Annual Report 2020
Gorrissen Federspiel | Annual Report 2020 Editors Lonni Park Lynge, Katrine Prien, Gorrissen Federspiel Layout and design Denise Hennig, Gorrissen Federspiel Photos Kristian Holm, Tuala Hjarnø, Nicky Bonne, Rune Johansen, Bax Lindhardt, Claudia Dons Press photos: Vestas Printing Cool Gray Gorrissen Federspiel Axel Towers Axeltorv 2 1609 Copenhagen V Denmark +45 33 41 41 41 Prismet Silkeborgvej 2 8000 Aarhus C Denmark +45 86 20 75 00 NOR DI
N SWA ECO BEL
April, 2021
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ANNUAL REPORT 2020
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Content A year out of the ordinary 005 2020 in Gorrissen Federspiel 010 Financial highlights 012 Notable matters of the year 014 Welcome to two new partners 018 Legal advice with a new dimension 022 Our organisation 024 New chairman of the board of directors: “I got a baptism of fire” 026 Leader in our profession 030 Rated among the best 032 The strategy is alive and well 034 A year in the lead 037 Our CSR initiatives 038 A year with Covid-19 040 Two steps forward and one step back 042 A year at the home office 046 Increased focus on employee satisfaction 048 Digital knowledge-sharing 050 The profession’s most skilled and committed employees 052 Focus on future talent 054 On an equal footing with permanent employees in NY 055 A year of international outlook 057 A signature for diversity and inclusion 060 Tailor-made professionalism 064 On contract with Gorrissen Federspiel and Aarhus Fremad 066 Zero tolerance of unwanted sexual attention 068 Financial report 070
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ANNUAL REPORT 2020
ANNUAL REPORT 2020
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A year out of the ordinary Heading into 2020, we had a clear expectation that the very positive developments made and the strategic direction we had set in 2019 would continue. It did not turn out that way. 2020 was very different – not just for Gorrissen Federspiel, but for all businesses worldwide. Although the year took an unexpected turn, we look back on a 2020 that, overall, has been a year of development, learning and satisfying business results. A year of change The Covid-19 pandemic triggered an accelerated digital transformation in Gorrissen Federspiel and in virtually all businesses. Operating in lockdown and working from home require a good digital infrastructure. At Gorrissen Federspiel, we were well-placed ahead of the pandemic, having prioritised digitalisation over recent years. We have therefore been able to move quickly from the office to the home workplace without major disruption to our work. Since the Covid-19 lockdown last spring, we have accelerated the development of our digital infrastructure and today we have a modern and digital workplace. We have also experienced a major shift in the way we work. We have embraced virtual meetings. We have learnt that our professional development can also take place through webinars from our screens – just as we ourselves can share our knowledge with others without requiring large in-person events in our offices. We have learnt that many meetings with international contacts can be conducted virtually and
do not n ecessarily require overseas travel. Moreover, we have found that our efficiency does not depend on our presence in the office – the home office works too. We plan to take this experience with us into the post- coronavirus era. Our 2022 strategy has continued to guide our execution and business development during 2020, a lthough our primary focus has been on ensuring employee satisfaction and well-being, and on assisting our clients during such an abnormal time. Exciting work Workwise, 2020 has been a very exciting year and one in which we have been selected as legal counsel on some of the largest and most complex mandates in all areas of business law. The M&A market has generally been very active, especially in the second half of the year which included our participation in landmark deals in both the energy and life sciences sectors. We also saw strong capital raising activity in 2020, with a number of notable stock exchange listings including the first IPO in two years on the Nasdaq Copenhagen Main Market. Although closed courts and alternative hearing formats have also made their mark on parts of 2020, the year saw a number of exciting decisions in high-profile arbitration, damages and trademark cases. We elaborate on this in the pages that follow.
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ANNUAL REPORT 2020
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Strengthening our business 2020 has been a test for many of us on a personal level. Nevertheless, we feel that we at Gorrissen Federspiel are stronger than ever. First of all, we are experiencing a bond that is even stronger than before. Although we have been separated and have been working from home for long periods of time, we have grown closer together as colleagues and as a firm. We have also been in the privileged position of having a relatively strong workload for our employees, and we have therefore not had to make redundancies due to Covid-19. It has been a priority for us to retain our talent and to act with a long-term focus. In a period of u ncertainty, during which we have seen r edundancies elsewhere in the market, we have seen that this c ontinuity has had a positive impact on employee satisfaction and engagement in Gorrissen Federspiel. We have also felt the strength and benefits of being a full-service firm. If there has been a decrease in demand in one area, there has been an increase in demand in another. And because our lawyers are not only among the best in the country – they are also flexible and adaptable – we have been able to allocate resources to those areas where extra effort has been needed. As a firm, we feel strengthened in the relationship and trust of our clients. 2020 has seen periodic turmoil, emergency legislation, aid packages and uncertain forecasts, and clients have selected us to advise on some of their most significant and complex cases. Our experience is that Gorrissen Federspiel has been the safe choice for many companies as they navigate a time of crisis. Finally, we stand strengthened as a result of the external recognition we have received in 2020. This spring we saw ourselves ranked as the leading law firm in Denmark in the “Tier 1 Law Firm Review 2020 Denmark”, an industry survey conducted by Kantar Sifo Prospera. In the analysis, prominent Danish companies rated the performance and legal competence of the ten largest law firms in the country, and we were both humbled and proud to be ranked number one. In the autumn, for the third year in a row, we were also voted industry leader in the annual image analysis conducted by the IFO Institute for Public Opinion Analysis (formerly Guldimage), in which more than 2,400 Danish business leaders assessed the image of 100 Danish companies. We were especially pleased to see a significant improvement in the areas of “credibility” and “communication”. This is particularly positive at a time when the overall credibility of the legal profession
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is under pressure – in the same way the profession has historically had a reputation for being closed. Satisfactory results for the year In a year of such upheaval and market uncertainty, we are particularly pleased to have delivered a satisfactory financial performance. In 2020, we achieved a revenue of DKK 803.6 million, corresponding to a growth of 5.3%. The result is in line with our expectations for the year and comes as a result of organic growth and positive developments made across our practice areas. Expected development In 2021, despite the uncertainty related to the corona virus, we expect continued positive developments across our practice areas and a continued increase in the number of cases from existing and new clients. We continue to focus on the execution of our 2022 strategy with the objective of further modernising and professionalising our business, as well as continuing the increased focus on the commercialisation of our business and on client satisfaction. Our expectations for 2021 are increased growth with revenue in the range of DKK 845-875 million. In 2021, we expect full utilisation in all our areas with the current workforce – unlike 2020, where some areas have been periodically affected by the Covid-19 pandemic.
Martin André Dittmer Managing Partner
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ANNUAL REPORT 2020
Employees in Copenhagen
Total number of employees
514
*
Employees in Aarhus
389
125 77 Law students
151 Staff
82 Assistant attorneys
Roles
50 20 Senior legal counsels
134 Attorneys
* Number of employees by the end of 2020
Partners
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Admitted to the Danish Bar
38
514 employees
Seconded to a client
17
212 men / 302 women
Seconded to an international law firm
50 partners
3 Law students who have been on educational leave abroad
41 men / 9 women
5 Total average age
236 lawyers (excl. partners)
36
109 men / 127 women
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ANNUAL REPORT 2020
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2020 in Gorrissen Federspiel
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ANNUAL REPORT 2020
Financial highlights
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2020 was a good year for our firm, meeting our financial expectations for the year with a revenue of DKK 803.6 million, corresponding to a growth of 5.3%.
The increase in revenue is the result of organic growth and is in line with our expectations at the beginning of the year. In view of the unexpected develop ments in 2020 with Covid-19, which in the spring caused great uncertainty in the financial markets, the result is particularly satisfactory. “In many ways, 2020 has been an exceptional year where in relation to finance we’ve experienced periods that have given rise to uncertainty. But overall, we’ll come through the corona year relatively un affected and even with the growth we expected,” says Charlotte Dreyer, CFO at Gorrissen Federspiel. She explains how, parti cularly in the area of corporate transactions, there was some initial hesitation in the market, but towards the end of the year the level of activity increased – even achieving a pace that ultimately balanced the year as a whole. The market has also acted “unnaturally” as a result of aid packages and other socio- economic measures, which has led to unpredictability in the distribution of work and mandates.
Quick transition The satisfactory result for the year clearly shows that our employees have been highly adaptable and flexible, and that as a firm we have been geared towards the transition to a digital workplace. Cha rlot te D re yer explains how management has kept a keen focus on employee utilisation. As a result of c hanging workloads across practice areas, there has been a focus on allocating resources from departments with lower workloads to those departments that have increased workloads. “We’ve found our workforce to be very adaptable, taking the Covid-19 situation in their stride and quickly adapting to the home office – and also showing a great deal of flexibility when we’ve needed to allocate resources to changing workloads across different areas of the business.” The rapid shift from traditional office to home
ffice has also been driven by o the focus in recent years on investment in IT infrastructure. Employees have therefore been well-placed to work effectively from home, with the right IT tools and c onditions for virtual collaboration and for interaction with clients and colleagues. It is not just in our legal work that we have seen rapid change. In 2020, we c ompleted the implementation of a new financial and case management system – an implementation which, somewhat atypically, was delivered from home offices and with remote support.
Growth in the number of lawyers The number of lawyers has also followed the organic growth and development of the firm, and at the end of the year we employed 286 lawyers, which is 17 lawyers more than the previous year. The number of employees across all functions at the end of the year was 514, representing a total increase of 12 employees compared to the previous year. One of the management issues that has occupied the thoughts of Managing Partner, Martin André Dittmer, has been the retention of employees. Despite a year of u ncertainty in the market, it has been a priority to retain our talent and not make redundancies. “We’ve generally experienced steady workloads for our employees, and although at times we’ve experienced some hesitation in the market, it has been a high priority for us to think long-term. Our clients choose us for our profes sionalism, and we employ the country’s best lawyers. That kind of knowledge and talent pool takes time to build up, which is why we cannot afford to react to market fluctuations with short-sightedness,” says Martin André Dittmer.
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ANNUAL REPORT 2020
Notable matters of the year
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As for our assignments, 2020 offered a number of highlights. We were again chosen as legal counsel on the largest and most complex mandates across all areas of business law, consolidating our position as one of the business community’s preferred legal advisers.
2020 was another busy year across our practice areas, and we were right there where it was happening – on the biggest cases and the largest transactions. In particular, we saw a lot of capital raising activity last year and were involved in a number of landmark transactions. Strong capital markets activity 2020 was marked by high activity and a string of notable capital markets transactions. We assisted EQT and HusCompagniet in connection with the first IPO in two years on Nasdaq Copenhagen Main Market, when HusCompagniet went public in November. The following week, we assisted Swedish online fashion retailer Boozt, already listed in Stockholm, with a cross-listing on Nasdaq Copenhagen. We also assisted GreenMobility in moving from the Nasdaq First North Growth Market to Nasdaq Copenhagen Main Market. 2020 also saw listings outside Denmark, where we assisted the Danish offshore wind farm installation and service provider, Cadeler, with a listing on the Oslo Stock Exchange. “It has been a great pleasure to advise on so many exciting listings in the past year, both in Denmark and abroad. We have the team and expertise to handle multiple complex capital markets transactions at the same time. Nevertheless, it was extraordinary that we were able to celebrate four listings within just a few weeks,” says Rikke Schiøtt Petersen, partner and head of Capital Markets & Corporate/M&A.
She mentions that the high activity in the c apital markets arena was not limited to listings, but also included several other transactions. “In addition to listings, we’ve also been busy in 2020 with several rights issues and directed share issues,” she says. NKT and B&O, for example, both completed rights issues, and NKT, SP Group and GreenMobility raised new capital through rights issues. More Danish life sciences investments In the life sciences sector, we have also been very busy in 2020. In June, Japanese company Fujifilm, which we assisted in 2019 with the acquisition of Biogen’s pharmaceutical plant in Hillerød, announced that it would invest further in a significant expansion of the plant. The investment amounts to approximately DKK 6 billion, making it one of the largest foreign investments in a Danish company, and we are proud to be able to assist Fujifilm with this process. We assisted international pharmaceutical company Servier with the acquisition of the Danish biotech company Symphogen. We also assisted the biotech company Orphazyme with a capital raising of DKK 534.5 million through a listing on the NASDAQ exchange in the US and a private placement in Europe. Finally, we assisted Danish Bioporto in a share issue of more than DKK 100 million.
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ANNUAL REPORT 2020
Busy year for M&A transactions The M&A market in 2020 was marked by the Covid-19 situation, with some hesitation in the first half of the year. “In the first half of the year, the number of transactions was relatively low due to the uncertainties linked to the Covid-19 pandemic. But during the summer, we saw a strong increase in activity, which continued through the autumn and winter. Overall, we’ve had a busier year than usual,” says Anders Ørjan Jensen, partner and head of Corporate/M&A. In 2020, Gorrissen Federspiel was again involved in the majority of the largest and most complex transactions in the Danish market, i ncluding SEAS-NVE’s acquisition of Ørsted’s Danish power and gas operations, Polaris’ sale of Molslinjen and Chr. Hansen’s sale of its Natural Colors division to EQT. Strong interdisciplinary cooperation between the firm’s M&A and Banking & Finance groups has secured Gorrissen Federspiel a leading position in M&A in the financial services sector. In 2020, Canadian financial group Intact chose Gorrissen Federspiel to provide advice on one of the largest corporate deals in Danish history, when Intact and Tryg bid for RSA’s international business, including Codan – a DKK 60 billion transaction. We also assisted Nykredit Group with the sale of its custody business to Bank of New York Mellon and the conclusion of a new insurance partnership with Privatsikring. Finally, we advised on several bank mergers, including the merger between Vestjysk Bank and Jyske Sparekasse.
