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Lynn Joyce
In-house team
Nationwide
US Law Firms in London
20 years ago, US firms were not really an option for UK partners.
10 years ago, it was very rare for a UK partner to move to a US firm in London.
Today, UK partners are moving to US firms on a frequent basis.
Many of the US firms offer partners the chance to work within smaller teams of people but with the might of a major international firm behind them. When this offer is combined with a higher remuneration package which will not plateau, such a move becomes very attractive.
Although moving to a US firm is now commonplace, the firms are still at a size where there are roles available to head up a team and/or be highly influential in its growth and development.
Types of US firms in London
There is not a 'typical' US firm in London. Although the majority of practices are finance-driven, the variety of firms now in existence generally fall into five categories:
- Small to medium-sized branch offices that only practice US law
- Large and medium-sized firms that offer something of a hybrid service, dealing with UK and US law
- Large and medium-sized firms that have a niche specialisation (IT, IP, Projects, Energy)
- Large and medium-sized firms that have developed/are developing a full service
- Large and medium-sized firms that have merged with a UK practice
Demand for UK tax partners within US law firms in London
As a considerable number of the US law firms in London are growing from relatively small bases, much of the growth is strategic rather than opportunistic. As the firm builds its core practice areas (acquisition finance, private equity, project finance, securitisation, structured finance, mergers & acquisitions and capital markets), a strong UK tax capability is essential if they are to maintain credibility with their clients. The typical tax skills that are sought after are:
- Corporate M&A
- Private Equity
- Fund Structuring
- Real Estate
- Capital Markets
- Broad based Finance Tax
It is also often necessary for a senior tax lawyer to be able to advise on the wider issues of SDLT, VAT and remuneration planning.
Followings needed to be considered by US firms in London
There are no hard facts that can be given here, but we have supplied some general guidelines for those considering a move. Incomes are often in the region of one third of the individual's client following. For the high-flyer who can generate many millions, the rewards are obviously substantial.
Medium-sized US law firms will normally require followings of at least £500,000. This size following would typically be needed to enter equity.
Larger global US law firms will need at least £1million and often considerably more, depending upon expected remuneration.
Notice periods
These are often non-existent within the pure US firms. However, where the firm has merged with a UK practice these do come into place.
Restrictive covenants
Please refer to specific link. [link?]
Capital contribution
This varies from firm to firm. Some do not require any contribution while others ask for minimal figures.
