As merger mania sweeps BigLaw, independent law firms in the UK like Slaughter & May and Macfarlanes are staying solo. Their leaders say scale isn’t the goal, specialism is. We’re seeing a similar split in approach in the Aussie market — with Ashurst and HSF Kramer merging up, while Corrs, G+T and soon-to-be Mallesons backing independent expertise, not empire-building. Scale vs focus. Whose bet will pay off? Law.com

⚖️ Arbitration: The NSW Supreme Court has reminded parties that calling something an “arbitration clause” doesn’t make it one. In Iosefa v Polar Air, the Court refused to stay proceedings after finding the clause only allowed parties to agree later to arbitrate, not that they must. The wording said the parties “may elect” arbitration and contemplated failure to agree, which sank any argument it was mandatory. That contrasted sharply with Elecnor v Clough, where the clause let either party unilaterally refer disputes to ICC arbitration, locking both sides in. The key takeaway is simple but brutal: arbitration clauses live or die on drafting. If arbitration is meant to be compulsory, say so clearly: KWM

⚖️ M&A: HSF Kramer expects that deal disputes are set to keep climbing in 2026. Pre-signing, longer negotiations are fuelling fights over NDAs, exclusivity and break fees, especially in tech and energy deals where sensitive data is on the table. Between signing and completion, buyers are leaning harder on MAC clauses, warranty bring-downs and termination rights, with extended regulatory approvals creating more time for things to go wrong. Post-completion, expect more heat around warranties, indemnities, earn-outs and price adjustments. The practical takeaway is risk management starts early — tight drafting, disciplined diligence and clear dispute resolution clauses matter more than ever

⚖️ Compliance Penalty: ANZ has copped a record $250m in penalties after the Federal Court signed off on ASIC’s twin enforcement wins across retail banking failures and treasury bond misconduct. In the Retail Cases Omnibus, the Court accepted $115m in penalties for systemic issues spanning hardship handling, bonus interest and deceased estates, rejecting any idea that “totality” should water things down across unrelated conduct. In the Treasury Bonds Case, the Court went further, uplifting penalties from $125m to $135m, branding parts of ANZ’s conduct as having “no redeeming feature whatsoever”. Justice Beach was blunt: penalties must bite hard enough to rule out profit and deter large, well-resourced groups. The practical takeaway is clear, big banks should expect penalties calibrated to group scale, not treated as a cost of doing business.

Anthony Albanese won’t rule out cutting a deal with the Greens on hate speech reforms, after branding talks with the Coalition “like trying to grab smoke”. Sussan Ley says the bill misses the mark on extremism and won’t back it as drafted, while Larissa Waters wants broader protections added. With no Senate majority, Labor’s “once-in-a-generation” laws are heading for messy negotiations: The Australian

Protest organisers have taken Victoria Police to the Federal Court, arguing the Melbourne CBD “designated area” gave cops extraordinary stop-and-search powers with no warrant or suspicion. They say the move breached basic rights and chilled protest, including mask-wearing as political expression. Police dropped the designation early, but challengers want a ruling before Australia Day rallies roll around again: Lawyerly

⛏️ Rio Tinto: is crunching structures for a mooted $300bn tie-up with Glencore ahead of a February 5 deadline to table terms in London. Options on the table include carving out coal or a partial copper play, with ASX spin-offs in the mix. Advisers are circling, but valuation and who keeps the copper upside remain the hard yards.

🧑‍⚖️ Cosette Pharmaceuticals: is appealing a NSW Supreme Court call that stopped it walking from its $600m deal for Mayne Pharma, teeing up a fresh legal scrap. Mayne says it’ll fight hard, with a $6.72m break fee also in play, even after Treasurer Jim Chalmers ultimately killed the takeover on FIRB grounds: Capital Brief