Gibson Dunn & Crutcher maintains no. 1 ranking on law firms list.

Gibson Dunn & Crutcher maintains No. 1 ranking on law firms list

Downtown Los Angeles law firm Gibson Dunn & Crutcher is still Los Angeles County's largest, but the 100-year-old firm has fewer area attorneys while its next two downtown competitors -- O'Melveny & Myers and

The rankings are based on the number of Los Angeles County attorneys employed by the firms. The List also enumerates the number of partners at each firm.

Gibson's first place ranking was achieved with 310 attorneys, a five-lawyer drop from last year's figures. However, the firm added two partners for a total of 110.

Managing Partner Norman Barker said his firm has increased its worldwide staff by 23 attorneys from 650 to 673, but he said this growth rate was "quite modest," reflecting the slower economy.

Barker said his firm must make hiring decisions several years in advance and it decided to hire fewer attorneys a year ago, in anticipation of the recession.

Reflecting on which areas of law practice have been affected by the economic sluggishness, Barker said that real estate work on behalf of institutional investors is strong, but legal work for real estate developers is down.

He added that merger and acquisitions work is scarce, but bankruptcy, non-litigious financial reorganization, environmental law and some types of litigation are still strong.

No. 2 O'Melveny & Myers added 28 attorneys -- nine of them partners -- diminishing the gap between it and number one Gibson Dunn from 45 lawyers in 1989 to just 12 this year.

No. 3 Latham & Watkins has just hired an additional 31 lawyers, boosting its staff to 258. Managing partner John Walker Jr. said these numbers reflect decisions that were made in 1989 when the economy was stronger. But, Walker said, his firm will slowdown its hiring for 1991.

There was considerable jockeying for positions among the rest of the top 10 with firms making large gains and, others, considerable drops.

Downtown Los Angeles firms Paul, Hastings Janofsky is still No. 4, but Lillick & McHose moved up two spots to No. 5 because Irell & Manella of Century City reduced its staff by 26 and dropped to No. 7

Another firm that slipped in the ratings was downtown Los Angeles law firm Sheppard Mullin Richter & Hampton, which slipped from No. 6 to No. 10 because it cut its staff by 25 attorneys.

Century City law firm Wyman Bautzer Kuchel & Silbert, which is ranked 11th this year with 130 attorneys, was not included in The List last year because of an "administrative snafu," said Partner Howard Weitzman.

Weitzman said his firm was about at the same staffing level as last year with real estate, litigation and labor law being some of the most active areas of law this year for the firm.

Commenting on the market for legal services, Weitzman said, "Consumers are much more cautious in spending money for counsel and this reflects the economy in general."