Graying Law Firm Leadership: 5 Keys Plaintiffs Firms Can’t Ignore

In this blog, we feature insights from Tom Lenfestey, founder and CEO of The Law Practice Exchange, who explains how graying law firm leadership is creating growing succession risks for plaintiffs law firms, and outlines five key factors firm leaders should be addressing sooner rather than later.

Watch the video featuring Tom Lenfestey.

Attorneys Are Working Far Longer Than Other Business Owners

One defining characteristic of today’s plaintiffs law firms is how long firm founders and senior partners remain active in practice. Compared to leaders in other industries, attorneys often stay involved well beyond traditional retirement timelines.

“They are working twice as long kind of as normal everyday other business owners, right?” Tom explains. “So, they’re staying in. At The Law Practice Exchange, we can get calls from 80-year-old attorneys who are just calling to get information, not start, but just to get information about what succession planning or what a sale may look like.”

While experience can be a strength, extended timelines without structured transition planning can expose firms to risk when unexpected events occur.

Many Law Firms Still Don’t Have a Succession Plan

Despite this graying law firm leadership trend, succession planning remains the exception rather than the rule.

According to the 2024 American Bar Association National Lawyer Population survey, more than 13% of all lawyers are 65 or older. Yet fewer than 30% of law firms have a formal succession plan¹ in place to manage leadership transitions. This disconnect highlights the structural risk facing many plaintiffs firms as senior leadership ages without a clear roadmap for continuity.

“And I think that’s a scary place to be,” Tom notes, “especially when you look at the stat that only one-third of law firms really truly have a succession plan.”

He adds that the issue is compounded by a lack of leadership development. “The majority don’t have a succession plan, super majority of two-thirds, plus those that are in that majority are aging out and don’t have that next level of leadership that’s really been cultivated to take over.”

Without intentional preparation, firms may find themselves unready when transition becomes unavoidable.

Hanging On Too Long Can Create Real Risk

Delaying succession planning is not a neutral decision. In many cases, it introduces operational, financial, and valuation risk. “I do believe firms are heading towards a crisis of sorts for lack of leadership, next generation leadership,” warns Tom.

“Every law firm transaction that we [The Law Practice Exchange] do requires transition,” notes Tom. “And for this leadership that’s hanging on too long and doesn’t have the ability to transition to the next, based on time, health, other aspects, it is going to be a problem.”

When transition planning is delayed until a health event or other crisis occurs, firms often experience loss of value and fewer viable options.

Fear of Retirement Is Often the Hidden Barrier

One of the most common reasons succession planning gets postponed is fear of retirement itself.

“The overall aspect is lawyers are fearful of retiring and that’s keeping them from kind of taking these steps in succession planning,” Tom explains. “And so many lawyers don’t know what they would do if they did retire.”

That uncertainty can lead to avoidance. “Succession planning is a really good thing, but let’s just put it off,” Tom notes. “And then when you put it out too far, time becomes the liability, and those crises can happen.” In this context, delay becomes a risk in its own right.

Succession Planning Allows Firms to Take Control of Their Future

Despite the challenges, Tom emphasizes that succession planning can be empowering rather than disruptive. “You can actually take control of your future through succession planning instead of letting it just happen to you,” Tom explains.

Early planning gives firm leaders flexibility to shape outcomes, protect firm value, and ensure continuity for clients, employees, and the next generation of leadership.

Aligning with a strategic banking partner like Esquire Bank can provide financing solutions to enable partner buyouts. Sean Flaherty of Keches Law explains in this case study.

Succession Planning Should Start Today

Graying law firm leadership should no longer be a distant concern. For plaintiffs law firms, it is a present-day business challenge that intersects with valuation, continuity, and long-term stability.

Firms that address succession planning early will retain greater control over timing and outcomes. Those that delay risk turning an inevitable transition into an avoidable crisis.

Watch the full video interview to hear more insights from Tom Lenfestey of The Law Practice Exchange.

¹ Source: ALM Legal Intelligence Survey.