Best Law Firms Unveils Its 2027 Rankings Amid Rising AI Adoption in Legal Practices
Best Law Firms Unveils Its 2027 Rankings Amid Rising AI Adoption in Legal Practices
On November 5, 2026, Best Lawyers® announced the release of its 2027 Best Law Firms® rankings, showcasing 15,671 law firms across 127 practice areas and 188 geographic markets throughout the United States. In its 17th edition, these rankings critically evaluate the performance of firms, identifying the top 3.41% within a highly competitive field.
This year's rankings are based on a robust research process that included insights from 30,024 lawyers and over 109,963 client references. Voting accounted for more than 3.8 million evaluations, enabling a comprehensive overview of which firms excel in various sectors of legal practice. Valerie Smith, the senior research manager at Best Law Firms, emphasized that the collated perspectives not only highlight the standout firms but also showcase how excellence manifests across diverse practice areas and markets—from specialized local firms to those with extensive national reach.
Significant Shifts in AI Implementation
As law firms strive to keep pace with emerging technologies, the third annual Best Law Firms U.S. Legal Market Report reveals that AI adoption has surged considerably. In the current survey, 28% of law firms with 20 or more lawyers reported full implementation of generative AI tools across multiple practice areas, a substantial increase from just 11% last year. Notably, larger firms, those with 150 or more lawyers, exhibited even higher usage rates, with 56% leveraging these AI tools compared to 23% from the previous year.
This rise in AI is becoming more than just a technological upgrade; it's morphing into a competitive advantage for firms. Among these larger firms, 43% are incorporating AI into their client value propositions, up from 23% previously. Given this shift, law firms are also prioritizing safeguard measures for AI usage. For example, training on the limitations and risks associated with generative AI has grown from 22% to 63%, while clear policy formulation for AI in client matters jumped from 14% to 47%. Nevertheless, a disparity remains within the industry, as 95% of larger firms boast defined policies, while only 26% of solo practitioners have adopted similar protocols.
Traditional Billing Models Hold Strong
Amidst the growing integration of AI technologies, the report also highlights the resilience of traditional billing structures within the legal profession. Approximately 70% of surveyed firms continue to offer alternative fee arrangements (AFAs), albeit a decrease from 72% last year. Common arrangements include flat fees (69%), retainers (63%), and contingency fees (59%). However, the influence of AI on billing practices is beginning to emerge, with 25% of AI-utilizing firms realizing reduced billable hours for certain tasks, a rise from 19% in the previous year. Moreover, 27% of these firms have improved operational efficiency without altering billable hours, suggesting that AI tools could influence both pricing models and how clients perceive value in legal services.
Revenue Growth Among Smaller Firms
The report also showcases promising financial trends among smaller law firms. According to data from those with 2 to 19 lawyers, average revenue soared by 32% to reach $5.15 million, while firms with 20 to 49 lawyers reported a similar surge of 29%, now averaging $21 million. Despite these positive indicators, firms boasting over 150 lawyers still dominate the revenue landscape, accounting for 83% of total reported income within the survey.
Pro Bono Participation Declines
In an unanticipated shift, the analysis highlighted a decline in pro bono engagement among law firms. The average pro bono hours logged per lawyer slipped to 25.6, down from 25.9, significantly lower than the American Bar Association's ideal benchmark of 50 hours per year. For firms with 20 or more lawyers, median pro bono hours witnessed an 11% decline, while smaller firms observed a 19% drop in participation.
Celebrating Legal Excellence
In addition to regional distinctions, the 2027 edition honored 2,220 firms with national recognition across 75 specialist practice areas, representing an elite 0.48% of the legal market in the U.S. This year also recognized 62 firms with the distinguished