TBA Law Blog


Posted by: Stacey Shrader Joslin on Aug 8, 2022

A drop in demand for legal services, combined with rising pay and overhead costs, could spell trouble for U.S. law firms this year, Reuters reports. The Thomson Reuters Law Firm Financial Index, a quarterly composite score of demand, expenses, rates, productivity and other economic indicators at large and midsize law firms, was released today. It showed the index fell to its lowest point this past quarter since its 2006 founding. A year ago, the index was at an all-time high. So, what changed? Reuters points to a decrease in demand for law firm services combined with a 12% rise in direct expenses.