Big 4 Firm KPMG Gains Approval to Practice Law in Arizona
KPMG, one of the world’s biggest professional services firms, approved on February 27, 2025, to practice law in Arizona. This is a big deal for the firm and the legal industry. KPMG is one of the “Big 4” accounting firms, the others being Deloitte, PwC and EY. Traditionally, they have focused on accounting, auditing and consulting services. But KPMG’s entry into legal practice in Arizona means new opportunities and big questions about the future of legal services in the US.
What Does This Mean?
Arizona has been at the forefront of legal reforms, allowing non-lawyer owned firms to provide legal services. KPMG’s approval means the firm can now offer legal advice and services alongside its existing consulting and accounting services. This is a big change because historically only law firms owned by lawyers were allowed to practice law.
KPMG can now:
- Provide legal services to clients in Arizona
- Offer accounting, consulting and legal expertise
- Compete with traditional law firms in certain areas of corporate law
Why Arizona?
Arizona has been a trailblazer in modernizing the legal industry. In 2020 they removed the rule that required law firms to be owned by lawyers. This was to increase access to legal services and encourage innovation. KPMG’s entry into the legal market is a direct result of that.
By allowing firms like KPMG to practice law, Arizona is making legal services more accessible and integrated with other business solutions. This could mean cost savings and greater efficiency for clients.
How Does This Mean for Traditional Law Firms?
KPMG’s entry into the legal field will create competition for traditional law firms, especially in areas like tax, compliance and corporate advisory services. While KPMG won’t do litigation or courtroom cases, it can offer legal services closely related to its existing work such as:
- Corporate structuring and compliance
- Contract management
- M&A support
- Risk management
Traditional law firms may need to adapt by offering more integrated services to stay competitive. But since KPMG and similar firms will focus on business-related legal services, not litigation, traditional law firms may still have an advantage in court-related matters.## Business and Client Benefits
This means businesses can get financial, consulting, and legal services all in one place. Some of the benefits include:
- Convenience – get legal, tax, and financial advice from the same firm.
- Cost – bundled services might be cheaper than hiring separate firms for different services.
- Knowledge – KPMG has a global perspective and deep industry expertise.
Will Other Big 4 Firms Follow?
KPMG’s Arizona legal services will likely prompt the other Big 4 firms – Deloitte, PwC, and EY – to do the same. Since all three already offer legal services in other countries, they’ll see Arizona as a great chance to enter the US legal market.
Closing Remarks
KPMG getting approved to practice law in Arizona is a game changer for the legal and accounting industries. By combining legal services with financial and consulting expertise KPMG is setting a new trend in professional services. This will change the way businesses approach legal support making services more efficient and accessible.
Arizona is leading legal innovation, now it will be interesting to see how this plays out in other states and across the US.
