Hogan Lovells to choose between Murdoch and ITV
Merged firm’s global executive kicks off high-stakes conflicts probe
David Harris
Lovells’ international executive has begun a major analysis of the firm’s clients to identify potential post-merger conflicts.
Relationships such as the one Lovells has with ITV are expected to be problematic when the Hogan & Hartson merger goes live in May.
Lovells’ international executive, chaired by managing partner David Harris, is in the process of identifying all potential high-level commercial conflicts. As soon as the merger goes live a Hogan Lovells conflicts panel will be formed to decide how to proceed.
Hogan’s role as adviser to a raft of Rupert Murdoch-owned businesses and Lovells’ longstanding relationship with ITV could spark the first transatlantic power struggle in the early stages of the merger.
Hogan has had a relationship with Murdoch since its 2002 merger with New York media firm Squadron Ellenoff Plesent & Sheinfeld, which acted on the series of acquisitions that formed the News Corporation empire. Since then Hogan has acted for businesses including BSkyB, News Corp, 20th Century Fox and Sky Latin America, with lawyers across its global network giving advice.
ITV is one of Lovells’ most institutionalised clients, with former corporate chief Hugh Nineham, who left for McDermott Will & Emery in 2008, consolidating the relationship while at Lovells.
The relationship was strengthened last year when ITV general counsel Andrew Garard signed a deal with Lovells allowing ITV’s legal team to utilise the firm’s pro bono infrastructure and client base.
A Lovells spokesman said: “Both Lovells and Hogan have very strong media and pharmaceutical practices. Those are the sorts of areas where we’re looking at the client base and where the conflicts potentially are.”
The managing partner of a UK firm that has been through a US merger said that, if Hogan Lovells concludes that advising both BSkyB and ITV would create a conflict, it is likely the ITV relationship would end. “The Americans always get what they want,” he said.
Hogan did not return calls for comment.
Readers' comments (8)
Anonymous | 8-Feb-2010 10:23 am
It is not a question of "the Americans always get what they want" it is which is the more valuable client which is likely to be a "no brainer"
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Rupert the Bear | 8-Feb-2010 11:22 am
And the Americans will define what "valuable" is
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anon | 8-Feb-2010 11:53 am
Heh @ Lovells. Can't believe they're even bothering to discuss it - it's a foregone conclusion, no firm in their right mind would ditch Murdoch. Who's going to take over the ITV work?
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Jonztache | 8-Feb-2010 1:47 pm
Re-Rupert the Bear | 8-Feb-2010 11:22 am
Spot on. As the other story on this site regarding the make-up of the global management committee shows, the Americans don't do real estate, ergo there's no real estate representation. London: be prepared to become a back office for the US
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Anonymous | 8-Feb-2010 3:10 pm
You've gotta feel sorry for Lovells, ITV has been a basket case of a company for years and now thanks to Simon Cowell it's a force to be reckoned with again. IHow many other UK clients will Lovells have to part with, I wonder
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Anonymous | 9-Feb-2010 5:02 am
Real Estate did not have representation at that level before the merger - it fell within the 'commercial' practice stream alongside IP, Tax etc. Nothing to see here, please move along.
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Anonymous | 9-Feb-2010 2:29 pm
You gotta feel sorry for real estate. Even before the merger it was slipping in terms of repesentation at an executive level, numbers of equity partners, clients and fee earners. Now the message looks clear - especially with the group having lost Katherine Watts and Bob Kidby - its increasingly a support department that is tolerated while a profit is turned on work for Prudential. On top of that, the group is represented by Mr Cheffings - a litigator, not a property lawyer.
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Anonymous | 10-Feb-2010 9:44 pm
“The Americans always get what they want,”
The inside word is that the Americans are already starting to throw their weight round on this and other matters. The nice ol'boys and gals at Lovells need to wake up and make sure that "merger" doesn't become "takeover".
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