Wall Street legend Martin Lipton has lost his chairmanship of the New York Stock Exchange’s (NYSE) legal advisory committee to Silicon Valley stalwart Larry Sonsini.
At the same time, Lipton’s firm Wachtell Lipton Rosen & Katz has, according to reports, lost the exchange as a client after acting for the financial institution’s ‘big board’ for a number of years.
Sonsini is also chair of the NYSE regulation enforcement and listing standards committee.
The legal advisory committee advises the board and other board committees on corporate governance, other board legal issues or principles that affect the NYSE.
Lipton’s role as committee chair and as NYSE chief outside corporate counsel came under the spotlight last year when it emerged that the then NYSE chair Richard Grasso would receive a $187.5m (£105.2m) pay package.
Wall Street crusader Eliot Spitzer commented on Lipton’s role at the exchange in a lawsuit brought against Grasso and the NYSE last May. Lipton was not accused of any wrongdoing and was not named as a defendant.
But it was highlighted that Lipton advised Grasso on the controversial pay package while also acting for exchange.
Sonsini took over as chairman of the 25-strong committee in June.