PI Attorneys: the Revolution is Upon Us

The revolution I have been predicting for years is upon us, led by the nation’s largest personal injury firm, with 270 attorneys, based here in Orlando, but with tentacles across the nation.
An article in the May 16 Orlando Sentinel reads as follows:
“John Morgan, founder of Morgan and Morgan, is expanding the firm’s focus on commercial contingency litigation – taking a case in which a business is suing another business but only getting paid by the client if that client wins.”
And if you think it’s a tentative commitment, think again. “Morgan said he’s planning to add fifty lawyers in the commercial trial area over the next five years.”
Why? For several reasons. First, he is seeing personal injury work declining due to greater regulation and legislation. “A few years ago, nursing home cases were 20% of our business, but that’s down to 1% now.”
Second, because auto accident cases are dropping due to technology that is making cars safer.
Third, my issue, which he doesn’t mention, is the tide of young attorneys coming into the PI marketplace willing to take most anything, discount their fees, and too often spend big dollars on advertising. Then often go out of business.
I work with personal injury firms around the country to help them make their operations more efficient and their marketing more productive. But in every case, I see the train a-comin’. In some areas it’s a long way off, but in others such as Orlando and Miami and Atlanta and Chicago and Boston and New York, it’s already in the station. Firms are spending more and more on advertising and getting less and less in return. The pie is indeed shrinking – or at least, getting harder to cut – while those trying to cut themselves a piece are wall-to-wall.
The game is changing. Contingency commercial litigation is a relatively new animal with huge potential, and the smartest firms will follow Morgan’s lead – ahead of the crowd. It doesn’t mean that you stop what you’re doing and switch, only that you start investing your current profits into creation of a new department, and the development of a new market profile. In fact, I’m helping several firms do this as we speak. Call me if I can help.