Gorrissen Federspiel’s Private Equity practice had another busy year in 2020 with mandates for both international and Nordic private equity funds, including FSN Capital, Nordic Capital, Axcel, Polaris and EQT. We see that funds have an ever-increasing focus on software and digitalisation of business processes, and we make sure to combine M&A advice with the Digital Business group’s expertise in digital business models, data protection and intellectual property rights. Advising Danish Large Cap companies remained a very important business area in 2020, where – in addition to a number of capital markets transactions – we assisted Vestas with the acquisition of MHI Vestas Offshore Wind from Mitsubishi Heavy Industries as well as with the investment in Copenhagen Infrastructure Partners (CIP). We also a ssisted Salling Group with the acquisition of Tesco Plc’s Polish business with approximately 300 super markets to be converted into Netto stores, and we assisted Grundfos in the acquisition of SilhorkoEurowater, a developer of water purification solutions. In recent years, we have strengthened our position for M&A work in the energy sector, and in 2020 we created a separate cross-practice group for energy transactions to provide our clients with integrated advice that also includes competition law, real estate and tax. Since the beginning of 2020, the group has handled more energyrelated M&A transactions than any other Danish law firm, including work for SEAS-NVE, Shell and several inter national infrastructure and energy-focused funds.
ANNUAL REPORT 2020
International counterfeit cases We also had a strong showing on the IP side in 2020, with several long-standing cases of foreign companies copying Danish brands coming to an end. We assisted Danish company Rains in a case against fashion g iant Inditex, the business behind the worldwide retail chain Zara. The case concerned the infringement of two Rains raincoats and started in 2016. In May 2020, the Maritime and Commercial High Court ruled that Inditex had acted in violation of the product imitation protection provisions of the Danish Marketing Practices Act, and therefore an injunction was issued prohibiting the marketing, import and sale of the raincoats. “Design companies spend a lot of time and resources developing new products. They live by their good design. Therefore, other companies cannot and should not unjustly profit from their hard work and development. The case clearly shows that it pays to take up the fight, no matter whom you are up against,” says Lasse Skaarup Christensen, partner and head of IP & Digital Business Royal Greenland is another company that in 2020 the courts found had had its trademark infringed. The Royal Greenland case, which began in 2014, was characterised by a lengthy process before the Chinese courts. A Chinese food company had started using two of Royal Greenland’s logos, which they subsequently registered in the Chinese trademark register. Neither the Chinese Trademark Office nor the Chinese Trademark Appeals Board considered that the marks were confusingly similar to Royal Greenland’s trademarks. “With the assistance of skilled Chinese c olleagues, after six years we succeeded in having the Chinese trademarks declared invalid. It’s a wellknown fact that China has a different approach to intellectual property rights than in other markets. It’s therefore also particularly satisfying to see that IP rights apply irrespective of jurisdiction,” says Lasse Skaarup Christensen. Dispute resolution “Conducting complex and precedent-setting disputes on behalf of our clients is one of Gorrissen Federspiel’s core areas of expertise. We regard dispute resolution as a practice area in its own right and have extensive experience in court litigation as well as in national and international arbitration. 2020 saw a number of major disputes over stock exchange disclosure obligations in line with the general increased focus on companies’ regulatory obligations. In 2020, we also obtained a number of precedent-setting decisions, each of which
has far-reaching implications for the business community,” says Jacob Skude Rasmussen, partner in Dispute Resolution. The Supreme Court ruling in the Unibet case is a good example of the type of leading cases we conduct. Since 2007, we have assisted betting c ompany Unibet in a leading damages case, where an online gambler claimed damages as a result of having lost approximately DKK 2 million on betting services at Unibet over a period of approximately 1.5 years, before Unibet decided to close the gambler’s account. In December 2017, the District Court acquitted Unibet, while in December 2018 the Western High Court reversed the judgment. In January 2020, the Supreme Court acquitted Unibet, upholding the judgment of the District Court. The case is seen as leading because the Supreme Court ruled that there is no further (tort) protection for gamblers beyond that which can be derived from the Danish Gambling Act, which Unibet had complied with. A high-profile case of misleading and “systematically manipulated information” was also settled in an international arbitration in 2020. We a ssisted the Northern European private equity fund FSN Capital, which in 2018 acquired Gram Equipment from Swedish Procuritas. However, the sale turned out to be based on misrepresentation and false financial information with the intention of hiding underlying facts. The seller was ordered to pay EUR 87 million in compensation. Prior to the arbitration award, we assisted FSN Capital against the insurance consortium that had insured the seller’s guarantees in the transfer agreement. The insurance consortium ended up paying the full insurance sum of EUR 50 million to FSN Capital. The insurance pay-out is one of the largest published pay-outs under a W&I insurance policy internationally. In recent years, we have seen a steadily i ncreasing focus on compliance with companies’ stock exchange disclosure obligations, which has also led to an increased need for assistance from our Dispute Resolution group – both in c onducting i nternal i nvestigations, assisting in regulatory i nvestigations and civil litigation. We represent several large Danish companies in cases concerning stock exchange obligations, including in particular cases brought by current or former shareholders claiming damages based on alleged non-compliance with the company’s disclosure obligations.
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ANNUAL REPORT 2020
Welcome to two new partners The year ended with good news. In December 2020, the partners decided to invite two new members to join the partnership on 1 January 2021. The appointments reflect growth in their respective areas of practice, and the new partners will help ensure the continued development of Gorrissen Federspiel. Meet the newly appointed partners here.
Preben Jakobsen (38), Restructuring & Insolvency A 20-year-old goal was achieved when Preben Jakobsen received a call in December 2020 with the offer to join the partnership. “It was a very special feeling for me to achieve a career goal that I set almost 20 years ago – and that I’ve been working hard to achieve ever since. Especially that feeling – to have reached the goal – was quite special.” Preben Jakobsen holds a Master of Laws degree from the University of Copenhagen (2017). He joined Gorrissen Federspiel in 2016, where he became part of the Restructuring & Insolvency practice group. He works at our offices in Axel Towers in Copenhagen.
ANNUAL REPORT 2020
Solutions drive his work Since 2009, his professional focus has been on restructuring and insolvency in national and inter national contexts with a primary focus on restructuring, bankruptcy proceedings and in-court and out-of-court restructuring. In addition, he provides creditor advice to primarily Danish and foreign banks and financial institutions, and he regularly conducts litigation in his specialist field. “I like to give advice and acquire knowledge that others can use. Solutions drive my work. In reality, I prefer to see myself as part of the client’s team, where I can go deep and contribute with my knowledge and experience to find good and lasting solutions together with the client,” he says. Looking forward to community If you ask him if there are any cases that have stood out for him, there is a prompt answer – the bankruptcy of, at the time, Denmark’s largest construction c ompany Pihl & Søn and the rescue of Thomas Cook’s Scandinavian business.
“The rescue of the Scandinavian part of Thomas Cook stands out in particular as a milestone in my c areer. In just over two months, we created a tailormade solution in close cooperation with the company, its management and the banks and many other parties involved. Together we succeeded in saving an airline and several thousand jobs across the Scandinavian travel industry,” Preben Jakobsen recalls. One of the things he is most looking forward to about becoming a partner is the community he will now be part of. “I look forward to investing time and commitment in the partner community and experiencing the value of being part of it. Bringing my knowledge and experience to the table, being able to draw on each other and help and support each other – and taking an active part in running the best possible law firm,” he says.
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”This area is characterised by requiring an understanding of technology and of the commercial reality of companies. The client gets only limited benefit from the advice if, for example, you are unable to talk about encryption or the limitations of a user interface. It’s the interaction with the law that I find exciting.”
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David Telyas (40), IP & Digital Business The perfect fusion of interests – this is how David Telyas describes his new title as partner, where law, technology and business development form a professional trinity. Last year he celebrated his 10th anniversary at Gorrissen Federspiel, where he is based at our offices in Prismet in Aarhus. As part of the IP & Digital Business practice group, David specialises in providing advice to Danish and foreign clients concerning the legal aspects of digital business models, including in relation to data protection law, marke ting law and consumer law. He describes an understanding of technology as a prerequisite for providing advice that adds value in these areas, where law and technology go hand-in-hand. “This area is characterised by requiring an understanding of techno logy and of the commercial reality of companies. The client gets only limited benefit from the advice if, for example, you are unable to talk about encryption or the limitations of a user interface. It’s the interaction with the law that I find exciting,” he says. Understanding the technical aspects David Telyas holds a Master of Business Administration degree (2010) and a Master of Laws degree (2018) from Aarhus University, and he obtained a PhD in 2014 with a thesis focusing on the interface between intellectual property law and competition law. For the new partner, it is about being the best adviser, and that requires more than legal skills. He also has a degree in multimedia design, and before starting his c areer at Gorrissen Federspiel he worked in hardware sales, software and website programming. “Clearly, I’m no longer a super-specialist in depth, but I have an understanding of the technical aspects that allows me to talk to and deliver advice that matches the client’s needs,” he says. Developing the project In recent years, he has been the driving force behind the development of a Digital Business practice group in Aarhus to match the strong team in Copenhagen. This has given him a taste of life as a partner in respect of business development and management. “These two things have always interested me, and as a partner I can now build on them. It has been an exciting project to start something new, and now I look forward to developing it further so that we can maintain and build on our strong competencies,” he says. As the latest addition to the partner family, he is looking forward to being part of the partnership and to meeting the other partners when events and meetings become possible again. “There’ll naturally be a period at the beginning when you’re quite humble about the situation, and when you just need to get a feel for how things are done. We each have a different perspective on things – we’re different people and have different management styles – and I’m looking forward to getting an insight into how the more experienced partners approach things and to contributing to the community,” he says.
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ANNUAL REPORT 2020
Legal advice with a new dimension In the spring, we at Gorrissen Federspiel were able to unveil a piece of news that made headlines in the Danish press. This happened with the appointment of former prime minister Lars Løkke Rasmussen, who as Senior Special Advisor adds a new dimension to our legal advice.
ANNUAL REPORT 2020
In our daily work, we advise large Danish and international companies that are increasingly expected to consider social responsibility beyond their core business. At the same time, companies are encountering increased complexity, where geopolitical and international currents can change their world overnight – and changing societal conditions affect their strategic space and decision-making processes more now than in the past. Such change has a major impact on companies’ legal actions. When we decided in the spring to appoint Lars Løkke Rasmussen as adviser, it was to offer our clients a new dimension of legal advice. Many of our clients navigate complex circumstances where societal and political considerations come into play. Here we saw that Lars Løkke Rasmussen could offer competence and experience to which our clients normally do not have access. “We’ve drawn on his unique experience of rule- making in Denmark and of dealing with the EU and international issues. Lars Løkke Rasmussen has served clients very well in providing an additional strand to our legal a dvice in cases with political, regulatory or diplomatic interaction and has also supported Gorrissen Federspiel’s work in f ocus areas such as the green transition and North Atlantic relations,” says Martin André Dittmer, Managing Partner at Gorrissen Federspiel. “The advice and interaction our clients have received from Lars Løkke Rasmussen’s expertise has helped raise the bar even higher in the advice we provide,” he adds. Benefit from network and goodwill In a year marked by Covid-19, but also by Brexit and the US presidential election, clients have welcomed the new adviser. He has dealt with everything from EU affairs and acquisitions to aviation and shipping. Head of Shipping/ Offshore/Transportation, Peter Appel, has worked with Lars Løkke Rasmussen on several cases during 2020. “He has assisted in cases where we and our clients have needed to understand and predict policy-making processes. The interaction between political considerations and administrative management has increased, especially during the Covid-19 crisis. The cases cover various issues such as the entry of foreign workers and the acceleration of public investment in fixed assets,” says Peter Appel. He adds that the firm has also been able to b enefit from the former prime minister’s national and inter national network, as well as the great respect and goodwill that surrounds him from his many years as the country’s prime minister. Interesting to experience the other side For the new Senior Special Advisor himself, it has been exciting to see Danish legislation and business regulation from a completely different perspective. “I’ve said to the partners many times during the year that all parliamentary politicians should really do this kind of ‘internship’. You legislate from a different perspective, where you look at the big picture, and then you see the other side, where a number of companies are squeezed by inappropriate regulation or inappropriate processes. It has
been interesting to see that the devil is in the detail,” says Lars Løkke Rasmussen. Exciting environment to be part of In addition to targeted client work, Lars Løkke Rasmussen has also been involved in a number of initiatives with a slightly broader perspective. This includes webinars during the spring lockdown on aid packages and reopening society, and in the run-up to the US presidential election on what a new US administration would mean for the international trading environment. In partnership with the British Chambers of Commerce, he also hosted a Brexit event. Lars Løkke Rasmussen has only once before worked in a law firm. It was when he was a law student working in a one-man firm. “It has been incredibly exciting to join Gorrissen Federspiel in an environment of extremely competent people. Everyone can do something, and when you pool it together, the firm can do anything. It’s quite fascinating,” he says.
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TITEL PÅ REPORT ANNUAL DOKUMENT 2020
Shareholders / partners
Our organisation
Christian Alsøe Jakob Skaadstrup Andersen Peter Appel Niels Bang Morten Nybom Bethe Lasse Skaarup Christensen Anders Peter G. Christoffersen Camilla C. Collet Martin André Dittmer Lotte Eskesen Mikkel Fritsch Christoffer Fode Søren Fogh Henriette Gernaa Tue Goldschmieding Jacob Gunst Niels Heering Bo Holse Ole Horsfeldt Morten Hans Jakobsen Anders Ørjan Jensen Jan Hellmund Jensen Michael Steen Jensen Hans-Peter Jørgensen Erik Kjær-Hansen Louise Celia Korpela Kenneth Kvistgaard-Aaholm Alexander Troeltzsch Larsen Merete Larsen Gitte Dehn Lansner Jesper Avnborg Lentz Tobias Linde Jens V. Mathiasen Michael Meyer Erik Molin Finn Møller Kenneth Hvelplund Pedersen Chantal Pernille Patel Rikke Schiøtt Petersen Jacob Skude Rasmussen Jacob Sand Mikael Philip Schmidt John Sommer Schmidt Peter Sjøgreen Søren Stæhr Klaus Søgaard Søren Høgh Thomsen Charlotte Thorsen Michael Wejp-Olsen Jacob Ørndrup
Practice groups Labour & Employment Banking & Finance Capital Markets Corporate/Mergers & Acquisitions EU & Competition Real Estate IP & Digital Business Private Clients / Family Offices – Legal Dispute Resolution Restructuring & Insolvency Shipping/Offshore/Transportation Tax Economic Analysis
Cross-practice groups Cross-practice groups Compliance & CSR Energy & Infrastructure FinTech Aircraft & Rolling Stock Insurance & Reinsurance International Construction & Engineering Projects Internet of Things (IoT) Life Sciences Maritime Disputes Media & Entertainment Environment Private Equity Auditing & Consultancy Firms Securities Litigation Telecommunications
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Board of directors 01. 02. 03. 04. 05. 06.
