California Takes Up Law Firm Ownership Fight After ABA Sidesteps

The fight to overhaul law firm ownership limits is moving to California after the American Bar Association sided against major changes.

State lawmakers are set to vote before the end of the month on legislation that would allow the California bar to test new legal service models to make them more affordable. An amended version of the bill would still prevent non-lawyer companies from co-owning firms, however, and ban the sharing of legal fees with non-lawyers.

The bill, which reflects some of the same concerns expressed by the ABA, eliminates a threat to firms posed by possible competition from major ...