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Halliwells

Author: Legal Week

14 Dec 2009 | 00:13 | 28 comments

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Overview

In July 2010 Halliwells completed the break-up and sale of its business after a month of negotiations in which two notices of intention to appoint an administrator were filed.

Before its demise, Halliwells was never short of snipers, with critics pointing variously to its high leverage, aggressive image, a tight grip historically on the equity and an issue of finding it easier to bring in recruits than to hang on to them.

The firm made a round of cuts in the City in early 2008, and suffered further woes in September 2008 when a second round of redundancies saw the firm cut 40 real estate jobs across the firm's offices in Manchester, Liverpool, Sheffield and London.

In June 2010 Halliwells filed a notice of intention to appoint an administrator, triggering a moratorium on its liabilities, and not long later the firm filed a second notice, allowing it more time to conclude deals to sell off assets to other firms in an effort to avoid going into administration.

Deals with a number of firms were approved by the court on 20 July. Hill Dickinson bought the firm's 19-partner Liverpool office and the remains of its Sheffield practice, while the London office was split between a number of firms, with HBJ Gateley Wareing and Barlow Lyde & Gilbert both taking on sizable teams.

History

Under then-senior partner Roger Lancaster, the late 1990s saw the firm double its turnover in a three-year period, launch a three-partner office in London and boost its staff numbers from 125 to more than 300, breaking the £20m turnover barrier in 1999-2000.

In 2001 the firm moved to address concerns over the tightly-held nature of its equity, with a new management duo replacing Lancaster. Paul Thomas became Halliwells' first-ever managing partner, sharing control with new senior partner Alec Craig.

However, mooted changes to rumeneration failed to materialise and litigation chief Ian Austin took over as managing partner in early 2004 following contested elections at the Manchester firm, making improved communication with the ranks a key plank of his manifesto.

Immediate changes saw the firm drop the 'Landau' to rebrand simply as Halliwells and become a limited liability partnership.

More significantly, Halliwells ditched its 'eat what you kill' system of pay - which saw partners earn widely varying amounts and ensured its top partners took home some serious wedge, even in City terms. In its place the firm brought in a modified lockstep, retaining a performance-related element, in what rivals described as a "sea-change" in culture.

In late 2004 the firm surprised onlookers by securing a merger with 16-partner Liverpool firm Cuff Roberts, marking its entry into the local market and adding around £6m a year to the combined firm's coffers.

The next year, in what Austin described as a bid to "adopt a more corporate structure", the firm ditched its 16 existing practice groupings in favour of six primary umbrella teams: employment, IP, commerce and technology; corporate; corporate recovery; trusts and estates; real estate; and dispute resolution.

In September 2009, in the wake of news that the firm had held merger discussions with Manches, Halliwells overhauled its senior management structure, with Austin taking on a newly-created position as executive chairman, and Liverpool office head Jonathan Brown chosen to succeed Austin as managing partner.

However, after the firm filed its second a notice of intention to appoint an administrator in July 2010, Austin quit to join Heatons as the Manchester firm's new head of commercial litigation.

Culture

The firm was thought of by many as agressive - pushy, even - and not averse to the kind of strategic risk-taking still anathema to many commercial lawyers today.

The 2004 pay shake-up mentioned above was certainly regarded to have had an impact, although the firm's equity was closely guarded - at the time of its 2006-07 results, the firm had just 47 equity partners from a total partnership of almost 160.

Key departments

The firm was a visible presence at all levels of the northwest deal markets, competing for corporate work against the national giants of Addleshaw Goddard, DLA Piper and Eversheds. Halliwells was also among those to have targeted the Alternative Investment Market with some success, enjoying a national profile for its work on London's junior exchange.

Its broad-based banking team was among the largest in the northwest region and is regarded as on a par with the likes of Eversheds and Hammonds. Likewise, its northwest construction and litigation teams were viewed as being at least the equal of those of the larger nationals.

Debt recovery and IP were also local strengths. However, Halliwells closed its Manchester private client team in early 2007, emulating similar moves by a number of national rivals, with its trusts and estates team subsequently overseen from Liverpool.

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COMMENTS (TOTAL 28 COMMENTS)

Genuinely a great place to work. A good mix of work on offer ranging from large blue chip instructions through to more entrepreneurial work allowing multiple skill sets to be developed.

Anonymous -18 Mar 2008 | 18:05

Thanks for that, Halliwells recruitment department.....

Anonymous -20 Mar 2008 | 16:09

Pay not great and no bonus scheme

Anonymous -20 Mar 2008 | 19:47

... and everyone I've spoken to recently is to a man/woman unhappy with management, atmosphere,work, prospects and redundancies. Very unhappy Easter Bunnies!

Anonymous -24 Mar 2008 | 21:16

The firm has a big shiny new office in Manchester but on some floors it is empty given the numbers of fee earners and support staff who have left, leading to an unhappy and disillusioned workforce who have remained.

Anonymous -28 Mar 2008 | 14:12

Also regarding the 'nice, new shiny building', I have spoken to many Halliwells employees who are hugely annoyed with the state of the temperature within the building

scallywells -04 Apr 2008 | 09:34

The pay is brilliant, when compared to a what my father was paid when he left school in the 70's

Anonymous -04 Apr 2008 | 11:06

Most of the support staff that didn't lose their jobs in the recent redundancies are now actively looking for work elsewhere. Nobody I know has a good word to say about the place.

Anonymous -04 Apr 2008 | 12:42

Everyone in the Manchester office insurance department is very worried as AIG are a big client. Recent events on world markets undermine confidence as you would expect.