Niels Bang, Chairman Martin André Dittmer, Managing Partner Anders Peter G. Christoffersen Henriette Gernaa Bo Holse Tobias Linde
03.
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05.
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ANNUAL REPORT 2020
New chairman of the board of directors: “I got a baptism of fire”
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Chairman Niels Bang took up his new post in the middle of the major spring lockdown in 2020. All thoughts he had about the role of chairman were put on hold for a while to navigate the firm through the Covid-19 pandemic. Here he talks about his first year as chairman, when Covid-19 set the agenda.
“The first year has been nothing like I imagined because of Covid-19,” he says, explaining that since he took over as chairman there has not been a single physical partners’ meeting and many employees have been working from home.” “It feels a bit strange walking around on your own and being chairman without seeing any of your co-workers,” he laughs.
Although most people will remember 2020 for the coronavirus, the year actually started quite normally. At a meeting at the Aarhus office in February, the partners elected the new chairman of Gorrissen Federspiel, Niels Bang. On 1 April he would take over from long-time chairman Peter Appel. So far, so good. Niels Bang did take over as chairman on 1 April 2020 but that was probably the only thing that went according to plan.
No smooth transition 50-year-old Niels Bang, who not only celebrated his new title as chairman but also his 25th anniversary at Gorrissen Federspiel last year, clearly remembers the partners’ meeting where he was elected. At the time there was talk of a virus in China but it was something very remote from everyday life in Denmark. “But soon afterwards it was right in our faces, and everything had changed in a way we had never experienced before. So it was quite a start. I was given a baptism of fire in a very unexpected way,” he says about taking over the chairmanship. He adds that the uncertain situa tion facing everyone meant that he and the rest of the management team had to step in immediately. It was hardly a smooth transition.
ANNUAL REPORT 2020
“All the thoughts I had about s trategy and fine-tuning were shelved. It was just a question of how best to get through the situation – both for the health and safety of employees and, of course, for the business. Covid-19 completely cleared the agenda I had intended to set.” Increased business activity When Niels Bang was in the middle of the spring 2020 lockdown, he and the rest of the management team looked at what scenarios could unfold for the rest of the year. One
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“Employees need to have a clear perception that I and the rest of the management team have strategic visions and human qualities that they can identify with,” he adds. One of Niels Bang’s great mantras is decency, which will permeate his role as chairman. Both internally, in terms of creating a culture that is inclusive and fair, but also in terms of clients and the ethical profile of the firm. “Decency is one of our core values and one of the hallmarks of Gorrissen
”All the thoughts I had about strategy and fine-tuning were shelved. It was just a question of how best to get through the situation – both for the health and safety of employees and, of course, for the business. Covid-19 completely cleared the agenda I had intended to set.” of them was the V-shaped scenario, where many transactions that were put on hold before the summer, due to u ncertainty, would all at once be set in motion again when light started to appear at the end of the tunnel. And that is exactly what happened. After a summer of low infection rates, a more or less normalised daily routine and good news regarding vaccine development, the catch-up effect set in. “We were very busy in late summer and autumn. I think it was good for everyone to once again feel the high tempo and that we were at the centre of activity. But we went from a wait-and-see atmosphere during lockdown to huge activity.” Niels Bang describes 2020 as a “really strange and frustrating year” in many ways, while at the same time it has been a fantastic year because Gorrissen Federspiel as a firm has succeeded in many things and has come through the year very well. “It’s hard to be dissatisfied, a lthough as chairman you can be a little frustrated by the circumstances,” he says. Standing up for decency Like most others, he is hopeful that 2021 will be the year when normality returns. He hopes that he will be seen by employees as an attentive chairman, with whom everyone feels they have a relationship.
Federspiel. Both in relation to us as a workplace and as a law firm. It’s not just about business, it’s about common decency as a human being and as a member of society,” he says. Humbly leading the business forward And what about those strategic ideas that were momentarily sidelined because of Covid-19? We are in the process of realising them, says Niels Bang, who looks ahead to 2021 when there will be an increased f ocus on the green transition and sustainable business. Life sciences will also continue to be a core area of increased development in 2021. Although Niels Bang has been part of Gorrissen Federspiel for 25 years, it is with humility that he will now lead the firm as chairman. “We stand on the shoulders of those who, over the last 150 years, have built Gorrissen Federspiel into what it is today. But I want to help manage it as well as possible and, of course, take the firm a few steps further forward so that we can continue to have a leading market position,” says Niels Bang, chairman of the board of directors at Gorrissen Federspiel.
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ANNUAL REPORT 2020
Leader in our profession
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Rated among the best We want to be Denmark’s leading law firm. For us this means, among other things, that we have the most satisfied clients who choose us for our deep professionalism and for our decency – a declaration of trust that we strive to earn every day. We constantly evaluate the quality of our work through daily dialogue with our clients, and several times a year we participate in market analysis of our advice and client service, which is undertaken by reputable independent research companies. We are proud that in 2020 we have again been rated as a tier 1 law firm by international research agencies The Legal 500, Chambers and IFLR1000. Our clients’ feedback is essential for us to develop and become even better.
The Legal 500
“The firm has some of the best lawyers in the country” “Gorrissen Federspiel attracts the biggest cases within their field due to their vast experience and excellence”
IFLR1000
“Very result driven, business minds and very high quality of advice” “Knowledge of market and law, professional skills and attitude and success in closure of deals”
Chambers Europe
“Very intelligent and insightful, very pragmatic and practical, and business-oriented” “Gorrissen Federspiel has excellent understanding of combining business opportunities and law to create value”
Chambers Global
“Gorrissen Federspiel has good international relations, with experience of the right mandates and the right transactions” “Responsive, to the point and has an extreme understanding of the life science sector”
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ANNUAL REPORT 2020
The strategy is alive and well 2020 was the first full year of our ambitious 2022 “In a league of our own” strategy. Managing Partner Martin André Dittmer looks back on 12 months where – despite being a tumultuous year – the strategic focus remained intact and several goals were achieved.
When the partners sat down in spring 2019 to set out a new strategic vision for Gorrissen Federspiel, there was no Covid-19 pandemic in the equation. The first full year of our 2022 “In a league of our own” strategy has therefore by no means been as expected. However, this does not mean that the strategic work has stood still – on the contrary, the year has shown that the strategy is a well-integrated part of the firm and is alive and well. “2020 turned out completely different than I had predicted. But, having said that, we’ve realised several elements of our s trategy. Even in a year with Covid-19, we’ve actually managed to keep our strategic focus and I’m very proud of that,” says Martin André Dittmer, Managing Partner of Gorrissen Federspiel. More top rankings The vision for 2022 is clear. Gorrissen Federspiel will be Denmark’s leading law firm with the most satisfied clients, who choose us for our deep professionalism and our decency, and with the most skilled and committed employees. Several of these goals have now been achieved. For the third year in a row, we topped the image analysis conducted by the IFO Institute for Public Opinion Analysis. Not only is Gorrissen Federspiel still the law firm with the best image in the industry, we also made a jump up the overall list to 39th place out of a total of 100 Danish companies in the survey. The same picture emerged in the “Tier 1 Law Firm 2020 Review Denmark” industry bench marking survey conducted by Kantar Sifo Prospera. In this survey, 201 Danish companies were asked to rate the ten largest Danish law firms. For the first time we took first place in the overall rating.
“We stand for decency, and we’ve been rewarded for this in the image analysis. At the same time, we’ve increased our client- oriented focus. Rather than presenting the range of legal skills we can offer, we ask clients what they need and that’s what we deliver. This has also been reflected in the companies’ ratings of us.” Top tier advice Martin André Dittmer says that Gorrissen Federspiel is e xperiencing a moment where the sharpened strategic focus is really starting to bear fruit, because the strategy is acting as the background music throughout the firm and a benchmark for everything we do. For Gorrissen Federspiel’s Managing Partner, 2020 stands out as the year in which we reinforced our position as the business community’s preferred legal adviser. In a year when both major Danish and international companies faced significant changes, we experienced being chosen for the largest, most complex and exciting cases. “Clients choose us in critical business situations, and when they are in a very complex situation and want to be assured that the advice they are getting is top tier. We’re very pleased and grateful that in such an uncertain time for everyone we’ve been chosen by our clients to help them through the crisis, and the opportunities and challenges it has brought,” he says. Employee satisfaction is high On the internal front, in late autumn 2020, we conducted our annual employee satisfaction survey in collaboration with analysis company Ennova. We were pleased to note that overall employee satisfaction has increased and is high, and that in the last year there has also been progress on all sub-parameters.
ANNUAL REPORT 2020
We are particularly pleased with the positive developments resulting from our focus on feedback, career development interviews and the perception of the value of these interviews. In the survey, Ennova uses a segmentation method that categorises employees as either “eager beavers”, “core employees”, “zappers”, “sofa employees” or “on-the-go employees”. Here we have set a very concrete target that by 2022 we should have 90% of employees in the first two categories. We were well on our way in 2019, with a share of 87%, but this was surpassed in 2020 with a share of 91%. “Although we have now already achieved our goal, we will continue to focus on leadership training, staff development, inclusion and diversity. There is also a big task post-pandemic in looking at how we meet our talented employees’ desire for increased flexibility. These are all important parts of creating the best workplace for employee well-being,” says Martin André Dittmer. The strategy is scalable Although the year has seen a number of strategic victories, there is still some way to go. We will therefore continue to focus on professionalising our relationships with international law firms, on IT security and on client-oriented initiatives, including more continuous and structured follow-up of our work, as well as on development to keep ahead of our clients’ business needs and on employer branding. “So there’s still plenty to do,” Martin André Dittmer notes. “We’re not there yet, but we’re well on our way. There is still great potential and much we can and must do. The beauty of our strategy is that we can scale it so that we can continually evolve as a workplace and as a law firm,” he adds.
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Stronger than ever Despite an unpredictable 2020, it is a proud Managing Partner who can now close the books on what has been an unforgettable year in every sense. For among all the good and not-so-good things that the year has offered, it has also shown clearly that Gorrissen Federspiel not only has a strong business foundation, but also strong ties between colleagues. Because although the employees moved physically apart in 2020, in other ways the firm as a whole moved closer together. “The year has been a welcome confirmation, both internally and externally, that we are doing the right things. Internally, we have seen a strong sense of unity and cohesion that left us even stronger at the end of 2020. Externally, we have also received confir mation that we have the profile that makes clients choose us. We are the safe choice,” he says. Stronger than ever, Gorrissen Federspiel is now ready for another year in which the strategy must prove its worth in what is hopefully a normalised world. Although the past year has taught us that we live in an unpredictable world, Martin André Dittmer dares to say that Gorrissen Federspiel is well on its way to realising the 2022 strategy. “It should be crystal clear in 2022 that we are the absolute leading law firm in Denmark based on all the parameters by which we measure ourselves.”
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ANNUAL REPORT 2020
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A year in the lead In 2020, we excelled in several external analyses. For the third year in a row we were pleased to have the best image in the legal profession, just as Danish companies rated us as the best law firm in Denmark.
We are always filled with humility and pride when Gorrissen Federspiel obtains a high rating in external surveys. In 2020, there were several good results to celebrate. For the third conse cutive year, we maintained our position as the Danish law firm with the best image in the profession. However, not only did we maintain our p osition, we also moved up ten places to 39th overall in the annual image analysis c onducted by the IFO Institute for Public Opinion Analysis. The a nalysis is based on 2,415 business m anagers’ ratings of 100 Danish companies. “2020 was a year in which nothing was as we knew it. It was therefore with parti cular pleasure and humility that I received the news that we had maintained our position as the law firm with the best image in our sector. It shows that the strategic direction we’ve set for the firm and the daily hard work of all our employees are bearing fruit,” says Martin André Dittmer, Managing Partner at Gorrissen Federspiel.
the business c ommunity’s preferred legal adviser and to deliver uncompromising quality. This s trategy s eems to be working and we’re very p leased about that,” says Martin André Dittmer.
“That’s why I’m pleased to see us jump 25 places as regards this particular parameter,” he says.
Decency is a benchmark It is particularly regarding the parameters “credibility” and “communication” where Gorrissen Federspiel has experienced significant progress. “We live by our reputation, and decency is a benchmark for us in everything we do. It’s crucial for us as lawyers and as a firm that what we say and do is perceived as credible when we’re chosen by clients as their trusted adviser,” he adds. Martin André Dittmer points out that h istorically the legal profession has had a r eputation for being a c losed i ndustry, but that in recent years the management of Gorrissen Federspiel has i ncreased its focus on communi c ation w ith the outside world.
