Of pitches and panels: the changing face of client relationships
Recently a large Dutch law firm was sent a lengthy and probing questionnaire by a European company that it had to answer in order … read more
A partner in a single-jurisdiction European firm recently likened his practice’s current situation to the proverbial hamster running in a wheel. They found themselves caught up in a constant spin of pitching for clients’ work – and not just for new instructions. He told us that even long-standing CEO friends who formerly would have been straight on the phone after a legal matter sprang up, are frequently requesting the completion of lengthy questionnaires – demanding details on everything from suggestions on reducing costs to corporate social responsibility policy; and this is for the firm merely to be entered into the running for work. There are, the partner added, absolutely no guarantees that any will be forthcoming as a result. … read more
Jury out on EU competition court
The debate concerning the possibility of a specialist EU competition court is generating significant interest and column inches in both the legal and more generalist press. At its centre lies the growing concern that the time required to reach a verdict in appeals against European Commission decisions, in particular in relation to mergers, is simply too long to be of practical use to the business community. The issue has been brought to a head by the recent Court of First Instance (CFI) Sony/BMG judgment, and the Confederation of British Industry’s (CBI) paper calling for an EU competition court which was presciently published shortly before the Sony/BMG ruling. As the debate has grown, competition lawyers and regulators have proffered their views on a separate court – some for, fewer against – the one point on which almost all agree being that change is needed.… read more
Although Lovells’ forth-coming departure from Berlin has much to do with the nature of the local market, the circumstances surrounding the move also continue the general trend in Germany’s legal market towards mittelstand client services. … read more
There’s a lot of cash in Russia right now,” is an oft-repeated phrase among those who know the market. As the centre of an economy growing at around six per cent GDP, Moscow is now known for its BMWs and designer shops, rather than its Ladas and meagre product ranges. For law firms attracted to such a large market, this translates to an abundance of opportunities. As White & Case’s Moscow managing partner Hugh Verrier says: “Over the past five years there’s been more work every year. We’re on a very sharp trajectory.”… read more
In the last five years there has been a steady rise in the awareness and use of computer forensics in Europe and beyond. And the application of such techniques does not only affect the obvious areas, such as fraud and breaches of fiduciary duty. Increasingly we find businesses need to investigate what might best be described as ‘bad leavers’ – employees who leave and take key company information with them. In such cases computer forensic analysis can often prove vital, producing evidence that company information has been copied out electronically, even if the perpetrators try to cover their tracks. Other, simpler matters can also be investigated, such as what happened to a certain email, or where has a particular document gone? … read more
Liability of an independent asset manager in Switzerland
1. Overview In cases of losses clients usually seek relief by suing their asset managers. This essay outlines the requirements regarding the prerequisites to establish an independent asset manager’s liability in such cases. In principle, the client has to prove his loss, a breach of contract committed by the asset manager as well as causation between such breach and the loss. The asset manager may defend himself by showing that he was not at fault. … read more
Public control and restrictions on offers of debt securities in the Italian market
As many intermediaries active in the Italian financial market know, the offer in Italy of debt securities1 is subject to a preliminary control of Banca d’Italia, carried out in accordance with Article 129 of Law no. 385 of September 1, 1993, also known as the Consolidated Banking Law.… read more
The implementation of the EU transparency directive in Austria
The EU Transparency Directive (Directive 2004/109/EC; the ‘Directive’ or ‘TD’), the draft implementing Commission Directive1, the draft Commission Decision on the use by third country issuers of securities of information prepared under internationally accepted accounting standards2 and the draft Commission Recommendation on standard forms to be used for notification purposes3 will be implemented in Austrian law by an extensive amendment of the Austrian Stock Exchange Act4. … read more
US anti-terrorism actions versus EU data protection law
Two recent issues have highlighted the clash between the US and the EU on personal data transfer to the US, showing the conflicts between American anti-terrorism legislation adopted in the wake of the 11 September 2001 terrorist attacks and EU data protection law. The two cases in question concern the recent debate on a new Passenger Name Records (“PNR”) agreement between the US and the EU and the SWIFT case, in which it came to light that personal financial data was being secretly transferred from the EU to the US, potentially infringing EU data protection law.… read more
Taking the money off the table
