Cyberattacks against U.S. law firms are rising at an alarming rate. In the past year alone, nearly 40% of firms reported a data breach. From ransomware to phishing, attackers know that law firms hold some of the most sensitive client data, and too many firms remain unprepared.

This article examines why the legal sector is a prime target, real-world examples of breaches, what is at stake when client data is exposed, and steps every firm should be taking now to strengthen cybersecurity.

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Why Law Firms Are Prime Targets

Cybercriminals see law firms as high-value targets. Firms handle trade secrets, intellectual property, financial records, and personal information for thousands of clients. For attackers, this is a treasure trove of data that can be sold, ransomed, or used for extortion.

Smaller firms are especially vulnerable. Hackers view them as softer targets with weaker defenses than industries like banking or healthcare. In 2023, the legal industry saw a record 45 ransomware attacks that affected more than 1.6 million client records, the highest number recorded in a single year.

N8 Ransomware Bargraph
N8 Databreach Table

Real-World Breaches: Big and Small Firms Alike

Recent breaches show that no firm is immune, whether global giants or regional practices.

  • Orrick, Herrington & Sutcliffe (2023): Over 630,000 records exposed. The firm reached a tentative $8M settlement after a class-action lawsuit.
  • Grubman Shire Meiselas & Sacks (2020/2023): Hackers demanded a $42M ransom, later leaking celebrity and client data when the firm refused to pay.
  • MOVEit Supply Chain Attack (2023): A vulnerability in widely used file-transfer software impacted multiple firms including Kirkland & Ellis, Proskauer, and K&L Gates.
  • Houser LLP (2023): Mid-sized U.S. firm; more than 370,000 records stolen, now facing client lawsuits.
  • Greylock McKinnon (2023): Boutique firm; delayed breach notification for months and is now defending a class action.

What’s at Stake for Law Firms

The consequences of a breach extend far beyond the initial intrusion.

  • Average breach cost for professional services firms: $4.47M.
  • Average ransomware payout: $1.65M, with demands often much higher.
  • Downtime can cost firms $10,000 or more per hour in lost billables.
  • Class actions are becoming common. Orrick’s $8M settlement is one recent example.
  • Firms may also face malpractice claims, state breach fines, or HIPAA violations if health data is involved.
  • According to industry research, 40% of clients say they would fire a firm after a breach.
  • Negative headlines and lost trust can linger for years.
  • ABA Model Rule 1.6(c) requires attorneys to make “reasonable efforts” to protect client data.
  • Failing to secure or disclose a breach could mean ethics complaints or bar discipline.

A breach can cost millions. A Free IT Assessment costs nothing. Schedule yours today.

Scales Of Justice On A Glowing Keyboard, Representing Digital Law And Cyber Security.

How Cyberattacks Are Evolving

Hackers are constantly refining their tactics, making prevention more difficult.

  • Double Extortion: Attackers now steal data before encrypting it, threatening to leak files if ransom is not paid.
  • Targeting Backups: Modern ransomware often seeks out and destroys backups, leaving firms unable to restore.
  • Social Engineering: Sophisticated phishing and callback scams are increasing, often targeting non-IT staff.
N8 Cybersecurity Table

How Prepared Are Law Firms?

Despite rising threats, many firms lag behind on basic protections.

  • Only 34% have an incident response plan.
  • Just 54% of firms use multi-factor authentication, compared to 87% of large companies.
  • Only 43% use cloud backups, and just 37% apply MFA to backup systems.
  • Only 29% of firms had a third-party security assessment.

Clients are noticing. More than 27% of firms have been asked to disclose their security policies in RFPs or client questionnaires.

Law firms can significantly reduce risk by:

  • Implementing multi-factor authentication firmwide.
  • Developing and rehearsing an incident response plan.
  • Using offsite or immutable backups.
  • Conducting regular third-party security assessments.
  • Training attorneys and staff to recognize phishing and social engineering.

Don’t Be the Next Headline

Nearly 40% of U.S. law firms have already suffered a breach. The costs — financial, legal, ethical, and reputational — can devastate even established practices. Yet most of these breaches exploit preventable weaknesses.

Don’t wait until your firm is the next headline. Get your Free IT Assessment today.