The demise of the Dallas law firm Jenkens & Gilchrist has been a boon for the Richmond, Va., firm Hunton & Williams LLP.
Since Jenkens & Gilchrist closed its doors at the end of March, 93 of its lawyers in Texas — including all 20 in the financial institutions group — have moved to Hunton & Williams' offices in Dallas, Houston, and Austin.
The hires should instantly establish Hunton & Williams as one of the country's top legal advisers to community banks. According to statistics compiled by American Banker, Jenkens & Gilchrist has worked on more community banking mergers and acquisitions (113) than any other firm in the country over the past eight years. Hunton & Williams, on the other hand, was the legal counsel on just two deals in that span.
Wally Martinez, Hunton & Williams' managing partner, said he expects the addition of Jenkens & Gilchrist's former banking group to pay immediate dividends, especially in the area of M&A.
"Hunton's banking M&A practice was a relatively small group within our large, accomplished M&A practice," Mr. Martinez said. "This new group is a significant addition."
Chet Fenimore, a former Jenkens & Gilchrist partner and now managing partner in Hunton & Williams' Austin office, said that the 20 lawyers from the financial institutions group represent clients all over the country and have been legal advisers on more than 200 mergers and acquisitions, 150 Subchapter S conversions, 200 trust-preferred securities offerings, and the organization of more than 100 start-up banks.
Mr. Fenimore also said in an interview that even though he and his colleagues have switched firms, their banking clients should not expect much to change.
"Our group stays together, and other than the phone number and letterhead change, we'll still provide the exact same type of service," he said.
Jenkens & Gilchrist disbanded after a lengthy legal battle over its marketing of certain tax shelters, primarily out of its Chicago office, had cost it more than $150 million and led to a mass exodus of lawyers in recent years. It paid $80 million to settle suits with former clients who said that they received bad advice, and it recently agreed to pay $76 million to the Internal Revenue Service.
Among the banking lawyers hired by Hunton & Williams was Charles "Stormy" Greef, who won the Independent Bankers Association of Texas "Legend of Texas Banking" award at the group's annual convention in October.
Hunton & Williams opened its first Texas office in 2002, and the addition of the Jenkens & Gilchrist lawyers brings its worldwide total to nearly 1,000, including 157 in Texas. Most of the its new lawyers have joined the Dallas office, though five are in Austin, and one is in Houston.
