Dewey, Shearman, Goodwin Procter, Skadden: Business of Law

Dewey & LeBoeuf LLP, whose bank loans are partly secured with money due from clients, told partners they can’t have their monthly pay until they send all the bills for their services, a person familiar with the matter said.

Dewey is under orders from bankers to collect as much money owed to the firm as possible after the departure of about 85 partners and the ouster of chairman Steven Davis, according to another person familiar with Dewey’s finances. The banks are reluctant to put the firm into bankruptcy as that might make it harder to collect the bills, that person said. Both people didn’t want to be identified because the matter wasn’t public.