News Summary
KPMG Law US has gained approval from the Arizona Supreme Court to function as a law firm, signaling a major shift in the legal industry. This milestone allows the firm to leverage Arizona’s lax regulations permitting non-lawyer ownership of law firms. KPMG Law aims to deliver technology-driven, routine legal services while forming strategic partnerships to navigate more restrictive markets. The firm’s entry into the legal sector raises ethical questions, particularly concerning billing practices and client loyalty amidst growing competition from technology-enabled law models.
Phoenix, Arizona — KPMG Law US has received approval from the Arizona Supreme Court to operate as a law firm, marking a significant milestone in the legal landscape. This approval allows the firm to take advantage of Arizona’s progressive regulations that permit non-lawyers to own law firms, paving the way for KPMG’s ambitious plans to expand its legal business nationwide.
KPMG Law US aims to offer technology-driven legal services, particularly focused on high-volume, routine legal work. The firm plans to harness the existing capabilities and resources of its parent company, KPMG, which has operations across various sectors globally. This strategy indicates a shift in the legal market, challenging traditional models that have long relied on high hourly rates for services.
In preparation for this expansion, KPMG Law US has formed strategic co-counsel relationships with attorneys in states that impose more stringent restrictions on law firm ownership. This approach is expected to facilitate their entry into larger markets beyond Arizona, ultimately capturing a broader market share.
Tom Greenaway, principal of KPMG Law US, has expressed a clear vision for the firm’s direction, asserting that there is an increasing demand for tech-enabled legal service providers to manage repetitive legal tasks. The services offered by KPMG Law US will include managing legal activities associated with post-merger scenarios, such as aligning contracts and dismantling existing legal entities.
The firm’s integration of legal services with its extensive accounting and consulting practices positions it favorably among its existing corporate clients, who stand to benefit from a more comprehensive suite of services. KPMG Law US is focused on supplementing traditional legal offerings rather than replacing them, emphasizing efficiency and compliance-focused work.
KPMG Law US is currently operating under strict compliance with Arizona’s regulations, ensuring that its legal practice is clearly delineated from its other business operations. As of now, the firm has not disclosed any new hire announcements or specific client engagements and is maintaining a low profile as it establishes its legal footing.
Legal experts are sounding cautionary notes regarding the implications of KPMG’s entry into the legal sector. Concerns are mounting that this move could test existing ethical regulations governing law practice across various states. Additionally, the recent introduction of a bill in California aimed at prohibiting fee-sharing arrangements between law firms and non-lawyer owned entities reflects the legal establishment’s apprehension about potential conflicts of interest and threats to client loyalty.
Despite these challenges, KPMG Law US is ambitious in its approach, planning to leverage advancements in technology, such as artificial intelligence and legal tech, to transform the legal market. Their focus will be on providing large-scale, process-driven legal services, including volume contracting and legal managed services, which previously have been dominated by traditional law firms.
If successful, KPMG Law US’s model may inspire similar financial services companies to explore alternate business structures within the legal field, particularly as Arizona’s Alternative Business Structure (ABS) program allows non-lawyers to invest in law firms. This new regulatory environment could lead to significant shifts in the competitive landscape of the legal market, especially if KPMG successfully integrates a suite of estate planning and wealth management services with its legal offerings.
As KPMG Law US charts its course in Arizona and beyond, its effectiveness in addressing the needs of the market while adhering to ethical standards will be closely monitored. The future of its operations may serve as a pivotal point in reshaping both the legal profession and the broader business practices of law firms in the United States.
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Author: STAFF HERE PHOENIX WRITER
PHOENIX STAFF WRITER The PHOENIX STAFF WRITER represents the experienced team at HEREPhoenix.com, your go-to source for actionable local news and information in Phoenix, Maricopa County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Waste Management Phoenix Open, Cactus League Spring Training, and Arizona State Fair. Our coverage extends to key organizations like the Greater Phoenix Chamber of Commerce and Visit Phoenix, plus leading businesses in technology and healthcare that power the local economy such as Intel and Banner Health. As part of the broader HERE network, including HERETucson.com, we provide comprehensive, credible insights into Arizona's dynamic landscape.