Uncompromising quality It was not just in the IFO Institute’s image analysis, however, where we could boast of being the industry leader last year. In the “Tier 1 Law Firm Review 2020 Denmark” survey, conducted by research house Kantar Sifo Prospera, we also took first place in the overall rating, after having ranked second the year before. In the survey, 201 Danish c ompanies were asked to rate the ten largest Danish law firms. “We’re always pleased and proud when we receive good rankings in analysts’ surveys of the market. In this case the feeling is even more pronounced because it’s Danish companies, i ncluding several of our clients, who have rated us. As a full-service law firm advising across all areas of business law, we strive to a lways be
“Storming ahead” Among other things, the survey asked companies to rate firms based on performance and legal competence. Here, Gorrissen Federspiel tops the list in a number of a reas, including M&A, Banking & Finance, Dispute Resolution, Shipping & Transport, IT and Outsourcing. Companies also rated us h ighest in “accessibility & service”, “client understanding” and “project teams” – and, not least, in “willingness to recommend”. Last year we were also ranked highly in Økonomisk Ugebrev’s annual analysis of the legal profession. In “AdvokatRating 2020”, where the key figures of the 40 largest Danish firms were compared, one could read the article “Gorrissen Federspiel storms ahead”. The article covered, among other things, that we had had a 13% growth in gross profit to DKK 630 million. At the same time, the analysis showed that from 2018 to 2019 we had the largest increase in the number of lawyers.
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ANNUAL REPORT 2020
Our CSR initiatives The UN Global Compact is the foundation of our CSR work. Every day we work to incorporate the Ten Principles of human rights, labour, environment and anti-corruption into our strategies and daily operations.
Our business Vores forretningsmodel model – Gorrissen Federspiel is er a et førende leading lawadvokatfirma firm in Denmark i Danmark with strongmed international stærke, internationale ties. As a full-service bånd. Som full-service law firm, weadvokatfirma provide leverer legal advice vi juridisk in Danish rådgivand ning E uropean indenbusiness for dansklaw. og europæisk Our clientserhvervsret. are typically VoresDanish large klienterand er typisk internastørre companies, tional danske og internawhich we tionaleinvirksomheder, assist landmark transsom vi bistårand actions i toneangivende cases. We have transaktioner a close cooperation og sager. withVi har et tæt samarbejde well-regarded international med velrenommerede law firms who refer internatitheir onale advokatfirmaer, clients to us when theysom need refererer legal advice deres related klienter to the til os, når de Danish market har behov or Danish for juridisk rådgivning relateret interests. til det As a knowledge-based danske marked eller danske interesser. business with a focus on Som professionalism high vidensvirksomhed and med fokus ethics, we have på høj allfaglighed the skills og etik that ourhar clients vi in-house demandalle ikompetencer, n-house. At the som endvores of 2020 klienter we employed efterspørger. 286 lawyers, Ved udgangen and duringafthe 2020 yearbeskæfti38 gede vilawyers young såledeswho 286have jurister, og i løbet trained with af året us bfik ecame 38 unge jurister, der qualified lawyers har uddannet and were sig til dygtige admitted to the advokater bar. hos os, udstedt deres advokatbestalling.
Since Gorrissen Federspiel joined the UN Global Compact in 2018, we have placed a strategic and systematic focus on professionalising our CSR work. CSR is a priority in our corporate governance and business activities, and the Ten Principles of the UN Global Compact are our guiding principles. We wish to share responsibility for ensuring that, as an international com munity, we can meet the UN’s 17 Sustainable Development Goals, which came into force on 1 January 2016, and which will guide us until 2030. As a firm, we have selected seven goals as focal points, where we believe that we can make a difference. Numerous new initiatives Although as a knowledge-based firm we can run our business with relatively low impact on the environment, this does not mean that we do not have a responsibility. As a leading law firm and a major player in Danish business, we play a particular role in society. We wish to use our influence where we can. Since joining the UN Global Compact, we have committed to reporting on our CSR initiatives, and we are doing this again this year. Although 2020 was marked by Covid-19, we have continued to launch
a number of initiatives and projects to support the areas of human rights, labour, environment and anti-corruption that make up the UN Global Compact’s principles of corporate sustainability. Knowledge-sharing As a knowledge-based firm, we have a parti cular responsibility to share knowledge and provide legal advice. This is reflected in our professional events, newsletters and pro bono projects. During the major lockdown in the spring of 2020, Danish businesses faced a number of legal challenges in relation to employment, restrictions, force majeure and compensation packages, among other things. To assist, we set up a task force that, on a daily basis, “translated” the various p olitical announcements into what they actually meant for businesses. In spite of Covid-19, we maintained our k nowledge-sharing activities through various events – some relating specifically to Covid-19 – and we honed our experience organising webinars. These virtual events had the additional positive b enefit of reaching an even wider audience than through our in-person formats. In 2020, we were also involved in a number of pro bono projects – both new and
ANNUAL REPORT 2020
those already in place. In our CSR p olicy, in connection with our values, we have laid down guidelines for our initiatives. We have chosen to focus our efforts on the rule of law and the education and development of children and young people in Denmark and abroad. We have done this to contribute our skills in the best possible way. Through our pro bono work, we make our knowledge and skills available to relevant companies, interest groups and private individuals. We often assist organisations and initiatives that may otherwise find it difficult to obtain the necessary legal assistance. Environmentally sound operations We are constantly seeking to identify sustainable alternatives and solutions to support the operation of our two offices in Aarhus and Copenhagen. This includes particular consideration of our kitchens, IT department, the general operation of our buildings and the development and production of our office supplies, merchandise and other work equipment. We wish to operate our business with the smallest climate footprint possible.
Employee satisfaction is the foundation Decency is deeply rooted in our DNA, and ethics is one of our five core values. We make our living through having high professional standards and credibility as a trusted adviser and from our good reputation. Every day, all our employees work hard to meet our clients’ high standards and expectations. We make no secret of the fact that we have high expectations of our employees – but they also have high expectations of us as a workplace. As a leading law firm employing more than 500 people, including 286 lawyers, we rely on attracting and retaining the sharpest talent in a market where competition continues to intensify. Employee satisfaction is one of the cornerstones of our business, and we constantly seek to create the best environment and conditions for our employees to thrive, develop and generally be motivated and happy to go to work. We continue to focus on lifelong learning and development, leadership and diversity. We believe this is the key to our continued success.
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The CSR Committee – The CSR Committee works to ensure that we as a firm comply with applicable rules, standards and best practices in the area of CSR. Camilla C. Collet Partner, Chairman of the CSR Committee Martin André Dittmer Managing Partner Sara Jursic Head of HR
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ANNUAL REPORT 2020
A year with Covid-19
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Two steps forward and one step back Covid-19 has pushed the legal profession to an extent not seen since the advent of the internet and email, says chairman Niels Bang. He points to a few tendencies that particularly shaped developments in the profession in 2020.
The year 2020 will probably go down in history as the year of extremes in the legal profession. A year where everyone took two steps forward, but where there was also a need to take one step back, says Niels Bang, chairman of the board of directors at Gorrissen Federspiel, who has been part of the profession for more than 25 years. Here is his take on how the profession has evolved in 2020. Digital development 2020 was the year when the legal profession really tested what technology has to offer and when digital developments received a big boost. Teams and Zoom became commonplace and webinars replaced in-person events – both work-related and social. A strong digital infrastructure became crucial in the transition from a regular everyday life to “an everyday life with Covid-19”.
According to Niels Bang, you have to go back more than 20 years to the advent of the internet and email to find something as technologically trans formative for the legal profession as what we saw last year. 2020 must be said to be the year in which our part of the profession has experienced the greatest technological impact in recent times, just as 2020 has accelerated investment in new technology. We have particularly focused on solutions that combine our specialist knowledge with automation and process optimisation. “We had many of the tools already, but they just weren’t being used to their full potential. We’ve had video calls for many years, for example, but no-one ever used them for external meetings,” he says.
ANNUAL REPORT 2020
Technology also comes with limitations Niels Bang does not recall ever having held digital video meetings with clients before. It was done exclusively as conference calls over the phone – until 2020. “Now we’ve got used to calling by video, and I don’t think that that development goes back to the time before Covid-19,” he says. However, as well as showing its potential, we also saw the limitations of the technology because a lthough the profession has taken a digital quantum leap, Teams video meetings cannot replace the personal interaction, Niels Bang believes. “We’ve really learnt about what you can do digi tally and even the boomer generation has joined in. We can actually work fairly easily from any location, but you also have to recognise that there are certain costs
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in terms of the social and community aspects compared to being at the office,” he says. Agility The collective lockdown of Denmark in the spring of 2020 put the legal profession’s adaptability to the test in a situation no one had experienced before. Not only did all employees have to continue their work from home almost overnight, but the profession did not know what it was facing. For how long would this lockdown last, would the market grind to a halt, would clients stop paying their bills because they were afraid for their liquidity? The questions were stacking up. For Niels Bang, the financial crisis of 2008 was the nightmare scenario. It was clear that the ability to navigate and adapt would be crucial.
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”We’ve really learnt about what you can do digitally and even the boomer generation has joined in. We can actually work fairly easily from any location, but you also have to recognise that there are certain costs in terms of the social and community aspects compared to being at the office.”
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“It wasn’t clear where the market was going, but business agility saw us all use our networks extra ordinarily actively to find every opportunity to help clients,” he says. Everyone fought together Together with the rest of the group of partners, Niels Bang refreshed and reaffirmed the musketeers’ oath they had each taken upon joining the group of partners, to be “one firm”. “Our approach is that each partner has to attract business regardless of whether the partner is going to handle the case himself/herself. That became clearer at the start of the pandemic, because then it was about fighting together even more intensively because we didn’t know how the market would react and how long it would last,” says Niels Bang. All forces were mobilised and our Managing Partner very quickly set up a task force to look at business opportunities in the market. At the same time a dedicated Covid-19 page was created on our website to host articles interpreting specific laws, and practical guides were written on relief packages and restrictions. Niels Bang remembers the time right after lockdown as a kind of state of emergency. Ability to shift resources Fortunately, we also saw the benefits of being a full-service law firm with financial equality among partners. If we experienced a decline in one area, we saw an increase in demand in another. And everyone was fighting for everyone – not just for their own business. As a firm, we have therefore also been able to work in an agile way by allocating resources to the areas where extra effort was needed, which has meant that we have avoided cutting our staff. We were very happy about that. “We’re less vulnerable as a full-service firm and as a firm with a strong community, which we value very highly. The health crisis we’ve been facing since the spring of 2020 hasn’t hit the legal profession as hard commercially as it has other sectors. So we really shouldn’t complain, but it has taken a lot of hard work every day,” says Niels Bang. Working from home Where flexibility and working from home may have been talked about in the past, but perhaps not so frequently applied in practice, the spring lockdown was the real litmus test. The forced circumstances of working from home have clearly changed the culture of flexibility in the legal profession, says Niels Bang, who has also been left with a different attitude to working remotely.
“The opportunity has been there, but to a large extent the culture hasn’t allowed for it. The office is still the natural starting point, but in the future we’ll see much more flexibility in practice –now that the concept is no longer so alien,” says Niels Bang, who cannot say that his past relationship with working from home hasn’t been a slightly distant one. “We’ve taken two steps forward, and when we can choose again we’ll not take two steps back – but we’ll probably take one. We can’t and won’t sit at home most of the time, no one wants that, but we’re definitely going to change,” he says. Part of our work culture Already in the early summer of 2020, when employees started coming back to the offices and there was an idea that the storm had more or less passed, Niels Bang had an open talk with his team about working from home. Here, he explicitly emphasised that no one would look disapprovingly at anyone taking a day to work from home, and that no one should feel guilty about working from home. Working from home is freedom with responsibility, and it can help families with children, for example, to make everyday life work better, but we also like the office to be a common starting point for our work. It strengthens our team spirit, cohesion and community. Changes in culture often depend on leadership, but in this case it puts leaders in a paradoxical situation, Niels Bang points out, because employees also like v isible and present management in the office. “I don’t think in practice the majority of partners will take the lead, but we can take the lead by talking about working from home and reiterating regularly that it’s perfectly okay and part of our working culture. And finally, we can support it when people do. But we need to rethink a lot to keep a strong cohesion and a strong common DNA if we all work at home most of the time. That’s why I don’t think that the experience we’ve gained will mean that we’ll have to change our offices radically in terms of layout or size in the near future,” says Niels Bang.
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ANNUAL REPORT 2020
A year at the home office A year at the home office has offered several new experiences for Managing Counsel, Tina Herbing. Among other things, she had to interrupt a meeting because her seven-year-old son had locked himself in the bathroom. But such situations have also helped to create more personal relationships with clients, she believes.
The office in 2020 has for most people meant a workplace somewhere in the home. For Tina Herbing, Managing Counsel in Banking & Finance, the dining table was initially the home office. She now has a dedicated home office with a desk and extra monitors in her bedroom – a place where it is not necessary to pack everything up every time the family gathers for a meal. Although the office has moved into her home, in relation to the legal work Tina Herbing has not found the transition to be huge. “Of course we can’t just go into the office to our colleagues – and that’s what I miss most now – but we’ve been able to sit at home and then open the computer and really deal with our cases, as we’ve always been able to. So in that sense we’ve not been particularly affected on the work front,” she says. Blurred boundary between work and leisure Rather, it is all the surrounding parts that have made being a lawyer in a year with Covid-19 very different. Such as seminars, lunches with clients and other social engagements that have completely lapsed. Moreover, the division between work and family life has become blurred, because people do not physically move away from their work and go home to their families in the same way. “In our group, we’ve been extremely busy almost since the lockdown in the spring, and it can be hard to
get off work again because you’re just sitting there. You don’t take time off in the same way, so the line between work and leisure has become blurred,” she says. Although work and leisure time have been more blurred than Tina Herbing has been used to, it has also provided flexibility during the day in the family’s favour. “Then you can run and pick up your kids early, and you can rush out and run an errand. So it can also be an advantage in that it provides a little more flexibility in everyday life,” she says. Children on the sideline The fact that family life and working life have gone hand in hand, at times with two children aged 7 and 11 in home schooling, has also brought new c hallenges. Among other things, she has been met with this question from her youngest, Anton: “Mom, why are you working so much instead of spending time with your family?” “And that’s true enough, but it was two o’clock in the afternoon and he’s just not used to seeing me work during the day. They’ve had to get used to it, and it’s been a bit hard. It’s not always respected that you’re in a meeting,” she says. More personal relationship Despite the fact that it has been a year in the home office and meetings have been held digitally, Tina Herbing has found that the physical distance has paradoxically
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created a more personal relationship with clients than a corporate environment that can otherwise be a little impersonal. She recounts an incident when her son locked himself in the bathroom and could not get out during a Teams meeting. “I just had to say ‘One moment – I’ll just have to fix that’, and in this way you also get to show a more personal side. And I’ve seen that with others too, where suddenly you can hear that everything is just about to fall apart,” she says, adding that poor internet connec tions and home schooled children have shown new sides of people who have opened up and given more of themselves. “It can also be beneficial for relationships in other contexts, so I think it’s been really good to get closer to many clients and have a better relationship with them – and with counterparties for that matter,” she adds. Seeing the clients online Tina Herbing has also experienced how more people have pushed the boundaries and tried to transform d igital meetings into more personal alternatives to physical meetings. In her team, before Covid-19 they were also used to many calls and online meetings, but it has always been without video. “But many of the clients like to put it on now, and it also makes it more personal when you can a ctually see people. So it’s also been a good thing,” says Tina Herbing.
