A letter sent by the firm at the end of last week to many former partners stated: ‘One consequence of the firm’s dissolution will be the almost certain loss of all firm capital for current and former partners alike.’

That could mean a loss of $1m or more for some high-earners, as in contrast to the 30 to 40 per cent of a partner’s anticipated earnings held in capital year to year at many firms, Dickstein Shapiro held as much as 80 per cent. Furthermore, former partners still had a susbtantial amount of capital with the firm, as when a partner left they were paid back capital in 25 per cent instalments over three years beginning sixty days from the date of their departure. 

The letter, dated 11 February, said Dickstein Shapiro had been trying to merge with another firm since last summer, but now its only choice was to dissolve. Blank Rome is acquiring more than 100 Dickstein Shapiro lawyers.

One former partner told the National Law Journal that the letter arrived by FedEx, adding that ‘It wasn’t even signed “Sincerely”.’ Source: The National Law Journal