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Blackwell Sanders to Merge with Husch
Law Firm News | 2007/12/21 17:22
Two of Missouri’s biggest law firms have agreed to merge, creating a 630-lawyer powerhouse that will rank among the top 100 in the country in size and revenue.

Partners at Kansas City-based Blackwell Sanders and St. Louis-based Husch & Eppenberger approved the combination over the weekend. The electronic vote in favor of the union was nearly unanimous, according to Blackwell Chairman David Fenley.

“The whole notion of achieving a great deal more depth and more expertise is very attractive to clients and to people who may become our clients,” he said.

The merger is expected to close in January. A name for the combined firm has yet to be chosen.

Blackwell has about 330 attorneys and grossed $116.5 million in 2006, according to The American Lawyer, a legal publication. About half the firm’s attorneys are based in the Kansas City area.

Husch, which has a 40-attorney office in downtown Kansas City, has about 300 attorneys overall. The firm tallied $124 million in revenues in 2006.

The firms said they expected to generate combined revenues in 2008 of more than $275 million.

The marriage of the two firms dwarfs any previous law firm combination in Missouri, creating the state’s second-biggest legal shop. The biggest firm headquartered in Missouri is St. Louis-based Bryan Cave, which has about 800 attorneys.

“This will really differentiate them from other firms in the market,” said Lisa Smith of Hildebrandt International, a provider of consulting services to law firms. “And it gives them the platform to expand regionally.”

Smith, who advised Blackwell and Husch on the merger, said the union would give the new firm the kind of beefed-up resources that clients are increasingly demanding.

“Clients aren’t looking for size so much as practice depth,” she said. “This gives them additional depth in all of their practices. It really combines complementary practices because the relative strengths of each firm are a little different.”

Blackwell is best known for its corporate, transactional, real estate, and labor and employment practices. Husch is best known for its litigation, commercial finance, environmental and bankruptcy practices.

The last major cross-state merger of law firms took place 3 ½ years ago when Kansas City-based Polsinelli Shalton & Welte merged with St. Louis-based Suelthaus PC, creating a 190-lawyer firm with 70 lawyers in St. Louis. The firm, now called Polsinelli Shalton Flanigan Suelthaus, currently has close to 300 attorneys.

The biggest law firm merger in Kansas City occurred more than five years ago when two of the city’s largest and oldest firms — Stinson Mag & Fizzell and Morrison & Hecker — combined to create a 342-lawyer practice. That firm is now known as Stinson Morrison Hecker.

The union of Blackwell and Husch will give the combined firm 16 locations in Missouri, Kansas, Nebraska, Illinois, Tennessee, Washington, D.C., and London. The firms have overlapping offices in three cities — Kansas City, St. Louis and Springfield.

Fenley said the merged firm will address lease issues in those cities “as soon as we can, but we’re going to accomplish physical integration irrespective of having two offices in the same cities.”

Blackwell has 13 years remaining on its lease in the Plaza Colonnade, located at Main Street and Ward Parkway overlooking the Country Club Plaza. The firm moved in three years ago and occupies about 120,000 square feet on four floors. Husch occupies three floors downtown at 1200 Main St. and has nine years to run on its lease.


Mayer Brown Merges with Hong Kongs JSM
Law Firm News | 2007/12/21 17:21
US-based international law firm Mayer Brown and Hong Kong’s Johnson, Stokes and Master are merging in a move that will create the world’s tenth-largest law firm by revenue.

The rare trans-pacific merger reflects the increasingly global operations of large businesses. It brings together two firms founded in the 19th century which are both largely focused on commercial transactions and litigation.

The combined entity, which will be known in Asia as Mayer Brown JSM, will have an annual revenue of $1.3bn and around 1800 lawyers. Jim Holzhauer, Mayer Brown chairman, will chair the global firm’s central policy and planning committee, and Elaine Lo, chairwoman of JSM’s partnership board, will head the combined entity’s Asia board.

The firms expect to grow substantially after the merger. Mr Holzhauer projects annual revenue to hit $2bn ”very quickly” and Ms Lo predicts earnings of $4bn within two to three years. ”This kind of growth cannot be obtained by just organic growth alone,” said Ms Lo.

Up to now, Mayer Brown’s Asia presence has been limited to one office in Hong Kong and a representative office in Beijing. JSM, whose clients include HSBC, Bank of China and Cathay Pacific, has 200 lawyers in mainland China, but none outside Asia.

