palmer claims that he was drawn to Pillsbury’s focus on real estate, health care, and energy matters.

“That’s not meant as a comparison to any other firm,” says Palmer. “Pillsbury is a firm that’s up and coming, and it’s exciting to be involved in a firm that’s growing and expanding its platform.”

“Apollo Health Street announced that they’ll be coming over [to Pillsbury],” he says. “I’m sure there will be others.”

In 2010, Cadwalader had average partner profits of $2.39 million compared to average partner profits of $1.05 million for Pillsbury in 2010. Palmer said that there is no concern with the money gap for him.

“If you’re looking at things long term, which I am, [Pillsbury] provides an exciting opportunity for me to do challenging work and to be compensated fairly.”

Palmer, Mirick, and Troop were wished well by a statement released by Cadwalader that also thanked them for their service. The firm appointed George Davis as co-chair of the financial restructuring group along with Palmer and Rapisardi two weeks ago, which was perhaps a pre-emptive strike to Palmer leaving.

“We have a huge focus on New York, and we’ve done a really solid job of positioning ourselves there,” says Rishwain. “I think we’ve elevated our group across all fronts.”

Orrick, Herrington & Sutcliffe LLP Adds Five Partners to NY Acquisition Finance Practice

rebneely — Thu, 13 Oct 2011 10:33:03 +0000

In recent days, the law firm of Orrick, Herrington & Sutcliffe LLP announced that five bank finance and high yield partners have joined its existing New York acquisition finance practice.

The partners include Ronan M. Wicks and Patrick J. Flanagan, formerly partners at Milbank, Tweed, Hadley & McCloy LLP in New York, Bruce Czachor, formerly a partner at Shearman & Sterling LLP in New York, Julian S.H. Chung, formerly a partner at Cadwalader, Wickersham & Taft LLP in New York, and Jason D. White, head of the leveraged and high grade finance and credit restructuring practices in the Americas for the legal department of Barclays Capital.

The partners have joined Orrick’s acquisition finance practice group; Ronan Wicks will serve as global co-head.

Wicks, Flanagan, Czachor, Chung and White regularly represent a cross section of major investment banks in sophisticated financing and restructuring transactions involving financial sponsors, leveraged corporates and investment grade companies. Clients have included Barclays Capital, Goldman Sachs, Credit Suisse, Morgan Stanley, Citibank, and Bank of America.

Orrick’s client base of financial institutions accounts for over one-third of the firm’s total revenues. With the addition of these partners, the firm has added significant acquisition finance capability to its leading financial institution practices in the areas of project finance, infrastructure finance, structured finance, public finance, capital markets, tax, and litigation.

Ralph Baxter, Chairman and CEO of Orrick was quoted as saying in a press release at the firm’s website: “We are delighted to assemble this team of leading practitioners in the area of acquisition finance. This move adds another strong dimension to our representation of major investment banks and financial institutions, both in New York and globally.”

Ralph Baxter has held the position of Chairman and Chief Executive Officer of Orrick, Herrington & Sutcliffe LLP since 1990. Under his leadership, the firm has become known as an innovator, and has expanded, diversified and extended its geographic reach, as well as launched a variety of transformative initiatives, including the firm’s new talent and pricing models.

Recognized as one of America’s “100 Most Influential Lawyers” by The National Law Journal, Baxter speaks frequently on business leadership and the evolution of the legal profession. He is the founder of the Law Firm Leaders Forum, one of the most significant gatherings of law firm leaders annually examining critical issues facing the legal profession.

A leading global law firm with offices spanning the United States, Europe and Asia, Orrick, Herrington & Sutcliffe LLP has over 1,200 lawyers across 23 offices and 8 countries, and offers practices of the highest quality, including a mix of transactional, litigation and regulatory expertise.

Chambers & Partners ranks Orrick’s lawyers and its practices among the world’s finest. The 2011 Chambers Global profiles Orrick’s strengths across 37 practice areas and 11 markets, and names 60 Orrick lawyers as leading practitioners worldwide. Law 360 recently named Orrick among its “Global 20,” a list of the most successful firms as measured by US and international expansion and results achieved for clients. As well, The Financial Times includes Orrick on its list of the most innovative U.S.-origin law firms, recognizing the firm’s finance and litigation work.

Prominent European Competition Attorney Joins Cadwalader; Will Manage Firm’s New Office in Brussels

rebneely — Thu, 28 Apr 2011 10:38:54 +0000

Alec J. Burnside, a prominent European competition attorney, will join as a partner at Cadwalader, Wickersham & Taft LLP.

Burnside will open and manage Cadwalader’s new office in Brussels.

W. Christopher White, Chairman of Cadwalader, Wickersham & Taft was quoted as saying in a press release at PR newswire: “Alec is recognised as one of the leading competition lawyers in Europe. His attraction to Cadwalader and our investment in him and the opening of an office in Brussels reflect a mutual commitment to fielding the finest global antitrust team practicing today. We welcome him to our Partnership.”

