THE AM LAW DAILY

SURVEYS AND RANKINGS

MAGAZINE

SPECIAL REPORTS

The Firms

May 3, 2010 11:54 AM

Hogan Lovells Begins Work

Posted by Zach Lowe

Today marks the first business day for Hogan Lovells, the newly merged firm consisting of the 2,500 Hogan & Hartson and Lovells lawyers who decided to stick around and see how this 47-office transatlantic behemoth might work out. The full integration of technology, office space, and branding will cost about $20 million, according to this story in The National Law Journal, one of our sibling publications, about the new firm.

But will it work? There is considerable skepticism among the top New York and Magic Circle firms that Hogan Lovells considers its competitors, the NLJ reports. One anonymous Magic Circle senior partner dropped this in talking with the NLJ: "I could count on one hand the number of times we have sat across the table from lawyers from either Hogan or Lovells. I don't see anything in this combination that would change that."

Ouch. That matches the attitude we've heard in conversations with partners and industry watchers: There isn't as much buzz about this merger as we had expected.

But Hogan Lovells is confident, the NLJ reports. It has 20,000 clients and about 700 litigators, and it plans to expand in both New York and London. Firm leaders also plan to eventually use a U.S.-style partner compensation system across the entire firm, ditching the traditional Lovells system which pays partners in a "modified lockstep system without merit-based bonuses," the NLJ reports. The firm will divide 85 percent of its profits among partners via a point system, with the remaining 15 percent going into a pool for merit-based bonuses, the NLJ says. The combined firm opted for the U.S.-style compensation system in part because of the experience of Clifford Chance, which lost several key U.S. partners after leaders of the newly merged firm used a lockstep compensation system for all partners, the NLJ reports.

Make a comment

Comments (0)
Save & Share: Facebook | Del.ic.ious | | Email |

Reprints & Permissions

Comments

Report offensive comments to The Am Law Daily.

The comments to this entry are closed.

By: TwitterButtons.comhttp://www.facebookloginhut.com/facebook-login/


theamlawdaily@alm.com




From the Law.com Newswire

Sign up to receive Legal Blog Watch by email
View a Sample

Advertisement