Photo: Diego M. Radzinschi/ALM

K&L Gates has hired a team of seven restructuring and insolvency lawyers in Frankfurt, the firm announced on Monday.

Georg Bernsau and six of his colleagues are joining the firm from local firm Bernsau Brockdorff & Partner.

The team also includes restructuring partners Simone Wernicke and Harald Knittel, as well as lawyers Hans Beyer, Nadja Raiß, Nicole Stephan and restructuring department director Stefan Zahn.

The U.S.-headquartered firm said in a statement: "The addition of Bernsau and his team allows K&L Gates to better prepare for the expected increase in preventive restructuring measures in the context of the European Restructuring Directive.

"While advising companies and managing directors in crisis and on out-of-court restructuring has already increased significantly in recent years, a further increase in the importance of restructuring advice is expected against the backdrop of the current COVID-19 crisis."

The hire comes as firms are building up their restructuring teams to face the uptick in restructuring work brought by COVID-19 uncertainties.

Earlier this year, CMS shifted some of its London lawyers to take up restructuring work coming from the crisis.

In February, partners across the industry had predicted the outbreak would create a spike in restructuring and insolvency work, especially in the retail sector.

In March, Ashurst won mandates for the administrations of rent-to-own company BrightHouse as well as Italian restaurants chain Carluccio's. Meanwhile, Bryan Cave Leighton Paisner acted for for EY in the administration of airline Flybe while a host of firms, including Australian firm Clayton Utz, advised on Virgin Australia's administration.

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