DLA Piper, Dentons Join BigLaw Exodus From Russia

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DLA Piper and Dentons said Monday they will wind down their operations in Moscow and St. Petersburg, becoming the latest international law firms to announce an exit from Russia as the country escalates its military attacks on Ukraine.

The wave of exits in recent weeks will almost completely eliminate BigLaw's presence in Russia. Baker McKenzie, which maintains offices in both Moscow and St. Petersburg, remains an outlier and hasn't announced whether it intends to maintain operations in the country.

"We have concluded that maintaining a presence in Russia is not aligned with our values and therefore no longer viable," a DLA Piper spokesperson said in a statement. "Our intention is to transfer the Russian business to our team [in Moscow and St. Petersburg]. We will ensure an orderly transition in accordance with our legal and professional obligations to both our clients and our people. As previously stated, we will continue to act for our international clients with regard to managing their own responses to the conflict."

"We stand with the people of Ukraine and all those affected by this tragedy," the spokesperson said.

Dentons also said it was separating from its Moscow and St. Petersburg offices, which it said would continue to operate as an "independent law firm." The firm left open the possibility of continuing operations in Russia at some point in the future.

"This is a difficult decision which we have taken in full consultation with our colleagues in Russia in order to continue meeting our legal and ethical obligations. We have enjoyed more than 30 years of collaboration and friendship with our colleagues in Russia who bear no responsibility for this crisis nor for the circumstances that have led to this decision," Dentons global CEO Elliott Portnoy said in a statement. "Our hope is that at a future time we will be able to come back together when it is lawfully and practically possible to do so."

Dentons has more than 250 employees in its Russian offices, according to a firm statement. DLA Piper has more than 50 lawyers in its Moscow office and 19 in St. Petersburg, according to its website.

In the weeks since Russia invaded Ukraine, more than 20 U.S. and U.K.-based BigLaw firms have announced plans to exit from the country, including Hogan Lovells, Latham & Watkins LLP, Allen & Overy LLP and Winston & Strawn LLP. DLA Piper became the latest firm with a lobbying presence in Washington to leave, joining Squire Patton Boggs LLP and Akin Gump Strauss Hauer & Feld LLP.

CMS, an international firm with offices in Ukraine, also announced Friday that it was winding down its Russian operations.

Baker McKenzie has not signaled any intentions to leave the country. The firm said in a statement Friday that it is reviewing its "Russia-related operations and client work" and that it would not represent any Russian-state affiliated firms or individuals.

"In terms of the scope of our presence in Russia, we are keeping this under constant review," the firm said.

A Baker McKenzie spokesperson declined to comment Monday.

The mass exit from Russia comes as international law firms face increased scrutiny over their work in the country and for Kremlin-associated businesses. In addition to shuttering their Russia offices, some firms have in recent weeks said they are either reconsidering or cutting ties to Russian business clients.

Venable LLP severed ties in late February with Sberbank after earning $240,000 in lobbying fees from the Russian financial institution in 2021, according to public lobbying filings. Sidley Austin LLP also cut its ties to the Russian bank VTB Group. Sberbank and VTB Group are now the targets of sanctions from the U.S. government.

White & Case LLP on Friday informed a New York judge that it was ending its representation of Russian oligarch Viktor Vekselberg and seeking counsel to replace the firm. Vekselberg is a defendant in a suit that centers around a breach of contract dispute stemming from a $55 billion oil venture sale.

The firm announced its intention to withdraw as Vekselberg's counsel the same day it said it would end its operations in Russia and cease any representation of Russian and Belarusian state and state-owned entities.

In the U.K., Prime Minister Boris Johnson earlier this month reportedly took aim at the legal profession, saying law firms that aid Russian oligarchs would face penalties.

--Additional reporting by Aebra Coe. Editing by Alex Hubbard.


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