Law Firm Market Share

Over the past year, approximately 1,800 registered companies have disclosed material, federal civil litigation. Competition among law firms remained tight with over 1,500 firms representing these companies.

Last year, we compiled the top 10 Litigation Law firms for a two-year period and in comparison, most of the top ten firms continued to endure.

Latham & Watkins claimed the number one spot with 80 registrants or 1.39% of the total market share followed closely by Skadden Arps Slate Meagher & Flom with 79 companies.

Three firms emerged to round out the top 10:  Winston & Strawn, Norton Rose Fulbright, and Wilson Sonsini Goodrich & Rosati. Winston & Strawn and Wilson Sonsini Goodrich & Rosati trailed behind reaching the top ten in last year’s analysis by only .12%.

Norton Rose Fulbright climbed into 9th place this year, finalizing their merger with U. S. based Chadbourne & Parke in June, 2017[1]

According to the Wall Street Journal article, Law Firm Mergers Continue at Record Pace, merger activity has been one important way for firms continue to compete.

In the face of stagnant demand for legal services, many firms have turned to mergers to boost market share and stay competitive. There were 52 combinations announced in the U.S. in the first half of the year, according to legal consultancy Altman Weil, topping previous midyear highs.

Looking more closely at the litigation taxonomies of the top 10 firms, most lawsuits relate to intellectual property, but securities class actions remain strong. Anti-trust & Trade Regulation claims also play a significant role in the mix.

When separating out the largest companies from the whole population, we can see that a good portion of clients for the top ten law firms (Latham & Watkins, Kirkland & Ellis, Morgan Lewis & Bockius, and Norton Rose Fulbright) are among the S&P 500.

[1] https://www.wsj.com/articles/arnstein-lehr-to-merge-with-saul-ewing-in-law-firm-deal-1504623601?ns=prod/accounts-wsj

To learn more about Audit Analytics for Law Firms, call us at (508) 476-7007 or email info@auditanalytics.com.