BakerHostetler Considers Turning Partners into Shareholders
Download PDF
1 Star2 Stars3 Stars4 Stars5 Stars (No Ratings Yet)


Summary: In September the partners at BakerHostetler will vote to decide if all partners in the 930-laywer firm will have an equal stake.

The act of turning partners into shareholders is not uncommon in big law firms. In 2012 DLA Piper made a similar change and in 2013 Akin Gump Strauss Hauer & Feld LLP made the change to an all-equity system. Now Baker & Hostetler LLP is considering giving all partners an equity share.


For some law firms a partner is given voice in the operations of the firm and a salary that is influenced by the firm’s yearly profits. Sometimes being a partner means very little and comes with a salary not much higher than a senior associate. Making it so all partners are on even ground is a move that many wish to see.

Baker & Hostetler will vote in September on the proposed idea of eliminating the two-tier partnership for an equal one where all partners have an equal stake. The firm wants to make all the partners invested in the firm’s success by strengthening their culture. This change would not make all partners have the same pay but would just give everyone the same formal ownership of the company.

Just nine years ago, law firms were going in the opposite direction and creating the two-tier system. Seventy-nine percent of the country’s highest grossing firms were using a two-tier partnership system. This system helped boost a firm’s profits-per-equity-partner numbers measured by the American Lawyer publication. Firms would place their smaller-salaried partners into non-equity categories.

Get JD Journal in Your Mail

Subscribe to our FREE daily news alerts and get the latest updates on the most happening events in the legal, business, and celebrity world. You also get your daily dose of humor and entertainment!!

While a few larger law firms are trying something new to foster a more unified and invested culture in their firms, not many are looking to make the change to all-partner equity just yet.




Interesting Legal Sites You May Like




Search Now

Business Litigation Attorney

USA-CA-Santa Monica

Santa Monica office of our client seeks business litigation attorney with 1-3 years of experience. T...

Apply Now

Intellectual Property Litigation / Enforcement Associate Attorney

USA-CA-San Francisco

San Francisco office of our client seeks intellectual property litigation / enforcement associate at...

Apply Now

Corporate Attorney

USA-CA-Menlo Park

Menlo Park office of sophisticated boutique firm is seeking a corporate attorney with experience in ...

Apply Now

Mid-level Computer Science Patent Attorney

USA-CA-San Francisco

San Francisco office of our client seeks mid-level patent attorney with 3-5 years of intellectual pr...

Apply Now


Corporate / Commercial Attorney | Lebanon, NH


Downs Rachlin Martin PLLC seeks an experienced corporate / commercial attorney to join its Lebanon o...

Apply now

Executive Assistant / Office Administrator


If you have administrative support experience in the legal industry, or even paralegal expertise,...

Apply now

Associate - Mid-Level - GL Group


Defense firm seeking mid-level associate for Westchester office to fill General Liability position. ...

Apply now

Litigation paralegal


We are looking to immediately hire a responsible, highly organized, self-motivated litigation parale...

Apply now


To Top