For an industry in the business of predictions, the internet gambling sector seemed remarkably unprepared for the US administration’s decision in October to modernise the Wire Act to prevent online gambling payments. Despite the arrests and detentions of David Carruthers, the British chief executive of BETonSPORTS plc in July and that of Sportingbet’s executive chairman Peter Dicks in September (see the European Lawyer, issue 62, page 41), the industry remained confident that the proposals would run out of time on Capitol Hill. … read more
While in our previous article (see issue 55, page 49) Portuguese lawyers reported that 2005 had not been the best of years, many were confident that 2006 would be different. In particular, a raft of long-awaited PPP projects were expected to at last be set in motion and practitioners were optimistic about an upswing in corporate work. … read more
Canadian law firms are coming of age. Long regarded as primarily of local or national importance, they are increasingly claiming their role on the international stage. … read more
Faith can be a very private matter, but not necessarily one that is left at home. In the workplace, religion is an issue of significance for both workers and employers, raising a number of questions such as: What levels of legal protection exist in respect of religious discrimination? Are employers required by law to take steps enabling employees to observe their religious beliefs at work? … read more
It is now apparent to many lawyers commentating on Spain that the nation’s economy, as well as its legal market, suffer from a fundamental problem: a limit to growth, primarily in Madrid and Barcelona. While this is in itself a significant challenge, law firms are also wrestling with fierce competition – and the foreign entrants just keep on coming. … read more
The decision by Gómez-Acebo & Pombo’s management to open in London – subject to partnership approval – is testament to the UK capital’s enduring attraction as a base for European and other foreign firms. This move follows the launch of Cuatrecasas’s City office in July and fellow Spanish outfit Garrigues is also reportedly interested in a London opening. They will be following in the footsteps of others from as far apart as Luxembourg’s Oostvogels Pfister Roemers – that opened at the end of last year – and FerradaNehme, which this summer became the first Chilean firm to set up a representative office. … read more
Less than a third of companies with fewer than 500 employees have in-house legal departments according to a survey presented to Italian in-house and private practice lawyers at a Milan marketing event in October.… read more
Hengeler Mueller and best friends Bonelli Erede Pappalardo, Bredin Prat, Slaughter and May and Uría Menéndez are relocating to a shared new building in the heart of the European Quarter. The five firms aim to move in by summer 2007, and will focus on competition law and other European legal developments.… read more
Slaughter and May advised Morgan Stanley, Deutsche Bank and Merrill Lynch, the lenders and joint lead managers, in connection with the leveraged buyout of the semiconductors business of Philips Electronics, by a private equity consortium comprised of Kohlberg Kravis Roberts & Co, Silver Lake Partners, AlpInvest, Apax and Bain Capital. The semiconductors business, now known as NXP bv, is based in Eindhoven and is one of the world’s largest. Matthew Tobin and Colin Smith, partners in the London and Hong Kong offices respectively, led the transaction. Davis Polk & Wardwell in New York acted as lead advisers.… read more
Following the consolidation of the Gleiss Lutz, Herbert Smith and Stibbe alliance’s move to a new central Brussels location – which will take place early next year – another alliance has decided to bed up together in Brussels. Perhaps alliance is too strong a word for the ‘best friends’ relationship between Slaughter and May, Bonelli Erede Pappalardo, Bredin Prat, Hengeler Mueller and Uría Menéndez – which are relocating to a new building in Brussels’ European Quarter by summer 2007. But the move is certainly the first time that all five firms will have shared one office, leading to obvious questions about their degree of co-operation and whether in relation to some matters joint teams may work on projects. … read more
Leading French employment specialists Barthélémy & Associés could be heading towards an internal showdown according to Paris insiders. It seems that most of Paris’s legal community is talking about the fact that the 180-lawyer firm, which has an incredible 14 offices spread throughout France, is on the verge of a major battle over keeping either mainly a domestic or an international focus. … read more
This time last year, our journalists were reflecting on the disarray of some US firms, forced to rethink their strategies following disintegrated mergers with independent firms. In a surprise demerger, McDermott Will & Emery divorced from Carnelutti while White & Case found itself without a chief for the second time in two years after the departure of Alberto Morano and his team who eventually regrouped to launch SJ Berwin’s Italian practice.… read more
The UK’s Financial Services Authority indicated at the end of October it will be testing the ‘maximum harmonisation’ approach of the Markets in Financial Instruments Directive (MiFID) by seeking to justify a limited number of additional requirements for firms in its Conduct of Business Rules. These reflect existing UK obligations, largely dealing with detailed standards for advisory services and sales of packaged investment products in the retail sector (see CP 06/19).… read more
