More Than a 10-Year Plan Morgan, Lewis Grows Chicago Office from Eight to 62 Lawyers in a Decade

CHICAGOLAWBULLETIN.COM FRIDAY, JANUARY 17, 2014

Volume 160, No. 13 More than a 10-year plan Morgan, Lewis grows Chicago office from eight to 62 lawyers in a decade

BY ROY STROM The story of the Chicago office’s Law Bulletin staff writer growth offers a view into the firm’s strategy, which can be concisely In 2003, Philadelphia-founded summarized as hiring lawyers in Morgan, Lewis & Bockius LLP took various practice groups — at least a rather discreet foothold in the two times from troubled firms — Chicago legal market when it and then filling those practices out opened an office with eight lawyers. with more lawyers. For a traditionally East Coast “The idea is not just to take firm that was already building a practices and stick it onto the side presence on the West Coast, a of the building,” Schutte said. Chicago office would immediately While the office opened in help service longstanding coastal October 2003 with the acquisition clients. Over time, the firm hoped of an eight-lawyer insurance to grow the Windy City office and practice from Zevnik, Horton LLP, expand its client list here. the first “beachhead” — as Schutte In 10 years in Chicago, Morgan, Lewis & Bockius LLP has grown Ten years later, the office has refers to hires that spawn a grown to 62 lawyers, mostly practice — came about a year later. from eight to 62 lawyers, mostly through lateral hires from firms through lateral hires from firms That was in September 2004 such as Seyfarth, Shaw LLP; Vedder, Price P.C.; Winston & Strawn including Seyfarth, Shaw LLP; when four partners and two associ - LLP; and now-defunct Howrey LLP. (From left to right) Scott T. Vedder, Price P.C.; Winston & ates from Jenkens & Gilchrist Schutte is the managing partner of the Chicago office, Elizabeth P. Strawn LLP; and now-defunct came on board to start a labor and Hanigan is a partner in the business and finance practice and Merri Howrey LLP. employment practice in the office. Jo Gillette is a partner in the litigation practice. Ben Speckmann The office looks to continue At the time, Jenkens & Gilchrist adding lawyers to its three main was facing an IRS lawsuit Lewis’ class-action group. she had spent 27 years, nine of practices — litigation, labor and regarding its tax-haven practice, Morgan, Lewis already had which as regional director of the employment and, most recently, its which would result in the firm some success adding lawyers from Chicago office. Tinos Diamantatos transactional group, said office paying a $76 million penalty and troubled firms. In 2003, the also joined Morgan, Lewis from the managing partner Scott T. eventually unraveling. Philadelphia firm inducted about U.S. attorney’s office. Schutte, who came to Morgan, But for Morgan, Lewis’ Chicago 60 partners from Brobeck, Phleger “I think that what I was looking Lewis as a partner from Howrey. office, a foundation of a practice & Harrison when the California for when I started (searching for a It will attempt that growth with focused on ERISA and employee firm floundered. law firm) is what I have found in this view of the lateral market in stock-ownership plans had been “For it to make sense, you need Morgan, Lewis,” Gillette said. mind. formed with the additions of David to bring in people who have a “I was looking for a firm that “It’s not enough just to have a Ackerman, Theodore M. Becker, practice, who have clients,” had a true national practice group (strong) practice,” Schutte said, Brian D. Hector and Elizabeth S. Schutte said. “But also, if you’re — one that was committed to what describing the type of lawyers he Perdue. That practice was supple - going to implement those people in I’ll call integration across practice views as prospects for a successful mented in April 2005 by the hiring the firm, there have to be synergies group lines within the firm, as well move. “And it’s also not just of Charles C. Jackson and Sari M. with the people you’re bringing in as across geographic offices.” enough, I think in most instances, Alamuddin from Seyfarth. and your existing clients.” This month, the Chicago office to be a lawyer who can do great Though Becker left the firm to With a developed labor and added Elizabeth P. Hanigan as part work. The combination of the two become a partner at Drinker, Biddle employment practice and growing of a three-lawyer renewable energy is what we hold out and look for.” & Reath LLP last year, Schutte said litigation capabilities, the Chicago transactions team that came over Schutte said one of the most labor and employment, including office is turning its attention to from Foley & Lardner. That adds important aspects of lateral hires ERISA and ESOP work, is still a building a transactional practice, Chicago to the list of about 11 offices is to quickly integrate the new main practice in the Chicago office. Schutte said, which will include a internationally that handle the partners into the fold. The rest of those hires — which white-collar crime and investiga - firm’s renewable energy practice. It’s a lesson he learned from his helped bring the Chicago office to tions aspect. Building that kind of “Our clients are looking for own career, which included a stint 37 attorneys by October 2005 — practice can be difficult. more national presence in the at Howrey from 2007 until January remain at the firm. “There are a lot of really good energy sector and we expect more 2011. The firm dissolved two The next big jump in headcount law firms in Chicago,” he said. transactions outside of the United months after he left. came in early 2011, when 13 “You’re competing for a relatively States … where Morgan, Lewis is “I don’t mean to be negative attorneys joined the office from small band of people there.” very strong in energy,” Hanigan about Howrey, but we do a really Howrey. In the summer, the firm won said. “And we really were good job here on this integration Most of those attorneys focused over Merri Jo Gillette, who came impressed with how well Morgan, piece,” Schutte said. “And parts of on litigation, including Schutte, as a partner from the Securities Lewis is implementing its targeted Howrey did not.” who is the co-chair of Morgan, and Exchange Commission, where growth strategy.”