She hopes it has set the standard for online eetings, so that post-corona people will also have m v ideo on when they meet online. Misses her co-workers Another thing she also hopes will continue is the possibility of working from home, which she has never really done before – apart from sitting and working at home in the evenings when the children were put to bed. “I think I’ll take more advantage of the oppor tunity to take a home working day, because I really think it gives some flexibility and in some cases also more peace, so I can really concentrate on a work assignment,” she says. However, she points out, it should not be more than one or two days a week, because the community in the office cannot be replaced by online video meetings. The year away from the office has just made Tina Herbing see the importance of social interaction in the office. “We can’t just sit at home all the time because it’s more fun when we can just talk, and you also get to know each other in a better way. I’m going to appreciate that a lot more because I really miss it at the moment,” she says.
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Increased focus on employee satisfaction
Can a year of lockdowns and the looming threat of a health crisis have a positive impact on employee satisfaction? Apparently the answer is yes, if you ask the employees at Gorrissen Federspiel.
Even for a seasoned Head of HR, 2020 was a marathon of unforeseen events and of new tasks and challenges. Sara Jursic remembers last February and March as “a crazy time”. Even before the first case of Covid-19 was confirmed in Denmark, m anagement and HR closely monitored the spread of the coronavirus and communicated the situation to employees on an ongoing basis. Sara Jursic’s phone was red hot. Employees were i nsecure, and at the same time internal guidelines had to be drawn up for meetings, travel and everyday things like picking up and eating lunch, with the situation constantly changing. Top priority was to create clarity and not least safety for employees. “We simply went into practical mode. Everyone was unsure, so we spent many hours following health authority recommendations that we could “translate” to our employees. A contingency team was set up, where we looked at how best to spread the word, what to do if we had employees who fell ill, how to hold meetings with our clients safely, how to organise lunch etc.,” she says. Increased focus on management Sara Jursic saw a huge need for clear communication to employees about guidelines and about how to deal with the unfamiliar situation. Measures and guidelines that applied one day could be out of date a few days later.
When Prime Minister Mette Frederiksen shut down Denmark at the infamous press conference on 11 March 2020, we introduced daily updates from Managing Partner, Martin André Dittmer, to which e mployees responded very positively. At the same time, we encouraged visible leadership in the individual groups so that we still functioned as one team even though we were suddenly spread out over 500 individual workplaces instead of being in our usual settings of Prismet and Axel Towers. In all groups, there was a sharpened focus on the role of the immediate-line managers, who had to adapt quickly to remote management and to a management style with an increased focus on presence and interaction. There was also increased interaction b etween the heads of the groups, who gradually gained valuable e xperience of the new form of management with positive experiences shared frequently between the group heads. During the periods when some employees also had to adapt to home-schooling and to looking after children that could not attend day care, there was a need for understanding at a time when everyone had to make their daily lives work in the best way possible – handling both work and family life. A special GF spirit Despite the fact that we were in a situation that none of us had experienced before, we all e xperienced a readiness to adapt and, despite the physi-
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cal distance, we moved closer together in a strong community. “We’ve experienced the special GF spirit, where community and cohesion have been strong even if we’ve not had the daily close contact that we’re used to when we come to the offices. It has been a very positive experience,” says Sara Jursic. Once the storm had passed – at least for a while – in early summer 2020, we conducted a survey specifically about working from home. On the one hand we wanted to get an impression of how our employees felt about working at home, and on the o ther hand we wanted to learn and b enefit from any positive e xperiences. In light of this survey, we prepared a specific working-from-home policy which reflected our employees’ w ishes for increased flexibility. We also offered all employees extra IT equipment for the home office, an offer which a large number of employees welcomed and accepted.
a strong foundation due to our persistent focus on employee satisfaction – not just in times of crisis – and ultimately we’ve come through the year stronger,” says Sara Jursic. One of the things that has helped to strengthen the community has been all the virtual initiatives that have had to act as a substitute for daily physical contact, and all the social events that were cancelled during the year.
Greater employee satisfaction In the autumn, we conducted the annual employee satisfaction survey – a survey that, in a year marked by Covid-19, could point in any direction. Fortunately, the survey showed that employee satisfaction was intact – and was even at a higher level than the year before. “I was pleasantly surprised by the outcome of the survey, with employee satisfaction increasing even in a year marked by the pandemic. We’ve
Strong connection In addition to holding more professional planning and c oordination meetings than usual, the groups have also held several social events, such as drinking a Friday beer together virtually. For the first time we held a virtual MP meeting, where Managing Partner Martin André Dittmer, together with the rest of the management team, gave an update on the business. The big Christmas party was also replaced by v irtual Christmas events in the individual groups. Sara Jursic believes that such initiatives help e nsure that employees still feel c onnected to Gorrissen Federspiel as a workplace. “We were already a community before Covid-19, and it’s important that we c ontinue to focus on that no matter how long the situation with restrictions lasts. We’re not 500 different casual workers, but one Gorrissen Federspiel – even if we work from home,” says Sara Jursic.
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Digital knowledgesharing As a modern knowledge-based firm, we take pride in sharing our knowledge with the outside world and taking an active part in public debate. Not even a year of assembly bans and physical distance could change that.
At Gorrissen Federspiel we make a living from our knowledge. As a natural extension, we are happy to open the doors of both Prismet and Axel Towers for everything from morning meetings and conferences to debating events. We want to share our knowledge, but also be part of the public debate. In 2019, we hosted over 300 events in both Aarhus and Copenhagen, and we had big ambitions for 2020. Those ambitions were, of course, challenged by assembly bans and distance requirements. However, what could not be done physically was made possible by technological alternatives, and 2020 was the year we really got started with virtual events, webinars, digital general meetings and streaming of professional presentations. Digital baptism of fire Partner and Head of Labour and Employment Jacob Sand was behind the first-ever webinar – “How should you as an employer deal with the coronavirus?” – together with partner Tue Goldschmieding. This was back in March 2020, shortly after the major lockdown. “We’d already thought about a physical meeting, but when everything was locked down we had to do something else and so we agreed to initiate the first Zoom seminar,” says Jacob Sand. Like any baptism of fire, there was both excitement and nervousness when the Zoom seminar began – would there be technical problems and would the dialogue be as good as in the physical sessions? Both proved to go quite smoothly, and Jacob Sand has since held several digital events including one in the autumn on #MeToo and the new Holiday Act. “It’s been an adjustment for everyone. I think over time we’ve all become better at being both virtual meeting participants and hosts,” he says. Reached new participants Jacob Sand sees several opportunities in virtual events. Firstly, they are quick to set up. Where a physical event requires months of advance planning, a webinar can be set up in just a couple of weeks. Secondly, he has expe rienced reaching out to far more and different audiences than those who normally attend the physical meetings. “We found that clients who would normally have a lot of travel associated with attending a physical meeting, and therefore opted out, were suddenly interested in attending virtually. At the same time, we’ve also attracted more generalists, because they now had the opportunity to listen in on the parts they found interesting,” he says. With the new experience behind him, he is also confident that the virtual events will be part of the event package in the future, together with the physical meetings when they again become possible. “At some events it would be best to meet in person, but it would also be a shame to lose the contact we’ve made with some of those who don’t normally attend our physical events. So we’ll definitely have both in the future,” says Jacob Sand.
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Selected events from 2020 – Focus on Covid-19 The arrival of Covid-19 and the lockdown of Denmark in the spring of 2020 prompted a series of webinars on Covid-19 and its consequences. Among other things, we focused on culture and how best to secure cultural life politically, strategically and in the marketplace. On the employment law side, we held the webinars “How should you deal with coronavirus as an employer?” and “Dealing with large-scale restructuring as a consequence of Covid-19”. We also touched on the challenges of contract compliance in outsourcing and IT services in the webinar “Force majeure and delivery issues in outsourcing and IT contracts, practical solutions for customers”. Professor of economics and former chief economic adviser Michael Svarer, CEO of the Danish Chamber of Commerce Brian Mikkelsen, and former prime minister and Senior Special Advisor at Gorrissen Federspiel Lars Løkke Rasmussen, gave their views on the economic, business and social implications of Covid-19 a few months into the crisis.
We also took a closer look at one of the many compensation packages offered to businesses in the webinar “Temporary compensation scheme for business overheads”. Think Tank EUROPA Under the heading “Is the world heading for a trade war,” we hosted an event in August in collaboration with Think Tank EUROPA ahead of the US presidential election. Participants included US analyst and adviser at LEAD A gency Torsten Jansen, journalist and China expert Christina Boutrup, director of Think Tank EUROPA Lykke Friis, and former prime minister and Senior Special Advisor at G orrissen Federspiel Lars Løkke Rasmussen. General meetings General meetings were also affected by the assembly ban and had to be held digitally. Among other things, we were responsible for holding the general meetings of Nordic Shipholding, the Danish Association for Climate and Energy Law and an extraordinary general meeting of Bang & Olufsen.
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IP Crash Update As part of the regular repertoire, IP Crash Update also moved to a digital platform for the two annual seminars, covering the whole IP spectrum from trademark, design and copyright to patent and marketing law. In 2020, the focus included Covid-19 in relation to patent law, online challenges and customer clubs. Business Ethics Inspiration Day In collaboration with Forensic Risk Alliance we published the report “Nordic Business Ethics Survey 2020 - A study of Nordic employees’ perception of ethics at work”. At the event, a panel discussed how companies can achieve compliance transformation using structures and systems, as well as changing human behaviour and company culture.
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The profession’s most skilled and committed employees
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Focus on future talent The goal to be the best law firm in the industry requires that we have the sharpest talent. Developing and nurturing talent starts with students.
Every day many lawyers “go to school” at Gorrissen Federspiel. In 2020, the n umber was 82. That is how many assistant attorneys we had last year. For us, it is natural to help train young talent to become the most skilled lawyers. A task we take great pride in. The apprenticeship is part of an old tradition in the legal profession, where professio nal craftsmanship and classic virtues are passed on to the next generation. Last year, we celebrated the admittance of 38 new attorneys to the bar. Our strategic goal is to be the best place to work in the industry. We work hard for this every day and we listen to the new generations when they say they want more development, leadership and flexibility.
Foreign countries calling At Gorrissen Federspiel, we believe in tailored professionalism with a focus on individual development and differentiated career paths. It follows the entire legal food chain, starting with our youngest talents – the law students. For example, they are assigned a mentor who acts as a support and supervisor, and among other things helps with prioritising tasks. Our international outlook mantra also applies here, and our law students have the opportunity to apply for a travel grant that can be used for a study period abroad. We also send attorneys abroad every year. It can be as a secondment with an international law firm or with a client, or to take an LL.M. at a foreign university. 2020 was no exception – we sent lawyers to New York and London, among other places. In the following pages, you can meet a selection of our talented people.
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On an equal footing with permanent employees in NY Attorney Louise Sørensen was seconded to the law firm Wachtell, Lipton, Rosen & Katz in New York from January to July 2020. There she was immediately considered part of the team and given responsibility for the department’s finance cases.
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Both as an assistant attorney and now as an attorney, Louise Sørensen’s legal focus has been on finance and M&A. And with a desire to strengthen and expand her international perspective and network, it was only natural to head for the world’s financial centre, New York. From January to July 2020, Louise Sørensen was seconded to Wachtell, Lipton, Rosen & Katz, s pecialising in M&A, shareholder litigation, antitrust and c orporate restructuring and finance. “I expected that my stay would be professionally challenging and that, together with my American colleagues, I would have the opportunity to assist clients with complex financial transactions. My expectations of the stay were fully met,” says Louise Sørensen. Part of the team As a visiting attorney, she was part of the firm’s Restructuring and Finance department, where she handled, among other things, acquisition financing and major refinancing matters, including the raising of new capital directly derived from Covid-19. “I was considered part of the team on an equal footing with the permanent associates, and I was assigned responsibility for the department’s finance cases from my first day,” she says. Quick transition to working from home Louise Sørensen moved to New York shortly before the Covid-19 pandemic really took off, and New York was proclaimed the American epicentre. Therefore, she only had a few months to work in Wachtell’s Midtown Manhattan offices before she had to work from home like so many others. “It was a challenge not to have daily contact with my colleagues. Luckily, at Wachtell they were good at organising virtual events such as the weekly Friday bar, training events, wine and beer tastings and cooking classes. They also ensured that in our teams we were in daily contact not only by email, but also by phone and/or via Zoom. It was impressive to experience the firm’s quick and efficient transition to working from home,” she says. Strengthened international profile Although her time in New York did not turn out quite as expected, she still looks back on the secondment as a very special experience, and she has no doubt that she learnt a lot both professionally and personally from living in New York and working alongside some of the best lawyers in the US on some of the biggest and most complex finance cases. “Through my secondment at Wachtell, I’ve strengthened my international profile and I’ve come home with a professional ballast and an invaluable network from one of the most reputable law firms in the US. I’ll no doubt benefit from this for the rest of my career.”
