Herbert Smith Freehills is at an impasse with partners over the future of its remuneration structure, as its global chair faces a challenge for leadership of the firm ahead of its merger with American outfit Kramer Levin.

A proposal to partners to stretch equity allocations for high performers in the second half of 2023 did not proceed to a vote. An informal survey of partners in the second half of last year, which asked detailed questions about views on remuneration, also failed to produce a conclusive outcome.

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