Dynamic Export

Case Study: Allens Arthur Robinson joint venture

In 2007, Allens Arthur Robinson became the first Australian law firm to enter a joint law venture (JLV) in Singapore since the start of the Singapore–Australia Free Trade Agreement. Although the firm had practised foreign law there since 1981, they considered the conditions, which included holding a minimum number of partners each with a minimum level of experience, a bit risky.

“The Asian economic crisis had left us concerned that while we might qualify, we did not want to be locked in to long term minimum numbers of partners. For that reason we declined to apply,” explains Jim Dunstan, executive partner–Asia at AAR.

However, the FTA provided favourable conditions to formalise their alliance with TSMP Law Corporation. Dunstan says the change was distinct—their initial licence application took many months but the JLV licence took just hours following the FTA.

“We would not have applied for the licence had the FTA not achieved the changes which made an application possible. Singapore officials had a clear understanding that the FTA intended to encourage Australian law firms to enter the Singapore market in this manner,” he remarks.

Dunstan says the similar aims of the two firms made the JLV the best option and, in terms of structure, the only option.
“We wanted to be able to work together efficiently under the one letterhead, and to market together,” he says. “We wanted to take on the larger JLVs in certain work types such as funds management and needed to be able to operate as one unit.”

The result saw AAR increase local business with inward investment and funds management work, while TSMP have leveraged off AAR’s regional network to expand their client base.

—Adeline Teoh

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