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A year of international outlook In September 2020, attorneys Christian Petersen and Anders Faldborg left for England to study for an LL.M. at King’s College London. Although the stay has so far been marked by Covid-19 and strict restrictions, neither of them has regretted it.
Thoughts of taking time out of their calendars and waving goodbye to Aarhus to go abroad had already begun to sprout in both of them several years ago. 29-year-old Anders Faldborg got a taste for foreign countries when he interned at the UN in New York as a student. He therefore had a burning desire to go abroad again. 30-year-old Christian Petersen was driven by a desire for a great personal experience and professional development. Both are working at Gorrissen Federspiel’s Aarhus office in Prismet, but neither knew they were pursuing the same path until they received the news in November 2019 that they had been accepted to King’s College London.
The two lawyers now share a flat in the Temple area near the university in central London – an area that normally exudes big city. “It’s usually insanely busy and people go out for lunch every day. There are many coffee shops nearby, but they are closed now,” says Christian Petersen. No thoughts of staying home Although the world changed drastically between the time they applied to King’s College London in the spring of 2019 and when they actually left, they did not c onsider staying home. On the one hand there was a lot of planning and practicalities before the actual departure, as they had both given notice on their apartments and the office had arranged for them to be away for the next year. Plus the Covid-19 situation had appeared to normalise over the summer, so they were optimistic when they left in mid-September.
“It’s no secret that it’s a very different stay from the one I thought it was going to be. I anticipated experiencing a city in high gear and hopefully having a lot of cool experiences and having classes at the college every day,” says Anders Faldborg, who had been looking forward to the stay abroad for a long time. “However, I’ve not regretted that I went. The classes and experiences have been educational, exciting and fun, despite the somewhat atypical situation. Besides, the Covid-19 situation in Denmark has been largely the same,” he adds.
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Daily life at the university Together with Christian Petersen, Anders Faldborg managed to have a few weeks in London in a somewhat “normalised” state before the UK locked down again. Universities are exempt, however, which means that the two lawyers are on campus every day to have online classes. As part of the agreement to stay open, the university has its very own test centre in the courtyard, so all students can be systematically tested. “We’re a group who meet every day and have breaks and lunch together. Everyone has come here with the aim of meeting new people, so you make it work even if there are restrictions. Obviously we can’t just go out for a beer in a pub, but then we meet at the university instead,” says Christian Petersen.
Active lectures Despite the unusual situation, they have a lready made a lot of new friends. In fact, Anders Faldborg feels that they have b ecome closer with the other foreign students than they would have under normal circumstances.
“We’re all students in this strange Covid-19 situation, and it’s my opinion that we’ve moved a little closer together – not literally, but figuratively,” says Anders Faldborg. Before moving to London, he was part of the Banking & Finance practice group at Gorrissen Federspiel. He has therefore chosen to pursue a track with international finance law on the LL.M. In addition, he has also chosen courses that focus on corporate finance, valuation and accounting. Christian Petersen, who normally works in the IP & Digital Business practice group, has also moved into international finance with a bit of competition law and consumer law on the side. Although they have yet to e xperience physical lectures in one of the university’s many auditoriums, they have noticed through online lectures how different the form of teaching is compared to how it is done in Denmark. “It’s much more interactive, so you have to pay attention, and there are presentations and assignments every week. It’s really different from just reading a textbook and then showing up to lectures and sitting back,” says Christian Petersen.
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Anders Faldborg has also noticed the more engaging form of lecturing, where lecturers demand active participation and may point people out and ask questions. “It’s very different from the Danish way of lecturing, and it takes some getting used to, but it’s both fun and challenging,” he says. No Danish bubble In addition to getting a professional boost with the latest knowledge in their chosen fields, the two lawyers have experienced a significant boost in their language skills. To get the most out of their stay, the two Danes agreed to speak English with each other as much as possible when they are at home in their apartment, so they do not have to keep changing the “frequency”. Both are also particularly careful not to shut themselves away in their own little “Danish bubble”. “Even though we went together and share an apartment, it was important to get out and meet other people so we weren’t just sitting at home. In the beginning, we almost overcompensated by going out every day to meet others in fear of sitting on each other’s laps in the apartment, like the two Danish lawyers who had come to London,” says Anders Faldborg.
Healthy to gain a new perspective Both lawyers hope for a spring and summer with plenty of time to experience both a more thriving campus life and a London with the usual pulse – and preferably a football match. And despite Covid-19 and restrictions, London still offers something more than Aarhus. “When you go to work in Axel Towers or Prismet, you are often engrossed in the various matters of everyday life and live in a GF bubble. That’s why I think it’s healthy to go abroad to get some perspective, so you can come back with different skills and renewed energy, and probably see things in a slightly different way,” says Anders Faldborg. For Christian Petersen the stay provides “international outlook”, which is one of Gorrissen Federspiel’s mantras.
“We’re meeting lawyers from all over the world, and it’s a great linguistic and personal experience. It’s an investment in your life that you’ll remember with great pleasure for the rest of your life. It’s much more than just studying law,” he says. The two lawyers are scheduled to return to the Aarhus office in early September 2021.
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A signature for diversity and inclusion
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In 2020, our commitment to The Diversity Council was sealed by signing the so-called CEO Pledge. By signing the Pledge, Managing Partner, Martin André Dittmer, affirmed together with 18 other top executives the commitment to advancing diversity and inclusion in the workplace.
It is not a novelty that we at Gorrissen Federspiel are committed to a diverse workforce and wish to be an inclusive workplace for everyone who has an ambition and a desire to be part of Denmark's best law firm. From our perspective, this is not only responsible behaviour but also the key to our continued success. In 2020, a new dimension was added to our diversity efforts when Managing Partner, Martin André Dittmer, together with 18 other top executives, signed a pledge to “drive and promote development towards more gender diversity in the management corridors and to work for more inclusive workplaces and equal opportunities for all talents”. From talk to action The CEO Pledge, which was also signed by other top executives from organisations including Maersk, Tryg, Dansk Erhverv, Microsoft, Coloplast and Vestas, was launched by The Diversity Council, of which Gorrissen Federspiel is a founding partner and member since 2016.
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“As a law firm, we’ve committed ourselves to working actively to be an inclusive firm. We’re pulling out all the stops and commit to spending time and investing resources towards this goal and to not just talk about it,” says Martin André Dittmer. “The increased focus will be reflected in management training and communication and in the way we look at recruitment,” he adds. “Inclusion will be something that we’ll work with c onstantly and in a targeted way. It’ll not just be something we say but also something that’ll have tangible effects,” says Martin André Dittmer.
“We must be able to embrace and respect all types of people. Gorrissen Federspiel is an open working community where everyone must have equal opportunities to succeed and to advance,” he emphasises. Since 2016, Gorrissen Federspiel has been a member
Diversity discussions in CEO network In Martin André Dittmer’s view, being an inclusive workplace with an inclusive management means that one is able to embrace people’s differences, and that everyone regardless of background feels at ease and has a happy work life at Gorrissen Federspiel.
as equal treatment, diversity and inclusion. “Diversity is what is created when you put together employees of different backgrounds, gender, religion, nationality, etc. Inclusion, on the other hand, is Gorrissen Federspiel’s active efforts to
"We must be able to embrace and respect all types of people. Gorrissen Federspiel is an open working community where everyone must have equal opportunities to succeed and to advance." of The Diversity Council, and Martin André Dittmer participates in the organisation’s CEO network, where he meets with executives from some of the largest Danish corporations. In this forum, they share experiences and discuss issues such
e nsure that we have a diverse workforce,” he explains. A stop to “unconscious bias” It is important for Martin André Dittmer as Managing Partner to create a workplace
where everyone feels accepted, valued and respected. One of the issues currently u nder s crutiny by management is “unconscious bias”, where decisions are u nconsciously made based on past e xperiences and stereotypes. Martin André Dittmer dismisses the idea that, for instance, a quota tool would work for Gorrissen Federspiel today. All present and future employees are assessed on the basis of their skills. We never look at a person’s social background, c ulture, ethnicity, gender or age. “Inclusion and diversity must permeate the way we build teams, the way we develop talent and leaders, the way we look at our skill development and the way we view our performance. We’re taking this journey, and we’ll have to end up at a place with an open culture where we respect each other regardless of background and where there’s room for everyone,” he stresses.
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Gender diversity in Gorrissen Federspiel The gender distribution among lawyers at Gorrissen Federspiel is almost equal with a slight preponderance of women. In 2020, we once again saw a positive development in the number of female lawyers. As of 31 December 2020, the proportion of female lawyers (excluding partners) was 54%. This represents an increase from 2019, where the figure was 52%. The share of female lawyers across the entire legal profession was 39% in 2019 (source: the Association of Danish Law Firms’ publication “Advokatbranchen i tal”). The firm’s top management body, the board of directors, still has one female member, which corresponds to approx. 17% of the entire board of directors. We have
set a target for our board to be composed of at least two women by 2022, which is 33% with the current number of board members. In 2020, a new chairman was appointed when the former chairman resigned from the board. The new chairman was already a member of the board of directors. No further appointments were made in this regard. At Gorrissen Federspiel, we have a general desire for greater diversity, which also extends to the rest of the firm’s m anagement – the partners. At the end of 2020, we had 18% female partners, which is a positive development c ompared to 14% in the previous year. A survey c onducted by AdvokatWatch in
September 2020 shows that the distribution among the industry's ten largest law firms a verages 15.5%. A p ipeline of female talent is e ssential to ensure a d iverse pipeline among the firm’s partners. For this r eason, we are making a special effort among our younger lawyers to ensure the retention of both genders. Gorrissen Federspiel is an open working community where everyone must have equal opportunities to succeed and to a dvance. Therefore, important focal points for us are professional and personal development, good working conditions, f lexibility and different career paths to attract and retain talent.
Gender distribution
Female lawyers (excluding partners) 2020 54% 2019 52%
302 women / 212 men
Female senior lawyers 2020 40% 2019 47%
Maternity leave
Female partners 2020 18% 2019 14%
27 women / 18 men
Women on the board of directors 2020 17% Target for 2022
33%
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Tailor-made professionalism When you are a law firm in a league of its own, you also employ the very best lawyers in the country. We therefore have a strong focus on recruiting and retaining our talent. We believe there are several paths to a good and exciting working life. We call it tailor- made development.
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At Gorrissen Federspiel, we b elieve in individual career paths that suit each individual’s ambitions and with the possibi lity to adapt the pace of your c areer according to the life situation you find yourself in. Not everyone necessarily wants to take the classic partner path. Therefore, we have also introduced new career paths as alternatives to becoming a partner. In 2020, we appointed the first Practice Area Counsel and Managing Counsel. The titles ref lect seniority and experience and are intended to accommodate talented and ambitious lawyers who want a lasting association with Gorrissen Federspiel. While a Practice Area Counsel focuses primarily on professional specialisation, the Managing Counsel is a more broadly oriented role that, in addition to professional specialisation, also focuses on commercial and management sides of the business.
”Lawyers traditionally focus on case management, but at GF Academy they’re also trained in other skills.”
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New responsibilities require new skills In 2020, Head of HR, Sara Jursic, in collaboration with AVT Business School, developed a tailor-made development programme, “GF Academy”, targeting Practice Area Counsel and Managing Counsel. The programme consists of different modules and courses in management, strategy, business development and networking. Participants will be taught by professors from renowned institutions such as Insead, London Business School and Harvard Business School. “Law yers traditionally focus on case management, but at GF Academy they’re also trained in other skills. Their new roles have given them completely different responsibilities, and they need to be strengthened in this area,” says Sara Jursic about the background of the new programme. With the GF Academy, the goal is to create a stronger foundation for Gorrissen Federspiel’s strategy with more “lieutenants” to help drive the firm forward. “I expect them to be equipped to contribute even more to business development and management, for example. And not least to support the partners in the development of the firm and the execution of our strategy to be in a league of our own,” says Sara Jursic. Becoming part of a social network In addition to strengthening the lawyers in their new roles professionally, we also want to create a collegial social network between them across their daily p ractice groups, so they can interact with each other should they need to. Although it was difficult to carry out our planned events in 2020 due to Covid-19, we still managed to gather our Managing Counsel and Practice Area Counsel in late summer for a kick-off of the new collegial network. This happened at a teambuilding course at Timm Vladimir’s Kitchen, where their cooking skills were put to the test. In December 2020, we appointed eight new Managing Counsel and five new Practice Area Counsel. Together with the other Managing Counsel and Practice Area Counsel, they will be offered the chance to participate in the GF Academy. We expect the first classes to start up at AVT Business School in March 2021.
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ANNUAL REPORT 2020
On contract with Gorrissen Federspiel and Aarhus Fremad Assistant attorney Christian Skaarup Nissen not only signed his employment contract with GF in 2020. He also signed a football contract with Aarhus Fremad. Here he explains how law is combined with football – and what similarities there actually are between the two worlds.
There has not been much time for anything but football and law in 2020 for 26-year-old Christian Skaarup Nissen. In the spring, he signed his employment contract with Gorrissen Federspiel, and shortly afterwards a contract followed with Aarhus Fremad football club, where he was top scorer last season. Christian Skaarup Nissen joined Gorrissen Federspiel in 2018 as a law student, and he is based at the Aarhus office. On 1 September 2020, he started as an assistant attorney at Gorrissen Federspiel alongside his new job as a contract footballer. “It takes a lot more to be an assistant attorney than to be a law student. I knew it was demanding, but maybe not how demanding because I haven’t tried it before. With football, I knew what that would take,” he says.