Burnside focuses his practice in EU competition law. Over the past twenty years, he has practiced across a broad range of competition law disciplines. He has regularly worked on high-profile cases with implications for global industries, governments and blue chip corporations.

He is a highly sought after expert in merger clearances, cartel defence, state aid and abuse of dominance with deep sector expertise that spans a wide variety of industries, including financial services, IT, consumer products, energy, and natural resources.

Rick Rule, head of the Antitrust group at Cadwalader was quoted as saying: “To be able to bring on board a solicitor of the calibre of Alec Burnside is a game changer for our global antitrust group. Our ability to service our international corporate clients has just been strengthened considerably and we look forward to growing this global practice.”

Mr. Burnside’s recent and leading transactions include advising Microsoft on its acquisition of Yahoo!’s search function, and SmithKline Beecham on its merger with Glaxo.

Established in 1792, Cadwalader, Wickersham & Taft LLP is one of the world’s leading international law firms.

McDermott Will & Emery Joins Firms to Offer Employees Tax Offsets for Domestic Partner Health Benefits

marvins — Tue, 14 Dec 2010 00:48:03 +0000

McDermott Will & Emery LLP, a premier international law firm, was the latest firm to provide a tax gross-up payment for its employees in same-sex domestic partnerships beginning in 2011. The new benefit will reimburse their gay employees for the tax liability they incur when they elect to add domestic partners to their health benefits plans. McDermott Will & Emery will now allow their gay employees to get health benefits for their domestic partners without being taxed on the value of their partners’ medical, dental and vision benefits, unlike the previous industry practice. McDermott Will & Emery joined the ranks of other law firms who also adopted the same policy previously such as Cadwalader, Wickersham & Taft and Linklaters and recently, Morrison & Foerster LLP.

Peter Sacripanti, the New York-based co-chair for McDermott, said that this recent decision was the right thing to do and a move toward the right direction. “This is something we think is important.” He also revealed that McDermott has been offering benefits to the same-sex couples since 2002 because about 2% of their lawyers and 3% of their staffs have openly identified themselves as gay. He added: “By law firm perk standards—where associate bonuses at top New York law firms are hitting $7,500 to $35,000 this year—the amounts involved in the gross up to lawyers and staff is relatively small. Regardless, the benefit will have an immediate effect on McDermott employees.”

D’Arcy Kemnitz, the executive director of the National LGBT Bar Association, said that the adoption of this policy is now becoming popular throughout the entire US. “Law firms are now adopting the benefit in response to announcements by corporations who are potential clients to show they welcome diversity. It’s picking up steam.”

The National Association for Law Placement reported that around 1.88% of lawyers in law firms identified themselves as LGBT based on November’s record. This number was up slightly from last year’s tally. But the total number of all LGBT lawyers fell to over 2.8%, which was equivalent to 2,137.

Morning Roundup

joshua — Thu, 21 Oct 2010 22:59:20 +0000

Good morning everybody! Today is Friday, October 22nd. Here’s a quick look back at yesterday’s stories.

UK-based Simmons & Simmons, which cut off merger talks with U.S.-based Mayer Brown this summer, is still considering entering the U.S. market through a merger with a U.S. firm…

The partnership of Jones Walker re-elected William H. Hines as managing partner of the firm…

Schiff Hardin added three attorneys to its environmental practice…

Tracy E. Miller, a prominent health care lawyer, joined Cadwalader, Wickersham & Taft LLP…

Greenberg Traurig Attorney Nelson Migdal will lead distressed hotel symposium…

Eversheds was named Europe’s ‘Most Innovative’ law firm…

Prominent Healthcare Attorney Joins Cadwalader, Wickersham & Taft

joshua — Thu, 21 Oct 2010 17:54:14 +0000

Tracy E. Miller, a prominent health care lawyer, has joined Cadwalader, Wickersham & Taft LLP as a member of the Corporate Department in the New York Office.

Ms. Miller focuses on health care governance and regulatory affairs, including Board fiduciary matters, conflicts of interest, compliance, and health care quality. As the former General Counsel of a health system of hospitals and nursing homes, she has experience advising CEOs and Boards of Directors of health care organizations. She has also directed legal work in key areas to advance compliance and quality, achieve health system reorganization, and meet the operational needs of health care providers.

In the press release at the firm’s site, Paul Mourning, a corporate partner in the Health Care, was quoted as saying: ”Tracy’s arrival strengthens our practice in so many ways. Not only has she played a leadership role in health care policy and practice, but she is a terrific person who will be an indispensible player on our team.”

