King & Spalding chairman Robert Hays re-elected to record fourth term
King & Spalding has re-appointed chairman Robert Hays to a record fourth term as head of the firm following an uncontested election.
September 08, 2014 at 12:51 PM
3 minute read
King & Spalding has re-appointed chairman Robert Hays to a record fourth term as head of the firm following an uncontested election.
Speaking exclusively to Legal Week, Hays confirmed he had been notified of the result last week following his nomination by the firm's policy committee earlier in the summer.
Partners at the US-headquartered firm, who were told of the result today (8 September), backed Hays for the fourth time since he was first elected in 2005. His fourth three-year term will begin on 1 January 2015.
During his tenure, Hays has overseen a period marked by significant growth. Profits per partner (PEP) passed the $2m mark for the first time in 2013, a 49% rise on 2009 PEP of $1.44m (£863,000).
Revenue has also increased in the same period by 27.1% to a 2013 high of $861m (£533.5m), while – since 2005 – Hays has overseen the opening of 12 international offices, including Abu Dhabi, Austin, Dubai, Frankfurt, Moscow, Paris, Riyadh, Silicon Valley and Singapore.
The re-election followed a review of the Atlanta-founded firm's strategy, led by "fewer than ten" partners from its global network.
"Before the [election] process, there was a broader discussion whether the firm would change course strategically," Hays told Legal Week. "We talked about a wide range of options on the spectrum; we've tried to strike a balance, but there were discussions about both of those extremes [international expansion and a focus on profit].
"While I led the direction over the last five years, I had some obligation to drive the discussion, sometimes playing the devil's advocate for tacking slightly in one direction or the other. You don't want to be drunk on your own whiskey when making these calls."
Hays added that it the firm had benefited from having views on both sides, but that the process was not contentious. "From talking with other managing partners, I have learned that I had been taking for granted how analytical our strategic reviews have been," he said.
Speaking about his management style, Hays said: "I would stop one step short of benevolent dictator, as they never work out.
"If there's anything true about our industry, it's that lawyers almost never agree with each other about much. In that world, this whole decision by committee process can be a challenge. But benevolent dictatorship is dangerous in partnership, as it is in a corporate context."
The news follows King & Spalding's filing of its financial results for the UK limited liability partnership, with the arm increasing revenues by 55% year-on-year to £34.2m, and operating profit tripling from £5.2m to £15.7m. The amount owed to the US LLP increased to £12.4m, a rise from £10m in 2012.
"We are on track to replicate that this year," said Hays of the London office.
"London has been a great story for us, and a fulcrum for a number of things we are doing in the transactional and disputes spaces. We understand that if it is done right, London can provide leadership and growth."
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