ANNUAL REPORT 2020
Law before football Although football is a great passion for Christian Skaarup Nissen, he still had to bite the bullet and admit a few years ago that it was probably not something he was going to live on for the rest of his life. However, it also gave way to a new dream of becoming a lawyer. It was therefore natural for him to consult Gorrissen Federspiel before signing the contract with Aarhus Fremad. “Of course, I had to ask the partners whether it was possible, but fortunately they were very willing to accept it – as long as the work came first, of course. I’ve always had that attitude myself, so it hasn’t been a problem,” he says. Robust under stress and pressure Christian Skaarup Nissen is currently learning to balance the two things, because although he now has two jobs to take care of, the number of hours in the day are the same. The day usually starts at the office at 8am and then at 5pm he plays football for a few hours. Then it is usually back to work afterwards. “When I put my head on the pillow at night, I can feel that I’m spent,” he says, but stresses that he would not be without either. Law and football may sound like two very different things, but there are actually several similarities. Among other things, he points out that something as simple as a football match lasting 90 minutes and having to win before the match ends can also be used in the legal world. “Currently I work in Corporate/M&A where I’ve found myself having shorter deadlines to achieve things. I’m fairly okay with working under stress and pressure, because I’ve tried it quite a few times in football,” he says. The office is cheering Discipline and structure in everyday life is also something that Christian Skaarup Nissen has become acquainted with, and which can be used to make life as an assistant attorney in one of Denmark’s largest law firms harmonious with life as a footballer in Denmark’s third tier. And so far, things are going well. There have even been a couple of cup matches that took place right in the middle of “legal working hours”. “I was told that it was fine for me to participate. I might have to work afterwards, but I find it rather cool that such flexibility is possible,” he says. In addition to flexibility, the Aarhus office also offers support and great interest in the weekend matches. Christian Skaarup Nissen has even had several cheering supporters on the side-line. “Support from my colleagues is highly appreciated. Riisvangen is well visited by GF supporters,” says Christian Skaarup Nissen, assistant attorney and top scorer.
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ANNUAL REPORT 2020
Zero tolerance of unwanted sexual attention
At Gorrissen Federspiel we have for several years focused on preventing inappropriate behaviour, including sexual harassment. The #MeToo movement in the autumn of 2020 gave us the opportunity to review our procedures and once again clarify to employees that we have zero tolerance of unwanted sexual attention.
ANNUAL REPORT 2020
Covid-19 filled most of 2020 until TV host Sofie Linde came along and set the agenda with a now historic speech about sexism at TV2’s Zulu Comedy Galla last autumn. The #MeToo wave rolled over Denmark and the spotlight was also directed at the legal profession. Unfortunately, unwanted sexual attention also occurs in our profession, and unfortunately it has also been the case at Gorrissen Federspiel. An article in the Danish daily newspaper Berlingske covered the three instances of unwanted sexual attention reported at our firm. The outcome of these cases was two warnings and one dismissal. We decided to be open about it because it was and still is important for us to convey – both internally and externally – that abusive behaviour is not something we accept in our firm. “Decency is an integral part of our DNA, and so it is imperative to us that there are no instances of unwanted sexual attention. However, we are a large firm, and it would be unrealistic to believe that it will never happen. Therefore, it is important to send a clear message that we have a zero tolerance policy, that we come down hard on any instances and that we handle it effectively,” says Martin André Dittmer, Managing Partner. Questions about sexual harassment Already in the wake of the international #MeToo wave at the end of 2017 – which only created a small splash in Denmark – Head of HR, Sara Jursic, began to p repare the ground for a more focused effort in relation to sexual harassment. This resulted in, among other things, additional questions in the 2018 annual survey among employees with questions about whether employees had experienced or witnessed unwanted sexual attention in the workplace. The extended questionnaire on sexual harassment was also part of the 2020 survey, which was already planned before the increased public attention on the topic and will continue to be a regular part of the annual employee satisfaction survey. The autumn’s focus on sexism also prompted a re-examination of the firm’s HR policy against sexual harassment. There was no need to revise it, however, as it was already very clear. Out in the open For Sara Jursic, it is important that the processes for reporting sexism or sexual harassment are clear so that it is easy for employees to speak up. In addition to employees always being able to come to HR, Gorrissen Federspiel’s internal whistleblower scheme was expanded in 2020 to include sexual harassment. “We understand that there may be a concern about speaking up, but it’s important for me to make it clear that there’s no need to be nervous. Our employ-
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ees can always come to HR and the Managing Partner – even with anonymous reports,” says Sara Jursic. In the autumn, at a virtual Managing Partner meeting to address all employees, Martin André Dittmer spent some time addressing the increased attention on sexual harassment in the legal profession. At the same time, he reiterated that when it comes to unwanted s exual attention there is zero tolerance, and if it should occur it is important that it is reported. This is because if such instances are not brought to the attention of the HR department and management, the situation is difficult to deal with. “Our culture is founded on decency, and in a decent culture we interact with each other and treat each other with respect. In such a culture, we do not tolerate inappropriate conduct, including behaviour involving unwanted sexual attention,” he stresses. No new reports Across industries, the aftermath of Sofie Linde’s speech saw hundreds of women come forward to report sexism and abusive behaviour in the workplace. Martin André Dittmer and Sara Jursic were also “curious” about how the increased focus would affect Gorrissen Federspiel and whether new reports would surface. “This was of course one of the questions we asked ourselves. Would the increased focus trigger more reports? It didn’t,” says Martin André Dittmer. “After repeated requests and repeatedly stating that we have zero tolerance, there have been no f urther reports. And we take that to mean that we have a generally good, healthy and orderly tone in our d ealings with each other,” adds Sara Jursic. Continuous focus Sara Jursic states that the increased focus on sexism and the initiatives that were put in place were not just an “autumn exercise” in the wake of the great public attention. “We’ve continuously focused on inappropriate behaviour and been proactive in this area, so it’s not something that has suddenly arisen. We’ll also be clear about our zero tolerance in the future, so that there can be no doubt about our position,” says the Head of HR. Martin André Dittmer considers it a necessary debate because it is only by talking about it that one becomes aware of the problems and can bring about change, he points out. “The autumn focus on #MeToo has been a good opportunity to reassess and clarify the focus we have on ensuring that no one at Gorrissen Federspiel experiences unwanted sexual attention. In addition, we feel confirmed that, although we’re not infallible, we do have a decent workplace. I’m pleased with and proud of that,” says Martin André Dittmer.
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ANNUAL REPORT 2020
Financial report
ANNUAL REPORT 2020
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ANNUAL REPORT 2020
ANNUAL REPORT 2020
Content Entity details
074
Statement by Management 074 Independent auditor’s report 075 Management commentary 077 Income statement for 2020 078 Balance sheet at 31.12.2020 079 Statement of changes in equity for 2020 080 Cash flow statement for 2020 081 Notes 082 Accounting policies 085
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ANNUAL REPORT 2020
Entity details
Statement by Management
Entity Gorrissen Federspiel Advokatpartnerselskab Axeltorv 2 1609 Copenhagen V
The Board of Directors and the Executive Board have today considered and approved the annual report of Gorrissen Federspiel Advokatpartnerselskab for the financial year 01.01.2020 31.12.2020.
CVR No.: 38052497 Registered office: Copenhagen Financial year: 01.01.2020 - 31.12.2020
The annual report is presented in accordance with the Danish Financial Statements Act.
Statutory reports on the entity’s website Statutory report on corporate social responsibility: https://gorrissenfederspiel.com/en/csr
In our opinion, the financial statements give a true and fair view of the Entity’s financial position at 31.12.2020 and of the results of its operations and cash flows for the financial year 01.01.2020 - 31.12.2020.
Board of Directors Niels Vahman Bang, Chairman Anders Peter Geismar Christoffersen Henriette Kirstine Gernaa Martin André Dittmer Tobias Linde Bo Holse
We believe that the management commentary contains a fair review of the affairs and conditions referred to therein.
Executive Board Martin André Dittmer, Managing Partner
Executive Board Martin André Dittmer, Managing Partner
Auditors Deloitte Statsautoriseret Revisionspartnerselskab Weidekampsgade 6 2300 Copenhagen S
Board of Directors Niels Vahman Bang, Chairman Anders Peter Geismar Christoffersen Henriette Kirstine Gernaa Martin André Dittmer Tobias Linde Bo Holse
We recommend the annual report for adoption at the Annual General Meeting. Copenhagen, 20.04.2021
ANNUAL REPORT 2020
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Independent auditor’s report To the shareholders of Gorrissen Federspiel Advokatpartnerselskab Opinion We have audited the financial statements of Gorrissen Federspiel Advokatpartnerselskab for the financial year 01.01.2020 31.12.2020, which comprise the income statement, balance sheet, statement of changes in equity, cash flow statement and notes, i ncluding a summary of significant accounting policies. The financial statements are prepared in accordance with the Danish Financial Statements Act. In our opinion, the financial statements give a true and fair view of the Entity’s financial position at 31.12.2020 and of the results of its operations and cash flows for the financial year 01.01.2020 31.12.2020 in accordance with the Danish Financial Statements Act. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (ISAs) and additional requirements applicable in Denmark. Our responsibilities under those standards and require ments are further described in the ”Auditor’s responsibilities for the audit of the financial statements” section of this auditor’s report. We are independent of the Entity in accordance with the International Ethics Standards Board of Accountants’ Code of Ethics for Professional Accountants (IESBA Code) and the additional require ments applicable in Denmark, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appro priate to provide a basis for our opinion. Management’s responsibilities for the financial statements Management is responsible for the preparation of financial statements that give a true and fair view in accordance with the Danish Financial Statements Act, and for such internal control as Management determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, Management is responsible for assessing the Entity’s ability to continue as a going concern, for disclosing, as applicable, matters related to going concern, and for using the going concern basis of accounting in preparing the financial statements unless Management either intends to liquidate the Entity or to cease operations, or has no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstate ment, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit conducted in accordance with ISAs and the additional requirements applicable in Denmark, we exercise professional judgement and maintain professional scepticism throughout the audit. We also: •
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a mater ial misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
•
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Entity’s internal control.
•
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by Management.
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•
•
ANNUAL REPORT 2020
Conclude on the appropriateness of Management’s use of the going concern basis of accounting in preparing the financial statements, and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Entity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Entity to cease to continue as a going concern.
Statement on the management commentary Management is responsible for the management commentary.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures in the notes, and whether the financial statements represent the under lying transactions and events in a manner that gives a true and fair view.
Moreover, it is our responsibility to consider whether the management commentary provides the information required under the Danish Financial Statements Act.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Our opinion on the financial statements does not cover the management commentary, and we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the management commentary and, in doing so, consider whether the management commentary is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.
Based on the work we have performed, we conclude that the management commentary is in accordance with the financial statements and has been prepared in accordance with the requirements of the Danish Financial Statements Act. We did not identify any material misstatement of the management commentary. Copenhagen, 20.04.2021 Deloitte Statsautoriseret Revisionspartnerselskab CVR No. 33963556 Jens Jørgensen Baes State Authorised Public Accountant Identification No (MNE) mne14956 Christina Nilsson State Authorised Public Accountant Identification No (MNE) mne44182
ANNUAL REPORT 2020
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Management commentary 2020 DKK’000
2019 DKK’000
2018 DKK’000
2017 DKK’000
Revenue
803,550
762,806
683,295
659,884
615,266
Gross profit/loss
678,164
630,367
557,823
535,974
522,962
21,926
19,387
18,921
17,926
16,942
(4,076)
(2,237)
(3,231)
(3,053)
(3,143)
17,850
17,150
15,690
14,873
13,799
534,533
426,325
427,206
449,748
367,654
Equity
121,050
116,500
114,680
112,880
109,800
Cash flows from (used in) operating activities
(51,129)
35,357
(27,341)
(48,978)
22,478
Cash flows from (used in) investing activities
(131)
(130)
(223)
(9,453)
(204)
Cash flows from (used in) financing activities
67,624
(11,826)
(28,238)
(17,381)
(86,917)
Key figures
Operating profit/loss Net financials Profit/loss for the year Total assets
2016 DKK’000
Ratios Net margin (%)
2.22
2.25
2.30
2.25
2.24
Return on equity (%)
15.03
14.84
13.79
13.36
12.60
Equity ratio (%)
22.65
27.33
26.84
25.10
29.87
Financial highlights are defined and calculated in accordance with the current version of ”Recommendations & Ratios” issued by the CFA Society Denmark. In evaluating profit/loss for the year, it should be considered that the shareholders of the Private Limited Partnership are also its partners and that their remuneration is profit-related. This remuneration has been recognised in staff costs.
