With a 16 percent jump in 2022 revenues, Jackson Walker is leading a resurgence of Texas-based firms that are growing revenues and increasing profits in their Texas operations. Fifteen of the 50 corporate law firms in the Texas Lawbook 50 are headquartered in Texas — down from 39 a decade ago. Those 15 Texas legacy firms generated $5.83 billion in 2022 — $3.37 billion from their Texas operations.
Twelve of the 15 Texas-headquartered firms grew revenues in 2022. Four firms increased year-over-year Texas revenues by more than 10 percent. Five additional Texas legacy firms reported annual revenue increases in their Texas offices by five percent or more. More than 42 percent of the revenue generated by Texas legacy firms came from their out-of-state operations. The Texas Lawbook has a full analysis.
Two Firms Race to the Top of the Texas Legal Market
Vinson & Elkins vs. Kirkland & Ellis. One is a storied Houston-based firm with deep connections in the Oil Patch that has been a powerhouse in law, energy and politics for more than a century. The other is a Chicago-founded firm that came to Texas just eight years ago with deep pockets, high profits and an aggressive strategic growth plan. Lawyers for the two corporate law giants often sit across the table on some of the biggest mergers and acquisitions involving energy companies and private equity firms. Both firms are always in the top three of The Texas Lawbook’s Corporate Deal Tracker scorecard of corporate transactions.
Exclusive new Texas Lawbook 50 data shows that Kirkland and V&E lawyers in Texas achieved record highs in revenues and profits in 2021. The runner up in their battle for No. 1 in Texas has to settle for having their best year ever.
‘Feeding Frenzy’ – Texas Corporate Law’s Great Game of Musical Chairs Hits New Heights
Corporate law firms operating in Texas went on a hiring spree in 2021, using six-digit signing bonuses, promises of faster promotions to partner and two hikes in base pay in a high-stakes race to build the staffs needed to meet rising client demand for legal work. The result was the largest – and most expensive – game of musical chairs ever witnessed among the biggest corporate firms in Texas.
Correction: The previous version of this article reported the wrong lawyer count numbers for Kirkland & Ellis. The firm actually grew from 290 Texas lawyers in 2020 to 371 last year. The Lawbook apologizes for this error.
Three Middle-Market Law Firms, One Record-Setting Year in Texas Revenues
Three middle-market law firms achieved record revenues and profits in 2021. All three jumped above the $700,000 mark for revenue per lawyer. All three predict 2022 will be even better ― so all three are in expansion mode and looking to grow headcount. And none of the three sees any advantage in merging with an out-of-state law firm. Legal industry analysts say Munsch Hardt, Gray Reed and Munck Wilson sit in a strategic sweet spot.