How Partners Can Be Proactive During A Law Firm Merger

Law360.com, February 4, 2025

By Aebra Coe

Law360 (February 4, 2025, 4:50 PM EST) -- Many partners may feel as if they are simply along for the ride when their law firm combines with another firm, but industry consultants caution them to instead take a proactive approach to protect themselves, their clients and their practice during the

tumult of a merger.

Whether it's a smaller combination or a merger of equals, every law firm combination presents risks and opportunities to the firms themselves and also to each individual partner. Those risks and opportunities look different depending on a partner's practice area, clients and a myriad of other

factors.

While law firm management is focused on the overall success of the combined entity, they often don't have the bandwidth or ability to look out for the interests of every partner, according to Howard Cohl, a partner recruiter who also works on law firm combinations at Major Lindsey & Africa.

"At the end of the day, every partner at a law firm is essentially their own small business," Cohl said. "And it's really incumbent on them to manage their business, be proactive in doing that and not sit on the sidelines hoping that everything will come to them in a merger."

U.S. law firm combination announcements were up in 2024, with the industry logging 100 tie-ups compared to 85 in 2023. Some of the major law firm mergers announced last year include the one between 1,100-lawyer Troutman Pepper Hamilton Sanders LLP and 560-lawyer Locke Lorde LLP; the combination between global giant Herbert Smith Freehills LLP and 340-lawyer Kramer Levin Naftalis & Frankel LLP; and the combination between Womble Bond Dickinson and 230-lawyer Lewis Roca Rothgerber Christie LLP.

In those types of deals, hundreds of partners from each firm come together, each with their own individual strengths, weaknesses, practice needs and goals for the future, Cohl said. In order to navigate a combination, he advises partners to be "cognizant and proactive" both before and after the deal is completed.

On the front side, partners need to vigorously assess whether the combination is actually right for them culturally, financially and strategically — and seek out a new law firm if it is not. After that, if the partner decides to stay on board for the merger, it's their job to make sure they are advocating for themselves and their clients going forward by ensuring they are fully integrated into the combined firm, Cohl said. "The partner needs to take the lead in engaging with new colleagues," he said. "You can't sit back and wait for them to call you."

Making connections in the new firm is the name of the game, he added, when it comes to taking advantage of new potential client relationships or getting more work from existing clients as a combined entity. "What I've seen is that the best way for an attorney to have new clients introduced to them is to be the one to introduce your clients to fellow partners first," Cohl said. "Be proactive and do that. When someone sees you're looking out for them, they'll look out for you."

As partners look to make new connections at the combined firm, it's important that they first think about their skills and the value they can bring to their fellow partners, according to Jill Huse, founder of Society 54. Once they've done that, the next step is to figure out how to best communicate that value and create a narrative around what they want others to know about them, Huse said. "A merger is an internal cross-selling opportunity that a lot of people miss," she said. "We coach attorneys all the time on developing their personal value proposition so that they're delivering consistent messaging [on their practice] and can control the narrative, instead of one being created for them."

In addition to reaching out to new colleagues, partners should also plan to connect with their existing clients in order to ensure they are fully informed and comfortable with the transition from legacy law firm to combined firm, according to Jenny Swan Clearman, president at Swan Legal Search. Make sure the billing rates at the new firm are compatible with the client, make sure client support needs are met, and look into how origination works at the new firm to ensure credit will be given for that strong, preexisting relationship, Swan Clearman said.

Then, have proactive discussions with existing clients about the new opportunities that come with the combination, whether it's geographic coverage, specialized expertise or a service that used to be referred out, she said. "The goal here is staying focused on the client's success and trying to position your newly merged firm as the platform most advantageous to them," she said.

In some cases, a partner's previous analysis of whether to stay or go could change after a deal is complete, and it's something that needs to be evaluated throughout the process, according to Gary Miles, founder of Miles Partner Placement.

One simple thing to consider during that evaluation is the conflicts of interest landscape and how it could affect a partner's clients and practice. "You could be a partner who was a lifer at your firm and tremendously productive. But once talks are far enough along and a conflict arises, it can become a situation where it's, 'Thanks for your service,'" Miles said.

Partners also have to prepare themselves for "the internal landscape that is going to shift beneath their feet," Miles said, cautioning that their standing could change in the new firm in terms of leadership and the decision-making structure. Kathryn Holt Richardson of HR Legal Search urges partners at firms that are merging or recently merged to really question where the right home is for them. "Have a game plan for how to get to know people and understand who the new decision-makers are at the firm," Richardson said. "Who is making the decisions? How is compensation decided? How many people from the old firm are on committees or in leadership positions? Does the balance of power in the new firm benefit you?"

There's often a lot of exuberance surrounding a combination, but a more quiet reality is that a portion of people at both merging firms often decide it's the perfect time for them to explore the lateral market, she said. "Lawyers are very risk-averse, and mergers bring change that not everybody asked for," Richardson said. "Every partner really has to decide for themselves using their own matrix if this is best for me, for my clients, for my practice, for my future."

--Editing by Marygrace Anderson and Jay Jackson Jr.

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