Herbert Smith's German ally Gleiss Lutz is set to hand over its two offices in Central and Eastern Europe (CEE) to Austria's Schoenherr from the beginning of next year.

The transfer will give Schoenherr its first offices in Prague and Warsaw. The firm is also launching a six-lawyer office in Bratislava which will be headed up by a former Gleiss partner.

Gleiss's Prague office, which has around 25 lawyers including three partners, is headed by Martin Kudanek while the Warsaw office has around 20 lawyers including managing partner Przemysaw Pietrzak. Ivo Nesrovanal, who was a partner with Gleiss in Prague until the end of 2005 when he moved back to his native Slovakia, will lead the Bratislava office.

The firm will continue to refer work to its two former offices on an exclusive basis.

Schoenherr will continue to work with other German 'good friends', such as Hengeler Mueller and Beiten Burkhardt.

Schoenherr managing partner Christoph Lindinger told Legal Week: "It is a big move which implements our strategy to create a one-stop shop for Central Europe. We had a few white spots and we were lucky that we could cover them in one go."

He added: "We will definitely benefit from Gleiss Lutz's ties with Herbert Smith and Stibbe. The Prague and Warsaw offices have always been on the radar screen for the alliance."

Gleiss managing partner Rainer Loges said: "This is the best possible future for our offices. They can develop even better with a firm whose core strategy is to cover the entire CEE, and Gleiss Lutz continues to have access to first-class legal advice in Poland and the Czech Republic. Financial reasons were not behind this transition – it was a mutual decision with Schoenherr with which we have worked for a long time."

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