According to BTI Consulting’s Litigation Outlook 2020, the U.S. litigation market is poised for its third consecutive year of growth with clients expecting more litigation in 2020. Yet many AmLaw firms hesitate to invest in litigation practices because of concerns about the potential ebb and flow of litigation work. This is short-sighted, especially considering the prospects of an economic downturn, continuing client pressures, and litigation trends. A strong litigation practice can have a significant impact on a firm’s ability to compete effectively as well as drive revenue for the firm in all areas of practice.
Preparing for a Slow Down
The current U.S. economic expansion is in its 11th year, but financial analysts see slow growth in 2020 with concerns among law firms about a recession. Litigation is often thought of as a practice area that increases as others start to fall off during downturns. Some of this is already evident in the BTI survey. Clients report that they expect to spend more and see more litigation in 2020, particularly related to high-risk matters, which will create more new spending and drive the need for outside counsel to handle this complex legal work.