That has meant that both firms had to find outside partners when handling cases that involve elements outside the firms’ home regions, such as cross-border mergers and acquisitions.

”The synergies will come from the clients,” said Paul Maher, Mayer Brown vice-chairman. ”Many of the major banks or industries we represent have transactions that will have both a European and Asian component, for example, and we will soon be able to do both within one firm.”

The merger comes nearly six years after the trans-atlantic tie-up between the US’s Mayer, Brown & Platt and the UK firm of Rowe & Maw to create Mayer Brown. The firm has suffered a tumultuous year, most recently with partner Joseph Collins being indicted in Manhattan on fraud charges related to the collapse of trading firm Refco in 2005. Mr Collins has pleaded not guilty to the charges.

Ms Lo said the merger brings together JSM’s knowledge of the Chinese market with Mayer Brown’s global reach and experience in sophisticated commercial transactions. ”The world is becoming more globalised,” she said. ”Chinese companies are encouraged by the central government to expand overseas and they are just poised to grow out of China.”


U.S. appellate court overturns state murder conviction
Legal Career News | 2007/12/20 15:06

A federal appeals court overturned a Santa Rosa woman's murder conviction Wednesday for killing a man during an attempted carjacking in 1996, saying she had been forced to go to trial with a lawyer she wanted to replace. Nicole Bradley was 18 when she and two juveniles were arrested for the fatal shooting of James Strickler Jr., 19, of Santa Rosa. The court said Bradley had shot Strickler unintentionally, but she was convicted of first-degree murder and sentenced to 35 years to life in prison for a homicide committed in the course of another felony.

Bradley's lawyer quit before the trial, and a Sonoma County judge appointed a replacement in a hearing from which Bradley and her chosen lawyer were excluded. When Bradley sought to dismiss the new lawyer because of conflicts, Superior Court Judge Knoel Owen refused, saying the trial had already been delayed by almost two years and it wasn't clear Bradley could pay for her own lawyer.

In Wednesday's 9-2 ruling granting Bradley a new trial, the Ninth U.S. Circuit Court of Appeals in San Francisco said nearly all the pretrial delays were the results of judges' decisions, not Bradley's.

Noting that Bradley's trial lawyer disagreed with her on a possible plea agreement and on whether she should testify, the court said the trial judge's decision had created an adversary relationship between lawyer and client.

Defense lawyer Dennis Riordan praised the ruling and said a new trial could result in a lesser conviction, for second-degree murder or manslaughter. Deputy Attorney General Gregory Ott, who represented the prosecution, said the court disregarded a federal law that requires federal judges to defer to state court rulings unless they are clearly wrong.



U.S. judge approves $3.2 bln in Tyco settlements
Lawyer Blog News | 2007/12/20 15:03
A federal judge on Wednesday approved settlements worth $3.2 billion for investors who sued Tyco International Ltd following an accounting scandal that led to the imprisonment of ex-chief Dennis Kozlowski. Also approved was about $464 million in legal fees and $28.9 million in expense reimbursement for the plaintiffs' lawyers. It is believed to be the biggest-ever fee award for attorneys in a securities class-action settlement.

The lawyers' payments, which when proposed had attracted criticism from some institutional investors as being too hefty, will be drawn from the settlement fund.

"In summary, I find that the settlement is fair, reasonable and adequate," U.S. District Judge Paul Barbadoro wrote in the ruling.

Tyco agreed in May to pay $2.975 billion to settle several long-running class-action lawsuits. Another defendant, former Tyco auditor PricewaterhouseCoopers LLP, said in July it would pay $225 million to resolve the litigation.

Kozlowski and former Tyco finance chief Mark Swartz were found guilty in June 2005 of stealing millions from the conglomerate, a case that became infamous amid revelations that Kozlowski had used company funds to pay for a $15,000 umbrella stand and a $6,000 shower curtain.

Kozlowski and Swartz are now serving sentences of up to 25 years apiece in New York state prison.

Plaintiffs in the shareholder lawsuit contended that from December 1999 through June 2002, Tyco and others misrepresented the value of acquisitions and misled investors about Tyco's financial health. The settlements were reached before the case ever went to trial. 



