Source: Above the Law
As 2025 approaches, general counsel are facing what can only be described as pricing whiplash from major law firms. Some elite firms are pushing for eye-watering rate increases exceeding 30%, while their equally prestigious peers are holding steady with no increases at all.
“The market and variation is utterly bewildering,” says Jason Winmill, managing partner at Boston consultancy Argopoint. With over two decades of experience advising legal departments, Winmill points to a fragmented landscape where pricing strategies seem to follow no clear pattern.
The most striking aspect is the divergence among top-tier firms. Household names that have long enjoyed strong client relationships are testing those bonds with aggressive rate hikes, while firms of similar standing are choosing a more conservative approach. This disparity has left many general counsel scratching their heads.
The complexity stems from multiple factors. Geographic location, practice areas, and individual specialties all play into the pricing equation. “Certain practices are doing better than others,” Winmill notes, highlighting how market demands vary significantly across different legal sectors.
This scattered approach to billing raises important questions about the future of legal pricing. Are we seeing the end of the traditional lockstep rate increases across Biglaw? The dramatic variation suggests firms are moving away from industry-wide pricing norms toward more individualised strategies.
For general counsel, this new reality demands a more nuanced approach to outside counsel management. The days of assuming comparable rates across peer firms appear to be over. Instead, legal departments must now navigate a complex landscape where a firm’s prestige no longer reliably predicts its billing strategy.
The trend also signals a potential shift in client-firm relationships. With some firms pushing substantial increases while others hold steady, general counsel may need to reassess long-standing partnerships based on value rather than reputation alone.
The takeaway is clear: In 2025’s legal market, assumptions about law firm pricing are out the window. As one general counsel put it off the record, “It used to be that you could predict rate increases like clockwork. Now, it’s anyone’s guess.”
Read more: Above the Law
