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2025 in Review: The Legal and Economic Forces That Shaped the Year

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Throughout 2025, the Texas legal market experienced significant changes including the first verdict from the newly launched Texas Business Courts to AI-driven legal practice initiatives, large company relocations, ongoing tariff and other global issues affecting deals, and more. It’s been an active year for the legal bar in 2025! View the published article by AZA on that Verdict. Looking back at these changes may provide useful insight for firms as they plan for 2026. Texas Business Courts With many 2025 statutory changes since the Fall 2024 statutory creation of the Texas Business Courts (88th Legislature Created by House Bill 19), the Court’s first verdict was issued in Fall 2025 after a 5-day trial: Marathon Oil Company v. Mercuria Energy America LLC, No. 25-BC11A-0013, in the 11th Division. This landmark verdict clearly demonstrates the impact of business litigation going forward in Texas. The Texas Business Court began hearing cases in Fall 2024. Divided into 11 divisions, the Business Court was designed to provide a specialized venue for commercial disputes that meet certain criteria per the Texas Government Code. For example, Business Court Administrative Judges must be subject-matter experts with no less than 10 years of commercial law experience (preferably also prior Bench experience). After determining the appropriate venue, commercial litigants may shift from the traditional District Court to the Texas Business Court to achieve success more efficiently. Read more about the Local Rules of the Business Court. AI’s Impact on the Legal Industry In 2025, legal teams continued to enhance their daily usage of artificial intelligence. Many teams have shown consistent growth in efficiency and workflow processes leading to reshaping personnel structure and legal staffing. AI platforms sped up legal research, document review, and routine drafting. Thomson Reuters Legal reports thatusage of these tools allow attorneys to spend more time on team and business development, practice strategy, and other complex, substantive matters. For many firms, AI helped lawyers do more, rather than replacing their expertise. With increased production, legal staffing has changed throughout 2025. Reuters noted that Big Law began to rethink the usual pyramid manpower structure. Overseeing work through new technology has led to different hiring strategies. Yet 2025 also showed the risks of adopting AI too quickly. Some courts penalized cases with mistakes from AI-generated filings, showing why ethical checks and human review are important. Regulators and professional groups have continued debating about the responsible use of AI— rules, regulations, and oversight will remain very important in 2026. By the end of the year, knowing how to use AI arguably became a big advantage. Firms that spent time on training, setting policies, and beginning regular usage of AI are likely better prepared for what’s next. Law Firms Entering Texas and Accelerated Market Growth In 2025, law firms continued to expand in Texas. To name a few: Perkins Coie announced a new office in Dallas. Clausen Miller hired more staff across Texas. Ahmad, Zavitsanos and Mensing (AZA) formally announced a new Dallas location, formally opening in January 2026. Offit Kurman opened in Dallas. Winston and Strawn added 23 partners in Texas. Fennemore grew its presence by partnering with Schmoyer Reinhard LLP in San Antonio. Bloomberg Law reported that firms from outside Texas kept fueling the state’s growth, drawn by chances in corporate, energy, healthcare, and commercial law. Studies from Georgetown Law and ELR Legal Search show that Texas is one of the busiest legal markets in the country. This expansion including into key Texas markets, has increased demand for strong legal talent. 2025 has been a year of increased pressure on hiring and retention of valuable producers. Texas legal teams have sought ways to stand out, build stronger cultures, and plan to remain competitive in 2026 and beyond. Tariff Impact on Texas Commerce While the legal industry changed, Texas businesses continued to face economic challenges from tariffs and uncertain trade policies. Reports from the Dallas Federal Reserve, the Texas Tribune, and Fox Business showed that tariffs raised costs, disrupted supply chains, and affected consumer prices in 2025. Imported goods raised input costs for Texas companies, especially in manufacturing, construction, and energy. Many businesses responded by raising prices, which softened demand in some markets. Supply chain and shipping challenges have combined with these other factors to slow and/or reduce transactions, marking a workflow decrease for transaction-focused legal teams. Companies will look to legal counsel in 2026 for continued guidance in navigating these troubled waters. Looking Ahead The events of 2025 showed that new court systems, legal innovation, market growth, and economic policy are interconnected. Texas Business Courts are rolling. AI changed how legal work gets done. Law firm growth made Texas even more important as a legal center. Tariffs made things more complicated and uncertain for industries that depend on global trade. For law firms and legal professionals, the main takeaway from 2025 is that success comes from being adaptable, planning ahead, and making smart choices. As 2026 begins, firms that invest in technology, talent, and understanding the market will be ready for whatever comes next. Our Collier Legal Search team wishes you a wonderful holiday season.

