The Times - UK (2022-02-03)

the times | Thursday February 3 2022 55

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Blurred lines Working

party or knees-up at No 10?

Church sex abuse Make

reporting mandatory

All out lawfare Using

justice as a weapon

Menopause support Help

for women after divorce

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In conversation

Xiaojiu Zhu on her

varied career, from

medical researcher

to corporate lawyer

thetimes.co.uk

Matthew Bruce, the co-head of

the global investigations group at

Freshfields Bruckhaus Deringer,

acted for free for Kate Wilson, an

environmental activist who was

deceived into a relationship with an

undercover police officer in 2003

for almost two years. She won a

landmark ruling in the Investigatory

Powers Tribunal last September for

breaches of her human rights. And

she has just been awarded £229,472

compensation from the Metropolitan

Police and the National Police

Chiefs Council.

What were the biggest hurdles you

had to overcome in this case?

Although technically challenging, it

was also an emotionally difficult

case, working with women who had

suffered through the actions of

undercover police officers. But Kate’s

tenacity, perseverance and

bravery — recognised by

the tribunal — paved

the way for the legal

team to obtain an

important judgment

that will change

attitudes and

approach.

What is the best

decision you have

taken as a lawyer?

I have always been

fortunate to have a broad

practice, but putting myself

forward to work on investigations

and corporate crime matters early in

my career — when such

opportunities were less prevalent —

allowed me to develop and get to

know some great people.

Who do you admire

most in the law? I’ll

go with the late,

great Ruth Bader

Ginsburg.

What is the best

advice that you

have received? Be

the kind of lawyer

you’d want to hire.

What is the funniest thing

that has happened in your job?

I once advised on how a birthday gift

of a pedigree pet dog at risk of

kidnapping could be best delivered.

What are the best and worst

elements of being a lawyer?

Best: working with talented,

inspirational people. Worst: billing.

What law would you enact? Not

more legislation, but continued

reform and safeguards around the

use of plea bargains or trial waivers,

as campaigned for by Fair Trials, the

global criminal justice watchdog.

What is your favourite pop song?

The Whole of the Moon [by the

Waterboys] for the trumpets,

Midnight City [by M83] for the sax

and anything by the Beautiful South

for karaoke.

Lawyer of the week Matthew Bruce

Linda Tsang

[email protected]

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Volatile market conditions are blamed
for Mishcon de Reya’s decision tempo-
rarily to postpone a planned listing on
the London Stock Exchange.
Partners at the 85-year-old London
law firm — which is noted for its private
client work and was instructed by
Diana, Princess of Wales, in her divorce
— voted in favour of going public last
September. The firm declined to com-
ment, but it is understood that conver-
sations with investors about the state of
the market have led to the delay, and
that the partners still plan to list it when
conditions improve.
The move comes after regulators
fined the firm a record £232,500 at the
start of January for breaching anti-
money laundering rules — and after it
was criticised in a House of Lords
debate a few weeks ago on alleged law
firm tactics to silence free speech and
block access to justice.
Since the Legal Services Act 2007
made law firm listings possible, only six
have taken the plunge in the UK, led by
Gateley in 2015 and then Ince Gordon
Dadds (the Ince Group), Keystone Law,
Rosenblatt (RBG Holdings), Knights
and DWF. Slater and Gordon became
the first publicly listed law firm,
launching on the Australian Securities
Exchange in 2007.
A poll by litigation funder Harbour
last year found that a third of partners
at firms with 50 or more lawyers were
considering a stock exchange flotation,
and the move by Mishcon was expected
to trigger wider activity.
The financial windfall for partners
explains why they might be eager to list.
But why would investors put their
money into businesses whose biggest
assets are people who could be here
today and gone tomorrow?
Sir Nigel Knowles, the chief execu-
tive of DWF, says that client connec-
tions are wider than a single lawyer and
that the legal profession has always
been profitable and is seen as a safe bet.
“Few firms have gone out of business
and most increase their profits,” he says.
Knowles argues that partners should
not be floating to get rich. “If any part-
ner thinks the prospect of an IPO [ini-
tial public offering] causes them to look
at Rightmove or check out the cost of a
Bentley convertible, they are not doing
it for the right reason.”
Firms generally float to gain access to
capital to fund acquisition and expan-

sion. Since larger law firms are consid-

ered to be a good risk, most, says Tony

Williams of the consultancy Jomati,

have no difficulty accessing capital

from banks and have not needed to

look elsewhere for funding.

There are also big hurdles to jump

en route to the market — from

getting partners to agree, to meeting

international regulatory obstacles, as

well as the increased transparency

relating to operations, performance

and remuneration.

