Legal action
A torrid time for lawyers has had rumour rife that at least one of the big Scottish partnerships is in financial trouble.
There has been widespread scaling back, lay-offs, graduates not recruited, para-legals let go, particularly in conveyancing and in mergers and acquisitions.
It would be highly irresponsible to report rumour, of course - until, that is, one of the subjects of the rumour confirms what is being said.
David Dunsire at Tods Murray has done just that, in a letter to a newspaper, observing that in tough times, legal firms find it hard to deal openly with such issues.
It seems his has not been the only firm fielding calls from journalists to check out the rumours.
The executive partner's report of said swirling rumour makes for alarming reading:
"We have been the target of a lot of negative speculation and malicious scaremongering.
"We have heard that we are on our bank's 'at-risk' register, that partners have refused to inject more cash into the firm, and that we are, indeed, about to go into administration."
But, he goes on to stress, strenously: "All of this is untrue. The firm is financially stable".
Given that times are tough: "It is hugely disappointing that we have to spend seemingly endless amounts of time deflecting rumours that can only serve to undermine the profession as a whole and a strong and responsible Scottish employer in particular".
Thank goodness he's put these concerns to rest.
Hullo, I'm Douglas Fraser, and I'm business and economy editor at ´óÏó´«Ã½ Scotland. Welcome to my blog, where you can read my take on money matters, viewed from a Scottish perspective.
Comment number 1.
At 17th Mar 2009, kaybraes wrote:Can't say I feel a lot of sympathy for the troubles of the legal profession. They come into the same category as banks and politicians where morals are concerned, intent on ripping off the punters, extracting as much money as they can from the legal aid system and from the people unfortunate enough to have dealings with them. Their charges are extortionate, they hide behind their own regulatory body when called into question. Like the banks and politics, they also should be forced into the open where their dealings can be scrutinised.
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Comment number 2.
At 17th Mar 2009, MrCynical wrote:It isn't just a case of graduates not being recruited. At least one law firm (the name of which escapes me) sent letters to people who had _already been given_ traineeships, to tell them that they no longer had jobs.
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Comment number 3.
At 18th Mar 2009, Henry wrote:This comment was removed because the moderators found it broke the house rules. Explain.
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Comment number 4.
At 18th Mar 2009, thatotherguy2 wrote:Welcome to the real world legal people. As the economy waxed and wained architect firms would expand and contract for survival. Sounds as if the lawyers by comparison have institutionalised their fat in the good years and can't get their overheads down quick enough when the famine years kick in. A highly paid partnership structure is going to mean that they will be stuck like a rabbit in the headlights and might indeed just go splat. It's tough but there you go. I guess lawyers just aren't used to famine.
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Comment number 5.
At 21st Mar 2009, dennisjunior1 wrote:Douglas:
I am so sorry that the legal profession in Scotland, is having some hard times...The lawyers will get thru this time....
~Dennis Junior~
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