It is not like the law firm has a choice to keep using pen and paper to bill 100x the number of hours as others. They have to compete with other law firms.
It is not like the law firm has a choice to keep using pen and paper to bill 100x the number of hours as others. They have to compete with other law firms.
"Document review" is something law firms can dump thousands of manhours into with no real appreciable change in outcome. It ends up being more a question of what a company/individual is willing to pay.
The reason big lawfirms stay in business isn't because they generally get much better results, but rather it's because they have the time and manpower to chase down every single rabbit hole to fully understand the law around the cases they are working. So, instead of a firm giving you a "We are 95% sure the law is this way" with a bigger firm you get "We are 99% sure the law is this way."
The other messed up part of the US legal system is the bigger the law firm, the more time they have to chase down discovery rabbit holes looking for wins and (potentially) legally bankrupting their opponents. "Document A references document B written by Foo? Well, lets have a deposition of Foo and a request for Document B". It ends up looking a lot like refactoring spaghetti code in a dynamically typed language.
That is impossible because the quality of work for a lawyer is very, very difficult to gauge, and it may take years (or decades) for bad work to be visible in many cases (say missing some bad edge cases in contract language, or they can't handle in litigation in certain types of cases, or the like).
And other lawyers have little incentive to price shop either, as they usually get to add on a little on top when they farm out the work. Cost-plus, essentially.
And if 'very expensive and opaque' is the norm, it's not like 'very expensive and opaque' is unreasonable.
Yes, but I feel like this only works up to a certain point. There is absolutely a sense that high caliber attorneys charge more and getting a "cheap lawyer" instinctively sounds like you're setting yourself up to fail - despite the fact that the lower price firm is probably just as apt as the firm with the brand recognition.