In Korea's legal market, the so-called Big Four large law firms (Taepyungyang, Sejong, Gwangjang, YulChon) have all entered the era of 400 billion won in annual revenue. Despite a sluggish domestic economy and corporations' austerity management, they expanded their performance base by consecutively winning mandates for mega mergers and acquisitions (M&A) advisory and corporate litigation. The law firm industry says "the size of the domestic law firm market has stepped up a level."
According to legal sources on the 23rd, based on National Tax Service value-added taxes filings, last year's revenues for the Big Four ranked as follows: ▲ Taepyungyang 440.2 billion won ▲ Sejong 436.3 billion won ▲ Gwangjang 430.9 billion won ▲ YulChon 408.0 billion won. The combined revenue of the four firms totaled 1.7154 trillion won, up about 11% from the previous year (1.5436 trillion won). Unchallenged No. 1 KIM&CHANG is estimated to have posted revenue in the 1.7 trillion won range.
This is the first time that all four firms, excluding KIM&CHANG, have reached the 400 billion won range in annual revenue. After entering the era of 300 billion won in annual revenue in 2023, they moved into the "400 billion won era" in just two years.
Until early last year, the dominant outlook in the law firm industry was that revenue growth would slow. Political uncertainty had grown due to the martial law situation, and as forecasts said Korea's economic growth rate would stay at 1.0%, conglomerates—the main clients of law firms—were expected to pursue austerity management. If conglomerates cut legal expense, law firm revenue inevitably shrinks. Even so, last year law firms posted double-digit growth by consecutively taking on major M&A and corporate litigation and advisory in the institutional sector.
Taepyungyang achieved revenue growth by consecutively handling so-called "landmark cases" that have significant impact on the nation and across industries. It surpassed 440 billion won in revenue for the first time last year and rose to second in the industry. It recorded growth of about 12.4% from the previous year (391.8 billion won).
First, it represented the Korean government and secured victory in the 600 billion won range Lone Star investor-state dispute settlement (ISDS) case that it had worked on for 13 years. By achieving "0 won" in damages, it effectively won a complete victory. It also stood out in the M&A institutional sector. It advised on major transactions such as private equity firm KKR's acquisition of SK ecoplant's environmental subsidiary and the sale of SK Siltron. In the litigation institutional sector, it led performance expansion by handling cases including Samsung Bioepis' Eylea patent litigation, Korea Zinc's management control dispute, and KEPCO KPS's serious industrial accident case.
Sejong posted 436.3 billion won in revenue, up about 18% from the previous year (369.8 billion won). It took third place in the industry by showing strength in M&A. This was the result of consecutively handling high-difficulty major transaction advisory, from the merger of HD Hyundai Heavy Industries and HD Hyundai Mipo—whose combined market capitalization alone is valued at 65 trillion won—to the establishment of a joint online platform venture between AliExpress and Shinsegae Group, which is valued around 6 trillion won.
Sejong also showed strength in the information and communications technology (ICT) field. Representing conglomerates that suffered large-scale hacking incidents, it provided an integrated solution covering the entire process of "investigation–regulation–dispute–criminal." In addition, it handled management control disputes and major civil and criminal cases, and its proactive and advanced response capabilities to changes in the regulatory environment—such as taxes, fair trade, financial regulation, and labor—were well received in the market.
Gwangjang, regarded as a traditional "M&A powerhouse," sought performance growth by taking on major M&A cases. Although its revenue ranking fell from second to fourth, revenue grew 4.8% from 411.1 billion won to 430.9 billion won. Gwangjang says that in terms of M&A institutional sector revenue alone, it recorded growth of more than 30%.
Gwangjang all but monopolized SK Group's large-scale rebalancing transactions, such as the sale of SK Specialty and Hanwha Group's acquisition of OURHOME. It handled all of the following: the merger of SK On and SK Entom, the merger of SK On and SK Enmove, SK Square's sale of 11Street, and SK Innovation's acquisition of minority stakes in SK On and SK Enmove.
YulChon recorded 408.0 billion won in revenue, achieving 10% growth from the previous year (370.9 billion won). In particular, last year it secured a remand by winning the Supreme Court appeal in the property partitioning suit between SK Group Chairman Chey Tae-won and Art Center Nabi Director Roh Soh-yeong.
YulChon also successfully provided advisory on major transactions such as the merger transaction between Naver Financial and Dunamu and Woori Financial Group's acquisition of Tongyang Life Insurance and ABL Life Insurance. It is also evaluated as having stood out in litigation by representing Korea Zinc and winning a provisional injunction suit at a shareholders' meeting against Young Poong.
Meanwhile, Yoon & Yang LLC newly entered the "300 billion club." Although last year's domestic corporation revenue was 281.2 billion won, its annual revenue reached 301.2 billion won when including overseas office results. This is the first time since its founding in 2003. Yoon & Yang won a 250 billion won deposit return suit representing Asiana Airlines and, in a case related to the Samsung C&T–Cheil Industries merger, defended Samsung C&T's management and secured not-guilty verdicts at all instances.
An attorney at one of the Big Four said, "Even maintaining a double-digit growth rate despite the larger size is an achievement in itself," adding, "Consecutively taking on trillion-won M&A and large-scale corporate litigation lifted performance."