Only 6% of legal departments report that law firms pass on AI efficiency gains; 34% see surcharges on AI-assisted work. In the first quarter of 2026, standard hourly rates at Am Law 200 firms rose by 11.4%, against demand growth of only 4.5%. The buy-side pays more for the same service.
The reason is structural. Of the six factors that make up a law-firm invoice, only two lie within the buyer’s reach: the discount and the post-hoc write-down. AI acts most strongly on planned hours. As long as the price is derived from the provider’s input, the efficiency gain stays with the provider.
The full slide deck develops the alternative: willingness to pay as the negotiation anchor, the value curve with its two economic zones, the price window for mutual gain, and a concrete agenda for the legal department.