The world has been abruptly upended by COVID-19. While the primary challenge we all face is health related, the economic impact of this global pandemic has created significant business and legal challenges, and the financial pain is being felt across the business community. Given this reality, companies and law firms are bracing for significant economic headwinds in the year ahead, including constrained access to capital and reduced legal budgets.

Despite reduced legal budgets, the continued economic fallout from COVID-19 also means that there will be an increase in litigation—because when times are bad, companies very often end up at odds with their suppliers, vendors, insurers and other business partners. Expectations are that business disputes arising from the pandemic and subsequent downturn will anchor around four main areas: breach of contract, D&O claims, insurance claims and insolvency claims.