In a landmark decision, KPMG LLP has become the first of the Big Four accounting firms to be licensed to practice law in the United States. This development follows the Arizona Supreme Court’s approval of KPMG Law US as an alternative business structure (ABS), a designation allowed under Arizona’s progressive rules designed to expand innovation within the legal services sector. This new legal practice will operate as an independently managed subsidiary of KPMG LLP, maintaining strategic alignment particularly with KPMG LLP’s Tax practice (KPMG Law US).
The approval from the Arizona Supreme Court came via an order that endorsed the application following a recommendation by Arizona’s Committee on Alternative Business Structures, which had supported KPMG’s innovative venture earlier this year. This move marks a significant expansion of KPMG’s offerings in Arizona, where the firm already provides services to over 100 clients (an order issued by the court).
Rema Serafi, the vice chair of tax at KPMG LLP, highlighted that KPMG Law US will leverage advanced technology and cutting-edge artificial intelligence alongside traditional legal services. This approach is intended to transform the delivery of legal services, offering a comprehensive suite of tech-enabled solutions tailored to evolving client needs (Rema Serafi on LinkedIn).
- KPMG Law US will deliver legal managed services that include legal operations consulting and legal technology innovation.
- The firm will collaborate with the KPMG globally networked law firms already functioning in over 80 jurisdictions, aiming to bring efficiencies and empowerment to business clients.
- Through strategic resources and technology, KPMG Law US promises enhanced services at scale, such as volume contracting and M&A harmonization efforts, with significant emphasis on standardized outcomes and better controls.
- The firm will also focus on remediation exercises and high-volume contract obligations, aiding businesses in upholding dynamic contracts and corporate arrangements.
This development reflects the growing intersection of legal services with technological advancements, driven by client demands in a rapidly evolving regulatory environment. With KPMG’s move into the legal sector under the ABS model, the landscape for how legal services are delivered in the U.S. could see significant shifts, as other jurisdictions explore similar reforms. For more details on KPMG’s growth and its strategic direction, refer to the KPMG International press release.
For further reading, see the original article: LawNext.