In a groundbreaking move, KPMG LLP has launched KPMG Law US in Arizona, becoming the first of the Big Four accounting firms to offer legal services in the United States. This development follows the Arizona Supreme Court's approval, allowing KPMG to operate as an alternative business structure (ABS) under the state's reformed regulations.
Arizona's decision to permit non-lawyers to have an economic interest in law firms has opened the door for multidisciplinary practices.
Enacted in 2020, these reforms aim to increase public access to legal services and foster innovation within the legal industry. KPMG Law US will operate as an independently managed subsidiary of KPMG LLP, aligning strategically with its tax practice while adhering to ethical standards to prevent conflicts of interest.
KPMG Law US plans to deliver a focused set of technology-enabled legal services, including:
By integrating these services with KPMG's existing advisory and tax offerings, clients are poised to benefit from comprehensive, multidisciplinary solutions.
KPMG's entry into the U.S. legal market signifies a potential shift in how legal services are delivered, introducing new competition for traditional law firms. While KPMG Law US will not provide legal services to audit clients to maintain independence, its presence may encourage other jurisdictions to reconsider regulations surrounding law firm ownership and multidisciplinary practices.
As KPMG Law US begins operations, it will be closely watched by industry stakeholders assessing the impact of such multidisciplinary models on the future of legal services in the United States.