Kirkland asks Asia partner to pay back $120,000 bonus before leaving for Latham
Frank Sun had to pay Kirkland back by cheque before he was able to move to Latham last month
June 02, 2016 at 07:03 PM
2 minute read
Kirkland & Ellis refused to allow Hong Kong M&A partner Frank Sun to leave for Latham & Watkins until he repaid a $120,000 (£83,000) bonus.
Legal Week understands Sun was forced to pay back the bonus personally before he left last month for Latham, with Latham subsequently reimbursing him in full.
Sun received the bonus at the end of 2014 as a loan that was to be repaid if he left Kirkland within two years.
Latham was aware of the condition on the bonus when it hired Sun from its US rival but is thought to have assumed Kirkland would waive the obligation.
Many firms have conditions associated with partner departures but it is less common for those leaving to be held to the terms in full, according to those in the market.
One partner with knowledge of the matter said: "It is the same as the way magic circle firms put in gardening leave provisions for a year but they rarely enforce the full 12 months.
"This is a big, powerful firm – are they so desperate they can't let a young partner leave without him paying back a bonus he got in 2014?"
Another partner in Hong Kong said: "We would never think about paying a partner a bonus with a string on it."
Last year, Kirkland had a total of 351 equity partners globally, with profit per partner rising 2.7% to $3.6m. Latham had 454 equity partners in 2015 with profit per partner standing at $2.9m.
In March, Legal Week revealed Kirkland had doubled its notice period for departing partners worldwide from 60 days to 120 days.
The firm, which saw seven London partners hand in their notice in the same month and has seen dozens leave around the world during the past two years, has also introduced a 30-day notice period for its large-salaried partner rank.
Previously, salaried partners were not held to a notice period or put on gardening leave.
Kirkland and Latham declined to comment.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllHogan Lovells Hires Team of Top White & Case Corporate and Finance Partners in Italy
2 minute readGreenberg Traurig Launches Munich Office with Eight Hires from McDermott and Ehlers
2 minute readClifford Chance Loses Two More Key German Real Estate Partners As Focus Shifts to Cross-Border Deals
2 minute readHerbert Smith Hires 10-Lawyer Team from Orrick Germany, Including 3 Partners
2 minute readTrending Stories
- 1Delaware Supreme Court Names Civil Litigator to Serve as New Chief Disciplinary Counsel
- 2Inside Track: Why Relentless Self-Promoters Need Not Apply for GC Posts
- 3Fresh lawsuit hits Oregon city at the heart of Supreme Court ruling on homeless encampments
- 4Ex-Kline & Specter Associate Drops Lawsuit Against the Firm
- 5Am Law 100 Lateral Partner Hiring Rose in 2024: Report
Who Got The Work
J. Brugh Lower of Gibbons has entered an appearance for industrial equipment supplier Devco Corporation in a pending trademark infringement lawsuit. The suit, accusing the defendant of selling knock-off Graco products, was filed Dec. 18 in New Jersey District Court by Rivkin Radler on behalf of Graco Inc. and Graco Minnesota. The case, assigned to U.S. District Judge Zahid N. Quraishi, is 3:24-cv-11294, Graco Inc. et al v. Devco Corporation.
Who Got The Work
Rebecca Maller-Stein and Kent A. Yalowitz of Arnold & Porter Kaye Scholer have entered their appearances for Hanaco Venture Capital and its executives, Lior Prosor and David Frankel, in a pending securities lawsuit. The action, filed on Dec. 24 in New York Southern District Court by Zell, Aron & Co. on behalf of Goldeneye Advisors, accuses the defendants of negligently and fraudulently managing the plaintiff's $1 million investment. The case, assigned to U.S. District Judge Vernon S. Broderick, is 1:24-cv-09918, Goldeneye Advisors, LLC v. Hanaco Venture Capital, Ltd. et al.
Who Got The Work
Attorneys from A&O Shearman has stepped in as defense counsel for Toronto-Dominion Bank and other defendants in a pending securities class action. The suit, filed Dec. 11 in New York Southern District Court by Bleichmar Fonti & Auld, accuses the defendants of concealing the bank's 'pervasive' deficiencies in regards to its compliance with the Bank Secrecy Act and the quality of its anti-money laundering controls. The case, assigned to U.S. District Judge Arun Subramanian, is 1:24-cv-09445, Gonzalez v. The Toronto-Dominion Bank et al.
Who Got The Work
Crown Castle International, a Pennsylvania company providing shared communications infrastructure, has turned to Luke D. Wolf of Gordon Rees Scully Mansukhani to fend off a pending breach-of-contract lawsuit. The court action, filed Nov. 25 in Michigan Eastern District Court by Hooper Hathaway PC on behalf of The Town Residences LLC, accuses Crown Castle of failing to transfer approximately $30,000 in utility payments from T-Mobile in breach of a roof-top lease and assignment agreement. The case, assigned to U.S. District Judge Susan K. Declercq, is 2:24-cv-13131, The Town Residences LLC v. T-Mobile US, Inc. et al.
Who Got The Work
Wilfred P. Coronato and Daniel M. Schwartz of McCarter & English have stepped in as defense counsel to Electrolux Home Products Inc. in a pending product liability lawsuit. The court action, filed Nov. 26 in New York Eastern District Court by Poulos Lopiccolo PC and Nagel Rice LLP on behalf of David Stern, alleges that the defendant's refrigerators’ drawers and shelving repeatedly break and fall apart within months after purchase. The case, assigned to U.S. District Judge Joan M. Azrack, is 2:24-cv-08204, Stern v. Electrolux Home Products, Inc.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250