Dealmaker: Wachtell Lipton Rosen & Katz`s Martin Lipton

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Dealmaker: Wachtell Lipton Rosen & Katz's
Martin Lipton
Author: Legal Week |
14 Apr 2015 | 11:55 |
The Wachtell Lipton Rosen & Katz founding partner on his objection to mega-firms, being unable to
pull an all-nighter and why he has no plans to retire
Why did you become a lawyer?
It was chance. I started out thinking about an investment banking career: the opportunities in 1952 were not
that great. I ended up going to New York University (NYU) law school.
Who has been the biggest influence on your career?
Russell Niles, the former dean of NYU law school, and Lincoln Morris, the then senior partner of Seligson
Morris & Neuburger, the firm where I had my first position. Those relationships taught me a way of looking
at things, of judging things and a way of life.
What's your most exciting professional moment?
I've worked on dozens of exciting things. 1975 was an exciting year representing New York City in the fiscal
crisis; at the same time I was involved in solving a financial crisis at NYU, where I acted as an agent on behalf
of the law school (of which I was a trustee) and the university.
… and worst day on the job?
My work involves stress seven days a week. It's intense, the hours are frequently late – it does not lend itself
to a tranquil existence. I handle difficult transactions and business crises. There is no stress-free moment.
What's your strongest characteristic… and worst trait?
The most important characteristic of a lawyer is judgement – my strongest trait. My worst is not being able to
stay up for 24 hours.
What advice would you give to young deal lawyers starting out?
The only way one becomes an accomplished deal lawyer is to work with an experienced partner and learn
from them. You can't teach deal-doing; it's something that's only possible to convey with experience.
What's the best part of your job?
Keeping the target of a hostile takeover that properly wants to remain independent; preventing an activist
hedge fund from electing its candidates as directors to the board of a company you represent; and enabling a
company to consummate a transaction.
What most annoys you about the legal profession?
The growth of the mega-firms. There's been an erosion in the relationship between older and younger
lawyers as a result. That's caused some young lawyers to become disillusioned about the practice of law and
a less satisfactory professional relationship among lawyers generally. I don't see it being reversed.
What new industry trends have you observed?
The trend towards mega-firms will continue but there is ample room for smaller firms to succeed. We've seen
many start-up boutique investment banks. We'll see the same thing in the legal profession – at least I hope so.
Did you ever imagine yourself having a career outside law?
From the time I started out in law school it fascinated me; I've never considered any other career.
Will you ever properly retire?
I've no plan to retire. A superior being may have a plan, but that's a different story. There are partners here
who have retired at 60 and there are partners who have continued like I have into their 80s – we are quite
productive.
Will the poison pill defence from hostile takeovers ever be accepted in the UK?
No. There have been efforts in the UK to move away from the 'no frustration' principle. In the mid-1980s,
when I first developed the poison pill, I worked with lawyers to try and develop a customised pill for the UK
but it was never really possible to comply with the Takeover Panel rules. It can only happen with legislation.
Following Cadbury's re-examination of the regulation of takeovers, that debate continues but I have no idea
what will happen.
What's your favourite city in the world?
New York, London and Paris. I've spent several weeks every year in London and Paris. In both, my truly
favourite thing to do is to walk.
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