THE CHEETAH BRIEF – 49TH EDITION
The U.S. legal sector is off to a strong start in 2026, with January employment rising to 1,236,600—up 5,500 from December and 26,800 from a year ago—according to seasonally adjusted Bureau of Labor Statistics data, which shows robust demand for attorneys across the U.S. and internationally, spanning partners, associates, in-house counsel, and interim lawyers, driven by business complexity and steady economic growth. Last year, U.S. law firm revenue climbed 12.1%, supported by a 2.5% increase in demand. Overall, the broader U.S. economy added 130,000 jobs in January, with growth in healthcare, social assistance, and construction offsetting losses in federal government and financial activities.
MARKET MOVEMENTS
Fried Frank adds former Pillsbury M&A leader, Stephen Amdur
Latham to launch Dallas office with Kirkland and Winston & Strawn litigation partners, Taj Clayton and Scott Thomas
Norton Rose hires Cooley IP litigation duo, Sanya Sukduang and Jon Davies
Cadwalader litigation co-leaders, Philip Iovieno and Nicholas Gravante Jr., as well as partners Sean O’Shea, Michael Petrella, and Matthew Karlan, head to Mintz in 5-partner move
FIRM SPOTLIGHT - COOLEY LLP
Cooley is a global law firm with more than 1,300 lawyers known for its deep roots in technology and venture capital, alongside strengths in areas like IP, M&A, private equity, and cybersecurity. Founded in San Francisco and later expanding to Silicon Valley, the firm built its reputation representing startups, life sciences companies, and major tech innovators, and today handles over 1,000 venture financings annually while maintaining a robust corporate and litigation practice. Cooley is also widely recognized for its workplace culture and diversity initiatives, offering strong associate support programs and measurable commitments to increasing representation within its partnership and leadership.
INDUSTRY INSIGHTS
According to Citi’s Global Wealth at Work Law Firm Group, firms in the AmLaw 25 grew revenue 12.1%, while average profits per partner were up 15.8%. Demand was up 2.5% for the year.
The total average billing rate increase was 9.6% year-over-year. However, that increase was buoyed by Am Law 50 firms’ 10.4% average rate hikes, while the Second 50 and the Second Hundred increased their rates by 7.6% and 7.3%, respectively.
Inventory growth was up 14.7% industry-wide and 16.8% for Am Law 50 firms, 9.5% for the Second 50, and 12.4% for the Second Hundred.
The legal industry saw a 5% drop-off in M&A work in Q4, 2025
Reed Smith: Arbitration Leads in Crypto Cases
Arbitration has become the preferred method for resolving international cryptocurrency disputes, valued for confidentiality, neutrality, and cross-border enforceability, according to a Reed Smith report. All major centralized exchanges specify arbitration in their terms, often choosing Asia-Pacific hubs like Hong Kong and Singapore. Parties increasingly favor sole arbitrators with technical expertise for speed and efficiency, while mandatory pre-arbitration steps and class action waivers help limit litigation risk. The report highlights how crypto exchanges are adopting institutional-grade dispute resolution frameworks similar to traditional financial services.
Rising U.S. Legal Hubs in 2026
Secondary U.S. legal markets such as Austin, Atlanta, Denver, Miami, and Nashville are emerging as key growth hubs for law firms heading into 2026, driven by corporate relocations, population shifts, and a more mobile workforce seeking business-friendly environments. As firms follow clients and talent to these regions—many of which offer strong industry niches like tech, healthcare, finance, and private equity—group moves have become a primary strategy for expansion, fueling numerous new office openings in 2025. Lower operating costs, competitive billing rates, and favorable tax climates are further accelerating investment in these cities, signaling a broader geographic shift in how major firms pursue growth and profitability.
