Scottish arch-rivals Dundas & Wilson and McGrigors have met to discuss market conditions in a move that has been interpreted by some partners as the pair considering radical options for their respective futures.

The two firms' leadership – McGrigors managing and senior partners Richard Masters and Kirk Murdoch and Dundas & Wilson joint managing partners Donald Shaw and Alan Campbell (pictured) – met in July.

Both firms characterised the discussions as wide-ranging, covering business intelligence, work levels, referrals and market conditions.

However, some in the market – including some partners at one of the firms – believe the move was used to abortively sound the other out regarding a tie-up, a claim both firms strongly deny.

Such sentiments have been fuelled by the current pressure on the local legal market, an environment which is making some Scottish firms reassess their strategies.

Dundas' Campbell commented: "The meeting was about sharing business intelligence. We probably have not had that much co-operative work with McGrigors in the past, maybe because we were perceived as rivals. As we have both spread across the UK, people may be less precious about this."

Both firms have made cuts, with McGrigors overhauling its partnership and remuneration structure resulting in 10 partners de-equitised at the end of last year, while Dundas carried out a redundancy programme affecting 25 fee earners including a number of equity partners.

Separately, McGrigors announced last week it had sealed a merger with Northern Irish leader L'Estrange & Brett to form one of the largest law firms in Northern Ireland, with more than 40 lawyers. The deal will complete on 1 October when L'Estrange is absorbed into the McGrigors brand and LLP.

Dundas & Wilson on the Legal Week Wiki

McGrigors on the Legal Week Wiki