The American Lawyer - Focus Europe, Summer 2011

impact in its legal market than that of its European neighbours. ‘The international firms have never been able to have a very significant relevance in the Portuguese law market. The British firms currently have a very discrete representation and the Spanish have some weight but do not affect the activity of local firms’ he says. ‘The entry of all these companies had a positive impact for the legal profession in general, because it opened the market for a practice with international standards. However, there was no relevant impact in terms of business, nor is it expected to occur’.

Nonetheless, any prospective entrants to the Portuguese market must think seriously about how successful integration would be at a time when it is only just sustaining the firms already present – even if it does offer access to Lusophone countries. ‘I do not believe that the Portuguese market can currently be of any interest to a global law firm. I do not envisage the entry in Portugal of any of these firms over the next three or four years’ Bernardo predicts.

However, the privatization requirements mooted by
the EU and the IMF in relation to their bailout in May is
good news for the law firms, who expect mandates
relating to the airports, oil and electricity privatisations
to provide some serious fee income. The overhaul of the
banking system, which involves improving its Tier 1
ratios, will force them to sell stakes in industrial compa-
nies. ‘The restructuring of the Portuguese economy will
bring plenty of work’ says Caiado Guerreiro.