Is the Legal Field in India Saturated? Contrasting with Future Market Trends
As law has seen significant development and growth in recent years, the perception of legal markets becoming saturated in India has become a topic of discussion. However, the reality paints a more nuanced picture, indicating the potential for continued growth similar to the current American legal market trends in the next 10 to 20 years.
The Perception of Saturated Legal Market
Currently, there is a widespread belief that the legal field in India is becoming saturated. For instance, 90% of new lawyers choose to specialize in MACTOP (Motor Accident,Car, Texture, Operators Passenger) matters to quickly secure financial stability, while only 9% practice S.138 of the Negotiable Instruments Act, a mechanism to recover small sums, and 1% venture into other fields.
Moreover, an illusion of saturation arises due to the large number of law graduates who lack the necessary skills to practice independently. Statistics reveal that only 10% of lawyers are considered cream of the crop, actively engaged, and having a good practice. About 40% have cases and practice, while 25% seek cases through any means, including touts and police, ensuring permanent client control. Another 15% are law graduates attached to an office of a law firm. The remaining 10% comprises fake lawyers, touts, and non-practicing advocates.
This scenario has been exacerbated by the mushrooming of law colleges and liberal opening of Bar Councils. Despite efforts by judicial administrators to clear case arrears, the quantity over quality phenomenon persists, driven by accrediting academies that focus on exam patterns rather than moral rectitude.
Contrasting the US Legal Job Market
While the Indian legal market appears crowded, drawing parallels to the American legal job market may provide a more optimistic perspective. The US has emerged as a model for international collaboration and legal innovation, with a robust market for legal professionals. In 2015, 31% of job placements in the US were in corporate law, indicating a significant demand for legal services in the corporate sector.
Furthermore, the American legal market is likely to see further growth with the arrival of more industries with international ties. This sector is poised to create new job opportunities, aligning with the adaptable and versatile skills of legal professionals. As global economic integration increases, cross-border legal services will become more prevalent, fostering a dynamic legal job market.
Future Prospects and Potential for Growth
Anticipated changes in the Indian legal market in the coming decade suggest continued growth, similar to the US market. For instance, with international tie-ups and expanding corporate presence, the legal market is set to expand. The emergence of new industries and international collaboration will create a demand for legal professionals well-versed in corporate law, intellectual property, and international trade.
Additionally, the Indian Bar and Bench are actively addressing the issue of judicial arrears, and the introduction of more judges and academies suggests a renewed focus on quality over quantity. As the legal landscape in India evolves, the need for a skilled and adaptable legal workforce will rise, making the market far from saturated.
Finally, the key is to focus on building a robust, well-trained legal workforce that can adapt to the changing needs of the market. While some may see the legal field as saturated, the potential for growth, especially in the corporate and international sectors, indicates a promising future for legal professionals.