MORE than 70 jobs are set to be axed following the collapse of historic Scottish law firm Pagan Osborne.

Tayside firm Thorntons has snapped up the assets of Fife-based Pagan Osborne, which can trace its roots back to St Andrews 250 years ago, from administrators at FRP Advisory, it was announced this morning.

It is understood Pagan Osborne had been hit by the downturn in activity in the Scottish residential and commercial property markets. FRP was appointed yesterday, and the staff affected informed last night.

The deal, which went through for an undisclosed sum, will see 10 Pagan Osborne partners and 113 staff transfer to Thortnons. However Thorntons expects only to save around 50 jobs, with the Pagan Osborne offices in Edinburgh, Cupar and St Andrews all set to close. Staff in those offices will be told they are at risk of redundancy pending a review of employment requirements.

Pagan Osborne had more than 100 partners and staff operating out of five offices in Edinburgh and Fife. Its office in Anstruther will be retained and rebranded as Thorntons, although it is expected there will also be redundancies there.

A 45-day consultation period on the redundancies will start next week.

Craig Nicol, joint managing partner of Thorntons, said: “Pagan Osborne was a long-standing, highly respected firm with a high profile in Fife and Edinburgh.   Our priority will be to provide a seamless transition for clients and to preserve the maximum number of jobs.  

“We will be in contact with all Pagan Osborne clients imminently and I would seek to reassure them that they will receive continuity of service from the newly-enlarged Thorntons team for their legal or property matters in the coming days and weeks.” 

Tom MacLennan, partner at FRP Advisory and joint administrator, said: “We are delighted that Thorntons has acquired the assets, goodwill and work-in-progress of Pagan Osborne, thus ensuring continuity of client service, providing employment opportunities and safeguarding client funds.  We wish the newly enlarged business every success.”

Thorntons was established in 1857, when Sir Thomas Thornton started a law firm in Tayside.  It now has 48 partners and 400 staff across 10 offices in Fife, Dundee, Perthshire, Edinburgh and Angus.