AFAs Accounted For 35.6% Of Outside Counsel Spending For Top U.S. Corporations in 2015.
Law360 reports that BTI Consulting Group has published a recent survey that shows out of $21.3 billion spent by chief legal officers inside top U.S. corporations, alternative fee arrangements to hourly rate arrangements accounted for 35.6% of total spending in 2015, up 20.5% from 2012. Also, outside counsel AFA spending for corporations increased at a steady 19.8% clip since 2012.
Other recent reports and survey by consultant/polling companies further show that U.S. corporate counsel are paring down the number of outside counsel used and are consolidating their outside counsel into “hubs” which work together to provide services to the client corporation.