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Dewey & LeBoeuf

From Alfawiki
Dewey & LeBoeuf LLP
Company typeLimited liability partnership
IndustryLegal services
FoundedOctober 1, 2007; 19 years ago (2007-10-01) in New York City, United States
DefunctMay 28, 2012 (2012-05-28)
FateBankruptcy
Headquarters
New York City
,
United States
Area served
Worldwide
Key people
Steven Davis (Chairman)
Number of employees
Over 1,000 attorneys

Dewey & LeBoeuf LLP was an international law firm based in New York City. Created in 2007 by combining Dewey Ballantine and LeBoeuf, Lamb, Greene & MacRae, the firm concentrated on corporate law, insurance, litigation, tax matters, and restructuring services. At its height, it had more than 1,000 attorneys operating from 26 offices worldwide.

In 2012, Dewey & LeBoeuf encountered critical financial challenges and escalating liabilities, which triggered a wave of partner resignations and prompted an inquiry by the Manhattan District Attorney into purported false statements made by chairman Steven Davis. These complications ultimately led to the firm's bankruptcy declaration on May 28, 2012.

On March 6, 2014, charges of grand larceny were filed against the former chairman, CFO, and executive director related to financial wrongdoing. Moreover, former controller Thomas Mullikin consented to repay disgorgement along with interest due to the firm's fiscal mismanagement.

History

Dewey & LeBoeuf came into existence on October 1, 2007, through the union of two distinguished New York firms: Dewey Ballantine and LeBoeuf, Lamb, Greene & MacRae.

Dewey Ballantine

Established in 1909 by Harvard Law alumni Grenville Clark, Francis W. Bird, and Elihu Root Jr., the firm initially operated as Root, Clark & Bird on Wall Street. After Bird left, it was renamed Root & Clark and served prominent financial sector clients. In 1913, a merger with Buckner & Howland created Root, Clark, Buckner & Howland.

Arthur A. Ballantine joined in 1919 and became a named partner by 1925. Following Buckner’s exit that year, the firm adopted the name Root, Clark, Howland & Ballantine. During the Great Depression era, it shifted its emphasis toward bankruptcy and reorganizations while broadening its regulatory practice amid New Deal legislation. Its corporate clients included industry leaders such as AT&T and Standard Oil. The firm also expanded by establishing an office in Washington, D.C.

In 1946, four partners departed to launch Cleary, Gottlieb, Steen & Hamilton. Politician Thomas E. Dewey became a partner in 1955, leading to the firm’s rebranding as Dewey, Ballantine, Bushby, Palmer & Wood. Under Dewey’s and Ballantine’s guidance, the firm secured major clients like General Motors, Morgan Stanley, and Mobil Oil.

Dewey Ballantine explored a merger with Orrick, Herrington & Sutcliffe that did not materialize in early 2007. Subsequently that year, it combined with LeBoeuf to create Dewey & LeBoeuf.

LeBoeuf, Lamb, Greene & MacRae

Founded in 1929 by Randall J. LeBoeuf Jr., LeBoeuf, Lamb, Greene & MacRae earned distinction representing energy companies and public utilities. The firm rose to prominence in 1965 when appointed U.S. counsel for Lloyd's of London, expanding its expertise into insurance law and opening a London office in 1978.

Initially partnering with Bill Winston in 1929 to establish a New York base closely connected to Niagara Hudson Power, Horace Lamb joined in 1934 bringing antitrust experience from the U.S. Department of Justice. Adrian C. Leiby contributed corporate securities and finance knowledge in 1952; this led to a name change for the firm that same year along with launching a Washington, D.C. office to support utilities navigating nuclear plant licensing under the Atomic Energy Commission.

Cameron F. MacRae Jr., an authority in public utility law, joined in 1958 and became managing partner by 1970. Although losing several key named partners between 1975 and 1977—while operating as LeBoeuf, Lamb, Leiby & MacRae—the firm aggressively expanded throughout the 1990s. This growth established a global presence with offices spanning the United States, Europe, Asia, and the Middle East. By early 2007, it employed roughly 650 lawyers across 19 international offices. On October 1 of that year, it merged with Dewey Ballantine, forming Dewey & LeBoeuf.

Financial struggles and insolvency

Dewey & LeBoeuf disclosed revenues of $935 million for 2011, marking a modest rise from $910 million in 2010; nevertheless, senior partner Richard Shutran later admitted that these numbers were derived using inconsistent accounting practices. Later adjustments exposed the firm's financial fragility.

Throughout 2012, the firm experienced a substantial exodus of partners—nearly two-thirds of its roughly 300 partners departed due to escalating financial difficulties. In April 2012, Dewey & LeBoeuf terminated its summer associate program and encouraged partners to pursue alternative employment opportunities. By May, the firm issued WARN Act notifications indicating the possibility of large-scale layoffs and eventual shutdown.

The departure of senior leadership intensified, with Dewey’s chairman’s office committee dissolving by mid-2012. Subsequently, bankruptcy proceedings commenced, with restructuring specialists Zolfo Cooper taking charge of the New York office and BDO International overseeing operations in London.

In August 2014, Dewey resolved a $4.5 million class action lawsuit related to layoffs conducted without the legally mandated notice under federal and state regulations.

Legal issues continued after bankruptcy: following a mistrial in October 2015 concerning accusations of financial misconduct by top attorneys during the financial crisis, a retrial in 2017 resulted in former CFO Joel Sanders being convicted on several counts while Stephen DiCarmine was acquitted. Sanders was penalized with fines and community service but did not receive prison time.

This segment underscores the firm’s precipitous downfall after rapid growth and aggressive strategies ultimately weakened its financial health and competitive standing.

Pro bono initiatives

Dewey & LeBoeuf maintained a strong dedication to pro bono efforts, with lawyers contributing tens of thousands of hours annually to public service projects worldwide. Their pro bono work encompassed areas such as housing, civil rights, voting rights, education, criminal appeals, entertainment law, family law, immigration matters, nonprofit and small business counsel, as well as animal welfare.

  • In 2009, the firm offered pro bono legal support to South African athlete Caster Semenya to defend her civil and human rights amid contentious gender verification testing.
  • Partners Jeffrey Kessler, Marco Consonni, and David Feher also provided pro bono representation for South African runner Oscar Pistorius in his legal challenge against the IAAF’s prohibition on his participation in the 2008 Olympic Games.

Significant cases

In September 2009, Dewey & LeBoeuf played a pivotal role in two major mergers and acquisitions that demonstrated its strategic business position. The firm led legal counsel for Walt Disney’s $4 billion purchase of Marvel Entertainment, securing rights to more than 5,000 characters including Iron Man and the Incredible Hulk. Concurrently, Dewey advised eBay on divesting a 65% interest in its Skype division to private investors led by Silver Lake Partners in a $2.75 billion transaction. The firm also represented billionaire Mark Cuban against insider trading allegations brought by the Securities and Exchange Commission.

Distinguished alumni

This list primarily includes alumni from predecessor entities.

External links

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