Before joining Cadwalader, Ms. Miller served as Executive Director of the Center for Health & Pharmaceutical Law and Policy at Seton Hall Law School. There, her work focused on conflicts of interest in the relationship between industry and medicine. From 2002-2007, she served as General Counsel of the Catholic Health Care System. Ms. Miller is also the former Vice President of Quality and Regulatory Affairs at the Greater New York Hospital Association and the founding Executive Director of the New York State Task Force on Life and the Law, a 25-person task force convened by then Governor Mario Cuomo to devise law and policy on issues posed by medical advances. Ms. Miller has authored numerous articles in the health care field and has been a frequent speaker at national and state medical, legal, and civic organizations. She received her undergraduate degree from Brown University magna cum laude, and her J.D. from Harvard Law School, cum laude.

Established in 1792, Cadwalader, Wickersham & Taft LLP is one of the world’s leading international law firms, with offices in New York, London, Charlotte, Washington and Beijing. Cadwalader serves a diverse client base, including many of the world’s top financial institutions, undertaking business in more than 50 countries on six continents.

Morning Roundup

joshua — Wed, 22 Sep 2010 16:19:41 +0000

Good morning everyone! Today is Wednesday, September 22nd. Here’s a quick recap of yesterday’s stories.

Dinsmore & Shohl welcomed former Deputy General Counsel for EPA…

A former Kennedy Chief of Staff Returned to WilmerHale…

A Thompson Hine Partner was reappointed to the Cincinnati State Technical and Community College board of trustees…

A Greenberg Traurig partner was named co-chair of the ABA Committee…

Cadwalader announced the launch of the Cadwalader International Law and Litigation Center…

48 Winstead PC Attorneys were selected as Texas Super Lawyers…

Cadwalader Announces Launch of International Legal Center

joshua — Tue, 21 Sep 2010 15:00:59 +0000

Cadwalader, Wickersham & Taft LLP proudly announces the launch of the Cadwalader International Law and Litigation Center, an on-line hub of information and perspective on topics and trends in international law and litigation practice.

The Center offers a variety of in-depth information through a regularly updated eBook, a practitioner’s Blog, current news in law and practice and unique insight from the vantage of highly accomplished specialists actively participating in the development of law and policy in the field.

In the press release at PR Newswire, Louis Solomon, Co-Chair of Cadwalader’s Litigation Department and Director of the new Center, was quoted as saying: “As our markets have gone global, so too are the demands and complexities of cross border legal practice and international litigation. The pace of change is breathtaking, requiring constant attention to capture the many developments in this diverse field. For businesses of all stripes, globalization has exposed gaps in legal protection as it has encouraged new means of redress. Understanding risk and opportunity requires constant vigilance in the field. The creation of this International Law and Litigation Center is a mechanism to stay vigilant and to disseminate the latest developments in the law and the opportunities they create for our clients and colleagues.”

The International Legal Center is online at http://www.internationalpractice.org.

Established in 1792, Cadwalader, Wickersham & Taft LLP, is one of the world’s leading international law firms, with offices in New York, London, Charlotte, Washington and Beijing. The firm serves a diverse client base, including many of the world’s top financial institutions, undertaking business in more than 50 countries in six continents.

Practice Head Leaves Shearman & Sterling for Dechert

joshua — Tue, 03 Aug 2010 17:09:13 +0000

Dechert, llp

Dechert LLP announced Tuesday that M. Holland West, formerly the head of Shearman & Sterling’s private equity and derivatives practice, has joined the firm’s New York office as a partner in its financial services practice group.

According to a firm press release, West brings significant experience in derivative, structured product, capital market, and commodity matters, including development, structuring, and execution of complex financing, derivative, and securitization products. West additionally provides clients with product development and transaction assistance and regulatory, risk management, and compliance counseling.

Prior to Shearman & Sterling, West was a practice head at Cadwalader, Wickersham & Taft and an assistant general counsel at Goldman Sachs.

“Holland’s three decades of experience as a Wall Street lawyer adds to our already deep bench of talent in numerous financial services disciplines,” Dechert Chairman Barton J. Winokur said. “This is a historic time for the financial services industry, which is facing unprecedented changes, challenges, and opportunities. Holland’s capabilities and background will be of great benefit to our clients as we assist them in adapting their businesses to the evolving structural and regulatory framework.”

With offices throughout the United States, Europe, and Asia, Dechert LLP is an international law firm focused on financial services and asset management, corporate and securities, tax law, business restructuring and reorganization, complex litigation and international arbitration, life sciences, labor and employment, intellectual property, and finance and real estate.

Morning Roundup

joshua — Wed, 14 Jul 2010 10:47:10 +0000

Good morning everyone! Today is Wednesday, July 14th. Here’s a quick recap of yesterday’s stories.

