Sullivan & Cromwell Faces Partner Exits in New York Amid Global Expansion Push
Elite law firm Sullivan & Cromwell LLP is witnessing a shake-up in its flagship New York office. At least two key mergers and acquisitions partners have departed in recent weeks, signaling potential turbulence in the heart of the Big Apple as the firm aggressively builds its international footprint.
These exits come at a time when Sullivan & Cromwell, a Wall Street powerhouse, is doubling down on growth abroad, particularly in London, raising eyebrows about the stability of its domestic core.
Key Departures: M&A Partners Jump Ship to Rivals
Sullivan & Cromwell’s New York office, home to over 550 lawyers, has lost prominent talent in its mergers and acquisitions practice. Corporate partner Lee Parnes, a veteran in the M&A group, has joined rival Davis Polk & Wardwell, bolstering their deal-making team.
Reports indicate at least one other M&A attorney followed suit, though specifics remain under wraps. These moves highlight a broader partnership shuffle, with insiders pointing to competitive offers and strategic alignments as drivers. Parnes, known for advising on high-stakes transactions, brings a Rolodex of clients that could sway deals away from S&C.
The firm’s New York headquarters at 125 Broad Street remains a hub for global finance, but these losses underscore vulnerabilities in retaining top dealmakers amid fierce Big Law rivalries.
Background: A Firm Built on Wall Street Legacy
Founded in 1879, Sullivan & Cromwell has long epitomized elite corporate lawyering. It advised J.P. Morgan on the creation of General Electric and U.S. Steel, and today handles blockbuster M&A, antitrust, and regulatory matters for Fortune 500 giants. With 13 offices worldwide and over 900 attorneys, S&C promotes almost exclusively from within, fostering a tight-knit partnership.
Recent accolades include Law360’s Firm of the Year in January 2025, with wins in banking, fintech, and white-collar defense. Yet, the firm has navigated controversies, from its role in Donald Trump’s hush-money appeal to scrutiny over FTX ties. These high-profile engagements have elevated its profile but may contribute to internal strains.
London Expansion: Hiring Stars to Counter NY Losses
As New York bleeds talent, Sullivan & Cromwell is investing heavily overseas. The firm announced two high-profile hires in its London office this week: seasoned private capital experts to strengthen its European M&A and private equity practices.
These additions aim to capitalize on London’s role as a global finance gateway, drawing on S&C’s cross-border expertise. The moves reflect a deliberate strategy to diversify beyond New York, where M&A volumes have fluctuated post-pandemic. Firm leaders emphasize a “single partnership” model, but the transatlantic pivot could signal a rebalancing of resources.
Expert Opinions and Industry Buzz
Legal recruiters view the exits as par for the course in Big Law’s talent wars. “S&C’s New York office is gold-standard, but partners chase better platforms or equity shares,” said one headhunter specializing in Am Law 100 laterals. Davis Polk, fresh off its own hiring spree, gains an edge in competitive M&A bidding.
On X and LinkedIn, reactions mix concern and opportunism. Associates praise S&C’s training but whisper about partnership promotion pressures, while rivals gloat over poaching stars. A viral thread dubbed it “NYC’s revolving door,” amassing thousands of views among legal pros. Firm insiders downplay the impact, noting robust pipelines from elite law schools.
Critics, however, question if the Trump representation has alienated clients or talent, though S&C denies any link.
Impacts on U.S. Business, Economy, and Legal Landscape
For American corporations, these shifts ripple through dealmaking. Sullivan & Cromwell advises on trillion-dollar transactions; partner exits could slow momentum in sectors like tech and finance, where speed is king. Clients may flock to Davis Polk for continuity, potentially hiking fees in a consolidating market.
Economically, Big Law’s $50 billion industry fuels New York’s economy, supporting thousands of jobs. A brain drain from S&C’s 550-lawyer NY hub might pressure local real estate and services, though London’s gains could boost U.S. firms’ global revenue—up 15% for S&C in 2024.
Politically, the firm’s Trump ties add intrigue amid antitrust scrutiny on Big Tech deals. In lifestyle terms, aspiring lawyers eye S&C for prestige, but exits highlight the grind: 80-hour weeks for partnership dreams. Sports and tech fans note parallels—S&C’s fintech prowess ties to NFL sponsorships and Silicon Valley exits, where talent mobility mirrors player trades.
Conclusion: A Global Firm in Flux
Sullivan & Cromwell’s New York partner exits amid a London hiring spree encapsulate Big Law’s high-stakes evolution. While losses sting the iconic office, strategic expansions abroad position the firm for sustained dominance in cross-border deals.
Looking ahead, experts forecast more laterals as M&A rebounds in 2026. For U.S. stakeholders, this shuffle reinforces the need for agile talent strategies in a borderless legal world.