Legal Futures has an article on Winmark's Latest Looking Glass Report (extract below). The commentary on the Report suggests that firms may be being complacent about ABSs. Whilst no doubt there is an element of this, we also need to bear in mind that the legal services market is in fact a multiplicity of markets. In some markets ABSs will dominate. Arguably this has already happend in Claimant personal injury. Other markets will be untouched for the foreseeable future. So some firms may be being complacent. Others may simply understand their market.
A quarter of the 160 firms involved cited ABSs as the top threat, with 24% naming accountancy firms providing legal services. PwC, KPMG and EY all obtained ABS licenses from the SRA last year. “Considering the growing presence of these structures and the heavyweight brands involved, this is still a relatively low level of concern which suggests a certain amount of complacency among firms,” researchers said.