The Cyril Amarchand v Dorothy Thomas settlement: 30 days handover, 6 months non-solicit

Dorothy Thomas, CAM settle differences, life to go on (with some restrictions)
Dorothy Thomas, CAM settle differences, life to go on (with some restrictions)

The settlement of arbitration between Cyril Amarchand Mangaldas (CAM) and former Chennai partner Dorothy Thomas have completed today, with the Bombay high court bench of Justice Kathawalla today recording the filing of consent terms.

According to several sources with knowledge of the settlement, which is confidential, Thomas has been working at Shardul Amarchand Mangaldas (SAM) from 11 October, but under the settlement she will be assisting Cyril Amarchand from 2pm until 7pm for 30 days with handover of matters and work.

However, the agreement is understood to include a six-month non-solicitation provision on Thomas until April 2017, with the exception of a few ongoing matters and clients.

The payment of any outstanding dues to Thomas and her team is not part of the settlement agreement, but the parties are understood to have agreed on the payment of outstanding dues between each other.

Thomas had alleged that CAM had wanted to close the Chennai office and refused to pay dues to her and associates, including bonuses and increments; CAM had alleged in turn that during negotiations it had offered to pay Thomas and her team pro-rated bonuses until their departure but no annually incremented salaries, due to the Chennai office not having been profitable in previous years (though in 2016 the office had exceeded targets until October).

Talks between CAM and Thomas, until her departure to SAM, included the possibility of Thomas setting up her independent practice allied to CAM by year-end, which Thomas had rejected in-part due to the costs and risks involved of setting up a new firm.

Four of Thomas’ team will remain at CAM, including principal associate Edward James; Thomas has joined SAM with around seven fee-earners.

Thomas’ departure to Shardul Amarchand, which we first reported on 9 October, led to a protracted arbitration, including the filing of interim relief in the Bombay high court on 13 October.

The petition included explosive transcripts of WhatsApp conversations between Thomas, her team of associates and SAM chairman Shardul Shroff, allegedly inducing Thomas to leave CAM without serving out her notice period, which Shardul Shroff has denied.

The petition also included an allegation and CCTV evidence that Thomas’ team had removed client files from the Chennai office, which were returned after several days.

Thomas was represented by senior counsel Soli Cooper, with Cyril Amarchand having instructed Beri & Company and Zal Andhyarujina.

We have reached out to the parties involved for comment.

Comments

Ghonshu Ram 25 Oct 2016, 07:44
+28 -8
Dorothy Thomas - I likes. Cyril Amarchand - I don't likes.
Chor Bazar 25 Oct 2016, 07:49
+4 -2
All the best to SAM.
New bankruptcy code 25 Oct 2016, 08:03
+9 -5
All the best to CAM.
YoJi 25 Oct 2016, 08:18
+23 -7
SSS wanted to ridicule CSS in the media by having 'shit hitting the fan' per his plan. CSS filed the petition for one and only one purpose - to put the transcripts in public domain.

Now its SSS who is ridiculed. (The top law firm guy who stooped low and tried to pull off a saas-bahu-sajish kind of coup just to see someone get bad media)

Someone give him some billable work pls. He has so much time on his hands.

(Without prejudice)
Gangu Teli 25 Oct 2016, 09:22
+4 -0
Satya Vachan
gfe 26 Oct 2016, 07:32
+3 -5
Sam involved in Tata litigation and fools say someone give SSS billable work.
ScamDrama 25 Oct 2016, 08:24
+4 -0
What an anticlimax! :/
Bored 25 Oct 2016, 08:55
+8 -0
And they billed happily ever after !!!
Non-solicit 25 Oct 2016, 09:00
+24 -2
How is the non-solicit even enforceable?

1. For one, Indian advocates are not allowed to solicit clients in the first place, so what does non-solicit even mean?

2. An advocate is obliged to accept briefs from clients, so if a client approaches Dorothy she cannot not accept.

All hogwash and a desperate attempt by CSS to save face.
the seeker 25 Oct 2016, 11:17
+3 -0
Me thinks non-solicit in this context means Dorothy cannot lay her hands on the CAM clientele for a little over 6 months.

Please correct me If I am wrong.
Non-solicit 25 Oct 2016, 12:22
+4 -0
Yes but if the client wants to work with her, then what? She cannot refuse.
RBx1 25 Oct 2016, 18:49
+1 -0
A non solicit works differently than what you seem to think it is. Dorothy cannot initiate communication the clients of CAM for work. Typically there would be an exception to non-solicit where the clients (on their own) go to an-ex partner at the ex-partner's new firm, then that's not counted as non-solicit.
Client 26 Oct 2016, 04:27
+3 -0
And the clients who will come with Dorothy will come anyway without Dorothy having to initiate any communication with them or "soliciting" anything. This whole legal notice and threatened litigation was a colossal waste of time and money only for the limited purpose of satisfying Cyril's bruised ego. Hope it has been satisfied as some clients are still going to leave CAM for SAM.
VVV 25 Oct 2016, 09:20
+3 -1
Kian, through a court clerk you can get a copy of the Consent Terms tendered in Court!
Move over Cammies.. 25 Oct 2016, 11:04
+1 -0
Kian report the Mistry Tata matter, SAM is involved.
kianganz 25 Oct 2016, 11:23
+0 -0
Thanks, done: http://www.legallyindia.com/litigation/tatas-instruct-karanjawala-sam-s-shuva-cyrus-mistry-goes-for-desai-diwanji :)
the seeker 26 Oct 2016, 05:38
+5 -0
time for dorothy to take a backseat while the 'mistry' deepens.
Champak Bhumiya 27 Oct 2016, 07:12
+1 -1
Very surprising that CAM is exiting Chennai, considering the numbers that Dorothy mentioned and Chennai being the 2nd/3rd highest FDI receiving state. Other law firms seem to be hiring/making more partners in Chennai. What gives?
Guest 28 Oct 2016, 13:01
+2 -2
CAM has Adani plus kotak plus Ambani. CAM is egoistic plus has history of fighting against blood relations before few years which led to separation in following years. Watch five more years as it will be more interesting like mystery.
JCO 28 Oct 2016, 17:44
+3 -4
Excellent that Dorothy is now free to head SAM Chennai and retain the number 1 position in Chennai. All the very best to her and her team !
duh 2 Nov 2016, 12:55
+0 -1
Isn't Anand Bhushan the head for SAM's Chennai office?
JCO 8 Nov 2016, 12:13
+0 -1
Yes - Anand is the head currently - but post the transition of Dorothy and team, I guess there will be some changes considering that Dorothy is more experienced and well known in the Chennai circles.
Guest 30 Oct 2016, 13:40
+0 -0
Where