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Artificial Intelligence (AI) in the Legal Field

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Artificial Intelligence (AI) is revolutionizing industries across the globe, and the legal field is no exception. AI and humans are becoming a powerful team. Humans provide strategy, creativity, ethics, and thought provoking if not persuasive structure that AI lacks. AI offers unparalleled processing power and ability to swiftly analyze vast amounts of data.Smartly combined, results may be limitless. As technology continues to advance, legal professionals must adapt to stay ahead. AI is quickly becoming a resource as it offers many benefits to law firms, allowing them to be more efficient, competitive, and client-focused. As more firms adopt AI in the workplace, firms will seek candidates with experience working with AI or those who can master prompt engineering. Top AI Tools Currently Being Used in the Legal Field AI’s entry into the legal field has already begun to reshape traditional practices, offering numerous benefits and efficiencies. Here are some key areas where AI is making an impact: LEGAL RESEARCH AI-powered tools like Westlaw Edge and ROSS Intelligence are transforming how attorneys conduct legal research. These platforms use natural language processing (NLP) to analyze vast amounts of legal data, enabling attorneys to find relevant case laws, statutes, and precedents more efficiently. While AI can excel at pattern-based processing, it can struggle with the nuances of human language and situations. DOCUMENT REVIEW & ANALYSIS UtilAI is revolutionizing document review. Tools like Relativity and Everlaw employ machine learning algorithms to quickly sift through large volumes of documents, identifying relevant information, flagging potential issues, and streamlining the discovery process. While AI can be an efficient tool, human judgment and decision-making are still vital. CONTRACT ANALYSIS & MANAGEMENT AI-driven contract analysis tools, such as Kira Systems and LawGeex, automate the review of contracts, identifying key clauses and potential risks and ensuring compliance. Utilizing AI saves time and can better assist your legal teams in processing times. PREDICTIVE ANALYTICS By analyzing historical data and patterns, AI can deliver insights into litigation or settlement strategies, helping legal teams make informed decisions. Essential Skill Sets for Modern Attorneys AI is transforming the legal field, offering unprecedented opportunities for efficiency and innovation. However, to fully capitalize on these advancements, legal staff must develop new skill sets that align with the demands of the AI-driven landscape. Modern attorneys must develop these skill sets to remain competitive and effective with the introduction of AI: PROMPT ENGINEERING Prompt engineering is emerging as a critical skill in the AI era. Attorneys must learn how to craft precise and effective questions or queries to maximize the accuracy and relevance of AI-generated outputs. This skill allows attorneys to leverage AI tools more effectively, ensuring they receive accurate and helpful information. ABILITY TO COMMUNICATE A VISION Effective communication is paramount in the age of AI. Attorneys must be able to articulate the benefits and limitations of AI to clients and colleagues, fostering a clear understanding of how technology can enhance legal services. This skill is crucial for gaining buy-in and ensuring successful AI implementation. STRATEGIC THINKING AI introduces new opportunities and challenges in the legal field. Attorneys must adopt a strategic mindset, leveraging AI to identify innovative solutions, streamline processes, and improve client outcomes. Strategic thinking enables attorneys to harness AI’s potential to gain a competitive edge. ADAPTABILITY The legal profession is evolving rapidly, and adaptability is critical to thriving in this dynamic environment. Legal staff must embrace change and remain open to learning new technologies and methodologies. Flexibility and a willingness to learn will be essential in navigating the AI-driven landscape. TECHNOLOGICAL SKILLS A foundational understanding of AI and related technologies is becoming increasingly crucial for legal staff. Familiarity with AI concepts, machine learning, and data analytics will enable legal teams to utilize AI tools effectively. Preparing for AI Modern legal staff can navigate this evolving landscape confidently and competently by honing their ability to communicate a vision, embracing strategic thinking, adapting to change, enhancing technological skills, and mastering prompt engineering. It will be essential to understand that AI learns from the data it’s trained on, and that data can contain human biases. Humans can identify these biases and work to mitigate them, ensuring AI makes fair and ethical decisions. In addition, having a legal team working with AI can help understand context and make better decisions in complex situations. Human judgment and decision-making will still be essential. Let Collier Legal Search provide you with a modern legal team. With over 20 years experience representing Houston’s top legal talent and law firms, we are positioned to lead you into the evolving future in legal. Contact us today to learn more.