Competition from the “big four”

accountancy firms, which invest bil-

lions in their growth and technology,

says Knowles, makes it imperative for

OUT OF COURT

The cases, the chatter, the chaos:

what’s really going on in the law

Stalwart of

Southwark

Courts in London and the

Midlands paid tribute to Judge

Alistair McCreath, who died

suddenly last weekend, aged 73.

At Southwark crown court,

where he was the resident or

senior judge for six years until

2017, Judge Deborah Taylor

recalled him as a “fierce defender

of Southwark”, noting his

objection to the court’s sell-off.

“He was fearless in speaking

truth to power,” she said, adding:

“We have his doughty defence to

thank for the continued existence

of this court building, and the

work that this court has managed

to do across the pandemic.” Taylor

remembered the “warm and

gregarious” and “witty and

engaging” man, and “fair, patient

and humane” judge.

A costly court bill

Suella Braverman QC, the

attorney-general, seems keen to

send a message that breaking

Supreme Court embargoes will be

costly to publicity-seeking litigants.

Court submissions circulated

this week show that Tim Crosland,

a lawyer and environmental

campaigner, now faces a costs bill

of more than £36,000 after he was

found in contempt last year when

he breached an embargo on a

ruling on the third runway at

Heathrow airport. He told the

court that Aidan Eardley, a junior

counsel from 5 Raymond Buildings

Chambers, who acted for the

attorney-general, claimed £4,800

“for a two-hour hearing in which

he spoke for less than half an hour”.

Access all areas

A group of aspiring barristers have

launched an organisation aiming

to improve accessibility for disabled

students and lawyers. Bringing

[Dis]Ability to the Bar was founded

by Konstantina Nouka, a law

student at University College

London, with James Ekin, an

intern at the International Bar

Association. They pulled off what

is believed to be a legal first at

their inaugural meeting on Zoom

last week. The two-hour event was

signed, and speaking was Fayyaz

Afzal, a blind circuit judge, who

encouraged more chambers to

understand that disabled people

are “supreme problem solvers”.

Choppy waters delay latest float

law firms, which are dwarfed in com-

parison, to grow and compete.

Rod Waldie, the chief executive of

Gateley, says the “numbers look

healthy” since the business listed seven

years ago. He points to a rising share

price from 95p to about £2.14 and the

firm returning good dividends.

But the bigger successes have been

the rewards to staff and growth of the

broader professional services, says

Waldie, who adds that more than 70 per

cent of employees in the Gateley group

are shareholders or have share options.

And since listing, 11 of its acquisitions

have been non-legal businesses.

Listing, he says, acts as an incentive to

staff to stay as they become sharehold-

ers in the business and it makes the firm

a compelling prospect for recruits.

Knights abandoned its partnership

model before floating, and David

Beech, its chief executive, says the

move has “delivered everything we

hoped and more”.

Since listing in 2018 Beech says reve-

nues have risen from £35 million and

the firm expects to meet its £130 million

target this year. The firm has just com-

pleted its 16th acquisition, taking over

Langleys in York and Lincoln.

It is widely expected that once the

market settles down and after adjust-

ments for inflation, interest rate rises

and instability in eastern Europe, the

Mishcon de Reya float will go ahead.

Having made the decision to float

and invested considerable time, money

and energy in the process, Williams

says the management will be hoping

that any delay is relatively short, partic-

ularly given that it has transactions

lined up with Taylor Vinters in the UK

and Karas in Hong Kong, which may be

contingent on the float going ahead.

The complicated process, Waldie

says, makes it unlikely that there will be

a flood of firms that follow — but he

predicts there will be some. Last year

Irwin Mitchell was reported to be

exploring a £500 million flotation on

the London exchange.

Knowles says that had it not been for

the coronavirus pandemic, several law

firms would have followed DWF to the

exchange. He understands that “several

are looking keenly” at doing so, with a

few testing the marketing waters and

speaking to advisers.

In six months’ time, Knowles pre-

dicts, more firms could have joined the

club. Cue hand-rubbing among estate

agents and car salesmen.

ALAMY
Catherine Baksi

Six UK law firms are listed on the London Stock Exchange, but more may follow

Inner Temple reborn

After two years, the scaffolding

has been removed from the Inner

Temple buildings in a sign that the

£23 million redevelopment of its

treasury, library and hall is nearing

completion. Project Pegasus was

meant to be finished last autumn,

but was delayed due to a design

flaw. The project involved the

destruction of the much-loved

library, which has been replaced

with teaching facilities.