London MP Cox and dispute resolution head Leydecker put names forward for role 

Two frontrunners have emerged for the role of CEO at Herbert Smith Freehills (HSF) as the firm prepares to approve new management before the end of the year.

London managing partner Ian Cox and global head of dispute resolution Sonya Leydecker (pictured) are set to run for the post, replacing current co-heads David Willis and Gavin Bell. It is understood that EMEA managing partner Allen Hanen has recently decided not to put his name forward for the role.

Willis and Bell will step down next April having held the role since legacy firms Herbert Smith and Freehills merged in October 2012.

It is not yet known whether the firm will continue with a joint CEO structure, with candidates appointed by the firm's global council and then put to partner ratification before the end of the year. A 50% partner majority will be needed for the vote to pass.

The news comes as the firm this week approved its new pay structure, which will also come into effect at the start of the new financial year, and will see legacy Freehills adopt fixed-share partners for the first time. Previously Freehills operated an all-equity merit-based partnership, while Herbert Smith had a rigid lockstep.

The combined firm will also adopt a 'balanced scorecard' by which the firm will assess partners' performance. The scorecard will take into account several factors including financial performance and business development, engagement with staff, client servicing and contribution to the success of others.

Partners voted on a final version of the changes last week after the firm had previously proposed several models that were rejected. 

The single managed lockstep will run from 43 to 100 points, which is the same range currently operated by legacy Herbert Smith. Each point will equate to roughly the same value in the new structure, with partners occasionally being held back if they under-perform.

HSF confirmed that there will also be an option for Australia partners above a certain point to break away from the lockstep. The firm refused to specify at what point on the lockstep this would kick in, but said it would affect a relatively small number and could vary year on year.

HSF chief executive David Willis said: "We are pleased that we have been able to deliver a single system with a slight tweak in relation to Australia to reflect other partner remuneration systems in that market."