The Question of Partner Compensation Guarantees

Partner compensation guarantees can be an appropriate tool in lateral hiring situations, both for the benefit of the firm and the individual partner. However, the number of guarantees, their duration, and the situations in which they are triggered can quickly run out of control and threaten the firm culturally and financially. Understanding how that can happen is important for every partner in the firm.

(Reprinted with permission of The International Review, copyright 2014)

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