By Aebra Coe, Law360
Lateral movement among bankruptcy and restructuring partners is seeing an explosion right now, according to research performed by Law360, a phenomenon experts predict will continue to pick up speed in 2017 due to an uneven economic climate.
Lateral partner movement in the third quarter outpaced the same period in 2015 by 200 percent, while the practice area has seen 58 percent more activity so far in 2016 than it did all of last year, according to data Law360 collected from the hiring announcements of the 200 largest U.S.-based law firms.
According to Ronald Nye, managing partner of Major Lindsey & Africa’s Chicago office, the trend toward more restructuring work has also been bolstered by the numerous, vastly complex business structures that popped up following the 2008 financial crisis.
"We saw an uptick in that type of corporate activity, and those deals are now far enough along that if they need to be restructured, now would be when we would start seeing some issues," Nye said. "That could be a driver for more demand for restructuring."
Read more of this article at Law360.