Court reinstates ski resort lawsuit
Court Feed News | 2007/12/20 14:56
Skiing is full of risks, and skiers assume the potential for injury when they try to navigate a course down a steep mountainside. But not all the risks are necessarily inherent ones, the Utah Supreme Court ruled Tuesday while reinstating a lawsuit filed by a man who slammed into a poorly marked retaining wall of stacked railroad ties. The high court overturned a lower court ruling that said Snowbird Corp. was protected from a lawsuit because of two waivers skier William Rothstein signed to get a season pass at the popular resort near Salt Lake City.

Rothstein suffered severe internal injuries when he skied into the wall at Snowbird in February 2003. Rothstein sued, claiming negligence, but a state District Court ruled in favor of Snowbird, citing the releases Rothstein signed.

The Supreme Court's 3-2 decision Tuesday restores Rothstein's lawsuit and clarifies state law.

"What it will do is to encourage ski resorts to be more careful in their operations," said Jesse Trentadue, a lawyer representing Rothstein.

Snowbird attorneys Gordon Strachan and Kevin Simon did not immediately return a message seeking comment. Peter Rietz, a Colorado lawyer who is special counsel to the National Ski Areas Association, said the ruling applies only to Utah resorts.

Snowbird maintained Rothstein skied off a connecting trail to an area that was marked off by rope. But the rope had a gap, which Rothstein mistook for an entrance to an open trail. The wall Rothstein hit had a light covering of snow and couldn't be seen. Rothstein survived broken ribs, a kidney injury, liver damage and a collapsed lung.

Snowbird won the earlier ruling on two releases Rothstein had signed, assuming all risks and specifically mentioning cases "including the negligence of Snowbird, its employees and agents."

But the Supreme Court decided that the releases go against a state law, which was written to protect resorts by keeping liability insurance rates affordable.

Resorts are covered by the state's Inherent Risks of Skiing Act, saying skiers assume some risks every time they swoosh down a steep mountainside or trail lined with trees.

The law is designed to keep insurance rates affordable for the resorts, not shield them from liability all together. Resorts are responsible to insure themselves non-inherent risks, the high court said.

The releases Rothstein signed for Snowbird "are contrary to the public policy of this state and are, therefore, unenforceable," the ruling said.

Associate Chief Justice Michael Wilkins, who cast one of the two dissenting votes, noted that nothing in the state law says ski resorts can't shield themselves from lawsuits for non-inherent risks.

"In fact, the text is silent about whether an individual may or may not sue a ski area operator on some other basis," Wilkins wrote.

Speaking from Dillon, Colo., Rietz said there are trade-offs when a skier gets a season pass.

"Part of the consideration when you get a discounted pass is you have to sign a waiver that provides some additional protection for the resort," he said. "If you don't want to release liability you can buy a day ticket."



Italian Child Cannot Be Named Friday
Legal World News | 2007/12/20 11:53
Friday's child is loving and giving — but not if he lives in Italy.

Italian judges forbade a couple from naming their son Friday, saying it would bring the child shame and ridicule to be named after the character in "Robinson Crusoe."

"They thought that it recalled the figure of a savage, thus creating a sense of inferiority and failing to guarantee the boy the necessary decorum," the couple's lawyer, Paola Rossi, said Wednesday.

Mara and Roberto Germano, whose son was born on Sept. 3, 2006, had the boy named and baptized Venerdi, Italian for Friday.

Even though the boy was not born on a Friday — it was Sunday — his parents liked the name, said Rossi.

"They wanted an unusual name, something original, and it did not seem like a shameful name," Rossi said in a telephone interview. "We think it calls to mind the day of the week rather than the novel's character."

Since City Hall officials are obliged by law to report odd names, the matter ended up before judges in Genoa, the northern Italian city where the couple live.

Last month, an appeals court stated that Friday falls into the category of the "ridiculous or shameful" names that are barred by law, because it recalled the native servant in Daniel Defoe's novel.

The judges wrote that naming somebody Friday would bar him from "serene interpersonal relationships" and would turn the boy into the "laughing stock of his group," according to a report in La Repubblica this week.

According to the daily, the judges also said that, as a day of the week, Friday raises a sentiment of sadness and penitence, when not being associated with bad luck outright.

Rossi said the court, which upheld a previous ruling in June, also ordered the boy to be named Gregorio after the saint on whose day he was born.

The couple are considering appealing the decision to Italy's highest court, she said.



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