The Legal 500

Overview

In the early days of the global economic crisis, Italy did not appear as deeply affected as other European jurisdictions. Italian banks are famously conservative and suffered less exposure to sub-prime investments than foreign counterparts. The mid-market M&A sector initially reported business as usual, yet lending between banks did falter as inter-banking confidence plummeted and international banking institutions like Unicredit-HVB and Intesa Sanpaolo suffered from their involvement with the global markets, the former requiring a €6.6bn recapitalisation plan that required the expert involvement of international firms like Cleary Gottlieb Steen & Hamilton LLP and Clifford Chance.

As the real estate sector stagnated and leveraged financings, IPOs, securitisations, private equity and big-ticket M&A transactions became scarcer, both domestic and international law firms shifted the focus of their core activities. Italian lawyers are well-known for their versatility. Indeed, most commercial lawyers kick-start their professional careers as litigators. Corporate restructurings, commercial litigation, insolvencies, collective dismissals and distressed asset sales have now become flavour of the month. To cite one high-profile example, Alitalia’s endless 

newsworthy troubles kept domestic law firms like Bonelli Erede Pappalardo, Chiomenti Studio Legale, Gianni, Origoni, Grippo & Partners, Legance Studio Legale Associato, LABLAW – Studio Legale Failla Rotondi & Partners, d’Urso Gatti e Associati Studio Legale and Vitali Romagnoli Piccardi E Associati extremely occupied as the flagging airline, its creditors, new owners and the Italian Government required legal advice concerning, inter alia, state aids, debt refinancing, labour law, M&A, tax structuring and litigation. And although administrative law is traditionally the home of specialised Professor-style boutiques, it is an area that both large domestic and international firms have begun to invest in. In line with market developments, we have this year introduced an administrative law section for the first time.

In 2008, the Italian legal market proved less explosive than in recent years. Owing to the economic uncertainty, many firms were reluctant to invest in expensive lateral hires. The market’s movements were a far cry from 2007’s headline departure of 17 partners from Italian independent Gianni, Origoni, Grippo & Partners, most of whom went on to form Legance Studio Legale Associato. That said, in a market as notoriously volatile as Italy’s, a few changes are inevitable. Notable events for 2008 included White & Case closing its Italian office after years of troubled history, Chiomenti Studio Legale and Skadden, Arps, Slate, Meagher & Flom LLP severing their exclusivity pact and Studio Professionale Associato a Baker & McKenzie splitting from the Bologna office of Professor Bernini. As for the usual lawyer raiding, five of Vita Samory, Fabbrini e Associati’s 11 partners departed for US firm Orrick, Herrington & Sutcliffe including name partner Luca Fabbrini and Guido Testa. And after losing five partners a year ago to Latham & Watkins, Bonelli Erede Pappalardo was again hit when its banking and finance head Alberto Del Din left for Paul, Hastings, Janofsky & Walker (Europe) LLP taking structured finance partner Lorenza Talpo with him.

Looking ahead, many market observers expect further consolidation to occur between domestic practices. Already, national tax practice Pirola Pennuto Zei & Associati and commercial law firm Agnoli Bernardi e Associati have merged to form Pirola Pennuto Zei & Associati – Agnoli Bernardi and is now the third largest law practice in Italy. IP law firm Studio Legale Jacobacci & Associati joined up with Turin-based commercial practice Regoli, Merani & Associati retaining the name of Studio Legale Jacobacci & Associati and DLA Piper absorbed real estate boutique Apollo & Associati Law Firm.