DLA Piper to roll out US all-equity model in UK
DLA Piper is set to unveil plans to move to an all-equity partnership model in the international LLP side of its business.
Lee Miller
The move would bring the UK-headquartered side of DLA Piper’s business into line with its US operation, which already operates an all-equity model.
The firm is expected to unveil proposals this week that would see all of its salaried and fixed-share partners inject additional funds into the business in exchange for larger profit shares.
It is not yet clear how much the firm’s non-equity partners will be asked to contribute. The plan will require a vote, the date of which is yet to be finalised.
DLA Piper has long been a target for criticism in the market for the low proportion of equity partners in its international business.
At the end of the 2010-11 financial year DLA Piper had a total of 647 partners, of whom just 201 were full equity.
The all-equity initiative coincides with DLA Piper’s incremental move towards aligning its merit-based partner remuneration system on either side of the Atlantic.
The firm’s joint CEO Lee Miller told The Lawyer: “The truth is they’re getting close.”
Readers' comments (2)
Anon | 17-Oct-2011 1:50 pm
Another step towards the inevitable full financial integration.
It's hard not to respect the remorseless progress of this firm.
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ben | 18-Oct-2011 10:49 am
Interesting move albeit going the against the market trend. DLA firm is much too large and not profitable to support a full equity model. Most firms are actually departing from the full equity model. These guys are not dumb and must have a reason - not sure what it is, though.
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