The American Lawyer: As Lateral Hiring Continues Into Q4, More Law Firms Are Willing to Shell Out to Make Candidates Whole
Macrae’s Lauren Drake is quoted in The American Lawyer by Amanda O’Brien on why lateral partner activity is holding up into the final quarter of the year, and how firms are approaching compensation timing when they bring partners on board.
The fourth quarter has traditionally been quieter for lateral moves, as firms schedule payouts and bonuses for the following calendar year. The article reports that 2026 looks different, with recruiters describing a busy market and firms showing more flexibility on compensation that a partner forgoes by moving.
Lauren noted that by mid-October, recruiters are usually working on moves that take effect the following year. This year, deals are still closing now through year-end at a rapid pace, and the level of activity, she said, “feels different.” She also observed that “moves beget moves,” as firms compete to build out the practices that command the highest rates.
On compensation, Lauren explained that the lateral process is lengthy and complex, so the moves being announced now have often been in the works for months. That gives partners time to become comfortable with the trade-offs of leaving some compensation behind. She is also seeing more firms willing to offer make-wholes, which are payments that offset compensation a partner would have received at their prior firm early next year. As the article notes, approaches vary by firm and by candidate.
Recent partner announcements in private capital and private credit at firms including Debevoise, Clifford Chance and DLA Piper are among the examples cited.
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