DLA Piper was ranked first by deal volume in global mergers and acquisitions in the first half of 2010…

A Cadwalader partner earned M&A Advisor Honor…

Reed Smith added four partners to its energy group…

Brownstein added two new partners to its practice…

The Senate Judiciary Committee delayed a preliminary vote on Supreme Court nominee Elena Kagan…

The Gibson law firm introduced a BP claims service…

Former U.S. Senator and HUD secretary Mel Martinez left DLA Piper for JP Morgan Chase & Co…

Morning Roundup

joshua — Thu, 08 Jul 2010 11:32:39 +0000

Good morning everyone! Today is Thursday, July 8th. Here’s a quick look back at yesterday’s stories.

Cadwalader named a new co-chair of its Litigation Department…

Former U.S. Sen. John E. Sununu, R-N.H., joined Akin Gump Strauss Hauer & Feld LLP…

The World Economic Forum named Greenberg Traurig’s James Bacchus to its Global Agenda Council on Trade…

McKool Smith added three attorneys to its Bankruptcy Practice…

Chadbourne & Parke announced it would open an office in Sao Paolo, Brazil…

Dykema Gossett PLLC hired marketing expert…

Head of Simpson Thacher & Bartlett’s global M&A team,will leave to become chief legal officer of The Blackstone Group…

Donovan & Yee LLP added two partners…

Morning Roundup

joshua — Wed, 23 Jun 2010 13:03:52 +0000

Good morning everyone! Today is Wednesday, June 23rd. Here’s a quick look back at yesterday’s stories.

Baker & McKenzie formally parted ways with 11 of its 12 re-deferred associates…

Cadwalader earned top honors at the Global M&A Network Turnaround Atlas Awards in Chicago…

Sidley Austin’s Ronald Flagg was awarded the 2010 Vincent E. Reed Award…

Dewey And LeBouef’s D.C. office filed a friend of the court brief on behalf of the Mexican government…

Greenberg Traurig is counseling Valeant Pharmaceuticals in a merger deal with Biovail…

Ross E. Eichberg joined Nixon Peabody as a partner in the firm’s D.C. office…

Sidley Austin announced that Thomas W. Albrecht will assume the responsibilities of managing partner for the Asia Pacific region…

A wide-ranging Altman Weil survey offered perspective on a multitude of issues facing law firms today…

Blank Rome added three attorneys to its Government Relations group in Washington, D.C…

Cadwalader Cleans Up at Atlas Awards

joshua — Wed, 23 Jun 2010 01:05:38 +0000

Cadwalader Wickersham & Taft’s advisory work on the General Motors bankruptcy reorganization was among several transactions the firm earned top honors for at the Global M&A Network Turnaround Atlas Awards in Chicago.

In addition to the GM restructuring, which was named the Chapter 11 Reorganization of the Year ($5 billion plus), the firm also took the Special Situation M&A Deal of the Year ($500 million plus) for their work on the reorganization and sale of Chrysler to Fiat S.p.A.

Leading the Cadwalader team on those deals was John Rapisardi, the firm’s financial restructuring department co-chair, who represented the U.S. Department of Treasury and Presidential Auto Task Force.

Also winning for Cadwalader was the Landsource Communities Development LLC transaction, which was named Chapter 11 Reorganization of the Year ($1 billion plus); the pre-packaged Chapter 11 Reorganization of the Year ($1 billion plus) for CIT Group; and the Delphi Corporate Turnaround Deal of the Year ($5 billion plus).

Cadwalader, again led by Rapisardi, advised the U.S. government on CIT and Delphi.

Cadwalader, Wickersham & Taft LLP, established in 1792, is one of the world’s leading international law firms, with offices in New York, London, Charlotte, Washington and Beijing.

Cadwalader Gains DLA Piper Practice Head

joshua — Thu, 22 Apr 2010 19:32:00 +0000

Drew G.L. Chapman, who served as head of DLA Piper’s alternative asset management group in New York, has left the firm for Cadwalader, Wickersham & Taft, where he will serve as a partner in the firm’s corporate department.

Chapman is a prominent alternative investment, asset management and securities industry attorney whose clients include some of the world’s largest and best known hedge funds, private equity funds and management firms, Cadwalader said in a press release. His practice focuses on transactions of all types, including mergers, acquisitions, dispositions, fund formation, restructurings and activist investing.

“There is a significant opportunity at the upper end of the legal services industry to create a holistic practice representing hedge funds and other alternative asset managers on their most complex matters,” he said. “I am excited to be at Cadwalader, where I am among sophisticated, experienced and creative legal talent that can provide deal-focused, high-intensity commercial counsel for the global alternative asset management industry.”

Cadwalader was founded in 1792 and has offices in New York, London, Charlotte, Washington and Beijing.

Cadwalader Earns Two Communitas Awards for Pro Bono Work

joshua — Tue, 20 Apr 2010 22:20:09 +0000

Cadwalader, Wickersham & Taft has been honored with a pair of Communitas Awards for excellence in community service and corporate social responsibility, the firm said in a press release.

The firm was recognized for two of its longstanding pro bono programs, Working with Immigrants and the Not-For-Profit Incubator. The Communitas Awards, an outgrowth of the Association of Marketing and Communication Professionals (AMCP), is an international effort to recognize businesses, organizations and individuals “that are changing how they do business to benefit their communities,” according to its Web site.

