Linklaters & Alliance and Eversheds have joined forces to back a legal challenge aimed at allowing multinational companies to set up giant pan-European investment funds.
The law firms will be providing technical and legal advice to nearly 20 international companies which are supporting the campaign in the hope that they will be able to set up cross-border pension funds across the European Union (EU).
Current national restrictions on foreign fund managers and discriminatory tax rules force companies to set up separate pension schemes in individual member states, which is expensive for sponsoring employers and, economists argue, prevents job mobility across the continent.
Victory will also be a massive step in developing the EU's capital markets, which are tiny and fragmented in comparison to the US, despite similar economies and workforces.
The challenge will initially start in one of the nation states but the group hopes the case will ultimately be referred to the European Court of Justice.
None of the companies in the current group have been named but supporters are believed to come from cross-border groups, primarily in pharmaceuticals and telecommunications.
The campaign is a second chance for Eversheds, which had been one of the leading voices in a group that attempted a similar challenge.
The venture was forced to wind up in January and return campaign contributions when funding fell well short of the estimated £150,000 legal costs of the case.
A fresh challenge began this September after the European Commission delayed legislation to allow cross-border funds in the wake of the corruption scandal that forced all the commissioners to resign this summer.
Linklaters' respected head of pensions Ruth Goldman was convinced to join the campaign by William M Mercer, the international investment consultant who is co-ordinating the campaign.
Eversheds' contribution is being overseen by its high-profile head of pensions Robin Ellison and partner Harold Lewis.
Observers will be watching the campaign to see whether Linklaters will take the leading
role, but Legal Week understands that Eversheds is keen to build up European links with its magic circle rival.
Lewis said that funding had already been received. The initial case is expected to be brought early in the New Year.
Linklaters & Alliance and Eversheds have joined forces to back a legal challenge aimed at allowing multinational companies to set up giant pan-European investment funds.
The law firms will be providing technical and legal advice to nearly 20 international companies which are supporting the campaign in the hope that they will be able to set up cross-border pension funds across the European Union (EU).
Current national restrictions on foreign fund managers and discriminatory tax rules force companies to set up separate pension schemes in individual member states, which is expensive for sponsoring employers and, economists argue, prevents job mobility across the continent.
Victory will also be a massive step in developing the EU's capital markets, which are tiny and fragmented in comparison to the US, despite similar economies and workforces.
The challenge will initially start in one of the nation states but the group hopes the case will ultimately be referred to the European Court of Justice.
None of the companies in the current group have been named but supporters are believed to come from cross-border groups, primarily in pharmaceuticals and telecommunications.
The campaign is a second chance for Eversheds, which had been one of the leading voices in a group that attempted a similar challenge.
The venture was forced to wind up in January and return campaign contributions when funding fell well short of the estimated £150,000 legal costs of the case.
A fresh challenge began this September after the European Commission delayed legislation to allow cross-border funds in the wake of the corruption scandal that forced all the commissioners to resign this summer.
Linklaters' respected head of pensions Ruth Goldman was convinced to join the campaign by William M Mercer, the international investment consultant who is co-ordinating the campaign.
Eversheds' contribution is being overseen by its high-profile head of pensions Robin Ellison and partner Harold Lewis.
Observers will be watching the campaign to see whether Linklaters will take the leading
role, but Legal Week understands that Eversheds is keen to build up European links with its magic circle rival.
Lewis said that funding had already been received. The initial case is expected to be brought early in the New Year.