When The Bottom Drops Out: What To Do When Your Practice Dries Up - Above the Law

"What would you do if your law practice suddenly lost all of its clients and you had to start over from scratch? That may sound like a dramatic hypothetical - until you look around. My friend Nicole Black recently wrote about AI-driven layoffs sweeping through tech giants like Amazon and Meta, asking whether lawyers might be next. Between automation, consolidation, and shifting client expectations, many law practices are vulnerable to disruption."

"Fifteen years ago, I was one of the only lawyers in the country representing landowners and communities fighting interstate gas pipelines. Work poured in effortlessly... until I started winning and setting new precedent. Once my victories proved these cases could succeed, the environmental groups that had once turned away my clients jumped into the fray with deep pockets and donor funding."

"There's nothing less attractive than lawyers blaming AI for lost business - for example, whining about clients who rely on cheap AI solutions without acknowledging that high legal fees drove those clients to use AI in the first place. Likewise, while I'd love to blame the environmental groups for stealing my business, the truth is, I took my eyes off the steering wheel."

Many law practices face sudden client loss from automation, consolidation, shifting client expectations, and external shocks like pandemics. Brick-and-mortar firms closed during COVID when clients stopped visiting and courts paused, and some never recovered. Specialized niches can evaporate when better-funded organizations enter the field and offer services free, displacing private practitioners. Blaming technology or competitors is counterproductive; practitioners must acknowledge pricing, focus, and strategic missteps. Recovery requires adapting services, rebuilding client pipelines, and maintaining professionalism rather than bitterness. Preparedness, flexible business models, and proactive client engagement improve chances of rebuilding from scratch.

Read at Above the Law