Net margin (%): Profit/loss for the year * 100 Revenue Return on equity (%): Profit/loss for the year * 100 Average equity Equity ratio (%): Equity * 100 Total assets
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ANNUAL REPORT 2020
Income statement for 2020 Notes Revenue Other external expenses
2019 DKK’000
1
803,550
762,806
2, 3
(125,386)
(132,439)
678,164
630,367
(656,238)
(610,980)
21,926
19,387
991
1,577
Gross profit/loss
Staff costs
2020 DKK’000
4
Operating profit/loss
Other financial income Other financial expenses
5
(5,067)
(3,814)
Profit/loss for the year
6
17,850
17,150
ANNUAL REPORT 2020
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Balance sheet at 31.12.2020 2020 DKK’000
2019 DKK’000
19,040
18,909
19,040
18,909
Fixed assets
19,040
18,909
Trade receivables
320,486
246,401
Contract work in progress
129,850
117,835
Assets
Notes
Deposits Financial assets
7
Other receivables
8
10,630
7,637
Prepayments
9
9,971
7,351
470,937
379,224
44,556
28,192
Receivables
Cash
Current assets
515,493
407,416
534,533
426,325
Notes
2020 DKK’000
2019 DKK’000
10, 11
51,000
49,000
50,000
50,000
2,200
350
Assets
Equity and liabilities Contributed capital Other reserves Retained earnings Proposed dividend Equity
Other provisions
12
Provisions
Other payables Non-current liabilities other than provisions
13
Bank loans Trade payables Payables to shareholders and management
14
Other payables
15
Current liabilities other than provisions
Liabilities other than provisions Equity and liabilities
Unrecognised rental and lease commitments
17
Contingent liabilities
18
Related parties with controlling interest
19
Non-arm’s length related party transactions
20
17,850
17,150
121,050
116,500
4,200
5,000
4,200
5,000
24,072
8,187
24,072
8,187
55
264
4,426
6,800
273,363
208,115
107,367
81,459
385,211
296,638
409,283
304,825
534,533
426,325
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ANNUAL REPORT 2020
Statement of changes in equity for 2020 Contributed capital DKK’000
Other reserves DKK’000
Retained earnings DKK’000
Proposed dividend DKK’000
Total DKK’000
49,000
50,000
350
17,150
116,500
2,000
0
100
0
2,100
Purchase of treasury shares
0
0
(1,050)
0
(1,050)
Dividends from treasury shares
0
0
700
0
700
Sale of treasury shares
0
0
2,100
0
2,100
Ordinary dividend paid
0
0
0
(17,150)
(17,150)
Equity beginning of year Increase of capital
Profit/loss for the year Equity end of year
0
0
0
17,850
17,850
51,000
50,000
2,200
17,850
121,050
At 31 December 2020, the shareholders have a total amount receivable from the Private Limited Partnership of DKK 273,363k, see note 14 to the financial statements. This amount covers partly current balances, partly the liquidity provided by the shareholders to the Private Limited Partnership for a small rate of return.
ANNUAL REPORT 2020
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Cash flow statement for 2020 Notes Operating profit/loss Other provisions Working capital changes Cash flow from ordinary operating activities
Financial income received Financial expenses paid Cash flows from operating activities
Sale of intangible assets Cash flows from investing activities
Free cash flows generated from operations and investments before financing
Loans raised Repayments of loans etc Dividend paid Acquisition of treasury shares Sale of treasury shares Cash increase of capital
16
2020 DKK’000
2019 DKK’000
21,926
19,387
(800)
2,000
(68,179)
16,207
(47,053)
37,594
991
1,577
(5,067)
(3,814)
(51,129)
35,357
(131)
(130)
(131)
(130)
(51,260)
35,227
15,885
8,187
(209)
(48,494)
(16,450)
(13,230)
(1,050)
(2,100)
2,100
0
2,100
0
65,248
43,811
Cash flows from financing activities
67,624
(11,826)
Increase/decrease in cash and cash equivalents
16,364
23,401
Increase/(reduction) in payables to shareholders
Cash and cash equivalents beginning of year
28,192
4,791
Cash and cash equivalents end of year
44,556
28,192
44,556
28,192
44,556
28,192
Cash and cash equivalents at year-end are composed of: Cash Cash and cash equivalents end of year
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ANNUAL REPORT 2020
Notes 2020 DKK’000
2019 DKK’000
Work completed for the year
791,535
755,803
Contract work in progress at 31.12.
129,850
117,835
Contract work in progress at 01.01.
(117,835)
(110,832)
Aktiviteter i alt
803,550
762,806
1 Revenue
Geographical markets and activities do not differ significantly, for which reason these are not reported, see Section 96 of the Danish Financial Statements Act. 2 Other external expenses Other external expenses comprise administrative expenses, costs of premises, education and training, marketing, bad debts, etc.
2020 DKK’000
2019 DKK’000
345
340
Other assurance engagements
54
52
Tax services
75
75
524
21
998
488
2020 DKK’000
2019 DKK’000
628,230
570,095
14,735
13,244
1,841
2,337
3 Fees to the auditor appointed by the Annual General Meeting
Statutory audit services
Other services
4 Staff costs
Wages and salaries Pension costs Other social security costs Other staff costs
Average number of full-time employees
11,432
25,304
656,238
610,980
426
385
Referring to Section 98 B(3) of the Danish Financial Statements Act, remuneration to the Executive Board is not disclosed. The members of the Board of Directors of the Private Limited Partnership have not received any management remuneration during the financial year.
5 Other financial expenses
Other interest expenses Exchange rate adjustments
2020 DKK’000
2019 DKK’000
4,392
3,745
675
69
5,067
3,814
The line item ”Other interest expenses” includes interest on balances with the shareholders of the Private Limited Partnership in the amount of DKK 3,300k.
6 Proposed distribution of profit and loss
Ordinary dividend for the financial year
2020 DKK’000
2019 DKK’000
17,850
17,150
17,850
17,150
ANNUAL REPORT 2020
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Notes Deposita DKK’000
7 Financial assets
Cost beginning of year
18,909
Additions
131
Cost end of year
19,040
Carrying amount end of year
19,040
8 Other receivables In 2020, this line item includes a net deposit of DKK 3,922k, which is calculated as the difference between deposits on client accounts amounting to DKK 1,382,524k and client payables amounting to DKK 1,378,602k. 9 Prepayments Prepayments comprise accrued prepaid expenses.
10 Share capital
Contributed capital
Number
Par value DKK’000
Nominal value DKK’000
51
1,000
51,000
51
51,000
No shares carry special rights.
11 Treasury shares
Share of contributed capital %
Purchase/ (selling) price DKK’000 1,050
Number
Nominal value DKK’000
Investments acquired
1
1,000
1.96
Investments acquired
1
1,000
1.96
Investments disposed of
2
2,000
3.92
Investments disposed of
2
2,000
3.92
Holding of treasury shares
1
1,000
1.96
Holding of treasury shares
1
1,000
1.96
2,100
During the financial year, the Private Limited Partnership acquired treasury shares as it has, within the framework laid down by the General Meeting, accommodated those shareholders who have wanted to sell their shares. The Private Limited Partnership has disposed of treasury shares during the financial year as part of the acceptance of new partners to the group of shareholders. 12 Other provisions The outcome of cases of liability and the time when they are closed are inherently uncertain, however, the liabilities are estimated to be settled within the next three or four years. These liabilities comprise costs, including legal expenses and any compensation.
13 Non-current liabilities other than provisions
Other payables
Due after more than 12 months 2020 DKK’000 24,072 24,072
Other payables consist of the Private Limited Partnership’s frozen holiday pay. These payables fall due as employees leave the labour market. The outstanding payables after five years have been determined based on the expectation that the Private Limited Partnership intends to take advantage of the opportunity to voluntarily pay in the frozen holiday pay payable.
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ANNUAL REPORT 2020
Notes 14 Payables to shareholders and management The line item ”Payables to shareholders and management” reflects upfront financing from the conversion from a partnership to a private limited partner ship on 1 January 2016, current balances with the partners, and the Private Limited Partnership’s proposition to the partners to have a small rate of return on balances in exchange for the Private Limited Partnership’s availability of liquidity for agreed periods of time. 2020 DKK’000
2019 DKK’000
VAT and duties
54,248
40,587
Wages and salaries, personal income taxes, social security costs, etc payable
15 Other payables
34,047
12,211
Holiday pay obligation
9,320
21,054
Other costs payable
9,752
7,607
107,367
81,459
In 2019, this line item included net payables of DKK 994k, which was calculated as the difference between deposits on client accounts amounting to DKK 1,373,152k and client payables amounting to DKK 1,374,146k.
16 Changes in working capital
Increase/decrease in receivables Increase/decrease in trade payables etc
17 Unrecognised rental and lease commitments
Liabilities under rental or lease agreements until maturity in total
2020 DKK’000
2019 DKK’000
(91,713)
24,401
23,534
(8,194)
(68,179)
16,207
2020 DKK’000
2019 DKK’000
341,501
383,811
The Private Limited Partnership has entered into rental agreements on premises in Copenhagen and Århus. The total rent commitment stands at DKK 308,513k at 31 December 2020. The Private Limited Partnership leases furniture and equipment, leasehold improvements and IT from GFJURA 883 A/S, which is a wholly owned subsidiary of Gorrissen Federspiel Komplementar Advokatanpartsselskab. The total lease commitment stands at DKK 32,988k at 31 December 2020. 18 Contingent liabilities When entering into rental agreements, the Private Limited Partnership committed itself to returning the premises in the same condition as when they were received. The Private Limited Partnership has provided a guarantee of DKK 30,000k for bank loans of GFJURA 883 A/S. 19 Related parties with controlling interest No parties have control of the Private Limited Partnership. The Board of Directors and the Executive Board (Management) are considered related parties. 20 Non-arm’s length related party transactions Only related party transactions not conducted on an arm’s length basis are disclosed in the annual report. No such transactions have been conducted in the financial year.
ANNUAL REPORT 2020
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Accounting policies Reporting class This annual report has been prepared in accordance with the provisions of the Danish Financial Statements Act governing reporting class C enterprises (medium). The accounting policies applied to these financial statements are consistent with those applied last year. Recognition and measurement Assets are recognised in the balance sheet when it is probable as a result of a prior event that future economic benefits will flow to the Entity, and the value of the asset can be measured reliably.
Tax on profit/loss for the year Gorrissen Federspiel Advokatpartnerselskab is not an independent taxpayer, for which reason neither current tax nor deferred tax on profit/loss for the year is provided for in the financial statements. Gorrissen Federspiel Advokatpartnerselskabs resultat is taxed at the level of the shareholders of the Private Limited Partnership in accordance with the current rules of Danish tax law. Other external expenses Other external expenses include expenses relating to the Entity’s ordinary activities, including expenses for premises, stationery and office supplies, marketing costs, etc. This item also includes writedowns of receivables recognised in current assets.
Liabilities are recognised in the balance sheet when the Entity has a legal or constructive obligation as a result of a prior event, and it is probable that future economic benefits will flow out of the Entity, and the value of the liability can be measured reliably.
Staff costs Staff costs comprise salaries and wages, and social security contributions, pension contributions, etc for entity staff.
On initial recognition, assets and liabilities are measured at cost. Measurement subsequent to initial recognition is effected as described below for each financial statement item.
Other financial income Other financial income comprises interest income, including interest income from bank deposits and foreign currency transactions.
Anticipated risks and losses that arise before the time of presentation of the annual report and that confirm or invalidate affairs and conditions existing at the balance sheet date are considered at recognition and measurement.
Other financial expenses Other financial expenses comprise interest expenses, including interest expenses on payables and foreign currency transactions.
Income is recognised in the income statement when earned, whereas costs are recognised by the amounts attributable to this financial year.
Balance sheet Receivables Receivables are measured at amortised cost, usually equalling nominal value less writedowns for bad and doubtful debts.
Foreign currency translation On initial recognition, foreign currency transactions are translated applying the exchange rate at the transaction date. Receivables, payables and other monetary items denominated in foreign currencies that have not been settled at the balance sheet date are translated using the exchange rate at the balance sheet date. Exchange differences that arise between the rate at the transaction date and the rate in effect at the payment date, or the rate at the balance sheet date, are recognised in the income statement as financial income or financial expenses.
Client balances, net Client balances comprise the net amount of client accounts at financial institutions and client payables. Set-off is effected when the net amount is recognised in the balance sheet whereas the gross amount is specified in the note to the financial statements.
Income statement Revenue Revenue from the sale of services is recognised in profit or loss as and when the service agreed is provided whereby revenue equals the selling price of the work performed in the financial year (the percentage-ofcompletion method). Recognition at selling price is based on the assumption that all income and expenses and the stage of completion at the balance sheet date can be measured reliably and that it is probable that payment will be received.
Client payables comprise all of such amounts as are received on the account of a third party.
Client accounts at financial institutions comprise all trust funds held in special client accounts at financial institutions. The client accounts are subject to the rules governing attorneys’ obligations related to the treatment of trusted funds.
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ANNUAL REPORT 2020
Contract work in progress Contract work in progress is measured at the selling price of work carried out on cases at the balance sheet date and costs incurred on such cases.
Cash flow statement The cash flow statement shows cash flows from operating, investing and financing activities, and cash and cash equivalents at the beginning and the end of the financial year.
If the selling price of a contract in progress cannot be made up reliably, it is measured at the lower of costs incurred and net realisable value.
Cash flows from operating activities are presented using the indirect method and calculated as the operating profit/loss adjusted for noncash operating items and working capital changes.
Each contract in progress is recognised in the balance sheet u nder receivables or liabilities other than provisions, depending on whether the net value, which is calculated as the selling price less prepayments received, is positive or negative.
Cash flows from investing activities comprise payments in connec tion with investments.
Prepayments Prepayments comprise incurred costs relating to subsequent financial years. Prepayments are measured at cost. Cash Cash comprises cash in hand and bank deposits. Dividend Dividend is recognised as a liability at the time of adoption at the general meeting. Proposed dividend for the financial year is d isclosed as a separate item in equity. Extraordinary dividend adopted in the financial year is recognised directly in equity when distributed and disclosed as a separate item in Management’s proposal for distribution of profit/loss. Treasury shares Acquisition and selling prices and dividends for treasury shares are classified directly as equity under retained earnings. Gains and losses on sale are not recognised in the income statement. Other provisions Other provisions comprise anticipated costs of non-recourse guarantee commitments, returns, loss on contract work in progress, decided and published restructuring, etc. Other provisions are recognised and measured as the best estimate of the expenses required to settle the liabilities at the balance sheet date. Provisions that are estimated to mature more than one year after the balance sheet date are measured at their discounted value. Once it is probable that total costs will exceed total income from a contract in progress, provision is made for the total loss estimated to result from the relevant contract. Operating leases Lease payments on operating leases are recognised on a straight- line basis in the income statement over the term of the lease. Other financial liabilities Other financial liabilities are measured at amortised cost, which usually corresponds to nominal value.
Cash flows from financing activities comprise changes in the size or composition of the contributed capital and related costs, and the raising of loans, repayments of interest-bearing debt, including lease liabilities, purchase of treasury shares and payment of dividend. Cash and cash equivalents comprise cash and with an insignificant price risk less short-term bank loans.