Two recent cases on either side of the Atlantic point to one of the most crucial issues currently facing commercial law firms. Namely, how to cope with the pressures caused by ageing partnerships.
In the UK, Freshfields Bruckhaus Deringer finally emerged victorious on Wednesday (10 October) in its long-running dispute with former partner Peter Bloxham over the reform of the firm’s pension scheme. On the other side of the Atlantic, Sidley Austin last Friday (5 October) agreed to pay $27.5m (£13.1m) to 32 former partners who were demoted to counsel in 1999 when all were in their 50s and 60s. There are clear distinctions between both cases but they point to the demographic time-bomb ticking under most English and American law firms.
