In one of the first clear signs that slumping credit markets are causing economic pain at law firms, Clifford Chance (CC) laid off six structured finance associates on Monday (5 November), writes the New York Law Journal.
John Christian, the partner in charge of the magic circle firm’s US personnel committee, said the firm had made a difficult “business decision” to lay off the six associates in a practice group that worked exclusively for credit rating agency Standard & Poor’s (S&P). The lawyers in the group had reviewed the documentation S&P used to rate mortgage-backed securities, the market for which has collapsed in recent months.
