Pannone is last to know as associate firm defects to DLA

Manchester firm Pannone & Partners was last week unaware that its Scandinavian associate firm - Lindh Stabell Horten (LSH) - had jilted it and last month joined City firm DLA's international network in an exclusive agreement.LSH - formed by a three-way Norwegian, Swedish and Danish merger in February 2000 - joined the Pannone Law Group (PLG) about two years ago.PLG is one of the oldest international networks - founded in 1988, it now has members in most European countries, as well as North America and Brazil.Last month Lindh Stabell announced it would join DLA's European group D&P in July (see [2001] Gazette, 17 May, 6), but it would appear that it failed to inform Pannone.

Pannone's Scandinavian head of corporate and commercial, Soren Tattam - based in Manchester - was surprised when told the news by the Gazette last week.The PLG Web site continued to advertise LSH as a member this week, talking of 'a solid cohesion between its associated firms'.

Pannone declined to comment.It is thought that the Swedish and Norwegian members of LSH pushed for the deal with DLA.

Per Troen, a Danish corporate lawyer based with Osborne Clark in Bristol, said he understood that the Danish office of LSH had been the closest to Pannone.Scandinavia is enjoying a double bank holiday this week, and therefore nobody from LSH was available to comment.Nigel Knowles, managing partner of DLA and chief executive of D&P, said: 'Any existing relationships LSH has will have to come to an end, because D&P now has an exclusive association with the firm.'He added that the whole of the merged LSH had wanted the DLA deal to go ahead.He said that Pannone 'must be a bit embarrassed about it', but added: 'LSH made careful plans to inform all their current associates of the new development with us.'See feature, page 26Jeremy Fleming