Yes, it’s true. Any dealing with the legal industry can quickly become expensive. One might wonder, just how expensive can this get? According to new research from the BTI Consulting Group, hourly lawyer fees have reached the highest ever. While fees from our firm might range from $175 to $350 per hour, the highest reported hourly fees have worked out to $2,000 per hour! Further, the velocity of fee increases are astounding. The same research shows that this has increased by 25% since the year before, which now stands at a historical high.
Roughly 60% of corporate counsel at Fortune 1000 companies have paid a law firm at least $1,000 per hour. Again, the velocity of this reflects that over the past year, many companies had not yet paid this much. While it’s unclear if this is the result of inflation or not, (hard to argue against) the BTI Consulting Group offers that these high fees occur during high stake litigation. If this were true, it would be concerning that so many of the Fortune 1000 firms are facing such litigation.
For companies who have a war chest and great insurance, these costs may not be a factor, particularly when the litigation is symbolic core business practice. However, for many companies, the costs of legal defense need to be in line with what is reasonable. Further, that money needs to buy the attention and mindshare of the attorney and the firm representing that company.
Thankfully, there are law firms that operate like Nowland Law. Our firm relies on the full expertise of every attorney (including all senior attorneys) in order to draw from a talent pool. However, some business owners might still be upset even at the more reasonable costs of some firms. Unfortunately, the profession does require large overhead and a highly trained and educated workforce. As the old saying goes, plumbers do not bill for cutting a pipe, but knowing which pipe to cut. Additionally, when a firm takes on your case, they are adopting your legal problems as their own. Lawyers represent you in every way in court.
Finding a firm that you can trust and develop a strong relationship with is key for any business who might face litigation.