|Why can’t the American Bar Association (or State Bars) require U.S.-based law firms above some modest-sized number of lawyers to report their fiscal year revenue along with a snapshot of the number of partners, associates, and support staff on the last day of the year? The justification for that disclosure would be that clients, law school graduates or lawyers considering a job change, among others, would have comprehensive and reliable data on at least two key attributes of firms: size and revenue.
Yes, there are definitional issues, such as what does the term “partner” mean in the multi-tiered law firms of today and what makes up “revenue”. Yes, there might be no way to confirm the accuracy of the self-reported numbers, but law firms that would have to comply have their books audited or reviewed by accountants, and the accountants could to attest to the reasonable accuracy of the four numbers. Yes, I do not know what enforcement mechanisms might be available. And yes, firms may fear that the initial data request slips down the proverbial slope to more and more.
Such concerns would need to be debated; they can be resolved. If firms that have more than 30 lawyers fell under this mandate, then perhaps 1,200 to 1,500 law firms would each year turn in four numbers that they already know. No work would be required except going to an online site and filling in the numbers. The ABA or a third party could consolidate and publish that data and the legal industry would be greatly the beneficiary.