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How 2021 Shaped the Legal Industry

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2021 brought its share of challenges and successes to the legal industry. The reopening of businesses and economic growth created a need for more legal consultations. The rise in legal cases created a higher demand for skilled legal staffers, which are currently in short supply. Here’s how 2021 shaped the legal industry. Increases in Litigation, M&A, ESG Law Many industries, including legal, slowed down in 2020 due to the emergence of the COVID-19 pandemic. As businesses started reopening, the legal industry has seen higher demand for services in litigation, mergers & acquisitions (M&A), and environmental, social, and governance (ESG) law. Many litigation cases were put on hold during the pandemic, creating a backlog of cases being dealt with now. There has also been a rise of corporate legal issues directly related to the COVID-19 crisis. These legal issues include: Commercial and contract disputes Data security Fraud, bribery, or corruption Bankruptcy Interruptions of businesses due to COVID-19 There is an increased need for legal services when the economy is doing well, especially for businesses going through M&As. Many companies stay competitive by acquiring new revenue streams or mergers with other companies. They may want to develop their supply chain further or scale their business efficiently after experiencing problems during the pandemic. Many businesses are incorporating ESG interests during their decision-making process. ESG covers environmental and social concerns and the ethical standards governing the rights and responsibilities of a company. Businesses are looking for ESG experts to ensure they comply with policies and prepare their ESG disclosures. Reporting ESG helps companies boost their reputation and build trust in their industry and consumers. Hiring Challenges The pandemic created new problems and shortages across many industries, and the legal field was no exception. Many law firms furloughed workers or downsized their firms during the start of the pandemic. Now, as restrictions ease, firms are beginning to grow again as business picks back up. Law firms need to hire more staff but are facing challenges because skilled legal workers are in short supply. Shortages of legal workers developed during the pandemic due to layoffs and workers choosing to stay at home. Other legal workers left the industry entirely, feeling overwhelmed or unprepared by the increasing responsibilities of their job. Currently, 58% of the legal industry is experiencing the strain of not having enough skilled workers. Increases in corporate litigation, M&A, and ESG cases have also contributed to the shortage. More lawyers with the skills or experience are needed to meet current demand. The hiring process has also changed as a result of the pandemic. Many interviews are conducted virtually instead of in person. Lawyers are applying for positions across many regions and may be more selective about where they choose to work since they are in high demand. Health and Safety Concerns The health and safety concerns of lawyers brought on by the pandemic have changed how lawyers and law firms conduct business. More firms and lawyers work remotely and even conduct meetings, court cases, and arbitration hearings virtually. Law firms were able to succeed through the pandemic while working virtually, and many firms have opted to remain virtual or use a hybrid work method. Law firms have had to adjust how their workplaces operate to comply with changing OSHA standards to protect the wellbeing of their staffers. Law firms are responsible for upholding policies on wearing masks, vaccine requirements, and guidance for in-person work to keep all employees safe. Incorporation of AI Technology With more staff working remotely, firms have incorporated newer technology to assist with their work. AI-based technology helps lawyers handle clients and their cases and directly handle administrative and processing tasks. AI technology helps lawyers with cases related to intellectual property, cybersecurity, and the misuse of AI. This technology also provides better communication with clients by translating dense legal terminology, answering client questions, and translating documents into other languages. Lawyers and other legal staff use AI technology to save time. AI can process thousands of documents quickly and search for specific content or organize files by type. It helps improve the speed and quality of a firm’s legal services. How Collier Legal Search Helps While 2021 has brought its share of challenges, there has also been steady growth in the industry. Higher caseloads mean greater demands on legal staff. Law firms can take advantage of current opportunities by using a legal staffing recruitment service to help find additional legal staff for their busy teams. Consider hiring through a legal recruiting company such as Collier Legal Search. Collier Legal Search team provides professional legal placements for our clients. Our experienced staff will do the legwork to find qualified legal recruits, whether you need staff attorneys, legal administrators, or general counsel. We can help you find a temporary or permanent placement to fit your needs. Visit our website to learn more about the services we offer.

