New York-based corporate law firm Dewey & LeBoeuf has filed for bankruptcy protection in what is widely perceived to be the largest law firm collapse in US history. The international firm, which at one stage employed close to 1,300 lawyers in 12 countries, announced it has filed for Chapter 11 and is seeking for approval to liquidate after failing to find a merger partner.

It is understood that Dewey & LeBoeuf owes around $225m to secured lenders and an additional $90m to a range of creditors, according to court papers.

Dewey said that negative economic conditions and the firm’s partnership compensation arrangements caused a situation of insufficient cash flow.