In its Working with Immigrants program, Cadwalader brings legal services to “marginalized groups.” The firm has worked in the areas of asylum, Special Immigrant Juvenile Status and Violence Against Women Act Self-Petitions.

Under the umbrella of the Not-for-Profit Incubator, Cadwalader attorneys have incorporated, advised, and obtained tax-exempt status for dozens of not-for-profit organizations.

“We are proud that our organization and our talented attorneys have been recognized as Communitas winners,” said Christopher White, the chairman of Cadwalader. “We hope that by giving our time, skills, and resources, we help benefit and enrich not only the individuals who require our legal assistance but our communities as a whole.”

Cadwalader, Wickersham & Taft was established in 1792 and has offices in New York, London, Charlotte, Washington and Beijing.

Law Firms Dealing With Mandatory Retirement Policies

joshua — Mon, 19 Apr 2010 17:30:42 +0000

The recent discrimination suit filed by the Equal Employment Opportunity Commission against Kelley Drye & Warren because of its mandatory retirement policy has brought the controversial mandate back into focus. The Washington Post touched on the subject in a report out Monday.

In the story, Greenberg Traurig partner Leslie Corwin called the provision “one of the biggest issues facing the legal profession and other professional service firms today.”

When the American Bar Association recommended law firms end mandatory retirement policies back in 2007, several firms heeded the advice, according to the report, including Cadwalader Wickersham & Taft, Dewey & LeBoeuf, Pillsbury, and K & L Gates. Kelley Drye joined the ranks last week when it announced it had dropped its mandatory retirement policy in the face of the EEOC lawsuit.

According to the report, only 38 percent of firm leaders who have set retirement ages felt it should be enforced. The story goes on to note industry experts believe firms are liable “to pay the price when partners forgo retirement benefits to defect to competing firms and take their clients with them.”

The New York Law Journal lists several New York firms that still have mandatory retirement. They include Cravath, Swaine & Moore, which has a retirement age of 65; Weil Gotshal & Manges has 68 as its mandatory retirement age; Paul Weiss lists the age at 70; and at Willkie Farr, the age is 65.

U.S. Firms Scale Back London Recruitment According to New Survey

sara — Fri, 26 Feb 2010 15:54:35 +0000

A new survey conducted by “Legal Week” finds that lateral partner hiring by U.S. firms in London fell to its lowest level last year since 2004. Hiring trends at 37 of the biggest U.S. and trans-Atlantic firms show that just 59 lateral partner moves were made in 2009. Many firms were reluctant to expand with a continuing global recession. This figure is a decline of 2008 recruitment levels when there were 77 lateral partner hires, the highest since 2005 (when there were 80).

Greenberg Traurig was responsible for a quarter of all partner hires by U.S. Firms in London last year. Minus Greenberg Traurig’s 15 partner appointments there were just 44 new hires across all remaining firms. The most active firms after Greenberg were Paul Hastings Janofsky & Walker, which hired 8 partners, including a 7 partner team from Cadwalader Wickersham & Taft . Other firms making lateral moves included Mayer Brown and Reed Smith, making five each.

Cadwalader Profits per Partner Increase By 28%

sara — Wed, 20 Jan 2010 16:18:02 +0000

Cadwalader, Wickersham & Taft reported a 28% increase in profits per partner for 2009, marking the first per partner increase for the firm since 2007. However, this increase may be attributed to an almost 21% loss in the number of equity partners in the firm and massive associate layoffs. Cadwalader had 61 equity partners at the end of August 2009, compared to 77 a year earlier.

Gross revenue dropped 10% while net icome increased 1.38% to $147 million. The firm reported gross revenue of $456.5 million for 2009. In 2008 the firm announced the layoffs of 131 associates. In early 2009 a further 25 lawyers received layoffs and in July 2009 34 lawyers were offered a one-year sabbatical. Cadwalader reported 457 lawyers at the end of August 2009, down 12.6% from a year earlier when they had 523.

Cadwalader, Wickersham & Taft was founded in New York City in 1792 and is one of the worlds leading financial law firms. Its practice includes the areas of capital markets, bankruptcy, real estate, insurance and income tax. It has offices located in New York, London, Washington, D.C., Charlotte and Beijing.

AmLaw: Cadwalader Still #1 for Layoffs

Erik Even — Tue, 11 Aug 2009 22:20:22 +0000

The American Lawyer has updated its list of AmLaw 200 law firms by percentage layoffs since January, 2008. More than 3,067 attorney jobs have been cut, or 2.75%.

