Cards on the table, here’s what we have been able to establish about White & Case.
In late January claims started circulating among pretty well-informed people that a contingent of White & Case’s London office was unhappy with the US firm’s central management to the extent that several senior names in finance were looking to move. The highest-profile of these were co-head of banking Maurice Allen and Mike Goetz. Three firms were touted as potential homes for Allen and Goetz: Freshfields Bruckhaus Deringer, Linklaters and Herbert Smith.
Having checked the claims at considerable length (Allen has been rumoured to be leaving White & Case for the last seven years), it became clear that a number of partners were unhappy with the lack of recognition that the fast-growing London office was getting and that this dissatisfaction had grown following the appointment of Hugh Verrier as chairman. The situation worsened when London failed to win representation on White & Case’s partnership committee. Tensions were reportedly further heightened when Verrier recently set out his 100-day plan to partners and, despite acknowledging issues regarding the firm’s New York office, failed to substantively address London.
But while informal conversations had occurred between London lawyers and rivals, until late last month the message coming from disaffected partners was more about waiting six months for management to listen before rushing for the exit. Indeed, the concern voiced was more that the firm’s talented but underpaid junior partners would be the first to jump ship. But the situation has moved on rather more quickly, with Goetz and Allen set to leave for Freshfields this week.
Given the substantial success of its London office over the last two years, it is a very odd situation for White & Case to find itself in. Certainly, the firm’s claimed unwillingness to give its London office a stronger voice seems counter-productive. This is a large office in a key market and, to many minds, the jewel in a crown still a little short of gems.
For its part, White & Case responds that its success has been about giving London operational freedom, without having to run much of anything past head-office - a notable contrast to most US law firms. It is also understood that several senior City lawyers were sounded out last year about joining White & Case’s appointed central executive committee and declined as it would take them away from client work, which does undermine claims London is being ignored.
Whatever the reason for the communication breakdown, it seems an unnecessary end for all concerned.
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