US Legal Services Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 375.66 Billion |
| Market Size (2029) | USD 427.90 Billion |
| CAGR (2024 - 2029) | 2.64 % |
| Market Concentration | Low |
Major Players.webp)
*Disclaimer: Major Players sorted in no particular order |
US Legal Services Market Analysis
The US Legal Services Market size is estimated at USD 375.66 billion in 2024, and is expected to reach USD 427.90 billion by 2029, growing at a CAGR of 2.64% during the forecast period (2024-2029).
The outbreak of COVID-19 acted as a restraint on the US legal services market in 2020 as governments imposed lockdowns and restricted trade, thereby limiting the need for professional services. The COVID-19 pandemic led to an increased demand for civil legal services. The pandemic has forced the legal industry to change court practices and run fully digital, and AI has helped lawyers perform their jobs remotely. Today, the professionals in a law firm can access documents from their homes and arrange a video meeting to analyze and decide on a case. According to the Legal Industry Report 2021, law firms have become more productive and efficient using new technology. According to the survey, 82% of law firms reported that their businesses had fully reopened, and 77% of firms had no plans to reopen.
Many of a law firm's top clients are cutting their legal costs to improve efficiency and profitability. The United States is the largest distributor of legal services globally, with some estimates pegging the US total market size at USD 43 billion, over half of the total region market size. In the coming years, the industry's growth will be fueled by the increasing use of cutting-edge technology in legal services. Artificial intelligence (AI) enables businesses to review contracts in bulk and analyze data to better forecast the results of legal procedures than people. A significant emphasis on maintaining transparency in client relationships is also predicted to result in market development.
US Legal Services Market Trends
This section covers the major market trends shaping the US Legal Services Market according to our research experts:
Rising Security Breaches in the Law Firms
Security Breach means the unauthorized access to clients' data by an unauthorized person that compromises the security, confidentiality, or integrity of client data. Ransomware attackers have made legal service companies increasingly appealing targets because of the nature of their operations. A lot of confidential company information and sensitive data including tax returns are collected by law firms and in-house legal teams as part of their corporate legal and M&A work, litigation, and other legal services. If the information collected is hacked, they risk losing their reputation and money, especially if data is leaked. Because they handle enormous amounts of sensitive client information, data, and money, law firms have been attractive targets for hackers in recent years. According to an American Bar Association survey, the number of law firms that experienced a cybersecurity breach in 2020 marked an uptick from the year prior. In fact, 29% of survey respondents suffered the fate compared to 26% in 2019. For example, the law firm Campbell Conroy & O'Neil P.C. was subject to a data breach on February 27, 2021. The firm became aware of unusual activity, then conducted an investigation and discovered it had unwittingly been a ransomware victim.
In May 2020, Grubman Shire Meiselas & Sacks, which offers legal services to the entertainment and media industries, acknowledged having experienced a ransomware attack. To exert pressure, the hackers leaked information involving Lady Gaga, who is a client of the law firm. They also threatened to release information involving other celebrities. The attackers asked for a ransom payment of USD 42 million to prevent the release of the documents to the public. The perpetrators originally asked for USD 21 million, then doubled their payment demand.
Increasing use of Artificial Intelligence in Legal Industry is Driving the Market
Artificial Intelligence(AI) is finding its way into the legal profession as there are many software available that can replace the monotonous and tedious work done by lawyers. Artificial Intelligence helps lawyers in repetitive and routine jobs which indeed saves their time and also helps them to focus on important aspects. A legal practitioner spends a lot of time on legal research. New lawyers take much time to learn about legal research.
AI and automation have the potential to replace up to 23% of a lawyer's daily responsibilities. Many of these tasks are mundane, paperwork-based responsibilities that take legal professionals away from the strategic needs of a case. Many law firms are already using AI to assist with the following tasks: document review for due diligence or litigation; contract analysis, and qualification according to a set of criteria; Legal research; and Case outcome prediction.
US Legal Services Industry Overview
The competitive landscape analysis provides a detailed strategic analysis of the company's business and performance, such as financial information, revenue breakup by segment, risk analysis, key facts, company overview, business strategy, key product offerings, marketing and distribution strategies, new product development, and recent news.
US Legal Services Market Leaders
-
Latham & Watkins LLP
-
Kirkland & Ellis LLP
-
Skadden, Arps, Slate, Meagher & Flom LLP
-
Cravath, Swaine & Moore LLP
-
Wachtell, Lipton, Rosen & Katz
*Disclaimer: Major Players sorted in no particular order
US Legal Services Market News
- In April 2021, Kirkland and Ellis expanded its third outpost in Texas. With this expansion, the total number of locations increased to 17. The 10 offices are in the United States, whereas three are in Asia and four are in Europe.
- In January 2021, Latham and Watkins added a new partner in Tokyo, focusing on Japanese law matters. Hiroaki Takagi joins from Nishimura & Asahi, where he had been a partner since 2015, advising securities and corporate transactions.
