One of Australia's oldest law firms, Hobart-based firm Dobson Mitchell & Allport, has joined forces with Macpherson + Kelley Lawyers in a move that increases partner numbers to 41.

As a result of the merger M+K now employs over 230 people, including 115 lawyers. The firm now has offices in Sydney, Melbourne, Dandenong and Hobart.

Hobart based Dobson Mitchell & Allport was founded in 1834 and from 1 July brings to the M+K fold 11 Principals and 80 employees.

Macpherson + Kelley is an incorporated law firm, with all partner-level lawyers being principals and shareholders in M+K.

Damian Paul, national managing director of the firm, said of the merger: "Having Dobson Mitchell & Allport join us will add significantly to the firm's reach and depth of expertise.

Paul said it was important to both firms to maintain the style of legal service that had become a hallmark of M+K and Dobson Mitchell & Allport.

Dobson has abandoned the partnership structure and incorporated so it could merger with Macpherson + Kelley.

Dobson’s chairman Stephen Knight told The Australian that “incorporation is a sensible way to go” and that “there are all sorts of problems with partnerships: the current tax regime just doesn’t fit the partnership model”.

The Hobart team will retain the Dobson Mitchell & Allport name, and become an M+K firm. "We think it's important to celebrate the firm's heritage while acknowledging that it's moving forward nationally by joining the M+K group," said Paul.

Macpherson + Kelley has recently seen some major changes to its practice. Last month it announced a merger with the North Sydney practice M+K Musgrave Peach, whose lawyers have now relocated to the firm’s Sydney CBD premises.

The move was touted by the firm as a merger, will see the merged entities known as Macpherson + Kelley Lawyers.

As part of that office overhaul, the firm announced the appointment of three new partners, including the “Peach” element of the merging firm, Greg Peach, who has been appointed the managing director of Macpherson+Kelley in Sydney.

Paul said Peach was very well qualified to take up the reigns, “having run an excellent operation in North Sydney for 20 years”, and for the past two years as the firm’s North Sydney managing principal.

Tony Gooch, previously a partner with Holman Webb, also joined the team as employment and industrial relations principal.

On whether the firm would see further changes, Paul said he sees no reason why it wouldn’t continue to merge with like-minded expert law firms nationally.