Here are the top five, as of today:

Cadwalader Wickersham & Taft: 36.3%
Dechert LLP: 14.6%
Orrick Herrington & Sutcliffe: 14.3%
McKee Nelson: 13.3%
White & Case: 13.0%

Cadwalader Offering Contract Work for Associates on Sabbatical

Erik Even — Fri, 31 Jul 2009 16:26:29 +0000

Earlier this month, Cadwalader told 34 junior associates they could accept a one year, unrestricted sabbatical. or leave the firm.

Now the firm has announced it is offering the laid off associates jobs with the firm, as contract lawyers. The jobs would pay between $45 and $65 per hour.

In May, Cadwalader was the number one AmLaw 200 firm in layoffs.

Cadwalader, Wickersham & Taft LLP is the oldest continuously-operated law firm in the United States. Established in New York City in 1792, Cadwalader is now one of the leading financial law firms in the world. It has offices in London; Charlotte, North Carolina; Washington, DC; and Beijing, China.

Cadwalader Offers Sabbaticals to 34 Associates

Erik Even — Tue, 07 Jul 2009 19:12:45 +0000

Cadwalader, the AmLaw 200 firm that leads in percentage laid off, has asked 34 junior associates to accept a one year, unrestricted sabbatical.

The sabbaticals target lawyers in the Capital Markets and Real Estate Finance groups in New York and North Carolina. Participating lawyers will get one-third of their current compensation, plus medical benefits.The firm intends to rehire these associates after a year, but no guarantees are being made.

Those who turn down the sabbatical option will get three months full severance.

A committee of partners and senior administrators will attempt to place these lawyers with clients, prospective clients, and not-for-profit organizations.

AmLaw: Cadwalader #1 for Layoffs

Erik Even — Fri, 22 May 2009 18:58:17 +0000

The American Lawyer has assembled a list of AmLaw 200 law firms by percentage layoffs since January, 2008. More than 2,900 attorney jobs have been cut, or 2.62%.

Here are the top five, as of today:

Cadwalader, Wickersham & Taft: 29.8%
Orrick, Herrington & Sutcliffe: 14.3%
McKee Nelson: 13.3%
White & Case: 13.0%
Dechert LLP: 11.8%

March 9th Worst Day for Law Firm Layoffs So Far

Erik Even — Tue, 10 Mar 2009 16:32:48 +0000

Despite the fact that February 12th is still known as Black Thursday and generally considered the worst day for law firm layoffs since the economic meltdown began, the truth is it’s only the third worst day to date.

Yesterday, March 9th, had the largest number of single day layoffs: White & Case announced 400 layoffs (although the victims have yet to be informed), Morgan Lewis cut 216 and K&L Gates cut 121.

Total: 737.

January 29 was the second worst: Linklaters (270), Morrison & Foerster (201), Ropes & Gray (106), Fish & Richardson (70) and Clifford Chance (5).

Total: 652.

And the widely lamented Black Thursday: Holland & Knight (243); DLA Piper (180); Goodwin Procter (74); Bryan Cave (58); Epstein Becker (53); Dechert (19); and Cadwalader (16).

Total: 643.

Many Firms Involved in LyondellBasell Bankruptcy Proceedings

Erik Even — Thu, 26 Feb 2009 05:06:16 +0000

In the wake of chemical giant LyondellBasell filing for Chaptel 11, several top firms in the United States and the United Kingdom find themselves involved.

Cadwalader Wickersham & Taft has secured a leading role for the company in the US, with financial restructuring group heads Deryck Palmer and John Rapisardi leading the team. In the UK, LyondellBasell has procured Clifford Chance for advice. That team is led by the head of restructuring, Mark Hyde.

Creditors involved in the case, both in the US and the UK, have secured firms such as Freshfields Bruckhaus Deringer, Ashurst, Simmons & Simmons, Bingham McCutchen, Latham & Watkins and Milbank Tweed Hadley & McCloy.

Lyondell Chemical, the company’s US arm, filed for Chapter 11 in January. It did not include most of the groups operations in Europe. The decision was made to avoid having the company’s European assets liquidated.

Ashurst head of restructuring Nick Angel said: “As a generalization, an insolvency process almost anywhere in the world is to be avoided because it damages value. This is especially true where you have the prospect of different insolvency processes in different countries but it is less true for the US, where Chapter 11 processes are more readily accepted.

“What has happened here illustrates the difficulty in dealing with international groups because Chapter 11 will not be recognized throughout the world and there is no alternative worldwide process for insolvency.”

Report: Women Still Not Making Partner

Erik Even — Tue, 24 Feb 2009 22:48:42 +0000

According to a report released by the San Francisco-based Project for Attorney Retention, which surveyed 100 American law firms, only 23 of those firms had partnership classes consisting of at least 40% women in 2008.

Fourteen of the 100 firms did not include any women.

The survey included 100 law firms, which were chosen based on prior years’ surveys, firm size, reputation, and availability of information.