US Legal Services Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Value Chain/Supply Chain Analysis
4.5 Porter's Five Forces Analysis
4.5.1 Threat of New Entrants
4.5.2 Bargaining Power of Buyers/Consumers
4.5.3 Bargaining Power of Suppliers
4.5.4 Threat of Substitute Products
4.5.5 Intensity of Competitive Rivalry
4.6 Insight on Various Government Regulation Shaping the Market
4.7 Insight on Technological Innovation in the Market
4.8 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
5.1 By End User
5.1.1 Legal Aid Consumers
5.1.2 Private Consumers
5.1.3 SMEs
5.1.4 Charities
5.1.5 Large Businesses
5.1.6 Government
5.2 By Application
5.2.1 Corporate, Financial, and Commercial Law
5.2.2 Personal Injury
5.2.3 Commercial and Residential Property
5.2.4 Wills, Trusts, and Probate
5.2.5 Family Law
5.2.6 Employment Law
5.2.7 Criminal Law
5.2.8 Other Applications
5.3 By Service
5.3.1 Representation
5.3.2 Advice
5.3.3 Notarial Activities
5.3.4 Research
6. COMPETITIVE LANDSCAPE
6.1 Market Competion Overview
6.2 Company Profiles
6.2.1 Latham & Watkins LLP
6.2.2 Kirkland & Ellis LLP
6.2.3 Skadden, Arps, Slate, Meagher & Flom LLP
6.2.4 Cravath, Swaine & Moore LLP
6.2.5 Wachtell, Lipton, Rosen & Katz
6.2.6 Davis Polk & Wardwell LLP
6.2.7 Sullivan & Cromwell LLP
6.2.8 Simpson Thacher & Bartlett LLP
6.2.9 Paul, Weiss, Rifkind, Wharton & Garrison LLP
6.2.10 Gibson Dunn
6.2.11 Ropes & Gray*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
US Legal Services Industry Segmentation
Legal Services means services consisting of the provision of legal advice, assistance, or representation, notarial activities, and research-related services. Law firms are operating as legal cells for big corporate firms and offering services to individuals. A complete background analysis of the legal services market in the United States, including the assessment of the economy and contribution of the sectors in the economy, market overview, market size estimation for key segments and emerging trends in the market segments, market dynamics, and insights, along with key statistics, is covered in the report. The legal services market is Segmented by end users (legal aid consumers, private consumers, SMEs, charities, large businesses, and government), by application ( corporate, financial and commercial law, personal injury, commercial and residential property, wills, trusts and probate, family law, employment law, criminal law, and other applications), by services (representation, advice, notarial activities, and research). The report offers Market size and forecasts for US Legal Services Market in value (USD Billion) for all the above segments.
| By End User | |
| Legal Aid Consumers | |
| Private Consumers | |
| SMEs | |
| Charities | |
| Large Businesses | |
| Government |
| By Application | |
| Corporate, Financial, and Commercial Law | |
| Personal Injury | |
| Commercial and Residential Property | |
| Wills, Trusts, and Probate | |
| Family Law | |
| Employment Law | |
| Criminal Law | |
| Other Applications |
| By Service | |
| Representation | |
| Advice | |
| Notarial Activities | |
| Research |
US Legal Services Market Research FAQs
How big is the US Legal Services Market?
The US Legal Services Market size is expected to reach USD 375.66 billion in 2024 and grow at a CAGR of 2.64% to reach USD 427.90 billion by 2029.
What is the current US Legal Services Market size?
In 2024, the US Legal Services Market size is expected to reach USD 375.66 billion.
Who are the key players in US Legal Services Market?
Latham & Watkins LLP, Kirkland & Ellis LLP, Skadden, Arps, Slate, Meagher & Flom LLP, Cravath, Swaine & Moore LLP and Wachtell, Lipton, Rosen & Katz are the major companies operating in the US Legal Services Market.
What years does this US Legal Services Market cover, and what was the market size in 2023?
In 2023, the US Legal Services Market size was estimated at USD 366 billion. The report covers the US Legal Services Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the US Legal Services Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the growth prospects for the US Legal Services Market?
The growth prospects for the US Legal Services Market are a) Increasing demand for digital services b) Adoption of AI technologies c) Focus on enhancing efficiency and productivity within law firms
US Legal Services Industry Report
The U.S. legal services market is witnessing significant growth, fueled by an increasing demand for legal expertise across various sectors and the need for legal services in enterprises of all sizes. This market encompasses a broad spectrum of services, including taxation, real estate, litigation, bankruptcy, labor/employment, and corporate law. Legal services companies are embracing advanced technologies such as Artificial Intelligence (AI), Big Data analytics, automation tools, and cloud computing to enhance efficiency and secure a competitive edge. Notably, the corporate segment is experiencing growth due to new financial transactions and rising demand for intellectual property services, while the litigation segment sees expansion from the need for third-party legal financing and litigation funding. The market is segmented by firm size, with large firms offering a diversified range of services and small firms providing personalized services at an affordable cost. The industry's growth is propelled by the adoption of cutting-edge technology and a commitment to transparency in client relationships. This highlights the importance of cybersecurity and technological innovation in legal services companies. For detailed statistics on the US Legal Services market share, size, and revenue growth rate, 糖心vlog传媒鈩� Industry Reports offer a comprehensive market forecast outlook and historical overview, available as a free report PDF download.