A revised proposal reviewing the de minimis regulation No 69/2001 was adopted by the European Commission in September as part of its ‘State Aid Action Plan’ aimed at implementing ‘less and better targeted aid’ which has prompted revision of regulations governing member states’ granting of aid. The first draft proposal for an amended de minimis rule was presented on 9 March 2006 and, after several revisions and public consultation, is expected to be finalised shortly. ‘De minimis aid’, as it is dubbed EU jargon, designates those grants accepted by the Commission as insignificant because they do not affect trade between member states and – owing to their small impact on the economy – do not distort competition. Unlike state aid, de minimis aid can be freely bestowed by member states without Commission approval. … read more
The EU Commissioner’s planned review of the effectiveness of the EU Savings Tax Directive has many critics hoping it will result in the cessation of time wasted on introducing half measures against tax evasion. … read more
Taking account of banking agreements
While consumer protection provisions are often welcome from an individual market participant’s point of view, they can come as an unexpected surprise to professional supply-siders. This may include banks relying on jurisdiction clauses contained in banking and portfolio agreements entered into with individuals in their capacity as consumers. Recently, the Swiss Federal Supreme Court had the opportunity to clarify that banking agreements may qualify as consumer contracts (case ATF 132 III 268), essentially confirming prior academic writing on this subject.… read more
The growing tension between preserving EU manufacturing and ensuring cheap goods for the region’s retailers and consumers has brought the normally specialist world of anti-dumping under intense media and political scrutiny in recent months. Two major cases on plastic bags and shoes highlight how the friction between these two interests has caused great uncertainty about the future of anti-dumping as an effective instrument to counter unfair trade practices. … read more
UK law firms tackle age-old problem
Implementation of anti-age discrimination laws right across the EU came a step closer when the UK government – one of the final states to comply – enacted the Employment Equality (Age) Regulations 2006 with effect from 1 October 2006. Provisions relating to pension schemes were postponed until 1 December to enable a short additional period of consultation to deal with the particular complexities posed by pension arrangements. … read more
opportunity to improve the law for foreign couples in the UK, the British government in November joined the Irish state in opting out of the proposed Rome III European Council Regulation. … read more
Only four years after the adoption of the current notice on immunity from and reduction of fines in cartel cases, the European Commission has decided to revisit its regime, hoping to iron out some of the practical issues arising from the application to date. First established in 1996, the Commission’s leniency programme has resulted in a steep rise in the detection of cartels. These latest proposed changes – published for consultation on 29 September 2006 – are welcome, insofar as they reduce some longstanding uncertainties for future leniency applicants. Yet, raising new questions and, potentially, shifting the balance of some key provisions, the Commission’s consultation will, no doubt, attract some valid criticism.… read more
Lawyers and their firms are called many things, especially in today’s market. We live in a time of lateral hires, head hunters, breakaways, dissolutions and ever more shifting sands. Nevertheless, consider your law firm as a family, or at least an extended family, and you may be able to develop a more cohesive entity.… read more
Adoption of the directive on takeovers in the Iberian market
A Directive with no direction?The approval of Directive 2004/25/EC, of April 21, 2004, on takeover bids is the result of a tortuous legislative process that started in the mid-80’s. Its declared purpose is “to create Community-wide clarity and transparency in respect of legal issues to be settled in the event of takeover bids and to prevent patterns of corporate restructuring within the Community from being distorted by arbitrary differences in governance and management cultures”. In summary, its purpose is to create a level playing field. The answer as to whether the Directive has achieved this objective is doubtful to say the least. … read more
Competition: Spain joins the modernisation movement
Spain is soon to enter the group of EU countries that have modified their competition regimes following the substantial reforms undergone by EU competition law in recent years, with a new law expected to come into force in early 2007. In Spain, the revolution has even affected law-making itself. Seldom do the Spanish authorities formally launch a public consultation with stakeholders such as that preceding the adoption of the draft law that was submitted to Parliament at the end of August.… read more
A popular arbitration venueIn July 2006 an extensive amendment to the Austrian Arbitration Act came into force. The new Act introduces in particular the following changes: … read more
.jpg)