From the report:

The best: Cravath (67%), Dickstein Shapiro (67%), Wiley Rein (60%), Andrews Kurth (57%), Bryan Cave (56%), Arent Fox (50%), Baker & Daniels (50%), Hogan & Hartson (50%), Holland and Hart (50%), King & Spalding (50%), Luce Forward (50%), Simpson Thacher (50%), and Sullivan & Cromwell (50%). A special mention goes to Farella Braun, whose only new partner is female (100%).

The worst: None of the following firms made a female partner this year: Cadwalader, Cleary Gottlieb, Dechert, Foley Hoag, Kaye Scholer, Lowenstein Sandler, Milbank, Schulte Roth, Steptoe, Strook, Venable, Wachtell, White & Case, and Wilkie Farr.

PAR is an initiative of the Center for WorkLife Law at the University of California Hastings College of the Law.

Breaking: Cadwalader to Sue Departing Partners

Erik Even — Tue, 27 Jan 2009 20:03:09 +0000

Cadwalader, Wickersham & Taft has threatened seven departing London partners with legal action for breaching their partnership agreement.

The partners, Karl Clowry, Conor Downey, Michelle Duncan, Justin Jowitt, Tom O’Riordan, Christian Parker and Charles Roberts, announced their mass walkout on January 14th. They are headed to rival US firm Paul, Hastings, Janofsky & Walker.

Through London firm Lewis Silkin, Cadwalader presented the team with letters before action, alleging that they have breached the confidence terms of their partnership deed.

Under British employment law, Paul Hastings may also be obliged take on more of the Cadwalader associates than originally anticipated. Cadwalader believes all of the associates connected to the departing partners are covered by the Transfer of Undertakings (Protection of Employment) Regulations (TUPE).

There are currently 23 associates in Cadwalader’s London office and it is thought that more than half will follow the team of partners.

Simmons: You’re Hired! Wait — Can You Come Back Later?

Erik Even — Sun, 25 Jan 2009 18:46:34 +0000

Simmons & Simmons has asked its March 2009 trainees to consider deferring until 2010.

The firm offered its 17 trainees the option of starting their training in 12 months, with two trainees accepting the offer. The other 15 will begin their training in March 2009 as agreed.

Given the current economic climate, the March 2009 intake were asked if they would like to defer their start date by 12 months. There was no compulsion to do so, however. We have had a few take us up on that offer, including one pro bono arrangement which is being arranged with the help of the firm. Every trainee from the original March 2009 intake is starting on the date of their choice.

In November, Cadwalader, Wickersham & Taft revealed that none of its March 2009 trainee intake in London would be offered a position with the firm on qualification. The firm’s decision will affect three trainees.

Simmons & Simmons is an international law firm with over 2,000 people and 20 offices located in major business and financial centres throughout Europe, the Middle East and Asia. Its largest office is located in London, where almost half its legal staff are based.

Cadwalader Loses Partner; Fires Associates in New York, Charlotte

Erik Even — Fri, 23 Jan 2009 17:53:56 +0000

New York City’s Cadwalader Wickersham & Taft, America’s oldest law firm, has lost another partner from its Manhattan office as the firm cuts associates.

Mayer Brown has poached reinsurance partner and disputes specialist Clifford Schoenberg.

Earlier this month, bankruptcy partners Bruce Zirinsky and John Bae moved to Greenberg Traurig.

We reported that seven partners walked out after earnings fell 40%.

Today nine associates were fired in the firm’s New York and Charlotte, North Carolina offices. There were also salary cuts in Charlotte.

Greenberg Traurig Adds Haynes to Bankruptcy Practice

Erik Even — Sun, 18 Jan 2009 19:15:03 +0000

The international law firm Greenberg Traurig has added Nathan A. Haynes to its New York office as a shareholder in the Business Reorganization & Bankruptcy Practice group.

Prior to joining Greenberg Traurig, Haynes was with Cadwalader, Wickersham & Taft LLP where he was recently elected to the partnership.

Haynes represents debtors in Chapter 11 cases and out-of-court restructurings with a focus on the airline industry. He also represents creditors in Chapter 11 cases and is experienced in defending avoidance actions. Haynes additionally represents both sellers and bidders in bankruptcy asset sales.

Greenberg Traurig, LLP is an international, full-service law firm with more than 1,800 attorneys and governmental affairs professionals in the United States, Europe and Asia. The firm was selected as the 2007 USA Law Firm of the Year by Chambers and Partners.

Update: Cadwalader Losses Worse than Reported

Erik Even — Sat, 17 Jan 2009 20:58:35 +0000

When we wrote about seven Cadwalader, Wickersham & Taft partners walking out, we reported that America’s most elderly law firm saw profits fall 30%.

But Legal Week reports that earnings at Cadwalader fell by 40%, based on the value of shares held by partners at the firm. In 2008, equity shares were worth around $240,000, compared to just over $400,000 in 2007. The highest value a share at Cadwalader has ever reached was $452,000 in 2006.

