TBA Law Blog


Posted by: Stacey Shrader Joslin on Jan 9, 2025

Strong demand across practice areas, higher billing rates and the expansion of non-equity partner tiers helped bolster law firm profits in 2024 according to the 2025 State of the Legal Market report from Thomson Reuters. The report found that law firms' average hourly rates shot up 6.5%, the biggest jump since the financial crisis nearly two decades ago. According to Law.com, the report characterized the increase as "defying gravity," The annual report also looks at significant shifts in law firm business models and the challenges firms will face in the coming year, including retaining talent and reacting to technological advancements that could impact legal services, client expectations and pricing models. Law firms this year will need to "navigate a complex landscape shaped by shifting demand and expense dynamics,” according to the study. Learn more in this news article or this press release.