KLegal today announced it would disband its international legal alliance despite its chief executive’s attempts to preserve a formal European grouping.
International chief executive Robert Glennie has been negotiating with KLegal’s member firms for a number of months to keep formal ties between the practices in place.
However, today KLegal stated: “An informal network will replace KLegal International from a limited period, from 31 January 2004.”
At this stage the firm claims that a formal international network will be put in place at a later date. However it failed to give details on when it would be implemented.
The statement attributes the move to the fact that KPMG is still in negotiations with the Securities and Exchange Commission about the separation of legal and audit services, an issue which would impact the structure of any international network.
Glennie said: “The structure of our relationship with KPMG is changing for regulatory reasons. These changes will allow our members to work with KPMG, as independent legal practices, whilst offering the widest possible choice to our clients and ensuring full regulatory compliance.”