What that means for Cadwalader partners depends, of course, on how many shares they hold. As The American Lawyer reported in September, the best-compensated partners get 10 shares, while those on the lowest end of the scale get three. So based on shares alone, a junior partner on the low end took home only $720,000 in 2008, compared to $1.2 million in 2007, and $1.36 in 2006.

A partner on the high-end of the scale could have pocketed $2.4 million in 2008, a sum that pales in comparison to the $4.52 million he or she could have nabbed just two years earlier.

Cadwalader says its revenue in 2008 fell 13.8% to $506 million.

Two Join Greenberg Traurig’s Bankruptcy Practice

Erik Even — Wed, 14 Jan 2009 22:02:06 +0000

Another ex-Cadawalderer has landed a new gig: Bruce Zirinsky, the New York firm’s long-time financial restructuring group head, has joined Greenberg Traurig’s Big Apple office, along with long-time colleague John Bae. Zirinsky joins as co-chairman and Bae as senior member.

For over 30 years, Zirinsky has represented debtors, creditors, investors and other parties in large and complex restructurings, reorganizations, acquisitions, financings and litigation, covering a broad range of industries and issues. His was a lead role in the successful Chapter 11 reorganization of Northwest Airlines.

Bae has practiced in the bankruptcy & reorganization field for almost 20 years, working closely with Zirinsky.

Greenberg Traurig’s business reorganization & bankruptcy practice numbers 80 lawyers worldwide and is co-chaired by Keith Shapiro of the Chicago office and Mark Bloom of Miami.

The 8th largest firm in the US, Greenberg Traurig employs more than 1,800 attorneys throughout the world.

Seven Partners Walk Out of Cadwalader London

Erik Even — Wed, 14 Jan 2009 18:00:49 +0000

The London office of New York’s Cadwalader Wickersham & Taft has been rocked by the unnanounced mass walkout of seven partners to Paul Hastings.

The partners leaving the firm are Karl Clowry, Conor Downey, Michelle Duncan, Justin Jowitt, Tom O’Riordan, Christian Parker and Charles Roberts.

Although no reasons have been given for the defections, two possible motives are (1) plummeting profits for America’s oldest law firm and (2) the BBC picked a 26-year-old nobody to play the new Doctor.

The defections leave Cadwalader with just four partners in London. An insider told The Lawyer.com the move could prompt Cadwalader to shut down in London altogether:

It is understood that firm chairman Christopher White and former chairman Bob Link have flown to London from New York for crisis talks with the London partners.

Yesterday we reported Cadwalader’s 30% profit plunge, with profit per equity partner for 2008 dropping to an unliveable $1.88m.

If you have any inside info, please let us know. We’ll update this post as the situation develops.

Cadwalader Profits Plummet 30% in 2008

Erik Even — Tue, 13 Jan 2009 21:52:14 +0000

The American Lawyer reports that America’s oldest law firm, Manhattan’s Cadwalader, Wickersham & Taft, saw its average profits per equity partner fall more than 30% in 2008.

Cadwalader’s equity partners will take home average profits of a mere $1.88 million, down from $2.73 million in 2007. Revenue fell to $506 million, down 13.8%.

Rumors abounded that profits per partner might fall 50%, so there may be sighs of relief coming from partners afraid they might have to switch to the cheaper domestic caviar.

In October, consulting firm Hildebrandt International said that firms with “significant capital markets practices” like Cadwalader would likely see average drops for partner profits of 5 to 15%, “with a few firms seeing even steeper declines.”

Orrick, Herrington & Sutcliffe saw profits per partner fell 21% to $1.315 million. Thacher Proffitt & Wood is in the process of dissolving because of what it said were “severe reductions in revenue.”

Cadwalader Announces Associate Bonuses

Erik Even — Thu, 18 Dec 2008 18:25:44 +0000

Manhattan’s Cadwalader, Wickersham & Taft has announced its associate bonuses:

CADWALADER, WICKERSHAM & TAFT — MEMORANDUM — 2008 ASSOCIATE BONUSES

We are pleased to announce that the Firm will award year-end bonuses to associates and counsel as follows. Bonuses will be based on previously communicated criteria and are expected to be paid in January 2009. Associates who joined the Firm subsequent to January 1, 2008 and prior to October 1, 2008 will receive a pro-rated portion of the bonus.

Class of 2008: $17,500, prorated
Class of 2007: $17,500
Class of 2006: $20,000
Class of 2005: $22,500
Class of 2004: $25,000
Class of 2003: $27,500
Class of 2002: $30,000
Class of 2001 and prior: $32,500

Senior Attorneys, Special Counsel and Counsel bonus awards will be determined on a case-by-case basis and will be communicated shortly.

Thank you again for your efforts and contributions to the Firm and our clients. The Partners and I wish you a happy and healthy holiday season.

The numbers will look familiar to anyone who remembers Cravath, Swaine & Moore’s numbers announced in November.