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AI Legal Solutions Help Customers

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Cyber Security, Data Privacy and Beyond In the 1990s and early 2000s, advances in computer technology and the Internet have changed nearly every industry. Technology has become more integrated into everyday life, with humans adapting to changes like communicating with Siri or Alexa. Today, the new frontier is artificial intelligence (AI) and machine learning (ML), and the legal sector is just one of many fields that will benefit from these new developments. Discover how artificial intelligence (AI) can help connect customers with legal experts, what AI does for law today, what it could do in the future, and why law firms should consider investing in AI technology. How AI Legal Solutions Help Customers Most people seeking legal help have little to no understanding of the terminology used in legal documents. AI-based solutions can help clients decipher the more complex legal terms, simplifying the contents of their documents. In turn, the AI tool may determine how a lawyer can help, significantly streamlining the client onboarding process. Often, these solutions come with easy-to-use, recognizable interfaces, such as the popular AI chatbot system. These solutions leverage AI technologies, known as Natural Language Processing (NLP), Robotic Process Automation (RPA), and Machine Translation (MT). These technologies power a legal AI’s ability to perform the following tasks: Processing client questions and providing context-sensitive, personalized responses Reducing the time spent scanning legal documents for relevant words and sentences (known as the legal discovery process) Offering document translations in multiple languages, facilitating access to legal aid for traditionally underserved groups, and combating marginalization How the Legal Industry Engages with AI Today Currently, the legal industry engages with artificial intelligence in two ways. It works with AI indirectly (through cases and client concerns) and directly (uses of AI by law firms). Indirect Engagements Cases involving artificial intelligence today typically relate to cybersecurity, intellectual property, and the dangers of AI misuse. The increasing prevalence of AI-powered solutions has highlighted new challenges in IP litigation and cybersecurity cases. As more industries use and leverage AI, the more the legal framework surrounding their use will change. Law firms specializing in these cases are responding by building expertise in AI and preparing for future regulation. An example of what these regulations could look like can be found in the Federal Trade Commission’s guidance regarding AI usage or the European Union’s proposed Artificial Intelligence Act. Direct Engagements Besides cases and regulatory changes surrounding AI, law firms also engage with AI directly, leveraging AI-powered tools to facilitate specific administrative and data processing tasks. The primary strength of artificial intelligence is processing large amounts of information. In the legal industry, AI tools excel at reviewing thousands of documents per second, searching their contents, identifying keywords, and categorizing them by relevance. Examples of AI’s applications include: Improving the speed and quality of the due diligence process Assisting lawyers with contract review and helping them offer better counseling Leveraging Predictive Analysis (PA) for legal forecasting, analyzing past case law for patterns, and predicting legal outcomes Time tracking tools and Optical Character Recognition (OCR) expedite the billing process and help eliminate invoicing errors. Concerns and Issues with AI As with every new technology, there are concerns regarding its adoption in the legal industry. Although few experts believe that AI will replace lawyers or judges, there are growing worries about AI tools taking in-house jobs, such as paralegals or legal assistants. Others believe that AI will make the legal industry less empathetic and people-focused, especially since large corporations like Facebook implement many AI applications. Interacting with a chatbot or using an AI tool is not the same as a human-to-human relationship, leading many people to fear that lawyers relying on these tools will be less interested in communicating with their clients. AI is also fraught with overall concerns regarding data privacy, cybersecurity, and other issues typical of new technologies. Because AI is suitable for processing large amounts of potentially sensitive or privileged data, many data privacy concerns exist. For example, if a law firm relying on AI is targeted by a cyberattack, all the information the AI can see could be stolen or leaked. Why Legal Firms Should Invest in AI Although the 2020 ABA Legal Technology Survey Report reported that only 7% of law firms use AI-based tools, this percentage is expected to increase. If used correctly and in conjunction with the human element, early adoption of AI can introduce many significant benefits. AI is scalable; adopting AI tools today allows law firms to familiarize themselves with the technology progressively. Today, it is suitable for mundane tasks; tomorrow, it may assist lawyers with critical work. AI-powered task automation reduces human errors, saves time and money, and allows law firms to use their educated workforce more efficiently. Letting AI focus on traditionally time-consuming and repetitive tasks allows legal personnel to focus on human-to-human interactions. This improves the quality of legal counsel and connects you with more clients. AI technologies can add significant value to the highly educated members of the workforce at law firms, allowing them to serve their clients better. Collier Legal Search Connects You with Quality Professionals Whether or not your law firm plans to adopt AI, the legal industry will always need a human element to function. Collier Legal Search can connect you with the highly-skilled and talented individuals you need on your legal team. Call us today at (713) 863-8180 for assistance with finding qualified legal staff.

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