Insurance insider -19 Sep 2008 | 19:12

Leeds Lawyer

Having had to listen to the hype and bluster that has emanated from Halliwells for years I find the news of their four-day week policy hilarious. They have poached a member of my team this year for a 10% pay rise and now she has to accept a reduced working week, reduced salary and lots of uncertainly just at the time in her career when she is looking to work lots of hours to build a platform that a career can be built on.

laughing out loud -28 Jul 2009 | 19:57

Having learned that Haliwells Insurance team has suffered significant defections to Plexus Law (new Manchester office no less) one has to wonder what morale is like inside Halliwells. (Good move for the Plexus 3 though). Morale must be pretty bad I'd say. How the mighty do fall.

insurance lawyer -22 Nov 2009 | 14:37

insurance lawyer is right

Insurance Lawyer is right. Morale is at an all-time low. Wonder if we will be here next year - hopefully I won't be! I just hope Plexus want to make a splash and recruit us alongside the three at the top.

landau -10 Dec 2009 | 11:27

landau - keep the faith

landau - don't panic. Even firms in as much trouble as Halliwells come out of it eventually. There might only be a few jobs left when this is all over but panic is not the answer. Having said that, Plexus seems to be on the rise with no redundancies, good prospects and a broad range of clients so keep your fingers crossed!

to landau -16 Dec 2009 | 22:28

Halliwells is a great place to work for
those that want to work hard. It's no different than any other large law firm, if not better. They say the grass is greener on the other side of the fence - until you jump, then you realise the other side is full of weeds. Love it! Great place for hard workers - no time-wasters please!

anonymous -14 Jan 2010 | 21:46

Heh!

Thanks for that, Halliwells PR department...

Anonymous -20 Jan 2010 | 16:28

Livin' the Dream

How many people have paid for the hubris of the Spinningfields office with their jobs?

Mr Grumpy -21 Jan 2010 | 10:38

I wonder if anonymous ever applied for a TC with Shoosmiths?

another anon -22 Jan 2010 | 11:02

Weeds for Gold

A few weeds here and there seems better than having to sub-let large parts of your garden for a fraction of what you are yourself paying in rent. Weeds or £25m of debt and bridging finance to pay the partners tax? Mmmmm, plenty of hard work needed to reduce the debts when you have been placed on a four-day week. Enjoy oh ye of noble causes.

Puttin the spin into Spinningfields -02 Feb 2010 | 19:11

Plexus

The new Plexus Law offices in Manchester look down onto the Halliwells offices! If ever property was a metaphor...

TIRED BOY -14 Mar 2010 | 20:27

Tired boy, from your lofty position in the Plexus tower you also look down on your clients. All the best, and good luck too to your clients. I wonder if they will also look up to you when you have taken their jobs? I'm sure there's a metaphor (or is it an analogy?) for that.

The Riddler -17 Mar 2010 | 07:21

To the Riddler

The Riddler is more of a Joker (geddit?). Riddler is clearly a Halliwells insider. The myth that Plexus want to take over every insurance company claims dept in the world is tired and old. Hats off to Halliwells for a valiant rearguard action but the war is over. H-0, P -1.

BATMAN -18 Mar 2010 | 19:30

What?

I have heard that Plexus are doing OK but what does Riddler mean when he suggests that Plexus will take their client's jobs? This would make Plexus client and lawyer. How would this pay in the short term let alone medium or long term? Sounds like sour grapes to me.

confused -19 Mar 2010 | 21:51

view from the top

I have heard that Plexus is a good place to work - the pay is just about ok, office environment just about reasonable, perks just about ok, but it is profitable and secure. That has counted for a lot over the past couple of years. The top brass are also loyal to their staff which is a real bonus. Halliwells was not that to me.

Insider -22 Mar 2010 | 17:07

Never heard of them

Why so may posts about Plexus here? So Plexus nicked a few members of staff from Halliwells. So what? Who had heard of them as individuals before they moved to Plexus? Why doesn't Wiki Ed add Plexus to the list of firms on wiki? Then we'd see just what the insiders really think instead of having to rely on postings on the wiki space of other firms! PS - is it really true that Plexus/Parabis/Cogent/Acumen/Laurus/Badhams/Rymills/Praxis/whatever is the most profitable firm in the top 500?

Confused.... -29 Mar 2010 | 22:22

Continued fall-out

I hear Mike Edge is moving to Pinsents? Who is left in their real estate department?

Anonymous -31 Mar 2010 | 16:13

to confused

Plexus is part of the Parabis group which is not the most profitable firm in the legal 500. Other firms make higher profits. But, Parabis is owned by four people who make more individually than any other lawyers, as I understand it, in partnership in firms in the legal 500. This is paid for by having loads of non-lawyer fee earners and by having few junior partners who have very little, if any, prospect of joining the junior equity ranks.

mud pie -05 Apr 2010 | 20:04

TO MUD PIE

I have no doubt that the equity partners at Plexus are multi-millionaires. At least Halliwells pay their staff properly. I wonder how morale is in Plexus Leeds now that there is a Plexus Manchester office with staff being paid 'top of the market' salaries just 40 miles away? Not good I suspect! Let's see if Plexus Leeds gets the wobbles now. From what I hear they have sold it very cheap and have piled it very high onto the back of lots of cheap fee earners who are very, very busy - good for this years' profits but not a long term model. Can they really be doing some of their work for less than £100 per file? Amazing if true.

AragonMc'r -17 May 2010 | 17:01

Bust

What is this reverse premium all about then?

Administrator -25 Jun 2010 | 22:35

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