Top 7 Trends in Litigation in 2025: More Complexity, More Spending on Outside Counsel

Legal spending is heading up. Big time.

Litigation is more aggressive than it has ever been — and will get more so. The world of litigation is getting bigger and more complicated. Corporate counsel are looking at new, never seen before litigation.

The surge in complex and novel matters requires more assessment and law firm resources. Clients facing these matters rely heavily on peer referrals and networking to find the right firm for the work. And they love new ideas and fresh strategies — enough for them to gain consideration for winning the new work

We just released the results of our brand new survey of more than 350 top legal decision makers managing litigation in The BTI Litigation Outlook 2025: More Complexity. More Growth. More Spending.  Here are the top 7 findings:

1. 57% of clients are increasing litigation spending in 2025 — up from 2024

More clients are increasing their litigation spending in 2025 than in the last 8 years. Litigation is more complex than ever. Clients face more claims than ever. And, new never-before-seen claims are piling up. This all demands outside counsel.

2. More than 2/3 of clients increasing litigation budgets plan a 10% increase or more

Clients are talking big numbers. They know it takes money and the most creative litigation savvy law firms to make it happen.

3. Spending well in excess of caseload growth — facing the largest matters in their careers

Few things scream bigger law firm fees than when spending growth exceeds caseload growth. This is another piece of evidence of bigger and more complex claims driving fees.

4. Clients are more selective in picking law firms than ever — due to rising complexity and risk — but also more open to new firms

More new matters and more complexity translate to new demands. Clients are on the prowl for law firms comfortable breaking new ground — and quick to act. Oddly, clients report most law firm partners are too busy to be interested — or reluctant to be aggressive. This only drives more selectivity and fewer RFPs.

5. Law firms becoming more aggressive in litigation — changing how clients select law firms

Opposing counsel are doing more to stake their claim and throw the other side off balance. Claimants believe their claims are worth a lot more than they have been in the past — and are amping up the pressure to win — and not settle.

6. 5 areas of litigation show acute demand

All things are not equal in litigation spending. Class Action, Labor & Employment, Complex Commercial, Cybersecurity and Bet-the-Company show some of the sharpest demand. All segments have robust demand but these 5 are standing out.

7. Big growth in high-stakes and bet-the-company litigation

Brand, stock price, and balance sheet destruction used to be the big drivers. Now corporate counsel report 8 more including anything diluting strategic goals and disrupting operations. The number of companies facing bet-the-company litigation increased more than  4 times to 61.1%.