In one recent case, following a long and successful career dating back to 1982 with the accountancy firm Moore Stephens, an equity partner was approaching his 60th birthday, which was the normal retirement age in his firm’s LLP agreement.  He proposed that he should continue in service with the firm.

In response he was given the option by the managing partner to continue as an LLP member, but not any longer as an equity partner. Effectively he faced a choice between leaving altogether or being demoted within the partnership. On the understanding that the drop in his annual income would be circa £30,000, and in the belief that this did not justify legal action, he decided to accept the firm’s offer.