Founder and Managing Partner of L&L Partners Rajiv Luthra has dissolved the litigation arm of the firm, effective Monday, July 4.

Luthra had sent dissolution notices to the firm's existing equity partners Bobby Chandhoke and Sudhir Sharma, as well as the heirs of the late Vijay Sondhi who had recently demanded that they be inducted into the equity partnership of the firm.

As per sources, existing members of the litigation firm will be free to join the corporate arm of L&L Partners.

It is understood that the equity partners were engaged in discussions over the past year to merge the two firms (both corporate and litigation) to create one firm. The dissolution of the litigation firm seems to be the first step towards making that plan a reality.

Luthra, along with Mohit Saraf, Chandhoke, Sharma and Sondhi, had set up the litigation firm on April 1, 2003 (Luthra & Luthra Law Offices Litigation).

Meanwhile, Saraf has moved the Delhi High Court seeking the appointment of an arbitrator to resolve disputes arising out of his share (claimed to be 11.12%) in the litigation firm. He has prayed for the appointment of former Supreme Court judge, Justice Deepak Gupta to resolve the disputes in question.

An arbitral tribunal is already deciding the disputes between Saraf and Luthra arising out of the former's exit from the firm last year.