The firm that steered Lehman, Enron and GM through bankruptcy is now reportedly paying Davis Polk restructuring partners to look at its own options: a merger, a slimmed-down Weil Gotshal, or a wind-down. Merger talks with Willkie are dead, the incoming leader said no thanks before she started, and partners keep walking to Cravath, Paul Weiss, Skadden and Sidley.
If Weil handles any of your matters, this is the week to call your relationship partner and ask who is staying. Then ask again next week. Law firms look rock solid right up until the partners decide otherwise, which is why a sensible outside counsel plan always has a backup firm in it. Somewhere a GC is already drafting the file-transfer letter…
“For a firm that handled the bankruptcies of Lehman Brothers, Enron and General Motors, the irony is considerable. This time, the restructuring expertise may be needed rather closer to home.”